Order of the State Administration of Market Supervision (No.20) Interim Measures for Handling Complaints and Reports of Market Supervision and Management

Order of the State Administration of Market Supervision

No.20

The Interim Measures for Handling Complaints and Reports in Market Supervision and Management was considered and adopted at the 15th executive meeting of the State Administration of Market Supervision in 2019 on November 26th, 2019. It is hereby promulgated and shall come into force as of January 1st, 2020.

Director Xiao Yaqing　　　

November 30, 2019　　

Interim Measures for Handling Complaints and Reports in Market Supervision and Management

(Promulgated by Order No.20 of the State Administration of Market Supervision on November 30, 2019)

the first　In order to regulate the handling of complaints in market supervision and management, and protect the legitimate rights and interests of natural persons, legal persons or other organizations, these Measures are formulated in accordance with the Law of People’s Republic of China (PRC) on the Protection of Consumer Rights and Interests and other laws and administrative regulations.

the second　These Measures shall apply to the handling of complaints and reports by market supervision and management departments.

Article　The term "complaint" as mentioned in these Measures refers to the behavior of consumers who need to buy or use goods or accept services for their daily consumption, and who have a dispute with operators about consumers’ rights and interests and request the market supervision and management department to resolve the dispute.

The term "report" as mentioned in these Measures refers to the behavior of natural persons, legal persons or other organizations to report to the market supervision and management department that operators are suspected of violating the laws, regulations and rules of market supervision and management.

Article 4　The State Administration of Market Supervision is in charge of the handling of complaints and reports nationwide and guides the handling of complaints and reports by local market supervision and management departments.

The local market supervision and management departments at or above the county level shall be responsible for the handling of complaints and reports within their respective administrative areas.

Article 5　When handling complaints and reports, the market supervision and management department shall follow the principle of fairness and efficiency, and ensure that the application basis is correct and the procedures are legal.

Article 6　Encourage the public and the news media to conduct social supervision and public opinion supervision according to law on acts suspected of violating laws, regulations and rules on market supervision and management.

Encourage consumers to negotiate with operators to resolve consumer rights disputes through online consumer dispute resolution mechanisms, consumer rights protection service stations, green channels for consumer rights protection, and third-party dispute resolution mechanisms.

Article 7　If complaints and reports are submitted to the market supervision and management department at the same time, or the materials provided contain both complaints and reports, the market supervision and management department shall handle the complaints and reports separately in accordance with the procedures prescribed in these Measures.

Article 8　Complaints to the market supervision and management department shall be made through the Internet, telephone, fax, mailing address, window and other channels announced by the market supervision and management department to receive complaints and reports.

Article 9　The complaint shall provide the following materials:

(1) The name, telephone number and mailing address of the complainant;

(2) The name and address of the respondent;

(three) the specific complaint request and the facts of the consumer rights dispute.

If the complainant makes a complaint in a non-written way, the staff of the market supervision and management department shall record the information specified in the preceding paragraph.

Article 10　Where a complaint is made on behalf of others, the original power of attorney and the identity certificate of the trustee shall be provided in addition to the materials specified in the first paragraph of Article 9 of these Measures.

The power of attorney shall specify the entrusted matters, authority and time limit, and shall be signed by the client.

Article 11　If there are two or more complainants who complain about the same operator based on the same consumer rights dispute, the market supervision and management department may handle it as a joint complaint with the consent of the complainant.

A joint complaint may be made by two representatives elected by the complainant in writing. The representative’s complaint behavior is effective for the complainant he represents, but if the representative changes, abandons the complaint request or reaches a mediation agreement, it shall be agreed by the represented complainant.

Article 12　The complaint shall be handled by the county-level market supervision and administration department of the respondent’s actual business place or domicile.

Complaints against e-commerce platform operators and e-commerce operators who sell goods or provide services through self-built websites and other online services shall be handled by the county-level market supervision and management department where they live. Complaints against the operators in the platform shall be handled by the county-level market supervision and management department at the place where they actually operate or where the platform operators live.

If the superior market supervision and management department deems it necessary, it may handle the complaints received by the subordinate market supervision and management department. If the lower-level market supervision and management department thinks that it is necessary for the higher-level market supervision and management department to handle the complaints received by the administrative organ, it may report to the higher-level market supervision and management department for decision.

Article 13　If more than two market supervision and management departments have the authority to handle the complaint about the same consumer’s rights and interests dispute, the market supervision and management department that received the complaint first shall handle it.

Article 14　The market supervision and management department with the handling authority as stipulated in these Measures shall, within seven working days from the date of receiving the complaint, make a decision on whether to accept it or not, and inform the complainant.

Article 15　In any of the following circumstances, the market supervision and management department shall not accept the complaint:

(a) the complaint is not the responsibility of the market supervision and management department, or the administrative organ does not have the authority to deal with it;

(2) The court, arbitration institution, market supervision and management department or other administrative organs, consumer associations or other mediation organizations established according to law have accepted or handled the same consumer rights dispute;

(3) Not buying or using commodities or receiving services for the needs of daily consumption, or failing to prove that there is a dispute between consumers and the respondent;

(4) Unless otherwise provided by law, the complainant knows or should know that his rights and interests have been infringed by the respondent for more than three years;

(5) Failing to provide the materials specified in the first paragraph of Article 9 and Article 10 of this Law;

(six) other circumstances that are not accepted by laws, regulations and rules.

Article 16　With the consent of the complainant and the respondent, the market supervision and management department handles the complaint by mediation, but if there are other provisions in laws and regulations, such provisions shall prevail.

Encourage the complainant and the respondent to negotiate on an equal footing and settle on their own.

Article 17　Market supervision and management departments may entrust consumer associations or other mediation organizations established according to law to mediate on their behalf.

The entrusted unit conducts mediation in the name of the entrusted market supervision and management department within the scope of entrustment, and may not entrust other organizations or individuals.

Article 18　Mediation can take the form of on-site mediation or off-site mediation such as Internet, telephone, audio and video.

If on-site mediation is adopted, the market supervision and management department or its entrusted unit shall inform the complainant and the respondent of the time, place and mediator of mediation in advance.

Article 19　Mediation shall be presided over by the staff of the market supervision and management department or its entrusted unit, and relevant personnel may be invited to assist as needed.

If the mediator is a close relative of the complainant or the respondent or has other interests, which may affect the fair handling of the complaint, he shall withdraw. If the complainant or the respondent applies for withdrawal of the mediator, the market supervision and management department shall suspend the mediation and make a decision on whether to withdraw.

Article 20　If verification, inspection, testing and appraisal are needed, the complainant and the respondent shall agree through consultation and jointly entrust a technical institution with corresponding conditions to undertake it.

Unless otherwise stipulated by laws and regulations, the expenses for verification, inspection, testing and appraisal shall be borne by the complainant and the respondent through consultation.

The time required for verification, inspection, testing and appraisal is not counted in the mediation period.

Article 21　In any of the following circumstances, the mediation shall be terminated:

(1) The complainant withdraws his complaint or both parties reach a settlement by themselves;

(two) the complainant and the respondent can not reach an agreement on the technical institutions or the expenses entrusted to undertake the verification, inspection, testing and appraisal work;

(three) the complainant or the respondent does not participate in mediation without justifiable reasons, or the respondent explicitly refuses to mediate;

(four) after mediation, the complainant or the respondent clearly stated that the mediation agreement could not be reached;

(five) the complainant and the respondent failed to reach a mediation agreement within forty-five working days from the date of accepting the complaint;

(six) after accepting the complaint, the market supervision and management department finds that there are circumstances stipulated in Article 15 of these Measures;

(seven) other circumstances in which mediation should be terminated as stipulated by laws, regulations and rules.

If the mediation is terminated, the market supervision and management department shall inform the complainant and the respondent within seven working days from the date of making the decision to terminate the mediation.

Article 22　If a mediation agreement is reached through on-site mediation, the market supervision and management department shall make a mediation agreement, except that the mediation agreement has been immediately performed or both parties agree not to make a mediation agreement. The conciliation statement shall be signed or sealed by both the complainant and the respondent, and stamped with the seal of the market supervision and administration department, and shall be submitted to the complainant and the respondent respectively, and the market supervision and administration department shall keep one copy for filing.

If no conciliation statement is made, the market supervision and management department shall make conciliation records for future reference.

Article 23　If the market supervision and management department finds clues suspected of violating the laws, regulations and rules of market supervision and management in mediation, it shall check them within 15 working days from the date of discovery and deal with them in accordance with the relevant provisions on administrative punishment of market supervision and management. Under special circumstances, the time limit for verification may be extended by fifteen working days. Where laws, regulations and rules provide otherwise, such provisions shall prevail.

Mediation of disputes over consumers’ rights and interests does not exempt operators from other legal responsibilities they should bear according to law.

Article 24　Informants shall provide specific clues suspected of violating the laws, regulations and rules of market supervision and management, and be responsible for the authenticity of the reported contents. Informants who report in a non-written way shall be recorded by the staff of the market supervision and management department.

Encourage operators’ internal personnel to report operators’ alleged violations of market supervision and management laws, regulations and rules according to law.

Article 25　The report shall be handled by the market supervision and management department at or above the county level where the reported behavior occurred. Where laws and administrative regulations provide otherwise, such provisions shall prevail.

Article 26　The agency of the county-level market supervision and management department handles the report in the name of the county-level market supervision and management department within the scope of authority determined by the county-level market supervision and management department, unless the laws, regulations and rules authorize it to handle the report in the name of the agency.

Article 27　Reports on e-commerce platform operators and e-commerce operators who sell goods or provide services through self-built websites and other online services shall be handled by the market supervision and management departments at or above the county level where they live.

The report of the operators in the platform shall be handled by the market supervision and management department at or above the county level where they actually operate. If the market supervision and management department at or above the county level in the domicile of the e-commerce platform operator receives the report first, it may also handle it.

Article 28　Reports of illegal advertisements published by mass media such as radio, movies, television, newspapers, periodicals and the Internet shall be handled by the market supervision and administration department where the advertisement publisher is located. If it is difficult for the market supervision and administration department where the advertisement publisher is located to handle the reports of advertisers and advertising operators in different places, it may transfer the reports of advertisers and advertising operators to the market supervision and administration department where the advertisers and advertising operators are located for handling.

If the market supervision and management department of the place where the advertiser is located or where the advertising operator is located receives the report first, it may also handle it.

Reports of illegal Internet advertisements published by advertisers themselves shall be handled by the market supervision and management department where the advertisers are located.

Article 29　If the market supervision and administration department that receives the report does not have the handling authority, it shall inform the informant to directly submit it to the market supervision and administration department that has the handling authority.

Article 30　If there is a dispute between two or more market supervision and management departments over the handling authority, it shall be settled through consultation within seven working days from the date of the dispute; If negotiation fails, it shall be reported to the common market supervision and management department at the next higher level to designate a handling organ.

Article 31　The market supervision and management department shall handle the report in accordance with the relevant provisions of the administrative punishment of market supervision and management.

If the informant reports with his real name, the market supervision and management department with the handling authority shall also inform the informant within five working days from the date of making a decision on whether to file a case.

Article 32　Where laws, regulations and rules stipulate that the market supervision and management department shall inform the informants of the report processing results or reward them, the market supervision and management department shall inform or reward them.

Article 33　The market supervision and management department shall keep confidential the information of the informer, and shall not disclose the informer’s personal information, the handling of the report, etc. to the informer or any person who has nothing to do with the handling of the report, except that the materials provided include both complaints and reports, and it is necessary to provide the informer with information necessary for organizing mediation.

Article 34　The market supervision and management department shall strengthen the statistics, analysis and application of complaints and reports in this administrative region, regularly publish statistical analysis reports of complaints and reports, and publicize consumer complaints information according to law.

Article 35　The market supervision and management department shall strictly keep confidential the state secrets learned in the handling of complaints and reports and the information that may endanger national security, public safety, economic security and social stability after disclosure.

Involving business secrets, personal privacy and other information, it is really necessary to disclose, in accordance with the "Regulations on the disclosure of government information in People’s Republic of China (PRC)" and other relevant provisions.

Article 36　The market supervision and management department shall unblock the receiving channels of complaints and reports such as the national 12315 platform and the 12315 special telephone, implement unified data standards and user rules for complaints and reports, and realize the integration of complaints and reports information throughout the country.

Article 37　The local market supervision and management departments at or above the county level shall uniformly receive the complaints and reports, and shall promptly distribute the complaints and reports to the lower market supervision and management departments with handling authority or the relevant institutions of the market supervision and management departments at the same level for handling.

The relevant institutions of the market supervision and management departments at the same level shall handle the complaints and reports in a timely manner in accordance with the relevant provisions of these Measures. Do not have the authority to deal with, it should be timely feedback to the unified working mechanism to receive complaints and reports, and shall not be transferred by itself.

Article 38　The market supervision and management department may refer to these measures when handling other complaints filed in accordance with the law except those stipulated in Article 3 of these Measures.

Reporting suspected violations of the Anti-Monopoly Law of the People’s Republic of China shall be implemented in accordance with the special provisions of the State Administration of Market Supervision. Where there is no provision in the special provisions, these measures may be implemented with reference to them.

These Measures shall apply to the handling of complaints and reports by pharmaceutical supervisory and administrative departments and intellectual property administrative departments, except as otherwise provided by laws and regulations.

Article 39　If a natural person, legal person or other organization reflects the administrative fees of state organs, institutions, social organizations acting as government functions and other organizations, it shall be handled in accordance with the relevant provisions of the Regulations on Letters and Visits.

These measures are not applicable to consultation, application for government information disclosure, application for administrative reconsideration, letters and visits, and accusation of discipline inspection and supervision in the form of complaints and reports, and the market supervision and management department may inform them to put forward through corresponding channels.

Article 40　These Measures shall come into force as of January 1, 2020. The Measures for Handling Product Quality Complaints promulgated by Order No.51 of the former State Bureau of Quality and Technical Supervision on March 12, 1998, the Measures for Handling Consumer Complaints by the Administration for Industry and Commerce promulgated by Order No.62 of the former State Administration for Industry and Commerce on February 14, 2014, and the Administrative Measures for Reporting Food and Drug Complaints promulgated by Order No.21 of the former china food and drug administration on January 12, 2016 shall be abolished at the same time.