Article 61 Relevant departments of the Municipal People's Government shall, in accordance with the provisions at the national and municipal level, scientifically normalize the discretion over administrative penalty, practice dynamic management of the criterion for discretion over administrative penalty, and formulate, revise and repeal such criterion in a timely manner based on the adjustments made to laws, rules and regulations and in the law enforcement practices. All administrative law enforcement units shall normalize the application of the criterion for discretion over administrative penalty in accordance with relevant provisions of this Municipality.

Article 62 The municipal and district people's governments and their respective departments shall not take such measures as requiring market participants to generally suspend production and operation in relevant industries and sectors or in relevant regions, unless such measures involve the safety of life of the masses, or are taken in the occurrence of grave or serious accidents or to hold major national activities, and are filed with competent authorities for approval. The enterprises shall be notified in writing beforehand or a public announcement shall be made for the adoption of measures such as general suspension of production and operation, unless otherwise provided by laws and regulations.

Chapter VI  Safeguard by Rule of Law

Article 63 In formulating local laws, rules and regulations, and administrative normative documents that are closely related to the production and operation activities of market participants, this Municipality shall solicit opinions openly from the public through newspapers or networks among others, listen to the opinions of market participants, industry associations and chambers of commerce extensively, and establish a sound feedback mechanism for the adoption of opinions.

Local laws, rules and regulations, and administrative normative documents involving the rights and obligations of market participants shall be published in a timely manner in a way that facilitates public awareness. Administrative normative documents shall be entered into the unified database of administrative normative documents of this Municipality. When local laws, rules and regulations, and administrative normative documents are published, publicity and interpretation shall be carried out synchronously. With respect to any local laws, rules and regulations and administrative normative documents closely related to foreign investment, corresponding English translations or abstracts shall be provided.

Article 64 When formulating normative documents, policies and measures that are closely related to the production and business activities of market participants, the people's governments at all levels and their relevant departments of this Municipality shall conduct a legitimacy review and the formulating authorities shall carry out collective deliberation.

In drafting or formulating local laws, rules and regulations, normative documents and other policies and measures that involve the economic activities of market participants, fair competition review shall be conducted in accordance with relevant provisions. The participation of third-party institutions in the society in fair competition review is encouraged.

Any entity or individual may report any policies and measures suspected of violating the criterion for fair competition review. The formulating authorities shall establish and improve a mechanism for accepting and responding to complaints and reports concerning fair competition review, and promptly correct policies and measures that exclude or restrict competition; policies and measures formulated by applying exceptions shall be submitted to the joint meeting of fair competition review at the same administrative level for record.

Article 65 The people's governments at all levels and their relevant departments of this Municipality shall, when formulating policies and measures that are closely related to the production and business activities of market participants, allow for a necessary adaption period for market participants, except where national security is involved and failure to implement forthwith upon promulgation will hinder implementation.

Article 66 This Municipality shall actively improve a diversified dispute resolution mechanism with smooth convergence and inter-coordination of mediation, arbitration, administrative adjudication, administrative review, and litigation, give full play to the functions of the non-litigation dispute resolution centers at the municipal and district levels, support the establishment of dispute resolution institutions in professional sectors such as the financial sector, and provide market participants with efficient and convenient dispute resolution approaches.

This Municipality supports arbitration and mediation institutions to join the "one-stop" international commercial dispute resolution platform, and to jointly create a fair, just, transparent and convenient law-based international Doing Business environment.

This Municipality supports well-known arbitration and dispute resolution institutions from abroad to conduct arbitration and mediation with respect to civil and commercial disputes in international commercial, maritime, investment and other fields in accordance with relevant provisions in Lingang New Area.

Article 67 This Municipality supports the people's courts at all levels to conduct fair trial of various cases involving market participants in accordance with the law, and to equally protect the legitimate rights and interests of various market participants and supports the people's procuratorates at all levels to exercise legal supervision over the trial activities of the people's courts.

According to the unified deployment at the national level, this Municipality shall strengthen the construction of international commercial dispute trial organizations, support international commercial dispute trial organizations in connecting with international commercial common rules, and accelerate the formation of a trial system and mechanism that meets the needs of international commercial dispute resolution in Shanghai.

This Municipality shall strengthen the institutional construction of source control over difficulties in enforcement, promote and improve the coupling mechanism for enforcement, and support the people's courts to strengthen and improve enforcement. Relevant government departments, people's procuratorates, non-governmental organizations, enterprises and public institutions, and financial institutions shall strengthen the cooperation and coordination with the people's courts in carrying out enforcement, and coordinate in promoting the quality and efficiency of enforcement in this Municipality.

Article 68 This Municipality shall implement a system of prior confirmation of address for service of legal documents and responsibilities undertaking by enterprises. When attending to registration formalities such as incorporation, corporate changes or record-filings or annual report filings in this Municipality, after being informed by the market regulation department of matters such as prior confirmation of the address for service of legal document  and undertakings of relevant responsibilities, the enterprise may, through the National Enterprise Credit Information Publicity system, fill in its address for service of the legal documents online, and undertake to be responsible for the authenticity of the address filed and the timely and effective acceptance of the legal documents served by the people's courts and administrative departments of this Municipality at all levels.

Article 69 The people's courts at all levels in this Municipality shall strengthen the construction of an online litigation services platform, promote the case handling model in which the whole process is conducted online, and strictly abide by the laws and judicial interpretations on regulating the extension of time limit for concluding a trial and postponement of court hearings for civil and commercial cases. The party that submits the complaint materials by filing the case online does not need to submit the hard copies.

The Municipal High People's Court shall establish and improve the rules and standards for the selection, evaluation and assessment of intermediary agencies engaged in judicial authentication, asset evaluation, auditing and price review, make the same public, and notify relevant departments of the assessment and evaluation results of intermediary agencies on a regular basis.

Relevant departments shall establish an information sharing mechanism with the people's court, support the people's court to inquire about information on the identity, property rights, market transactions etc. of relevant market participants, and support the people's court to conduct online investigation and control on, and disposal according to law of, real estate, movables, bank deposits, equity, intellectual properties and other property rights involved in the case, in order to improve the efficiency of property investigation and control and compulsory enforcement.

Relevant departments shall strengthen synergy with the people's courts to include the person concerned who has refused to perform the duties determined by the effective judgment into the list of dishonesty disciplinary punishment, and strengthen the punishment for the dishonesty person subject to enforcement.

Article 70 This Municipality shall promote and improve a market-oriented and rule-of-law bankruptcy system, support the people's courts in exploring the establishment of bankruptcy rescue mechanisms such as reorganization recognition and pre-reorganization, and explore a mechanism for separation of complicated and simple bankruptcy cases and quick trial of summary bankruptcy cases to streamline bankruptcy procedures.

This Municipality shall establish a coordination mechanism for enterprise bankruptcy jointly led by the Municipal People's Government and the Municipal High People's Court and joined by relevant departments to collectively propel the advancement of handling enterprise bankruptcy, support market-oriented debt restructuring in accordance with the law, and promptly communicate and solve problems occurred in the process of enterprise bankruptcy.

The people's courts at all levels in this Municipality shall, in accordance with the provisions of relevant laws and judicial interpretations, establish a mechanism for creditors or shareholders whose rights and interests are adjusted or affected to participate in the voting of draft reorganization plan, and promote the timely acquisition of reorganization relief by ailing enterprises with operational value.