Foreign Arbitral Award Enforcement Rules in China Courts
Foreign arbitral award enforcement in China relies on the Supreme People Court prior reporting system to limit local rejections and secure asset attachments.
PRC Civil Procedure Law Article 290
Meaning
Statutory provision within the national civil code governs the recognition and enforcement of foreign judicial judgments within the local jurisdiction. Under prc civil procedure law article 290, a domestic court evaluates a foreign ruling based on international treaties or the principle of reciprocity. This article establishes the fundamental gateway through which external court orders enter the local judicial system.
Formal Review
Judges examine whether the foreign judgment violates the basic principles of Chinese law or national sovereignty. The court does not re-examine the merits of the case but checks for procedural fairness and finality. This review process ensures that the judgment was obtained through a process that respects the rights of the respondent.
Treaty Foundation
Application of this rule is most effective when a bilateral judicial assistance treaty exists between China and the country where the judgment was rendered. In the absence of a treaty, the petitioner must demonstrate that the foreign court has previously recognized a Chinese judgment.
Jurisdictional Limit
Petitions must be filed with the intermediate people’s court where the respondent has a domicile or where the relevant property is situated. This local court holds the exclusive power to issue an enforcement order that allows for the seizure of assets.