Refined legal services streamline border trade

Greater efficiency

In March, a tribunal dedicated to tackling foreign-related civil and commercial cases was established in the Urumqi area of the FTZ as a division of the city's Xinshi District People's Court.

Shortly after its establishment, the tribunal resolved a dispute between an Uzbekistani businessman and a Chinese counterpart in just 45 days through mediation.

In May 2023, the Uzbekistani businessman supplied steel wires worth 108,500 yuan to the Chinese businessman. However, upon delivery to Urumqi, the Chinese party claimed the goods were lost due to logistics issues and withheld payment. The Uzbekistani traveled to Urumqi to demand the money and received a commitment from the Chinese businessman to settle the debt by the end of March 2024.

Despite multiple payment requests, the Chinese businessman continued to delay, prompting the Uzbekistani to file a lawsuit with the district court in April.

"China and Uzbekistan are key partners in investment and trade, so we approached this case with the traditional Chinese cultural values of mutual trust and benefit," said Wang Zhidong, vice-president of the court.

Considering the differences in language, laws and business practices between China and Uzbekistan, Wang said the Urumqi tribunal implemented innovative measures within the legal framework to minimize business losses for both parties and accommodate the foreign entity.

For instance, it assigned staff proficient in the Uzbek language to eliminate language barriers and facilitated the Uzbekistani party's appointment of a Chinese lawyer via video link, saving time and travel expenses.

It verified the undisputed payment amount and reviewed the compensation claims made by the Uzbekistani party, ultimately reaching an agreement to reduce the claimed liquidated damages, Wang said.

He added that resolving the dispute through mediation and in a timely manner would help restore trust for future cooperation between the two businessmen.

"The prompt resolution of the issue without leaving the country highlights the efficiency and fairness of China's judicial system," the Uzbekistani party said in May after receiving the mediation agreement.

Halbuwi Rozi, the lawyer for the Uzbekistani businessman, said that the judicial process outpaced similar cases she had dealt with in the past. "These advancements have revolutionized transnational litigation, showcasing the unparalleled professionalism of our nation's judiciary in handling foreign-related cases and elevating our international judicial standing to new heights," she said.