Interpretation on Several Issues Concerning the Application of the System on the Limitation of Actions in the «PRC General Provisions of the Civil Law»

(Promulgated by the Supreme People's Court on July 18, 2018 and effective as of July 23, 2018.)

SPC Interpretation [2018] No.12

The Interpretation has been formulated in light of adjudication practice in order to correctly apply the provisions of the PRC General Provisions of the Civil Law (the General Provisions) on the system on the limitation of actions and protect the lawful rights and interests of concerned parties.

Article 1:   Where a period of limitation of actions has commenced to count after the implementation of the General Provisions, the provision on the three-year period of limitation of actions of Article 188 of the General Provisions shall apply. Where a party asserts that the provision on the two-year or one-year period of limitation of actions of the General Principles of the Civil Law be applied, the people's court shall reject such assertion.

Article 2:   If, on the implementation date of the General Provisions, a two-year or one-year period of limitation of actions as specified in the General Principles of the Civil Law had not expired and a party asserts that the provision on the three-year period of limitation of actions specified in the General Provisions be applied, the people's court shall uphold such assertion.

Article 3:   If a two-year or one-year period of limitation of actions as specified in the General Principles of the Civil Law had expired prior to the implementation of the General Provisions and a party asserts that the provision on the three-year period of limitation of actions of the General Provisions be applied, the people's court shall reject such assertion.

Article 4:   If, on the implementation date of the General Provisions, the reason for the tolling of a limitation of actions had not been extinguished, the provisions of the General Provisions on the tolling of the limitation of actions shall apply.

Article 5:   The Interpretation shall be effective as of July 23, 2018.

If a case is still at the first instance or appeal stage after the implementation hereof, the Interpretation shall apply thereto. If a case was final before the implementation hereof and a party applies for retrial or a decision for retrial is rendered through the adjudication supervision procedure, the Interpretation shall not apply thereto.