Chongqing - The cooperation in the judicial field between Sichuan and Chongqing has once again been strengthened by co-building a more integrated economic circle.

The Chongqing Liangjiang New Area People’s Court, also known as the Chongqing Pilot Free Trade Zone People’s Court, and the Sichuan Tianfu New Area People’s Court, also known as the Sichuan Pilot Free Trade Zone People’s Court, recently signed a new agreement to strengthen case trials in international trade, foreign investment, and logistics channels.

In 2020, free trade zone courts in Chongqing and Sichuan signed an agreement to promote the linkage and cooperation of the two places’ judicial mechanisms. The recently signed agreement further refines the field of foreign-related commercial affairs.

The agreement specifies that both free trade zone courts will enhance cooperation to serve and guarantee the construction of the New International Land-Sea Trade Corridor (ILSTC). This will be achieved by optimizing the mechanism for legal verification and application of laws in relevant countries, as well as enhancing the effectiveness of the one-stop dispute resolution mechanism for foreign-related commercial affairs.

With the increasing level of global integration in the Chengdu-Chongqing region and the deepening of the international economy and trade, foreign-related commercial disputes in this region are becoming increasingly common.

Since its establishment in December 2018, the Chongqing Pilot Free Trade Zone People’s Court has handled 936 foreign-related commercial disputes in international trade, foreign investment, and channel logistics. The cases covered 53 countries and regions, such as Russia, India, and Thailand, with import and export products, including electronic products and mechanical equipment components.

One-stop litigation services for international commercial disputes

Chongqing’s free trade zone court has innovated in the field of foreign-related commercial affairs, winning the “Best Practice Case” award issued by the State Council of China. The court has introduced a one-stop multi-dimensional dispute resolution mechanism, which allows domestic and foreign arbitrators and mediators from other institutions to participate in dispute resolution, jointly establishing a business dispute resolution platform. This guarantees the parties’ right to choose diversified dispute resolution methods, disposal procedures, and substantive rights, according to Jia Ke, the vice president of the Chongqing Pilot Free Trade Zone People’s Court.

Jia Ke said that this mechanism helps to explore establishing a transfer and connection mechanism for litigation, arbitration, and mediation fees to simplify procedures and provide the parties with three-dimensional and intensive “one-stop” litigation services.

The Chongqing Pilot Free Trade Zone People’s Court has made judgments on some first-time international commercial disputes, laying a foundation for the future handling of related trade cases. For example, in a property rights dispute case brought by the holder of a railway bill of lading in 2020, the court ruled that the plaintiff enjoyed ownership of the goods under the railway bill of lading.

This case arose from the concept of a “railway bill of lading” proposed by the National Development and Reform Commission in 2019, belonging to the new practice. The Chongqing High People’s Court later proposed the legal opinion on this dispute during the UN Commission on International Trade Law’s consultation on the issue of railway bills of lading, which legal experts made available for reference worldwide.

The Chongqing Pilot Free Trade Zone People’s Court is the first court in western China to launch an English website. The website provides convenient litigation handbooks, such as the registration of cases and jurisdiction, as well as English templates for legal documents such as complaints, appeals, and preservation applications. The court also regularly publishes English articles on court work dynamics and typical judicial cases.