On November 18, 2024, the Supreme People's Court of China and the Supreme People's Procuratorate of China jointly issued an interpretation on the application of criminal law in cases of refusal to enforce judgments and rulings. The document, titled "Interpretation on Several Issues Regarding the Application of Criminal Law in Cases of Refusal to Enforce Judgments and Rulings" (Legal Explanation [2024] No. 13), will come into effect on December 1, 2024.

The goal of this new regulation is to strengthen the punishment of the crime of refusal to execute judgments, which has been a significant issue affecting public trust in the judicial system. This interpretation is designed to protect the legitimate rights of victorious parties, safeguard judicial authority, and enhance public confidence in the legal system.

The interpretation consists of sixteen articles, with key provisions outlined as follows:

1. Clarification of "Refusal to Execute Despite Ability"
The interpretation clarifies situations where a party refuses to execute a judgment or ruling despite having the ability to do so, particularly in cases where the refusal is deemed "serious." Building on the National People's Congress Standing Committee’s explanation of Article 313 of the Criminal Law, the new interpretation lists ten scenarios that qualify as "serious," including maliciously transferring property rights, extending debt deadlines to delay execution, or engaging in fraudulent activities to obstruct enforcement. Other serious behaviors include obstructing enforcement officials from entering the site by intimidation, insults, or threats, and continuing to refuse compliance even after coercive measures like fines or detention are imposed.

2. Clarification of "Particularly Serious" Cases
The interpretation defines five key scenarios where refusal to execute is deemed "particularly serious." These include obstruction of execution through fraudulent litigation, arbitration, or notarization; organizing crowds to disrupt enforcement proceedings; using violence to attack enforcement personnel; causing extreme harm to the applicant, such as leading them to suicide or self-harm; and other particularly severe situations.

3. Punishment for Concealing or Transferring Assets Before Judgment Becomes Final
The interpretation specifies that hiding or transferring assets before a judgment or ruling has become final can be considered a criminal offense of refusal to execute the judgment. If these actions are discovered after the judgment is finalized, the party can be held criminally liable for refusal to enforce.

4. Liability for Third Parties Assisting in Asset Concealment or Transfer
The interpretation also holds third parties criminally responsible if they assist a party in concealing or transferring assets to avoid execution of a judgment. This applies when a third party knowingly collaborates with the party obligated to enforce the judgment to obstruct execution.

5. Mitigating and Aggravating Factors
The interpretation outlines factors that may influence sentencing. For instance, refusal to pay essential expenses, such as alimony or medical fees, will result in a harsher penalty. Conversely, if a party fulfills their obligations before prosecution, or the crime is considered minor, they may be subject to leniency or even exemption from prosecution.

6. Asset Recovery and Compensation
The interpretation provides for the recovery of assets that have been illegally disposed of, including those intentionally destroyed, transferred at an unreasonably low price, or falsely transferred. Prosecutors are required to assess the situation and make recommendations regarding the handling of such assets, while the court is tasked with making a final decision on asset disposal.

Moving forward, the Supreme People's Court and the Supreme People's Procuratorate will enhance guidance for lower courts, ensuring strict enforcement of the relevant laws and judicial interpretations. They are committed to accurately handling cases of refusal to execute judgments and ensuring that the rights of the people are protected.


The following is the full translation text of the  interpretation.

(Issued by the Supreme People's Court and the Supreme People's Procuratorate on January 8, 2024, and approved at the 1911th meeting of the Supreme People's Court’s Judicial Committee and the 34th meeting of the 14th Judicial Committee of the Supreme People's Procuratorate on July 23, 2024, to take effect on December 1, 2024)

In order to punish the crime of refusal to execute judgments and rulings in accordance with the law, ensure the enforcement of the judgments and rulings of the people's courts, and safeguard the legitimate rights and interests of the parties, the following interpretation is made based on the Criminal Law of the People's Republic of China, the Criminal Procedure Law of the People's Republic of China, the Civil Procedure Law of the People's Republic of China, the Administrative Procedure Law of the People's Republic of China, and other relevant legal provisions:

---

Article 1

Anyone who is obligated to execute a judgment or ruling, including a person subject to execution, a person assisting in execution, or a guarantor, and who refuses to execute a judgment or ruling issued by a people's court while having the ability to do so, and the circumstances are serious, shall be punished for the crime of refusal to execute a judgment or ruling under Article 313 of the Criminal Law.
For the purposes of this interpretation, “persons obligated to execute” includes both individuals and legal entities.

Article 2

The term “judgment or ruling of a people's court” in Article 313 of the Criminal Law refers to a judgment or ruling that contains enforceable provisions and has legal effect, as made by a people's court in accordance with the law. This includes rulings made by the people's court to enforce payment orders, effective mediation agreements, arbitration awards, notarial debt documents, and other enforceable decisions.

Article 3

If a person obligated to execute a judgment or ruling has the ability to execute but refuses to do so, and any of the following circumstances apply, it should be considered as the “other serious circumstances” referred to in the interpretation by the Standing Committee of the National People's Congress regarding Article 313 of the Criminal Law:
1. Disposing of assets maliciously or gratuitously, such as giving up a debt, giving up a security interest, or maliciously extending the deadline for the performance of a debt, or disposing of assets through false reconciliation, false transfer, etc., resulting in the inability to execute the judgment or ruling.
2. Engaging in obviously unreasonable transactions, such as purchasing someone else's property at an unreasonably high price or providing guarantees for others’ debts, resulting in a reduction of assets available for execution.
3. Forging, destroying, or concealing important evidence regarding the ability to execute, or obstructing others from testifying by force, threat, or bribery, which prevents the people's court from ascertaining the assets of the person obligated to execute, resulting in the inability to execute the judgment or ruling.
4. Refusing to report or falsely reporting financial circumstances, violating a consumption restriction order issued by the people's court, or refusing to execute despite coercive measures such as fines or detention.
5. Refusing to deliver property, documents, or other items specified by the court or to vacate premises or land after coercive measures such as fines or detention have been imposed, making execution impossible.
6. Refusing to assist in the exercise of personal rights despite coercive measures, resulting in serious circumstances where the judgment or ruling cannot be executed.
7. Violating a protection order or prohibition on certain occupations after coercive measures have been imposed, and causing harm to the victim or serious disruption to their normal life.
8. Using threats, insults, or violent resistance, such as gathering a crowd to obstruct execution personnel from entering the site, resulting in the inability to execute.
9. Destroying or seizing materials related to the execution, or damaging other execution tools, vehicles, uniforms, or documents, making execution impossible.
10. Other serious circumstances where the person obligated to execute refuses to comply.

Article 4

If a person obligated to execute has the ability to execute but refuses to do so, and any of the following circumstances apply, it should be considered as “particularly serious”:
1. Engaging in fraudulent litigation, fraudulent arbitration, fraudulent notarization, or other fraudulent actions to obstruct execution, making it impossible to enforce the judgment or ruling.
2. Inciting or organizing others to violently obstruct execution on-site, preventing the execution from proceeding.
3. Using violence such as assault, or attacking execution personnel through methods like siege, detention, or beating, preventing execution from proceeding.
4. Causing severe consequences such as suicide, self-harm, or other serious harm to the applicant for enforcement due to refusal to execute.
5. Other particularly serious circumstances.

Article 5

The term "ability to execute" refers to the capacity of the person obligated to execute to fully or partially perform the financial obligations or specific behaviors required by the judgment or ruling.
When determining the ability to execute, the necessary living expenses of the person obligated to execute and their dependents should be deducted.

Article 6

If a person tries to evade execution obligations by hiding or transferring assets after the lawsuit has started or after receiving the court's notice, and this is verified after the judgment or ruling has taken effect, and the person still refuses to execute the judgment or ruling, this can be considered as having the ability to execute but refusing to do so, and they will be subject to criminal liability under the crime of refusal to execute a judgment or ruling.
For the purposes of this provision, the "start of a lawsuit" refers to when the defendant receives the court’s notice to respond to the lawsuit.

Article 7

The term “making execution impossible” in the interpretation by the Standing Committee of the National People's Congress on Article 313 of the Criminal Law and this interpretation generally refers to situations where enforcement measures taken by the people's court according to law still fail to execute the judgment or ruling. This includes both situations where the judgment or ruling cannot be executed at all and those where only part of the judgment or ruling cannot be executed.

Article 8

If a third party knows that the person obligated to execute has the ability to execute but refuses to do so, and conspires with that person to hide or transfer assets to obstruct execution, making the judgment or ruling impossible to execute, they will be treated as an accomplice to the crime of refusal to execute a judgment or ruling.

Article 9

If the person obligated to execute refuses to execute a judgment or ruling and this constitutes the crime of refusal to execute a judgment or ruling, along with other crimes such as obstructing official duties, assaulting police officers, illegally disposing of sealed or confiscated assets, etc., they shall be convicted and sentenced according to the most serious crime.

Article 10

If a person refuses to execute judgments or rulings related to alimony, support, maintenance, pension, medical expenses, wages, etc., and this constitutes a crime, they will be subject to a stricter penalty.

Article 11

If the circumstances of refusal to execute a judgment or ruling are minor and do not pose significant harm, it is not considered a crime. If the person fulfills all or part of the execution obligations before the public prosecution is filed and the circumstances are light, prosecution may be waived. If all or part of the obligations are fulfilled before the first-instance judgment is pronounced and the circumstances are light, the punishment may be reduced or waived.

Article 12

When a person commits the crime of refusal to execute a judgment or ruling under Article 313 of the Criminal Law, any property they have illegally disposed of through destruction, gratuitous disposal, unreasonably low-price transfers, or false transfer must be confiscated or ordered to be returned to the enforcement court for disposal.

Article 13

The people's procuratorates should examine the assets involved in the case in conjunction with the investigation and prosecution, and when filing a public prosecution, they should provide clear opinions on how the assets should be handled. The people's court should make a judgment and handle the assets in accordance with the law.

Article 14

If the applicant for enforcement has evidence proving that both of the following conditions apply, and the people's court considers it appropriate to file a self-prosecution case under Article 210, Item 3 of the Criminal Procedure Law, the case should be handled as a private prosecution:
1. The person obligated to execute has refused to execute the judgment or ruling, infringing upon the personal or property rights of the applicant for enforcement, and criminal responsibility should be pursued.
2. The applicant for enforcement has previously lodged a complaint, but the public security organ or the people's procuratorate did not pursue criminal responsibility for the person obligated to execute.
Before the judgment is announced, the private prosecutor may settle or withdraw the case.

Article 15

Criminal cases involving refusal to execute a judgment or ruling are generally under the jurisdiction of the people's court where the enforcement court is located.

Article 16

This interpretation will take effect on December 1, 2024. The previous interpretation by the Supreme People's Court on the same issue (Fa Shi [2015] No. 16) is hereby repealed. Any judicial interpretations or normative documents issued by the Supreme People's Court and the Supreme People's Procuratorate that conflict with this interpretation should be regarded as superseded by this interpretation.
 

Disclaimer: 
The content of this article is for informational purposes only and should not be construed as legal advice. While every effort has been made to ensure the accuracy and completeness of the information, laws and regulations may change over time, and the application of the law can vary based on individual circumstances. Readers are advised to consult with a qualified legal professional for advice specific to their situation or jurisdiction. The author and publisher disclaim any responsibility for any actions taken based on the information provided in this article.