Judicial interpretations strengthen protection of domestic arbitral awards

0
1770
Judicial-interpretations
LinkedIn
Facebook
Twitter
Whatsapp
Telegram
Copy link

China’s Supreme People’s Court (SPC) recently issued two pieces of judicial interpretations, namely, the Provisions of the Supreme People’s Court on Certain Issues Related to the Conduct of Judicial Review of Arbitral Cases and the Provisions of the Supreme People’s Court on Certain Issues Related to the Reporting System of Arbitral Cases (collectively, the New SPC Interpretations).

The New SPC Interpretations became effective on 1 January 2018 and aim to strengthen the arbitration regime in China. Among other things, they extend the judicial reporting system in arbitration-related judicial review procedures to arbitral agreements without foreign elements and domestic arbitral awards. They also clarify the applicable laws in deciding the validity of foreign-related arbitral agreements. These measures aim to ensure judicial consistency across PRC courts and give parties located in China increased options for dispute resolution.

WHAT IT MEANS

For Chinese parties or Foreign Invested Enterprises (FIEs) that are regarded as Chinese entities, the New SPC Interpretations are a positive development.

Previously, the internal reporting system established by the SPC applied only in relation to foreign-related arbitral agreements, foreign-related arbitral awards or foreign arbitral awards. Any Intermediate People’s Court intending to invalidate any foreign-related arbitral agreements, set aside foreign-related arbitral awards or deny enforcement of foreign or foreign-related arbitral awards was required to report to the Higher People’s Court. If the Higher People’s Court agrees with the proposed decision, it should report the case to the SPC for final approval. Without the SPC’s final approval, local courts are not allowed to decide against a foreign-related arbitral agreement, a foreign-related award or a foreign award.

You must be a subscribersubscribersubscribersubscriber to read this content, please subscribesubscribesubscribesubscribe today.

For group subscribers, please click here to access.
Interested in group subscription? Please contact us.

你需要登录去解锁本文内容。欢迎注册账号。如果想阅读月刊所有文章,欢迎成为我们的订阅会员成为我们的订阅会员

已有集团订阅,可点击此处继续浏览。
如对集团订阅感兴趣,请联络我们

Business Law Digest is compiled with the assistance of Baker McKenzie. Readers should not act on this information without seeking professional legal advice. You can contact Baker McKenzie by e-mailing Danian Zhang (Shanghai) at danian.zhang@bakermckenzie.com

LinkedIn
Facebook
Twitter
Whatsapp
Telegram
Copy link