Permanent Forum of China Construction Law Third Member’s Meeting Report

2018-11-08

On October 13, 2018, the Permanent Forum of China Construction Law (“PFCCL” or “Permanent Forum”) successfully held its Third Member’s Meeting (the “Meeting”) in Shijiazhuang.

The morning session of the meeting was presided over by Ms. Fan Qijuan.

Mr. Xiao Lei, Deputy Director and Secretary-General of Shijiazhuang Arbitration Commission (SAC), the rotating chair organization, delivered the welcome speech. On behalf of SAC, Mr. Xiao expressed his warm greetings to the Chairs, Secretary-General, and Members and Observers, and Working Group (“WG”) Members on their arrival in Shijiazhuang, and also wonderful wishes for the future development of PFCCL. He emphasized that SAC would support PFCCL in all aspects in a more devoted and more comprehensive way.

1.jpg

Mr. Xiao Lei delivering a welcome speech

2.jpg

(Ms. Fan Qijuan presiding over the meeting)

 

On behalf of Deputy Secretary-General Mr. Ding Jianyong, Mr. Sun Wei, Secretary-General of PFCCL introduced the progress and updates of the Research Projects of the Fifth, Sixth and Seventh WG.

3.jpg

(Mr. Sun Wei introducing the research projects of WGs 5, 6, and 7)

 

Representative from the WG 5, Mr. Li Qi, illustrated on the work products Guidance on Evidence in Disputes over Construction Contracts, and Understanding and Using the Guidance on Evidence in Disputes over Construction Contracts (published by Law Press China).

4.jpg

(Mr. Li Qi illustrating on the work products of WG 5)

 

Members attending the Meeting voted in accordance with the Article of Association of PFCCL. The work products were unanimous approved to be the official products of WG 5.

5.jpg

(Counting of the votes on product of WG 5)

6.jpg 

(Photo of all participating members of WG 5 at the Meeting)

 

Mr. Lu Xiaoping and Mr. Li Zhiyong, representative from WG 6, illustrated on the work product Overseas Construction Projects by Chinese Enterprises: Legal Risks and Inspiration. Members attending the Meeting voted in accordance with the Article of Association of PFCCL. The work product was unanimous approved to be the official products of WG 6. In the Meanwhile, WG 6 was authorized to polish the product based on the comments from the Panel of International Experts and from joint research organizations, ICC and ICCA. Afterwards, the product will be published by Kluwer (in English) and Law Press China (in Chinese).

7.jpg

(Mr. Lu Xiaoping illustrating on the work product of WG 6)

 8.jpg

(Mr. Li Zhiyong illustrating on the work product of WG 6)

9.jpg

(Counting of the votes on product of WG 6)

10.jpg

(Participating members of WG 6 extending their gratitude to the Meeting)

 

Representative of WG 7, Mr. Wang Zhenzhong illustrated on the sectional product of this WG, Feasibility Study on Improving Efficiency and Transparency in Litigation and Arbitration through the Internet.

11.jpg

(Mr. Wang Zhenzhong illustrating on the sectional product of WG 7)

 

Pursuant to the By-Laws, the first session of Rotating Chair of PFCCL, Mr. Zhao Jian, Mr. Chen Fuyong, and Mr. Liming (on behalf of Mr. Cao Shibin) reported on the work of PFCCL in the last year and their respective thoughts.

Mr. Zhao Jian shared his joy in the rapid growth of the PFCCL team, especially in the internationalization of members, continuous improvement of the mechanism, persistent expansion of its influence, significant improvement of capability, and the gradual formation of PFCCL’s culture and sentiment. Mr. Zhao also conveyed his trust and expectations for the next session of rotating chairs, and pledged that CIETAC will always relentlessly support the development of the Permanent Forum, as it is not only in line with the need of the CIETAC to improve the ability to arbitrate disputes in construction projects, but also the need to build a construction industry community, and more importantly, the need to fully implement the “Belt and Road Initiative”.

12.jpg

(Mr. Zhao Jian delivering speech)

Mr. Chen Fuyong expressed his congratulations and praise on the high-quality work products of WG 5 and WG 6. He also hoped that the Permanent Forum would take this opportunity to create and promote the tradition of construction engineering industry and further to cultivate talents in this field. Mr. Chen also put forward proposals for the future development of the Permanent Forum through the lens of going global. At last, Mr. Chen extended his gratitude to the Shijiazhuang Arbitration Commission for their powerful support of the Meeting.

13.jpg

(Mr. Chen Fuyong delivering speech)

 

Mr. Li Ming spoke on behalf of Mr. Cao Shibin, director of the China Institute of Applied Jurisprudence of the Supreme People’s Court (CIAJ). Mr. Li introduced the Opinions on the Implementation of Judicial Responsibility System of the Supreme People's Court (Trial) promulgated on July 31, 2017, which requires the judges to conduct categorized case research. It is hoped that the Permanent Forum will carry out work in this regard. Mr. Li stated his position on behalf of Mr. Cao that CIAJ will continue to be dedicated to development of PFCCL.

14.jpg

(Mr. Li Ming delivering speech)

 

During the lunch break, the Observers’ Committee of PFCCL held a luncheon to discuss how to effectively carry out work in the upcoming year.

The afternoon session was presided over by Mr. Xu Zhihe, Deputy Secretary-General of PFCCL.

15.jpg

(Mr. Xu Zhihe presiding over the Meeting)

 

The second session of the Rotating Chairs, Mr. Dong Lianhe and Mr. Chang Honglei talked on how to carry out satisfactory job in the coming year. Mr. Dong first expressed his gratitude to the organizers of the Meeting, the first session of the Rotating Chairs, Members and WG experts of the Permanent Forum, and his admiration to dedicated members of the Secretary-General, Chair Mr. Xin Zhengyu and others. Secondly, on behalf of Shenzhen Arbitration Commission, he promised to serve the development of the Permanent Forum with unwavering dedication. Finally, Mr. Dong put forward suggestions for the future development of the Permanent Forum from the perspective of a judicator. The first is to uphold the initial aspiration to the last, which is to improve the predictability of dispute resolution in the construction engineering field and to promote the development of China's construction law. The second is to carry forward the practical work style of PFCCL, be problem-oriented and produce high-quality research results. The third is to persistently give full play to the advantages of multi-party cooperation and high-efficiency linkage, to enhance promoting capabilities and invite comments from different sources, and finally to regard the development of PFCCL as a joint enterprise.

16.jpg

(Mr. Dong Lianhe delivering speech)

 

Mr. Chang Honglei acknowledged the positive social influence of the Permanent Forum since its establishment and expressed his strong sense of responsibility as the next rotating chair. Afterwards, he shared his understanding on the responsibilities and scope of work of as the chair organization as stipulated in the By-Laws of PFCCL. He stated that his work will focus on the following two aspects in the next year to come. The first is to vigorously promote the existing work products of the Permanent Forum. Mr. Chang believed that it was necessary to use the seminars, training, WeChat, etc. to promote the works so that the wisdom of the Permanent Forum can truly play a role in legal practice. The second is to fully support the production of new works. The research topic of the eighth working group, Legal Encyclopedia of Construction Contracts in China, signaled the shift of PFCCL’s Research Projects from procedural issues to substantive issues, which means utmost responsibility to do a great job. Finally, on behalf of SAC, Mr. Chang pledged to fully and actively provide proactive services for the future development of the Permanent Forum, and make greater contributions to the development of the enterprise of construction engineering.

18.jpg

(Mr. Chang Honglei delivering speech)

 

Vice Chairs of PFCCL, Ms. Wang Weijun and Mr. Zhang Guanghong delivered speech on the development of the Permanent Forum. Ms. Wang first expressed her hope that the participants of the Permanent Forum will achieve a higher degree of gender balance in the future. She conveyed her gratitude and respect to the Committee of Secretaries-General and the Expert Advisory Committee for promoting the internationalization of the Permanent Forum, and to the hard work of the first session of Rotating Chairs. Subsequently, Ms. Wang shared the data on the number of construction arbitration cases and the amount in dispute collected by her colleagues of SHIAC and herself, as well as the achievements of China’s construction engineering enterprises in “Going Abroad”, and the scale of construction project cases administered by international arbitration institutions including ICC, HKIAC, LCIA, SCC and ICSID. Based on that, she mentioned several suggestions for the future development of the Permanent Forum from three aspects, “first, I hope that the work products of the Permanent Forum can be simultaneously improved with real practice and keep pace with the times; second, I hope that the practical guidance issued by the Permanent Forum can be promoted in cooperation with arbitration institutions and universities by way of moot arbitration; third, the internationalization of the research group’s research subject can be further enhanced.”

20.jpg

(Ms. Wang Weijun delivering speech)

 

Mr. Zhang Guanghong spoke highly of the pragmatic and dedicated work style of the Permanent Forum. He suggested that the quality of WG’s work be improved through expert certification. Mr. Zhang also expressed his position on behalf of the Ningbo Arbitration Commission, to study hard and to vigorously promote the work of PFCCL.

21.jpg

(Mr. Zhang Guanghong delivering speech)

 

    On behalf of the joint Secretary-General Mr. Jia Shen, Mr. Sun Wei, Secretary-General of the Permanent Forum reported to the Meeting on the work of the Permanent Forum in the previous year: “In the past year, the number of non-founding Members of the Permanent Forum has grown to 14, and the number of Observer Organizations has grown to 144, covering 24 provinces across the country. Apart from that, the Permanent Forum has established WG 5, 6, 7, and 8. WG 5 completed all of its research tasks, and its research product, Guidance on the Appraisal of Construction Contract Disputes, has already been approved by the Members through unanimous vote. The other research product of WG 5, Understanding and Using the Guidance on Evidence in Disputes over Construction Contracts, was published by Law Press China to facilitate the use of Guidance on the Appraisal of Construction Contract Disputes. The research product of WG 6, Overseas Construction Projects by Chinese Enterprises: Legal Risks and Inspiration have been completed and approved by the Meeting. Its final report will be published by Kluwer (in English) and Law Press China (in Chinese) after review by international experts, ICC and ICCA. The work of WG 7 on the Feasibility Study on Improving Efficiency and Transparency in Litigation and Arbitration through the Internet is a joint research project of the Permanent Forum and the CIAJ. WG 7 has finished the first draft of the report and the final draft is expected to be completed before the end of the year and to be submitted to the Members’ Meeting for a written vote. The research subject of WG 8 is Legal Encyclopedia of Construction Contracts in China. WG 8 comprises of 36 members and its research product is estimated to be published before October next year. The work of the Permanent Forum in the past year has received strong support from Members and Observers. Special thanks to Peking University Center for Legal Information, Beijing University of Civil Engineering and Architecture, Beijing Tiantong Law Firm, Nanchang Arbitration Commission, Jiangxi QZ&WD Law Firm and other organizations. The focus of the work of the Permanent Forum in the coming year will be, firstly, to improve the organizational structure. Efforts should be made in enlarging the geographical scope of representatives of the Expert Advisory Committee and the Observers’ Committee, and to operate the Evaluation Committee in an effective way to give full play to its function in evaluation and supervision, and to set up a list of international cooperation institutions. Secondly, accomplish the research projects of WG 6, 7, and 8, and after that, to fully publicize and promote their products. Thirdly, efforts should also be made to increase the representation of female in departments such as working groups, Observers’ Committee, Evaluation committee, and Expert Advisory Committee.

 

At the Meeting, the Committee of Chairs voted on the additional member of the Expert Advisory Committee nominated by the Committee of Secretaries-General, Prof. Dr. Mohamed Abdel Wahab, and passed it unanimously.

22.jpg

(Committee of Chairs voting on the additional member of Expert Advisory Committee)

    Mr. Xin Zhengyu, co-Chair of the Expert Advisory Committee, reported on the work of the Committee in the previous year. In the previous year, the Expert Advisory Committee strengthened its cooperation with ICC and ICCA, strongly supported the research of Working Group 7, and also cooperated with 4 Pump Court of the United Kingdom to hold “PFCCL & 4 Pump Court International Arbitration Training Course”. With the participation of Prof. Dr. Mohamed Abdel Wahab, the geographical representation of the members of the Expert Advisory Committee has been further strengthened. The focus of work in the coming year will be, firstly, making preparations for the campaign for the promotion of WG 6’s research product in March or April next year with the ICC and ICCA in Paris. Secondly, it will also join hands with other international intstitutions in Singapore, Dubai, Hong Kong and other places to promote the product of WG 6. Thirdly, the Committee will actively and cautiously select expert advisory committees in Eastern Europe, South Asia, South America, North America and Africa to better create conditions for the international legal exchange of the Permanent Forum. Fourthly, the Committee is to evaluate the “PFCCL & 4 Pump Court International Arbitration Training Course”. If feedbacks from the participants turned out to be positive, the second training will be held in 2019. Fifthly, the Expert Advisory Committee will suggest the Committee of Chairs to set up a list of international cooperation institutions in order to establish a deeper and more stable cooperative relationship with renowned international agencies and legal institutions in the field of dispute resolution and construction engineering, so that members and observers of the Permanent Forum can more easily understand and interact with these institutions.

24.jpg

(Mr. Xin Zhengyu delivering speech)

 

    At the Meeting, the Committee of Chairs voted on the nominations for the Observers’ Committee by the Committee of Secretaries-General, and approved the admission of Mr. Guo Xinglong, Mr. Wang Chunjun and Mr. Wang Jinzhu into the Observers’ Committee.

 25.jpg

(The Committee of Chairs voting on the nominations for the Observers’ Committee)

    Chair of the Observer Committee, Mr. Chen Min, reported on the work of the Observers’ Committee over the past year. In the past year, the number of observers in the Permanent Forum reached 144, covering 24 provinces across the country. The Observers’ Committee supported the Fifth Working Group’s Consultation Meeting in Nanchang and working group discussions in Beijing and Nanjing. In the coming year, the focus of the Observers’ Committee will be, firstly, to support WGs’ research in a more organized and active way. The coming year is the year of reaping the results for WG 5, 6, and 7. The Observer Committee will work to invoke the enthusiasm of the Observers and convene more meetings on the promotion of products. Secondly, to expand the coverage of Observers and Members (especially those from remote provinces), and to enhance design, survey, supervision and appraisal organizations to enrich industry representation. Thirdly, in conjunction with the evaluation work of the Evaluation Committee, more reference data for evaluation will be provided to the next session of the Observers’ Committee.

 26.jpg

(Mr. Chen Min delivering speech)

 

    The Meeting also had a discussion session dedicated to hear the comments from Members and Observers on how to manage and operate the Permanent Forum. Observers’ representatives Mr. Yuan Huazhi, Ms. Wang Junying, Mr. Wang Chunjun and Mr. Guo Xinglong contributed their opinions.

 27.jpg

(Mr. Yuan Huazhi delivering comments)

 29.jpg

(Ms. Wang Junying delivering comments)

30.jpg

(Mr. Wang Chunjun delivering comments)

 31.jpg

(Mr. Guo Xinglong delivering comments)

The Committee of Chairs voted on the Evaluation Committee nominated by the Committee of Secretaries-General, and appointed Mr. Jiang Jun, Ms. Shi Jianqin, Mr. Tang Shiliang and Mr. Zhu Yongchao as members of the Evaluation Committee, and appointed Mr. Tang Shiliang as the Chair of the Committee.

32.jpg

(The Committee of Chairs voting on the Evaluation Committee)

 

    Mr. Luo Youcai, convener of WG 8, reported to the Meeting the content and preparations for the research project, Legal Encyclopedia of Construction Contracts in China.

33.jpg

(Mr. Luo Youcai reporting to the Meeting on the research project of WG 8)

Mr. Sun Wei wrapped up the meeting.

34.jpg

(The Meeting was successfully held)

The Meeting was organized by the Shijiazhuang Arbitration Commission. The Permanent Forum expresses its heartfelt thanks to the Shijiazhuang Arbitration Commission for its thoughtful, meticulous arrangements and strong support during the preparation of the Meeting!

 

  Committee of Chairs, PFCCL

October 15, 2018