(Oct. 26, 2018) On June 25, 2018, China’s highest court, the Supreme People’s Court (SPC), issued a judicial interpretation on the establishment of the China International Commercial Courts (CICCs). (Provisions of the Supreme People’s Court on Several Issues Regarding the Establishment of the International Commercial Court (Fa Shi [2018] No. 11, June 25, 2018, effective July 1, 2018) (Provisions), CICC website.) Taking effect on July 1, 2018, the Provisions prescribe jurisdiction and operation of the newly created international commercial courts.
The CICCs are created as tribunals of the SPC dedicated to handling prominent international commercial cases, particularly those with an amount in dispute of at least 300 million Chinese yuan (about US$43 million) when the parties have chosen the jurisdiction of the SPC in accordance with the Civil Procedure Law. (Id. arts 1 & 2.) CICC judgments are final and binding. (Id. art. 15.)
While the new courts are being created, the SPC is establishing an International Commercial Expert Committee (ICEC). (Id. art. 11.) The ICEC is tasked with providing foreign law texts and expert opinions on foreign laws to the CICCs. (Id. art. 8.) The Committee members may also mediate cases authorized by the CICCs if the litigant parties have agreed to this. (Id. art. 12.) A notable feature of such mediation is that, upon request of the parties, the CICCs may issue judgments in accordance with the mediation agreements. (Id. art. 13.)
Although judges on the CICCs are restricted to current SPC judges, who are all Chinese nationals, the ICEC is composed of experts who may not be judges or Chinese nationals. (SPC, The Decision on the Establishment of the International Commercial Expert Committee of the Supreme People’s Court (Aug. 24, 2018), CICC website.)
On June 29, 2018, the First and Second CICCs officially began operating in Shenzhen, Guangdong Province and in Xi’an, Shaanxi Province, respectively. (Luo Sha, Zhou Ke, Zuigao Renmin Fayuan Diyi, Di’er Guoji Shangshi Fating Zhengshi Kaishi Bangong [SPC First and Second International Commercial Courts Officially Begin Operating], XINHUA (June 29, 2018).)
On August 26, 2018, the ICEC was officially established, and the first group of 32 Chinese and foreign experts were appointed to the Committee. (CICC, Supreme People’s Court Establishes International Commercial Expert Committee, CICC website (Oct. 19, 2018).)