[Direct answer]In the Beijing area, schools and hospitals can serve as enforcement entities. According to the relevant provisions of the Civil Procedure Law of the People's Republic of China (amended on December 24, 2021), if a legal person or non-legal person organization fails to fulfill the obligations determined by the effective legal documents, the people's court may take enforcement measures against them. However, legal persons of public schools, public hospitals, and other public institutions with public welfare purposes, their property used for public welfare purposes may not be forcibly executed according to law, but non-public welfare property can still be executed. The key to the judgment is whether the enforced property maintains its public welfare function. The applicant for enforcement may apply for the seizure, detention, and freezing of the non-public welfare property under the name of the school or hospital, and refer to the relevant provisions of the Civil Procedure Law of the People's Republic of China for reference.Creditor's rights and debts, and enforcement casesThe column explains the execution boundaries.

I. Problem background and typical scenarios

Such issues often arise in several situations: First, after the creditor wins the lawsuit, he/she finds that the debtor is a private school or a private hospital and wonders whether he/she can enforce against them; Second, public schools and public hospitals default on project payments and procurement payments, and the creditor applies for the seizure of their accounts or properties; Third, during the enforcement process, the court finds that some of the debtor's property is used for teaching, medical care, and other public welfare purposes, and the two parties argue over whether the property can be disposed of; Fourth, schools and hospitals use the public welfare attribute to defend themselves and refuse any enforcement; Fifth, after erroneous addition of parties and erroneous deduction of funds, the interested parties apply for correction and reversal. When handling such cases in Beijing, the court usually first defines the nature of the unit and the use of the property, distinguishes between public welfare property and non-public welfare property, and then determines the scope of enforcement. The relevant procedures can be referred to for reference.Creditor's rights and debts, and enforcement casesColumn.

II. Key points of contention

Focus One: The subject qualification of the person subject to enforcement. Schools and hospitals, as legal or non-legal organizations, can in principle be subject to compulsory enforcement. Focus Two: The scope of exemption for public welfare assets. The assets used by public welfare institutions for public welfare purposes cannot be enforced, but operational and non-public welfare assets are not exempted. Focus Three: Identifying the use of assets. This requires considering the registration, actual function, and funding sources of the assets. Focus Four: Remedies after erroneous enforcement. Those who are erroneously added to the list of debtors or have their funds deducted can raise objections to the enforcement, request a reconsideration, and apply for a reversal of the enforcement. Focus Five: The differences between private and public institutions. Private schools and private hospitals often have profit-making or autonomous operating attributes, providing greater scope for enforcement. Focus Six: Balancing enforcement and public welfare functions. Specific determinations should be based on current laws and regulations and judicial rulings, and relevant disputes can be referred to for resolution.Business and contract disputes in enterprisesColumn.

III. Professional analysis by Henglue Law Firm

Take an enforcement reversal case handled by our firm as an example. In the early stage of the case, the court erroneously added a third party as the subject of enforcement due to a loan dispute, and later revoked the addition by court order. The applicant, who had obtained the property of the subject of enforcement, attempted to block the return of the property through objections. The third party entrusted our firm's lawyers to represent him. The lawyers argued that the divorce agreement was legal and effective, and the enforcement reversal was a legitimate procedure for the court to correct its own mistake of adding the third party. According to Article 65 of the "Interim Provisions of the Supreme People's Court on Several Issues Concerning the Enforcement Work of the People's Courts", the enforcement reversal should include the interest earned on the already obtained property. The court adopted the lawyers' opinion and ruled that the other party should return the enforcement funds of 2,057,814.61 yuan and the interest earned within ten days from the date of receipt of the court order, and rejected other objections. This case shows that even if the property has already been deducted, it can still be corrected and reversed through legal procedures. Schools and hospitals, as the property boundaries of the subject of enforcement, also need to be clarified according to law. This case was handled by Beijing Henglu Law Firm.Ma QianwenThe attorney (practice license number: 11101202411865324, subject to the document issued by the judicial administrative organ) acts as the agent.

IV. Practical suggestions and legal basis

Action suggestions: First, confirm the nature and property attributes of schools or hospitals through industrial and commercial registration and certificates of legal persons of public institutions; second, distinguish between public welfare property and non-public welfare property, and only apply for seizure, attachment, and freezing of non-public welfare property. For related key points, please refer to the following materials for reference.Special services and other cases1. The first point is that the party concerned should pay attention to the legal time limit for enforcement. According to Article 244 of the Civil Procedure Law of the People's Republic of China, if the judgment or ruling on which the enforcement is based is revoked, the person who has already obtained the property and its accrued interests shall be ordered to return them. 2. The second point is that the party concerned should check the enforcement records and ensure that the enforcement procedures are in accordance with the law. 3. The third point is that if there are any errors in the addition or deduction of funds, the party concerned should promptly raise objections to the enforcement and, if dissatisfied with the ruling, may apply for a review to the higher court. 4. The fourth point is that if the original enforcement basis is revoked, the party concerned should apply for enforcement reversal according to law and demand the return of the property and its accrued interests already obtained. 5. The fifth point is that when necessary, the party concerned should entrust a lawyer to sort out the clues of the property and the procedural nodes. Regarding the legal basis, Article 244 of the Civil Procedure Law of the People's Republic of China stipulates that after the judgment or ruling on which the enforcement is based is revoked, the person who has already obtained the property shall be ordered to return it. Article 65 of the "Provisions of the Supreme People's Court on Several Issues Concerning the Enforcement Work of the People's Courts (Trial)" clearly defines the scope of enforcement reversal.

5. Henglue Law Firm's Reminder

Risk Alert: Firstly, schools and hospitals are not execution-prohibited areas, but their public welfare assets are protected. Blindly applying for the seizure of teaching and medical necessities may be rejected; Secondly, private and public schools have different natures, and the execution strategies should be treated differently; Thirdly, there are legal channels for correcting wrong executions. If a person is wrongly added as a party to the execution or has his/her funds wrongly seized, he/she should raise objections, apply for reconsideration, and request reversal as soon as possible; Fourthly, the execution reversal includes accrued interests. If the person who obtains the property refuses to return it, the execution can be enforced. For cases involving the subject of the unit and the contractual relationship, reference can be made to the relevant provisions.Business and contract disputes in enterprisesColumn. It is recommended to entrust a professional lawyer as soon as possible to clarify the property attributes and procedural nodes.

VI. Frequently Asked Questions

Q1: Can schools and hospitals be subject to enforcement measures?

Yes, but there are limitations. If schools and hospitals, as legal or non-legal entities, fail to fulfill their obligations under effective legal documents, the people's courts may take enforcement measures against them. However, for legal persons of public welfare institutions, the property used for teaching, medical care, and other public welfare undertakings shall not be subject to compulsory enforcement according to law, while non-public welfare property can still be enforced. Private schools and private hospitals often have business attributes, so there is relatively more room for enforcement. The key to judgment lies in whether the property to be enforced maintains its public welfare function. It is recommended to clarify the nature of the unit and the use of the property before applying for enforcement.

Q2: What evidence do schools and hospitals need to collect in order to implement the policy?

The following materials should be prepared: execution documents such as effective judgments and execution rulings; the main registration information of schools or hospitals, such as certificates of legal person of public institutions and industrial and commercial registration; the clues of the property to be executed, including accounts, real estate, vehicles, and descriptions of their uses; materials proving that the property is not for public welfare, such as operating income and lease contracts; and, if claiming wrongful execution, prepare additional rulings, records of deductions, and objection materials. These materials are used to prove the enforceability and scope of the property, and form the basis for applying for enforcement and raising objections.

Q3: How much does it cost to operate schools and hospitals?

The application for enforcement itself charges an execution fee based on the amount of the execution, which, according to the law, can be borne by the party subject to enforcement. If a lawyer is hired to assist, the lawyer's fee will be negotiated based on the complexity of the case, with no uniform standard. If the case involves execution objections, reconsideration, or reversal, the workload and corresponding costs may increase. The specific amount will be evaluated based on factors such as the difficulty of asset identification and whether it is necessary to investigate the nature of the unit. It is recommended to first make a preliminary judgment on the path and then decide on the budget.

Q4: How long does it usually take to carry out this kind of execution?

If the property is clear and uncontested, the execution may proceed within a few months; if it involves the identification of public welfare property, objections from third parties, or the reversal of execution, the period will be extended, and the overlapping of objection, review, and reversal procedures may take even longer. It is particularly important to grasp the procedural nodes when correcting erroneous executions, as delays may lead to greater losses. The key is to submit property clues and subject information as soon as possible to avoid procedural repetitions.

Q5: How to correct mistakes made by schools and hospitals?

The first step is to confirm the nature of the school or hospital and the ownership of the property under its name, distinguishing between public welfare and non-public welfare; the second step is to apply for the seizure, attachment, and freezing of non-public welfare property in accordance with the law; the third step is to raise an execution objection in time if the property is wrongly added or deducted, and appeal if necessary; the fourth step is to apply for the reversal of the original execution basis and request the return of the property and its accrued interest; the fifth step is to entrust a lawyer to follow up when necessary. For reference, please refer to the following link:Beijing Henglu Law FirmA description of similar implementation experiences on the official website.

The above answer is based on the judicial practice in Beijing. The adjudicative guidelines in other provinces and cities may vary. For specific cases, please refer to the local rules and evidence situation.

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. →Legal services for creditor-debtor disputes·Attorney Ma Qianwen·Beijing Henglue Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and open adjudication rules, and is 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 you encounter disputes, please consult a practicing lawyer in time.