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CCPIT Sichuan Council held the “Covid-19 Force Majeure Evidence of Effectiveness and Contract Dispute Resolution Salon”

Source:Department of Legal Affairs     Time:2020-06-19

On June 18, 2020, CCPIT Sichuan Council held the “Covid-19 Force Majeure Evidence of Effectiveness and Contract Dispute Resolution Salon” in Chengdu. The event was co-hosted by the China International Economic and Trade Arbitration Commission (CIETAC) Sichuan Sub-Commision and the Sichuan Mediation Center of CCPIT. Keynote speech and Q&A on site were made by arbitrator from CIETAC . The Executives, legal leaders of 17 export-oriented enterprises, and the representatives of five business associations and legal institutions attended the event. Mrs. Huang Li, President of CCPIT Sichuan Council delivered speech during the Salon.



Mrs. Huang Li (middle) delivers speech on the Salon


The scene of Salon

President Huang Li introduced the measures taken by the CCPIT Sichuan Council to serve enterprises in market protection, rights protection and development since the outbreak of Covid-19. Especially for the actual difficulties in delaying or failing to perform contracts in trade, transportation and project, CCPIT Sichuan Council provided free factual certificates of the Covid-19 for enterprises, which were generally praised by enterprises. Up to now, 86 factual certificates have been issued for 46 companies, involving a contract value of approximately US$1.23 billion. The salon was held to further understand the effect of these factual certificates, as well as other Execution needs of overseas contract project  affected by the epidemic. She hopes that the participating companies will take precautions, practice their internal skills, and enhance their survivability, defense against risks and development capabilities. She said that the CCPIT Sichuan Council will give full play to its functional advantages and continue to provide enterprises with services of external liaison, market development, commercial law and policy advisory to help enterprises overcome difficulties.



Remars from Enterprises' Representatives


Explainations by Arbitrators

Mr. Yin Minglun, the arbitrator from CIETAC, gave a keynote speech on the legal issues related to the force majeure of the Covid-19. Combined with his own arbitration practice, he thoroughly explained to all participants about the definition of force majeure, the application of laws and the legal problems encountered by foreign-related enterprises during the epidemic. Enterprises representatives said that through the factual certificates, their foreign customers agreed to delay the delivery of goods, reduce or waive the liquidated damages, thus the project could be postponed, avoiding greater losses to enterprises by the epidemic. They also shared the experience of signing the force majeure clause in the contract, and came up with some questions such as how to prevent foreign customers from abusing the force majeure clause and how to applying the force majeure clause under such a severe situation. 3 arbitrators of CIETAC answered these questions respectively.


Mrs. Huang Li (No.1 left) listens to report from Mr. Wang Ruishen (No.2 left), Secretary General of CIETAC


Mrs. Huang Li (Middle) and Mr. Wang Zhimin ( No.2 left) took group photo with personnel from CIETAC

Before the salon, Mrs. Huang Li listened to the work report of  CIETAC Sub-Mission.

Mr. Wang Zhimin, Vice President of CCPIT Sichuan Council accompanied the event.

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