DECISION OF THE GOVERNMENT ADMINISTRATION COUNCIL OF THE CENTRALPEOPLE'S GOVERNMENT CONCERNING THE ESTABLISHMENT OF A FOREIGN TRADEARBITRATION COMMISSION WITHIN THE CHINA COUNCIL FOR THE PROMOTION OFINTERNATIONAL TRADE

DECISION OF THE GOVERNMENT ADMINISTRATION COUNCIL OF THE CENTRALPEOPLE'S GOVERNMENT CONCERNING THE ESTABLISHMENT OF A FOREIGN TRADEARBITRATION COMMISSION WITHIN THE CHINA COUNCIL FOR THE PROMOTION OFINTERNATIONAL TRADE Important Notice: This English document is coming from the "LAWS AND REGULATIONS OF THE PEOPLE'S REPUBLIC OF CHINA GOVERNING FOREIGN-RELATED MATTERS" (1991.7) which is compiled by the Brueau of Legislative Affairs of the State Council of the People's Republic of China, and is published by the China Legal System Publishing House.

In case of discrepancy, the original version in Chinese shall prevail.

Whole Document DECISION OF THE GOVERNMENT ADMINISTRATION COUNCIL OF THE CENTRAL PEOPLE'S GOVERNMENT CONCERNING THE ESTABLISHMENT OF A FOREIGN TRADE ARBITRATION COMMISSION WITHIN THE CHINA COUNCIL FOR THE PROMOTION OF INTERNATIONAL TRADE (Adopted at the 215th Executive Meeting of the Government Admini- stration Council on May 6, 1954) With a view to settling by way of arbitration disputes that may arise in the conduct of foreign trade, it is necessary to set up an arbitral body within a social organization relating to foreign trade. It is hereby decided as follows: 1. There shall be established, within the China Council for the Promotion of International Trade, a Foreign Trade Arbitration Commission (hereinafter referred to as the Arbitration Commission) to settle disputes that may arise in contracts and transactions in foreign trade, particularly those between foreign firms, companies or other economic organizations on the one hand and Chinese firms, companies or other economic organizations on the other.

2. The Arbitration Commission shall take cognizance of disputes in foreign trade on the basis of the relevant contracts, agreements and/or other documents concluded between the disputing parties.

3. The Arbitration Commission shall be composed of 15 to 21 members to be selected and appointed by the China Council for the Promotion of International Trade for a term of one year from among persons having the required expertise and experience in foreign trade, commerce, industry, agriculture, transportation, insurance and other related fields as well as in law.

4. The Arbitration Commission shall elect a Chairman and two Vice-Chairmen from among its members.

5. When a case of dispute is submitted for arbitration, the disputing parties shall each choose an arbitrator from among the members of the Arbitration Commission. The arbitrators so chosen shall jointly select a presiding arbitrator from among the members of the Arbitration Commission to hear the case jointly with the arbitrators. The disputing parties may also jointly choose a sole arbitrator from among the members of the Arbitration Commission to hear the case alone.

The disputing parties shall choose the arbitrators within the time fixed by the Arbitration Commission or agreed upon between the parties, and the arbitrators so chosen shall also select the presiding arbitrator within the time fixed by the Arbitration Commission. If one of the parties fails to choose an arbitrator within the prescribed time limit, the Chairman of the Arbitration Commission shall, upon the request of the other party, appoint the arbitrator on the former's behalf. In case the arbitrators so chosen or appointed cannot agree upon the choice of the presiding arbitrator within the prescribed time limit, the Chairman of the Arbitration Commission may appoint a presiding arbitrator for them.

6. Either of the parties in dispute may entrust the Arbitration Commission to choose for him an arbitrator who shall, jointly with the arbitrator chosen by the other party, select a presiding arbitrator to hear the disputed case. If, by mutual agreement, both parties jointly delegate the choice of arbitrators to the Arbitration Commission, the Chairman of the Arbitration Commission may appoint a sole arbitrator to hear the case alone.

7. The disputing parties may authorize attorneys to defend their interests during the hearings of a case before the Arbitration Commission.

Such attorneys may be citizens of the People's Republic of China or foreign citizens.

8. During the hearings of a case, the Arbitration Commission may, for the purpose of safeguarding the interests of the disputing parties, prescribe provisional measures concerning the parties' materials, property rights, etc.

9. To compensate for the costs of arbitration, the Arbitration Commission may collect arbitration fee not exceeding one per cent of the amount in dispute.

10. The award handed down by the Arbitration Commission is final and neither party shall bring an appeal for revision before a court or any other organ.

11. The award of the Arbitration Commission shall be executed by the parties of their own accord within the time fixed by the award. In case an award is not executed after the expiration of the fixed time, a people's court of the People's Republic of China shall, upon the request of one of the parties, enforce it in accordance with the law.

12. Arbitration rules shall be formulated by the China Council for the Promotion of International Trade.

Note: According to the Notice of the State Council circulated on February 26, 1980, the Foreign Trade Arbitration Commission was renamed as the Foreign Economic and Trade Arbitration Commission and new provisions were formulated concerning the scope of cases to be taken cognizance of by the Commission. On June 21, 1988, the State Council further renamed the Foreign Economic and Trade Arbitration Commission as the China International Economic and Trade Arbitration Commission and approved the amendments of its arbitration rules - The Editor.