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New measures to cut court fees will take effect in China from April 1, 2006, the State Council has announced.

 

The new measures will exempt disabled people without regular incomes, urban residents on the minimum living standard and extremely poor rural people from court costs.

 

Lawsuits to recover money for supporting aged parents, raising children or compensating the deceased will also be exempted from charges.

 

Those who suffer injuries or other losses for protecting the public interest will also be remitted court costs if they or their relatives file for compensation.

 

The courts should reduce charges for people with financial difficulties caused by natural disasters and other unavoidable factors and those receiving aid from social welfare and charity groups.

 

The measures stipulate that the costs shall be cut by no more than 30 percent of the total expenses.

 

Victims of sea disasters, traffic accidents, medical malpractice, industrial accidents and problems caused by substandard products are allowed to defer payment of court costs.

 

Currently, courts charge additional fees in divorce cases with disputes over assets exceeding 10,000 yuan (US$1,250). The new measures will raise the threshold to 200,000 yuan (US$25,000), with a charge at 0.5 percent of the asset value beyond the threshold.

 

People who apply to abandon a lawsuit or mediation will be charged half of the expenses, and each labor dispute lawsuit will cost 10 yuan (US$1.25).

 

The party losing a lawsuit will be ordered to pay all the court costs, except when the winning party is willing to share the costs.

 

The measures, which aim to make legal action more accessible for those with little money, would greatly reduce court fees, especially at grassroots levels, said an official with the Supreme People's Court.

 

The measures also require courts to publish their fee collection and turn over the money to financial departments.

 

The measures will also apply to foreign individuals, companies and organizations filing lawsuits in China.

 

(Xinhua News Agency January 1, 2007)