Special operation helps solve enterprise disputes

Authorities in China have initiated a special operation to help efficiently solve disputes involving enterprises through administrative reconsideration, so as to safeguard the legitimate rights and interests of businesses.

The operation with 18 measures, which was jointly launched by the Ministry of Justice, the National Development and Reform Commission, and the All-China Federation of Industry and Commerce, will last to the end of this year to support high-quality development of enterprises.

Administrative reconsideration refers to the process where an individual or institute believes that actions of an administrative body infringe upon their lawful rights, and submits a request to administrative authorities to review the legality and appropriateness of those actions.

Under the operation, the Ministry of Justice will open a special channel for handling administrative reconsideration applications from enterprises on a national online platform, with invitation of the industry and commerce federations and chambers of commerce to help solve enterprises' disputes or problems through mediation or reconciliation.

Additionally, the supervision on enterprise-related law enforcement of government departments will be strengthened, the ministry said.

For instance, cases where companies contest fines will be resolved in line with the law, and problems such as imposing heavy penalties for minor mistakes, replaying management with punishment and increasing penalties for government revenue, will also be corrected, it said.

If finding similar problems of administrations in the law enforcement related to enterprises, the authorities should promptly issue opinions to regulate the handling of such administrative reconsideration cases, it added.

Zhou Yuansheng, head of the ministry's Bureau of Administrative Reconsideration and Response, said that administrative reconsideration is not only to supervise government departments to correct their flaws or mistakes in work, but also to resolve administrative disputes. It is an important channel to safeguard the legitimate rights and interests of the people and enterprises, as well as a measure to promote the rule of law and optimize the legal and business environment.

Focusing on efficiency, the time to deal with cases through administrative reconsideration is short, he said. In general, a case can be concluded in this way within 60 days, and if a simplified procedure is applied, the case can be done in 30 days.

Residents have become more satisfied with administrative reconsideration, indicating that its emerging primary role in resolving administrative disputes, he added.

Data released by the Ministry of Justice showed that the country received 385,000 cases of administrative reconsideration in 2023, up 42.7 percent year-on-year, of which, 352,000 have been concluded. After administrative reconsideration, 270,000 cases of the total did not proceed to litigation.