Interpretation on Several Issues Concerning the Application of the «PRC Foreign Investment Law»
关于适用〈中华人民共和国外商投资法〉若干问题的解释
Supreme People's Court allows flexibility in foreign investment contract disputes
(Promulgated by the Supreme People's Court on December 26, 2019 and effective as of January 1, 2020.)
（最高人民法院于二零一九年十二月二十六日公布，自二零二零年一月一日起施行。）
SPC Interpretation [2019] No.20
法释〔2019〕20号
With a view to correctly applying the PRC Foreign Investment Law, protecting the lawful rights and interests of Chinese and foreign investors equally in accordance with the law and creating a law-based business environment that is stable, fair and transparent, we have, in light of adjudication practice, rendered the following interpretation on issues of the application of the law in trials by people's courts of investment contract disputes between equal subjects.
为正确适用《中华人民共和国外商投资法》，依法平等保护中外投资者合法权益，营造稳定、公平、透明的法治化营商环境，结合审判实践，就人民法院审理平等主体之间的投资合同纠纷案件适用法律问题作出如下解释。
Article 1: For the purposes of the Interpretation, the term "investment contract" means the relevant agreement arising when a foreign investor, i.e. a foreign natural person, enterprise or other organization, directly or indirectly invests in China, including a contract for the establishment of a foreign-invested enterprise, share transfer contract, equity transfer contract, contract for the transfer of a share in property or other similar rights and interests and contract for the construction of a new project.
第一条 本解释所称投资合同，是指外国投资者即外国的自然人、企业或者其他组织因直接或者间接在中国境内进行投资而形成的相关协议，包括设立外商投资企业合同、股份转让合同、股权转让合同、财产份额或者其他类似权益转让合同、新建项目合同等协议。
The Interpretation shall apply to contractual disputes arising in connection with rights and interests secured by a foreign investor through means such as a gift, property division, corporate merger or corporate division.
外国投资者因赠与、财产分割、企业合并、企业分立等方式取得相应权益所产生的合同纠纷，适用本解释。
Article 2: If a party claims that an investment contract arising in a sector not covered by the negative list for foreign investment access specified in Article 4 of the Foreign Investment Law is invalid or did not enter into effect on the grounds that it was not approved by, or registered with, the relevant competent administrative department, the people's court shall reject such claim.
第二条 对外商投资法第四条所指的外商投资准入负面清单之外的领域形成的投资合同，当事人以合同未经有关行政主管部门批准、登记为由主张合同无效或者未生效的，人民法院不予支持。
If an investment contract as specified in the preceding paragraph was executed prior to the implementation of the Foreign Investment Law but the people's court had not rendered an effective judgment or ruling at the time of the implementation of the Foreign Investment Law, the validity of the contract shall be determined by applying the preceding paragraph,
前款规定的投资合同签订于外商投资法施行前，但人民法院在外商投资法施行时尚未作出生效裁判的，适用前款规定认定合同的效力。
Article 3: If a foreign investor invests in a sector in which investment is prohibited by the negative list for foreign investment access and a party claims that the investment contract is invalid, the people's court shall uphold such claim.
第三条 外国投资者投资外商投资准入负面清单规定禁止投资的领域，当事人主张投资合同无效的，人民法院应予支持。
Article 4: If a foreign investor invests in a sector in which investment is restricted by the negative list for foreign investment access and a party claims that the investment contract is invalid on the grounds that it violates the special administrative measures that restrict access, the people's court shall uphold such claim.
第四条 外国投资者投资外商投资准入负面清单规定限制投资的领域，当事人以违反限制性准入特别管理措施为由，主张投资合同无效的，人民法院应予支持。
If the concerned party takes the necessary measures to satisfy the requirements of the special administrative measures for access before the people's court renders an effective judgment or ruling and a party claims that the investment contract specified in the preceding paragraph is valid, such claim shall be upheld.
人民法院作出生效裁判前，当事人采取必要措施满足准入特别管理措施的要求，当事人主张前款规定的投资合同有效的，应予支持。
Article 5: If the negative list for foreign investment access is revised before an effective judgment or ruling is rendered such that the sector invested in by a foreign investor is no longer prohibited or restricted and a party claims that the investment contract is valid, the people's court shall uphold such claim.
第五条 在生效裁判作出前，因外商投资准入负面清单调整，外国投资者投资不再属于禁止或者限制投资的领域，当事人主张投资合同有效的，人民法院应予支持。
Article 6: When a people's court tries a relevant dispute arising from an investment in mainland China by an investor from the Hong Kong Special Administrative Region or Macao Special Administrative Region, by a Chinese citizen who has taken up permanent residence abroad or by an investor from Taiwan, it may apply the Interpretation mutatis mutandis.
第六条 人民法院审理香港特别行政区、澳门特别行政区投资者、定居在国外的中国公民在内地、台湾地区投资者在大陆投资产生的相关纠纷案件，可以参照适用本解释。
Article 7: The Interpretation shall be effective as of January 1, 2020.
第七条 本解释自2020年1月1日起施行。
In the event of a discrepancy between the Interpretation and a relevant judicial interpretation rendered by this court prior to the implementation hereof, the Interpretation shall prevail.
clp reference: 2300/19.12.26 promulgated: 2019-12-26 effective: 2020-01-01本解释施行前本院作出的有关司法解释与本解释不一致的，以本解释为准。
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