Originally from International Arbitration Court Decisions - 3rd Edition

CHINA

JUDGMENTS ON JURISDICTION BY BEIJINGSECOND INTERMEDIATE PEOPLE’S COURT RENDERED ON 13 SEPTEMBER 2001 AND BEIJING HIGH PEOPLE’S COURT RENDERED ON 12 DECEMBER 2001

Subject Matter:
Jurisdiction—Whether a contract between a joint venture and one party to the joint venture, which has no arbitration clause, shall be subject to the arbitration clause of the joint venture contract.

Finding:
If a contract concluded between the joint venture and a party to the joint venture involves the change in rights and obligations of the investors of the joint venture, rather than an independent contract of debt, that contract is subject to the arbitration clause of the joint venture contract.

Parties:
Claimant: B company (People’s Republic of China)
Respondents: 1. JV company (People’s Republic of China)
2. HK company (People’s Republic of China)

Place of Court Proceedings:
Beijing, People’s Republic of China

Applicable Law:
The Law of the People’s Republic of China on Sino-foreign Equity Joint Ventures and other PRC regulations

Arbitration Rules:
CIETAC Rules