Selected Cases from the Supreme People’s Court of the People’s Republic of China

As the highest judicial organ of the country, the Supreme People’s Court of the People’s Republic of China has adjudicated a great number of vital and focal cases each year, which has greatly exerted enormous influence on the rule of law in China and contributed Chinese judicial wisdom to the world. In order to give full play to the legal value and social functions of the Supreme People’s Court cases, to achieve the goal of serving the trial practices, serving economic and social development, serving legal education and legal scholarship, serving international legal exchanges among Chinese and foreign legal communities, and serving the rule of law in China, the China Applied Jurisprudence Institute, on approval of the Supreme People’s Court, has decided to organize the compilation of Selected Cases from the Supreme People’s Court of the People’s Republic of China in both Chinese and English languages since 2018 for domestic and overseas distribution.

Chapter 1:  Lianqi Development Co., Ltd. v. Shanghai Baoye Group Corp., Ltd., Sakai SIO International（Guangzhou）Co., Ltd. et al. (Appeal against Jurisdictional Objection in Dispute over Infringement of Patent for Invention): The Principle of “Two Conveniences” and the Mechanism of Leapfrog Appeal shall be Fully Considered when Confirming the Jurisdiction of Non-infringement and Infringement of Patent.- Chapter 2:  Shanxi Coal International Energy Group Jincheng Co., Ltd. v. China CITIC Bank Co., Ltd. Xi'an Branch, Shaanxi Petroleum & Chemical Corporation Co., Ltd. (Dispute over Contract): In a Confirming Warehouse Transaction Without Real Trade Background, the Real Legal Relationship Among the Buyer, Seller, and the Bank Shall be Found to be the Relationship of Loan and Guaranty Contract.- Chapter 3:  Xinjiang Longmei Energy Co. Ltd. v. Zheng X (Dispute over Equity Transfer Contract): Changed Circumstances Shall not Be Claimed to Rescind the Contract Concluded When a Party Clearly Knowing the Risk.- Chapter 4:  Ping An Bank Co., Ltd. Beijing Branch, and Beijing Gold Exchange Co., Ltd. et al v. Hainan Jinfenghuang Hotspring Resort Co., Ltd., Beijing Xinyupeng Mechanical & Electrical Engineering Co., Ltd. et al (Dispute over Loan Contract): The Effect of Issuing a Blank Guaranty Contract Stamped with the Official Seal, and the Issue That a Guaranty Provider May Be Exempted Within the Scope of the Pledge Waived by Its Pledgee.- Chapter 5: China Nonferrous Metal Industry's Construction Co., Ltd. v.  Hengfeng Bank Co., Ltd. Ningbo Branch and defendants in the first instance, Ningbo Zhong Ren Hong Electronics Co., Ltd. and Ningbo Gang Di Trade Co., Ltd. et al. (Disputes over the Issuing of Letter of Credit and the Right of Recourse) : Instruments Debtors Shall not Protest Against the Pledgee on the Ground of Protesting Against the Pledgor.- Chapter 6: Xinjiang Hua Cheng An Ju Real Estate Development Co., Ltd. v. China Railway Construction Bridge Engineering Bureau Group Co., Ltd. (Dispute over Contract for the Undertaking of Construction Projects): on Application of Good Faith Principle in Finding the Validity of Contract.- Chapter 7: LC Securities Co., Ltd. and Eastern Gold Jade Co., Ltd. v. Yunnan Xinglong Industry Co., Ltd. and Zhao X et al. (Dispute over a Suretyship Contract): The Scope of Security Liability Assumed by the Security Provider Shall be Limited to the Scope of the Principal Obligation.- Chapter 8:  Bank of DaLian Co., Ltd. v. Dalian Branch of China Railway Modern Logistics Technology Co., Ltd. and Jinzhou Zuoyuan Sugar Foods Co., Ltd. et al. (Dispute over a Loan Contract): Pledge in Movable Property May not be Created by Possession Reformulation.- Chapter 9:  Sichuan Zhongding Construction Engineering Co., Ltd. v. Zhu X and Natural Resources Bureau of Wulan County (Dispute over Contract for the Undertaking of Construction Projects): In a De Facto Juristic Relation, the Actual Builder May Claim Project Payments Directly with the Party Offering the Contract.- Chapter 10: Fujian Tinghu Real Estate Group Co., Ltd. v. Natural Resources Bureau of Xianyou County (Dispute over a Contract for Transfer of State-owned Construction Land Use Right): In Case of Breach of Contract due to Objective Reasons, the Liquidated Damages Clause Shall be Applied Primarily to Cover the Loss.- Chapter 11: Wang X V. Bazhou Sairui Machinery & Equipment Installation Co., Cao X(A) (Dispute over Change of Registration): The Claim of the Resigned Legal Representative for the Registration of the Change of the Legal Representative of Company Shall, Absent Other Remedies, Be Accepted by the Court.- Chapter 12: Peng X V. Chengdu Rural Commercial Bank Co., Ltd. Cuqiao Subbranch, Chen X, et al. (Dispute over Suretyship agreement): Impact on the Liability of Other Guarantors Involved of Creditor's Waiver in Mixed Security of Security in Rem as Provided by Debtor.- Chapter 13: Hubei YAS Commercial Chain Co., Ltd. V. Danyang Yongsheng Motor Transport Co., Ltd. (Dispute over Tort Liability): Criteria for the Determination of Erroneous Application for Property Preservation.- Chapter 14: Jiang X, Chen X, el al. V. Lin X, Weng X(A)., et al. (Dispute over Objection to the Enforcement of Judgment): Determination on the Time When the Seizure Ruling and the Notice of Assistance in Execution Take Effect.- Chapter 15: Huang X V. Xiamen Shuangrun Investment Management Co., Fenghe (China) Co. (the third party in the first instance), Hui'an County Rural Credit Cooperative (Dispute over the Objection by an Outsider to the Enforcement): The Requirements for the Valid Objection to the Execution by the Transferee of Equity.- Chapter 16: Guilin Zhangtai Industry Group Co., Ltd., Guangxi Lichengdong Investment Co., Ltd. et al (Enforcement Reconsideration of Dispute over Recovery of Financial Distressed Debt): Identification of Interest in Cases of Enforcement against Dispute over Recovery of Financial Distressed Debt.- Chapter 17: Zhou X v. Xiamen Baixiang Shouli E-Business Co., Ltd. (Dispute over Online Shopping Contract): Determination of the Basis for the Adjustment of Agreed Punitive Liquidated Damages. - Chapter 18: Yunnan Copper Co., Ltd. v. Kunming Wanbao Jiyuan Biotechnology Co., Ltd., Yunnan Zhongheng Innovation Investment Co., Ltd. etc (Dispute over Sale Contract): Identification of the Nature and Validity of Closed-loop Sale Contracts.- Chapter 19: Zhongkong Guorong New Energy Development Co., Ltd. v. Fuzhou Dade Industry Co., Ltd. (Dispute over Sale Contract): Determination and Application of Deposit-related Penalty Rules for Partial Performance of Contracts.- Chapter 20: Zhongrong Hengsheng Wood Industry Co., Ltd.（Beijing）v.  Crosplus (Shanghai) Co., Ltd. and Nanjing Mengyang Furniture Sales Center (Dispute over Copyright Infringement): Elements for Copyright Protection of Works of Applied Art.- Chapter 21: JDB (China) Co., Ltd. v. Guangzhou Wanglaoji Health Industry Co., Ltd. (Dispute over False Advertising): Identification of False Advertising.- Chapter 22: Shandong Bittel Intelligent Technology Co., Ltd (Bittel) v. Jiangsu Zhongxun Digital Electronics Co., Ltd. (Dispute over Tortious Liability for Damages Arising from Malicious Prosecution in Intellectual Property Litigation): Standard for Assessing the Subjective Fault in Disputes over Damages Arising from Malicious Prosecution in Intellectual Property Litigation.- Chapter 23: Lacoste Company Limited v. Cartelo Pty Ltd. and Trademark Review and Adjudication Board of State Administration for Industry and Commerce of the People’s Republic of China (Administrative Dispute over Trademark Disputes): Impact of Offshore Co-existence Agreements on Determining the Trademark Similarity.- Chapter 24: Xiamen Meetyou Co., Ltd. v. Beijing Kangzhilesi Network Technology Co., Ltd. and China National Intellectual Property Administration (Administrative Dispute over Request for Declaration of Trademark Invalidity): Whether theTrademark at Issue is the Sign “Not to be Used as Trademark” Falls within the Jurisdiction of People’s Court to Review the Administrative Act or Conduct in Affirming and Authorizing the Trademark.- Chapter 25: Xiao X v. Seno LED Co., Ltd. (Dispute over Infringement of Patent for Invention): The Role of Interpretations of the Recorded Technical Effect upon the Patent Claims and Impact on the Principle of Equivalence.- Chapter 26: Medacor (Tianjin) Technology Co., Ltd. v. Sunshine (Tianjin) Group Co., Ltd., and Defendants in the First Instance, Wang A, Zhang A, et al. (Dispute over Infringement of Trade Secrets): How to Determine whether the Customer List Constitutes the Trade Secrets.- Chapter 27: Ningbo Beworth Textile Machinery Co., Ltd. v. Ningbo Cixing Company Limited (Dispute over License Contract for Technological Secrets): Handling of Cases involved both Criminal and Civil Proceedings related to Trade Secrets.- Chapter 28: VMI Holland B.V. and Cooper (Kunshan) Tire Co., Ltd. v. Safe-run Co., Ltd. (Dispute over Confirmation of Patent Non-infringement): Prerequisites for Confirming Patent Non-infringement.- Chapter 29: Alfa Laval Corporate A B v. China National Intellectual Property Administration and SWEP International A B (the Third Party in the First Instance) (Administrative Dispute over Invalid Patent for Invention): Determination of Modification of Patent Claims beyond Scope in Invalidity Declaration Proceedings.- Chapter 30: Shimano v. Sensah Smart Sports Equipment Co., Ltd. (Dispute over Infringement of Patent for Invention): Determination of Protection Scope of Functional Features.- Chapter 31: Shenzhen Jiedian Technology Co., Ltd. v. Shenzhen Laidian Technology Co., Ltd. and Anker Innovations Technology Co., Ltd. (Dispute over Infringement of Patent for Utility Models): Classification and Identification Standards of Technical Features in Patent Claims.- Chapter 32: Wartsila Finland Oy and Spliethoff’s Bevrachtingskantoor B.V. v. Rongcheng Xixiakou Shipbuilding Co., Ltd. and Yingqin Engine (Shanghai) Co., Ltd. (Tort dispute over the sale and purchase of marine equipment): Mere interest in the performance of a contract does not in principle fall within the scope of application of the law of tort liability.- Chapter 33: Shanghai Salvage Company under the Ministry of Transport v. Provence Shipowner 2008-1 Ltd, CMA CGM SA, et. al (Dispute over salvage at sea and ship pollution damage liabilities): How to distinguish the costs of preventive measures and the costs of salvage measures, determine the subject avoiding liability in ship collision and oil spill pollution incidents, and identify restricted and unrestricted maritime compensation claims.- Chapter 34: Bank of China Limited, Henan Branch v. UBAF (Hong Kong) Ltd. (Dispute over independent guarantee): How to determine independent guarantee fraud by a prima facie complying demand due to abuse of claim for payment.- Chapter 35: Evergreen Marine (Singapore) Pte. Ltd. v. First Insurance Co Ltd and Evergreen Marine Pte. Ltd. as the Defendant in the First Instance (Dispute over a contract for the multimodal carriage of international goods): Multimodal transport operator’s liability and limits of indemnity are governed by the law regulating the mode of transport in which loss of or damage to goods occurs.- Chapter 36: Shandong Xianglong Industrial Group Co., Ltd. v. North Shipping Co., Ltd. and Jinyuan Shipping Ltd. (Dispute over contract for carriage of goods by sea): The charterer of the time-chartered vessel should generally be identified as the carrier if the master of a time-chartered vessel issued a bill of lading without the name of the carrier being specified.- Chapter 37: Ma X v. Guyuan Municipal People's Government of Ningxia Hui Autonomous Region, Guyuan Housing and Urban-Rural Development Bureau of Ningxia Hui Autonomous Region (Dispute over Administrative Approval and Administrative Ruling on House Demolition): Whether Two or More Administrative Acts in the Same Administrative Case Listed as the Sued Administrative Acts Meets the Legal Conditions for Prosecution.- Chapter 38: Hu X (A) v. People's Government of Jinyun County, Zhejiang Province, People's Government of Huzhen Town, Jinyun County (Dispute over Resettlement Compensation): Whether Women Married out of Town Should Be Resettled and Compensated Separately.- Chapter 39: Qi X v. Jiagedaqi District People's Government of Daxinganling Prefecture, Heilongjiang Province (Dispute over Housing Expropriation Compensation Agreement): Failure to Stipulate in the Administrative Agreement that the Overdue Performance of the Liability for Breach of Contract Cannot Be Reasons for the Administrative Organ not to Bear the Liability for Breach of Contract.- Chapter 40: Ma X v. The People’s Government of Dongxiang Autonomous County, Gansu Province and Bureau of Land and Resources of Dongxiang Autonomous County, Gansu Province (Dispute over Administrative Land Expropriation and Indemnification): The Court’s Right to Review the Plaintiff’s Subject Qualification should not Overstep the Administrative Agency’s Right to First Handling in Land Administrative Cases.- Chapter 41: Tian X v. Zhejiang Office of China Banking and Insurance Regulatory Commission and China Banking and Insurance Regulatory Commission (Dispute over Administrative Reconsideration): Determination of Regulatory Responsibilities of the Banking and Insurance Regulatory Office in Places where the Trust Company’s Business is located.- Chapter 42: Wang X, Wuhan Tianjiu Industry & Trade Development Co., Ltd. v. Ministry of Commerce of the People’s Republic of China (Dispute over Administrative Licensing): The Influence of Invalid Civil Contract on the Validity of Administrative License and the Weighing of Interests.- Chapter 43: Li X and Zhang X v. The People’s Government of Huimin County, Shandong Province (Dispute over Administrative Enforcement and Administrative Compensation): Determination of the Proper Defendant inCases of Forced Demolition without Responsible Legal Entity.- Chapter 44: Xiao X v. The People’s Government of Liaoyang City, Liaoning Province (Dispute over Administrative Reconsideration): Not Applying the Principle of Prohibiting Adverse Alteration When Both Parties with Opposite Interests Raise Objections to the Combination of Sentences and Paragraphs in Administrative Reconsideration.