MAIN INDEX
Part Three
Procedure of Execution
Chapter XX General Provisions
Article 207 Legally effective judgments or written orders in civil cases, as well as the parts of judgments or written orders that relate to property in criminal cases, shall be executed by the people’s court of first instance.
Other legal documents which are to be executed by a people’s court as prescribed by the law shall be executed by the people’s court of the place where the person subjected to execution has his domicile or where the property subject to execution is located.
Article 208 If, in the course of execution, an outsider raises an objection with respect to the object subjected to execution, the execution officer shall examine the objection in accordance with the procedure prescribed by the law. If the reasons for the objection are untenable, the objection shall be rejected; if otherwise, execution shall be suspended with the approval of the president of the court. If definite error is found in the judgment or the written order, it shall be dealt with in accordance with the procedure for trial supervision.
Article 209 Execution work shall be carried out by the execution officer.
When carrying out a compulsory execution measure, the execution officer shall produce his credentials. After the execution is completed, the execution officer shall make a record of the particulars of the execution, and have it signed or sealed by the persons concerned on the scene.
The basic people’s court and the intermediate people’s court may, when necessary, establish execution organs, whose functions shall be defined by the Supreme People’s Court.
Article 210 If a person or property subjected to execution is in another locality, the people’s court in that locality may be entrusted with the carrying out of the execution. The entrusted people’s court shall begin the execution within 15 days after receiving a letter of entrustment and shall not refuse to do so. After the execution has been completed, the entrusted people’s court shall promptly inform the entrusting people’s court, by letter, of the result of the execution. If the execution has not been completed within 30 days, the entrusted people’s court shall also inform the entrusting people’s court, by letter, of the particulars of the execution.
If the entrusted people’s court does not carry out the execution within 15 days after receiving the letter of entrustment, the entrusting people’s court may request the people’s court at a higher level over the entrusted people’s court to instruct the entrusted people’s court to carry out the execution.
Article 211 If in the course of execution the two parties become reconciled and reach a settlement agreement on their own initiative, the execution officer shall make a record of the contents of the agreement, and both parties shall affix their signatures or seals to the record.
If either party fails to fulfil the settlement agreement, the people’s court may, at the request of the other party, resume the execution of the legal document which was originally effective.
Article 212 In the course of execution, if the person subjected to execution provides a guaranty, the people’s court may, with the consent of the person who has applied for execution, decide on the suspension of the execution and the time limit for such suspension. If the person subjected to execution still fails to perform his obligations after the time limit, the people’s court shall have the power to execute the property he provided as security or the property of the guarantor.
Article 213 If the citizen subjected to execution dies, his debts shall be paid off from the deceased estate; if a legal person or any other organization subjected to execution dissolves, the party that succeeds to its rights and obligations shall fulfil the obligations.
Article 214 After the completion of execution, if definite error is found in the executed judgment, written order or other legal documents resulting in the annulment of such judgment, order or legal documents by the people’s court, the said court shall, with respect to the property which has been executed, make a written order that persons who have obtained the property shall return it. In the event of refusal to return such property, compulsory execution shall be carried out.
Article 215 The provisions of this Part shall be applicable to the execution of the conciliation statement as drawn up by the people’s court.
Chapter XXI Application for Execution and Referral
Article 216 The parties concerned must comply with legally effective judgments or written orders in civil cases. If a party refuses to do so, the other party may apply to the people’s court for execution, or the judge may refer the matter to the execution officer for enforcement.
The parties concerned must comply with the conciliation statement and other legal documents that are to be executed by the people’s court. If a party refuses to do so, the other party may apply to the people’s court for enforcement.
Article 217 If a party fails to comply with an award of an arbitral organ established according to the law, the other party may apply for execution to the people’s court which has jurisdiction over the case. The people’s court applied to shall enforce the award.
If the party against whom the application is made furnishes proof that the arbitral award involves any of the following circumstances, the people’s court shall, after examination and verification by a collegial panel, make a written order not to allow the enforcement:
(1) the parties have had no arbitration clause in their contract, nor have subsequently reached a written agreement on arbitration;
(2) the matters dealt with by the award fall outside the scope of the arbitration agreement or are matters which the arbitral organ has no power to arbitrate;
(3)the composition of the arbitration tribunal or the procedure for arbitration contradicts the procedure prescribed by the law.
(4)the main evidence for ascertaining the facts is insufficient;
(5) there is definite error in the application of the law; or
(6) the arbitrators have committed embezzlement, accepted bribes or done malpractice for personal benefits or perverted the law in the arbitration of the case;
If the people’s court determines that the execution of the arbitral award is against the social and public interest, it shall make an order not to allow the execution.
The above-mentioned written order shall be served on both parties and the arbitral organ.
If the execution of an arbitral award is disallowed by a written order of the people’s court, the parties may, in accordance with a written agreement on arbitration reached between them, apply for arbitration again; they may also bring an action in a people’s court.
Article 218 If a party fails to comply with a document evidencing the creditor’s rights made enforceable according to the law by a notary office, the other party may apply to the people’s court which has jurisdiction over the case for execution. The people’s court applied to shall enforce such document.
If the people’s court finds definite error in the document of creditor’s rights, it shall make an order not to allow the execution and serve the order on both parties concerned as well as the notary office.
Article 219 The time limit for the submission of an application for execution shall be one year, if both or one of the parties are citizens; it shall be six months if both parties are legal persons or other organizations.
The above-mentioned time limit shall be calculated from the last day of the period of performance specified by the legal document. If the legal document specifies performance in stages, the time limit shall be calculated from the last day of the period specified for each stage of performance.
Article 220 The execution officer shall, after receiving the application for execution or the writ of referral directing execution, send an execution notice to the person subjected to execution, instructing him to comply within the specified time. If the person fails to comply accordingly, compulsory execution shall be carried out.
Chapter XXII Execution Measures
Article 221 If the person subjected to execution fails to fulfil according to the execution notice the obligations specified in the legal document, the people’s court shall be empowered to make inquiries with banks, credit cooperatives or other units that deal with savings deposit into the deposit accounts of the person subjected to execution, and shall be empowered to freeze or transfer his deposits; however, the inquiries, freezing or transfer of the deposits shall not exceed the scope of the obligations to be fulfilled by the person subjected to execution.
The people’s court shall, in deciding to freeze or transfer a deposit, make a written order and issue a notice for assistance in execution. Banks, credit cooperatives or other units that deal with savings deposit must comply with it.
Article 222 If the person subjected to execution fails to fulfil according to the execution notice the obligations specified in the legal document, the people’s court shall be empowered to withhold or withdraw part of the income of the person subjected to execution, for the fulfillment of his obligations. However, it shall leave out the necessary living expenses for the person subjected to execution and his dependant family members.
The people’s court shall, when withholding or withdrawing the income, make a written order and issue a notice for assistance in execution. The unit in which the person subjected to execution works, banks, credit cooperatives or other units that deal with savings deposit must comply with the notice.
Article 223 If the person subjected to execution fails to fulfil according to the execution notice the obligations specified in the legal document, the people’s court shall be empowered to seal up , distrain, freeze, sell by public auction, or sell off part of the property of the person subjected to execution for the fulfilment of his obligations. However, it shall leave out the necessaries of life for the person subjected to execution and his dependant family members.
The people’s court shall make an order for the adoption of the measures specified in the preceding paragraph.
Article 224 When the people’s court seals up or distrains a property, it shall, if the person subjected to execution is a citizen, notify him or an adult member of his family to appear on the scene; if the party subjected to execution is a legal person or any other organization, it shall notify its legal representatives or its principal heads to be present. Their refusal to appear on the scene shall not hinder the execution. If the person subjected to execution is a citizen, his unit or the grass-roots organization of the place where his property is located shall send a representative to attend the execution.
An inventory of the sealed-up or distrained property must be made by the execution officer and, after the inventory has been signed or sealed by the persons on the scene, a copy of it shall be given to the person subjected to execution. If the person subjected to execution is a citizen, another copy may be given to an adult member of his family.
Article 225 The execution officer may commit the sealed-up property to the person subjected to execution for safekeeping, and the person shall be held responsible for any losses incurred due to his fault.
Article 226 After a property has been sealed up or distrained, the execution officer shall instruct the person subjected to execution to fulfil, within the prescribed period, the obligations specified in the legal document. If the person has not fulfilled his obligations upon expiration of the period, the people’s court may, in accordance with the relevant legal provisions, entrust the relevant units with selling by public auction or selling off the sealed-up or distrained property. Articles which are prohibited from free trading by the State shall be delivered to and purchased by the relevant units at the price fixed by the State.
Article 227 If the person subjected to execution fails to fulfil his obligations specified in the legal document and conceals his property, the people’s court shall be empowered to issue a search warrant and search him and his domicile or the place where the property was concealed.
In adopting the measure mentioned in the preceding paragraph, the president of the people’s court shall sign and issue the search warrant.
Article 228 With respect to the property or negotiable instruments specified for delivery in the legal document, the execution officer shall summon both parties concerned and deliver them in their presence or the execution officer may forward them to the recipient, who shall sign and give a receipt.
Any unit concerned that has in possession the property or negotiable instruments shall turn them over to the recipient in accordance with the notice of the people’s court for assistance in execution, and the recipient shall sign and give a receipt.
If any citizen concerned has in possession the property or negotiable instruments, the people’s court shall notify him to hand them over. If he refuses to do so, compulsory execution shall be carried out.
Article 229 Compulsory eviction from a building or a plot of land shall require a public notice signed and issued by the president of a people’s court, instructing the person subjected to execution to comply within a specified period of time. If the person subjected to execution fails to do so upon the expiration of the period, compulsory execution shall be carried out by the execution officer.
When compulsory execution is being carried out, if the person subjected to execution is a citizen, the person or an adult member of his family shall be notified to be present; if the party subjected to execution is a legal person or any other organization, its legal representatives or principal heads shall be notified to be present; their refusal to be present shall not hinder the execution. If the person subjected to execution is a citizen, his work unit or the grass-roots organization in the locality of the building or the plot of land shall send a representative for attendance. The execution officer shall make a record of the particulars of the compulsory execution, with the signatures or seals of the persons on the scene affixed to it.
The people’s court shall assign personnel to transport the property removed in a compulsory eviction from a building to a designated location and turn it over to the person subjected to execution or, if the person is a citizen, to an adult member of his family; if any loss is incurred due to such person’s refusal to accept the property, the loss shall be borne by the person subjected to execution.
Article 230 In the course of execution, if certain formalities for the transfer of certificates of property right need to be gone through, the people’s court may issue a notice for assistance in execution to the relevant units, and they must comply with it.
Article 231 If the person subjected to execution fails to perform acts specified in a judgment or written order or any other legal document according to the execution notice, the people’s court may carry out compulsory execution or entrust the task to a relevant unit or other persons, and the person subjected to execution shall bear the expenses thus incurred.
Article 232 If the person subjected to execution fails to fulfil his obligations with respect to pecuniary payment within the period specified by a judgment or written order or any other legal document, he shall pay double interest on the debt for the belated payment. If the person subjected to execution fails to fulfil his other obligations within the period specified in the judgment or written order or any other legal document, he shall pay a charge for the dilatory fulfillment.
Article 233 After the adoption of the execution measures stipulated in Articles 221, 222 and 223 of this Law, if the person subjected to execution is still unable to repay the debts, he shall continue to fulfil his obligations. If the creditor finds that the person subjected to execution has any other property, he may at any time apply to the people’s court for execution.
Chapter XXIII Suspension and Termination of Execution
Article 234 The people’s court shall make a written order to suspend execution under any of the following circumstances:
(1) the applicant indicates that the execution may be postponed;
(2) an outsider raises an obviously reasonable objection to the object of the execution;
(3) a citizen as one of the parties dies and it is necessary to wait for the successor to inherit the rights of the deceased or to succeed to his obligations;
(4) a legal person or any other organization as one of the parties dissolves, and the party succeeding to its rights and obligations has not been determined; or
(5) other circumstances occur under which the people’s court deems the suspension of execution necessary.
Execution shall be resumed when the circumstances warranting the suspension of execution have disappeared.
Article 235 The people’s court shall make a written order to terminate execution under any of following circumstances:
(1) the applicant has withdrawn his application;
(2) the legal document on which the execution is based has been revoked;
(3) the citizen subjected to execution dies and there is no estate that may be subjected to execution, nor anyone to succeed to his obligations;
(4) the person entitled to claim alimony or support for elders or children dies;
(5) the citizen subjected to execution is too badly off to repay his debts, has no source of income and has lost his ability to work as well; or
(6) other circumstances occur under which the people’s court deems the termination of execution necessary.
Article 236 A written order to suspend or terminate execution shall become effective immediately after being served on the parties concerned.