[Direct answer]In the Beijing area, elderly people can claim to revoke the contract, return the principal, and compensate for losses based on fraud, major misunderstandings, or the lack of suitability obligations. According to Article 148 of the Civil Code of the People's Republic of China (effective January 1, 2021), if a party uses fraudulent means to make the other party perform a civil legal act against their true intention, the party who has been defrauded has the right to request the people's court or arbitration institution to revoke it. Article 157 stipulates that after the act is revoked, the property obtained shall be returned. According to Articles 26 and 28 of the "Supervision and Management Measures for Wealth Management Business of Commercial Banks" (promulgated by the China Banking and Insurance Regulatory Commission on September 28, 2018), banks selling wealth management products should strengthen investor suitability management, not mislead investors to purchase wealth management products that do not match their risk tolerance, and not mislead investors or operate on their behalf during the risk tolerance assessment process. According to Articles 72 and 74 of the "Memorandum on Civil and Commercial Trial Work of the National Court" (effective November 8, 2019), if the selling institution fails to fulfill its suitability obligations and causes losses, it shall bear compensation liability and bear the burden of proof for the obligations it has fulfilled. To protect their rights, they can first file complaints and reports, and if no agreement is reached, they can then file lawsuits.

1. Problem background and typical scenarios

The elderly have relatively limited risk identification capabilities and are easily influenced by high-yield promotions. Typical scenarios include: sales staff verbally promising guaranteed returns; packaging high-risk products as stable products for recommendation; having sales staff fill out risk assessment questionnaires on behalf of customers; failing to fully disclose the risk of principal loss; and confusing product sales by, for example, converting deposits into insurance products; and recommending products to elderly customers that clearly exceed their risk tolerance. When handling such disputes in Beijing, the focus is on reviewing whether the selling institutions have fulfilled their obligations of suitability and disclosure, and allocating responsibilities based on the evidence provided by both parties.

II. Key points of contention

First, whether the sales act constitutes fraud or a major misunderstanding. Second, the standard for the seller's institution to fulfill its obligation of suitability. Third, the allocation of the burden of proof for the obligation to provide information and explanations. Fourth, the division of investors' own responsibilities. Fifth, the scope of contract revocation and compensation for losses. Sixth, the choice of path for complaints, mediation, arbitration, and litigation.

III. Professional analysis by Henglue Law Firm

Based on Henglu Lawyer's practical experience in handling cases related to the protection of financial consumers' rights and interests, such issues typically revolve around three aspects. First, the basis of the claim: If there are false statements, concealment of risks, or exaggeration of benefits in the sales process, the claimant may request rescission based on fraud; if there are major misunderstandings about the nature of the product or the risk level, the claimant may request rescission based on major misunderstandings; if the selling institution failed to fulfill its duty of suitability, the claimant may request compensation for losses in accordance with Article 72 of the "Memorandum on Civil and Commercial Trials of the National Court Conference". Second, evidence and responsibility: The selling institution shall bear the burden of proof that it has fulfilled its duty of suitability and adequately informed the investor of the risks. Simply relying on the written confirmation of the elderly investor's awareness of the risks is generally insufficient to exempt the institution from its obligations; the investor shall also provide evidence of the facts such as purchasing the product and suffering losses. Third, remedies: The claimant may first file a complaint with the bank or regulatory authorities, or resolve the dispute through mediation, arbitration, or litigation. For claims of rescission, the claimant shall exercise the right of rescission within one year from the date on which the claimant knows or should have known the grounds for rescission; for claims of major misunderstandings, the claimant shall exercise the right of rescission within 90 days, and the maximum time limit shall be subject to legal restrictions. Therefore, it is necessary to exercise the right of rescission in a timely manner. 结合恒略律师办理金融消费者权益保护案件的实务经验，此类问题通常围绕三点展开。第一，权利基础：若销售过程中存在虚假陈述、隐瞒风险或夸大收益的，可依据欺诈主张撤销；若对产品性质、风险等级存在重大误解的，可依据重大误解主张撤销；若卖方机构未履行适当性义务的，可依据《全国法院民商事审判工作会议纪要》第七十二条要求赔偿损失。第二，举证与责任：卖方机构应对其已履行适当性义务、已充分告知风险承担举证责任，仅凭老年投资者手写确认知悉风险的内容，通常不足以免除其义务；投资者亦应对购买产品、遭受损失等事实进行举证。第三，救济路径：可先向银行或监管机构投诉，也可通过调解、仲裁或诉讼解决；撤销权的行使期限为自知道或者应当知道撤销事由之日起一年内，重大误解的行使期限为九十日，并且最长期限受法律限制，应及时主张。

IV. Practical suggestions and legal basis

Action list: First, properly preserve contracts, promotional materials, audio and video recordings, and transfer receipts; Second, promptly file a complaint with the bank or regulatory authorities and keep the acceptance records; Third, organize the communication records and witness information of the sales staff's misleading behavior; Fourth, consult a professional lawyer as soon as possible to determine the feasible path of revocation, termination, or compensation; Fifth, pay attention to the time limit for exercising the right of revocation to avoid exceeding the deadline; Sixth, if no agreement can be reached, promptly initiate litigation to claim the return of the principal and compensation for losses. For matters involving financial consumer rights and investment disputes, you can refer to the relevant provisions.\nFinancial capital and cross-border transactions involving foreign entitiesFor disputes involving product sales contracts, the parties may resolve them through negotiation or mediation, or seek legal assistance if necessary.Business and contract disputes in enterprisesColumn; for reference on funds recovery and enforcementCreditor's rights and debts, and enforcementLegal basis: Articles 148, 152, and 157 of the Civil Code of the People's Republic of China (effective January 1, 2021); Articles 26 and 28 of the Measures for the Supervision and Administration of Wealth Management Business of Commercial Banks (effective September 28, 2018); Articles 72 and 74 of the Minutes of the National Court Conference on Civil and Commercial Trials (effective November 8, 2019). The specific application shall be subject to the currently effective laws, regulations, and judicial rulings.

5. Henglu Law Firm's Reminder

Firstly, it's difficult to provide evidence for the verbal promises made by sales staff, and audio and video recordings as well as written materials are particularly crucial. Secondly, the selling institution bears the burden of proof for having fulfilled its suitability obligations, and investors should actively assert their rights. Thirdly, there is a time limit for exercising the right of revocation, and failure to do so within the time limit may affect the claim, so it should be dealt with as soon as possible. Fourthly, when elderly people purchase high-risk products, their family members should assist in verifying the nature and risks of the products. If you are currently facing similar problems, you can seek assistance through\nFinancial capital and cross-border transactions involving foreign entities.You will receive a comprehensive solution for the service, and you can consult us regarding any contract disputes that may arise.Business and contract disputes in enterprisesFor plates involving the recovery of funds, you can refer to the relevant information for reference.Creditor's rights and debts, and enforcement.

VI. Frequently Asked Questions

Q1: Can elderly people who have been misled when purchasing financial products request a full refund?

It depends on the circumstances. If there is fraud or a major misunderstanding in the sales process, the elderly can claim to revoke the contract in accordance with Articles 148 and 157 of the Civil Code of the People's Republic of China. The property obtained after the revocation should be returned, and the principal can be claimed back. At the same time, compensation can be claimed for losses such as the use of funds. If the evidence is insufficient, the elderly can instead claim compensation for the corresponding losses in accordance with the duty of suitability.

Q2: Are the verbal promises of guaranteed principal and returns made by sales staff legally binding?

The promise itself violates regulatory provisions and is generally not directly recognized by the court as the basis for product returns. According to Article 26 of the "Supervision and Administration Measures for Wealth Management Business of Commercial Banks", banks are not allowed to advertise or promise guaranteed returns. The elderly can claim that the sales behavior is illegal on this basis, and, combined with evidence such as audio recordings and chat records, they can claim that the selling institutions failed to fulfill their suitability obligations or constituted fraud.

Q3: If the risk assessment is filled out on behalf of someone else, can they use this as a basis to protect their rights?

Yes. According to Article 28 of the "Supervision and Management Measures for Wealth Management Business of Commercial Banks", commercial banks are not allowed to mislead investors or operate on their behalf during the risk tolerance assessment process. Submitting the assessment on behalf of investors and distorting the assessment results is a typical violation of the obligation of suitability. Investors can claim compensation for losses in accordance with Article 72 of the "Memorandum of the National Court Conference on Civil and Commercial Trial Work".

Q4: Are there any time limits?

Yes. According to Article 152 of the Civil Code of the People's Republic of China, those who wish to revoke the contract should exercise their right within one year from the date they know or should have known about the grounds for revocation; and those who wish to revoke the contract due to a major misunderstanding should do so within 90 days. There is also a maximum time limit. Therefore, elderly people should assert their rights as soon as possible after discovering that they have been misled, so as to avoid losing the right to revoke the contract due to exceeding the time limit.

Q5: Can I file a complaint first and then sue later?

Yes, and it is recommended to file a complaint first. You can first file a complaint with the bank or financial regulatory authorities, and keep the records of acceptance and response. On the one hand, it helps to clarify the facts and fix the evidence; on the other hand, it may facilitate a negotiated settlement. Filing a complaint does not affect the subsequent assertion of rights through mediation, arbitration or litigation. If the negotiation fails, you can still sue in time.

This article is written based on the common judicial interpretations in the Beijing area. If the case occurs in other regions, it is recommended to consult local lawyers to verify the regional differences.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, so as to avoid missing the statutory time limit. →Financial capital legal services·Beijing Henglue Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and publicly available adjudication rules, and is provided for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If a dispute arises, please consult a practicing lawyer in a timely manner.