The amended Law of the People's Republic of China on the Protection of Consumer Rights and Interests has been in force for two years. Over that period, people’s courts across China have insisted on administering justice and enhancing judicial remedies, and have punished commercial fraud and production and sale of fake and shoddy goods. The amended law has solved consumers’ difficulties in filing a lawsuit and purified the market environment.
Thanks to courts’ nationwide application of the law in awarding punitive compensation for failing to meet product quality standards, upholding the reversal of the burden of proof, enforcing the right to return items without explanation within 7 days for online shopping and awarding compensation for psychological damage, all of which safeguard consumers’ rights and interests and maintain market order and social integrity, consumers’ awareness of their rights and the courts’ protection of them has greatly improved. Courts have seen a large increase of such cases, with a growing success rate.
An attachment to the Supreme People’s Court’s work report indicates that product liability cases increased by 116.52 percent in 2015. Similarly, Chinese courts have increased hearings of cases regarding production and sales of toxic or harmful food and drugs; 10,349 cases were concluded last year.
Last March, the SPC released ten typical cases relating to the protection of consumers’ rights and interests, which have set the guidelines in this area for courts across the country.
It also drafted a judicial interpretation on consumers’ civil public interests after abundant research and investigation last year. The draft has been approved by the court’s Judicial Committee and will be issued later.
After the Standing Committee of the National People's Congress decided to revise the Food Safety Law, the SPC launched a special survey on civil liability in food safety cases, which will be the foundation for a judicial interpretation document.
The SPC will spare no effort to guide and investigate cases concerning consumers’ rights protection, and in particular cases involving consumers’ civil public interests. The court will monitor protection of personal information, punitive compensation, and the reversal of the burden of proof. It will also focus on resolutions of disputes over online shopping, prepaid consumption, telecommunication services, and car sales; matters that consumers are greatly concerned about.
The amended Law of the People's Republic of China on the Protection of Consumer Rights and Interests has further protected consumers’ rights by introducing a public interest litigation system in the field for the first time.
On Nov 13, 2015, the Shanghai No 1 Intermediate People’s Court ruled that the Shanghai Consumer Protection Committee’s appeal against Tianjin Samsung Communication Technology Co and Guangdong OPPO Mobile Telecommunications Co could be withdrawn. It was China’s first consumers’ civil public interest litigation case since the amended law became effective on March 15, 2014.