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Supreme Court issues Guideline II on civil cases involving epidemics
Release Date: 2020-06-29 Posted by admin

On May 15, the Supreme People's Court issued the "Guiding Opinions on Several Issues Concerning the Proper Trial of Civil Cases Involving the New Coronary Pneumonia Epidemic Situation (2)" (Fafa [2020] No. 17, hereinafter referred to as "Guiding Opinions 2").

     The "Guiding Opinion II" focuses on the types of cases that are heavily affected by the epidemic, such as sales contracts, housing lease contracts, financial contracts, medical insurance, and corporate bankruptcy, and proposes 23 specific guidelines According to Liu Guixiang, a full-time member of the Judicial Committee of the Supreme People’s Court , the main content of the "Guiding Opinions 2" can be summarized in four aspects: First, the service guarantee "six guarantees" is the focus of the "six stability" work, through bankruptcy reorganization and bankruptcy. Reconcile and strengthen the concept of good faith and civilized implementation, resolve corporate debt crises, and protect market players. The second is to deal with disputes over sales contracts in accordance with the law to protect the supply chain of the industry chain. The third is to hear education training and medical insurance contract disputes in accordance with the law to respond to the needs of people's livelihood. The fourth is to effectively implement a series of policies that benefit enterprises and people during the epidemic, and further serve to ensure economic and social development.




          

Law Fa ( 2020 No. 17 

Supreme People's Court

Issued the "Regarding the Proper Trial of Civil Cases Involving the New Coronary Pneumonia Epidemic

Notice of Guiding Opinions on Several Issues (2)"


The Higher People’s Courts of all provinces, autonomous regions, and municipalities directly under the Central Government, the Military Court of the People’s Liberation Army, and the Production and Construction Corps Branch of the Higher People’s Court of Xinjiang Uygur Autonomous Region:


  The "Guiding Opinions of the Supreme People's Court on Several Issues Concerning the Proper Trial of Civil Cases Involving the New Coronary Pneumonia Epidemic Situation (2)" are hereby printed and distributed to you, please implement them carefully.

 

                                      Supreme People's Court

                                    2020 Nian Yue 15 Ri          


Supreme People's Court

Regarding the proper trial of civil cases involving the new crown pneumonia epidemic in accordance with the law

Guiding Opinions on Several Issues (2)


      In order to further implement the Party Central Committee’s overall planning and deployment of the prevention and control of the new crown pneumonia epidemic and economic and social development, the “six stability” work will be carried out in a solid manner, the “six guarantees” task will be implemented, and the people’s courts at all levels will be guided to properly trial contracts involving the new crown pneumonia epidemic , Financial, bankruptcy and other civil cases, the following guiding opinions are proposed.

 


 1. Trial of contract cases



  1. If the epidemic or epidemic prevention and control measures cause the parties to be unable to perform the sales contract within the agreed period or to increase the cost of performance, the continued performance will not affect the realization of the contract purpose, and the parties request to terminate the contract, the people's court shall not support it.

  If the epidemic or epidemic prevention and control measures cause the seller to fail to complete the order or deliver the goods within the agreed time limit, continue to perform and fail to achieve the buyer's contract purpose, and the buyer requests to terminate the contract and return the advance payment or deposit that has been paid, the people's court Should be supported; if the buyer requests the seller to bear the liability for breach of contract, the people's court shall not support it.

  2. The sales contract can continue to be performed, but the epidemic or epidemic prevention and control measures have caused a significant increase in the cost of labor, raw materials, logistics, etc., or caused a substantial price reduction of the product. The continued performance of the contract is obviously unfair to one party, and the party that is adversely affected requests adjustment For the price, the people’s court shall adjust the price based on the principle of fairness based on the actual situation of the case. If the epidemic or epidemic prevention and control measures cause the seller to fail to deliver the goods within the agreed time limit, or the buyer cannot pay according to the agreed time limit, and the party requests to change the performance time limit, the people’s court shall take into account the actual situation of the case and change the performance according to the principle of fairness. the term.

  If the contract has been changed by adjusting the price, changing the performance period, etc., and the parties request the other party to bear the responsibility for breach of contract, the people's court shall not support it.

  3. After the seller and the buyer have concluded a sales contract for epidemic prevention materials, the people's court shall support the case where the seller and the buyer resell the epidemic prevention materials at a high price to others, causing the contract to be unfulfilled, and the buyer requests the seller's profits as the amount of compensation for losses. The people’s court shall not support the seller’s request for the seller’s liability for breach of contract due to the government’s invocation or temporary requisition of anti-epidemic materials in accordance with the law.

  4. If the epidemic or epidemic prevention and control measures cause the seller to fail to deliver the house within the time limit specified in the commercial housing purchase contract, or the buyer fails to pay the purchase price within the agreed time limit, the party requests the termination of the contract and the other party bears the responsibility for breach of contract. The court did not support it. However, if a party requests a change in the performance period, the people's court shall make the change based on the principle of fairness in light of the actual situation of the case.

  5. The leased house is used for business operations. The epidemic or epidemic prevention and control measures have caused the lessee’s capital turnover difficulties or significantly reduced operating income. The lessor requests to terminate the lease contract on the grounds that the lessee has not paid the rent within the agreed period, and the lessee shall bear the breach of contract The people’s court shall not support the responsibility.

  If a temporary venue lease contract is reserved for exhibitions, conferences, temple fairs, etc., the event is cancelled due to the epidemic or epidemic prevention and control measures, and the lessee requests to terminate the lease contract and return the advance payment or deposit, the people's court shall support it.

  6. Renting the houses of state-owned enterprises and the houses of government departments, universities, research institutes and other administrative institutions for operation, and service industry small and micro enterprises, individual industrial and commercial households and other tenants who have business difficulties affected by the epidemic or epidemic prevention and control measures, request Where the lessor exempts the rent within a certain period of time in accordance with relevant national policies, the people's court shall support it.

  Renting non-state-owned houses for business purposes. The epidemic or epidemic prevention and control measures have caused the lessee to have no operating income or a significant reduction in operating income. It is obviously unfair to continue to pay the rent in accordance with the original lease contract. The lessee requests rent reduction, extension or extension Where rent is paid, the people’s court may guide the parties to mediate with reference to the relevant rent reduction or exemption policy; if the mediation fails, the contract shall be modified in accordance with the principle of fairness in light of the actual situation of the case.

  7. If the contractor fails to complete the construction within the agreed time limit due to the epidemic or epidemic prevention and control measures, the people’s court shall not support it if the contracting party requests the contractor to assume responsibility for breach of contract; if the contractor requests an extension of the construction period, the people’s court shall consider the epidemic or epidemic situation The degree of influence of prevention and control measures on contract performance shall be supported as appropriate.

  If the epidemic or epidemic prevention and control measures cause the cost of labor and building materials to rise sharply, or the contractor suffers labor costs, equipment rental fees, etc., it is obviously unfair to the contractor to continue to perform the contract, and the contractor requests a price adjustment, the people’s court shall combine The actual situation of the case shall be adjusted according to the principle of fairness.

  8. The offline training contract concluded by the parties cannot be conducted offline training due to the epidemic or epidemic prevention and control measures, and the purpose of the contract can be achieved through online training, changing the training period, etc., and the training party requests to terminate it, the people's court shall not grant it Support; if the parties request to continue to perform the contract through online training, change the training period, adjust the training fee, etc., the people's court shall modify the contract based on the principle of fairness in light of the actual situation of the case.

  If offline training cannot be conducted due to the epidemic or epidemic prevention and control measures, the purpose of the contract cannot be achieved through online training, or the actual situation of the case indicates that online training is not appropriate, and the training party requests to terminate the contract, the people's court shall support it. For training contracts with time-limited requirements, if the training period cannot be changed to achieve the purpose of the contract, and the training party requests to terminate the contract, the people's court shall support it. After the termination of the training contract, the prepaid training fee shall be refunded in whole or in part according to the training time and other circumstances.

  9. If a person with limited capacity for civil conduct participates in online paid games or "rewarding" on online live platforms without the consent of his guardian and spends money that is not suitable for his age or intelligence, and his guardian requests the network service provider to return the money, the people The court should support it.

  


2. Trial of financial cases



  10. For industries that are largely affected by the epidemic or epidemic prevention and control measures, and companies that have development prospects but are temporarily in difficulties affected by the epidemic or epidemic prevention and control measures, especially small, medium and micro enterprises, the People's Court is in the process of hearing Full consideration should be given to the series of financial support policies such as the "Notice on Further Strengthening of Financial Support to Prevent and Control the Novel Coronavirus Pneumonia Epidemic" issued by the People's Bank of China and other five departments: early due and unilateral cancellation of loans raised by financial institutions in violation of financial support policies The people’s court does not support litigation claims such as contracts; the interest charged by financial institutions and the disguised interest charged in the name of consulting fees, guarantee fees and other fees shall be strictly in accordance with the provisions of the national re-loan rediscount and other special credit preferential interest rate policies , Does not support the excess; for those who are hospitalized or quarantined due to infection with new crown pneumonia, those who need to be isolated and observed for epidemic prevention and control, those who participate in epidemic prevention and control, and those who temporarily lose their source of income due to the epidemic or epidemic prevention and control measures In the case of individual loan repayment disputes such as housing mortgages and credit cards, the people’s courts shall, in light of the actual circumstances of the case, change the repayment period in accordance with the principle of fairness.

  11. Epidemic prevention materials production and operation enterprises set floating mortgages with their production equipment, raw materials, semi-finished products, products and other movable properties, and the mortgagee applies for the realization of security real rights in accordance with Article 196 of the Civil Procedure Law of the People’s Republic of China If, after the people’s court accepts the application, the respondent or the interested party can prove that the realization of the mortgage right will endanger the production and operation of the enterprise’s epidemic prevention materials, it may be processed after the epidemic or the factors affecting the epidemic prevention and control measures are eliminated.

  12. As for stock pledge and margin trading disputes caused by the fluctuation of the stock market price during the epidemic prevention and control period, different situations should be handled: For on-exchange stock pledge and margin trading disputes where the creditor is a securities company, the people’s court may refer to the China Securities Regulatory Commission. The relevant policies will be issued to guide the securities companies to negotiate and resolve disputes with different customer groups in accordance with the policies; if the negotiation fails, the securities companies shall be supported in accordance with the law for litigation claims by the customers requesting the securities company to be liable for compensation for the increased losses caused by the forced liquidation of positions in violation of regulations. With regard to over-the-counter stock pledge disputes where the creditors are other financial institutions, the people's courts shall fully consider the impact of the realization of stock pledges on the normal operations of listed companies, strengthen policy guidance and coordination of the interests of all parties, and strive to reduce the impact on the securities market.

  13. People's courts hearing civil compensation cases for tort due to misrepresentation by listed companies shall determine the amount of investor losses in accordance with Article 19 of the Supreme People’s Court on the Trial of Civil Compensation Cases Caused by False Statements in the Securities Market. The four provisions distinguish between the factors affecting the epidemic or epidemic prevention and control measures and the loss of stock price decline caused by false statements, and determine the scope of compensation for losses in a fair and reasonable manner in accordance with the law.

  14. For wholesale and retail, accommodation and catering, logistics and transportation, cultural tourism and other companies that are severely affected by the epidemic or epidemic prevention and control measures, or their shareholders, actual controllers and investors, disputes caused by the performance of the "performance gambling agreement", the people's court The actual situation of the impact of the epidemic or the prevention and control measures of the epidemic on the performance of the target company shall be fully considered, and both parties shall be guided to negotiate changes or terminate the contract. If the parties fail to negotiate and continue to perform in accordance with the agreed performance standard or performance compensation amount is obviously unfair to one of the parties, the people’s court shall modify or terminate the contract based on the principle of fairness in light of the actual situation of the case; if the contract is terminated, the contract shall be reasonably distributed in accordance with the law. Relieve the damage caused.

  If the "performance gambling agreement" does not clearly stipulate that the company's small and medium shareholders and the controlling shareholder or actual controller shall bear joint liability for performance compensation, the investor requires the small and medium shareholders and the company, controlling shareholder or actual controller to jointly bear joint liability to them The people's court did not support the request.

  15. When hearing a medical insurance contract dispute case related to the epidemic or epidemic prevention and control measures, the people's court shall not support the defense that the insurer puts forward that the disease does not fall within the scope of a major disease or insured accident as stipulated in the commercial medical insurance contract. If an insured person infected with new coronary pneumonia does not receive treatment at the medical service institution specified in the insurance contract due to the epidemic or epidemic prevention and control measures, the insured or beneficiary requests compensation from the insurer according to the insurance contract, the people’s court Should be supported. If the insured person receives treatment at a medical service institution other than the insurance contract, the agreed expenses are caused by objective reasons such as the epidemic situation or epidemic prevention and control measures. If the insured or beneficiary requests compensation, the people's court shall support . If the insured or beneficiary requests compensation according to the medical insurance contract granted by the insurance company during the epidemic prevention and control period, the people's court shall support it.

  16. In the trial of civil disputes arising from the medical equipment financial leasing business between a financial leasing company and a medical service institution, the medical service institution claims that the financial leasing contract is invalid on the grounds that the financial leasing company has not obtained the administrative license for the sale of medical equipment The people’s court did not support the defense.

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