[Direct answer]In the Beijing area, pre-litigation property preservation refers to the measure of seizing, freezing, or detaining the other party's property before filing a lawsuit, when the situation is urgent and failure to immediately preserve the property will cause irreparable damage to legitimate rights and interests. According to Article 104 of the Civil Procedure Law of the People's Republic of China (amended in 2021 and implemented on January 1, 2022), the applicant shall provide a guarantee. If no guarantee is provided, the court will reject the application. Within 30 days after the adoption of the preservation measures, the applicant must file a lawsuit or apply for arbitration, otherwise the court will lift the preservation measures. The application shall include a preservation application form, guarantee materials, clear property clues, and preliminary evidence of creditor's rights and debt. It can effectively prevent the other party from transferring assets, increase the chances of recovering payments, and strengthen the bargaining position. For more details, please refer to the following link:Creditor-debtor relations and enforcement case services.

I. Problem Background and Typical Scenarios

Pre-litigation property preservation is commonly used in creditor disputes such as defaulted loans, unpaid debts, and breach of contract. Typical scenarios include: discovering that the debtor is transferring property, closing accounts, or preparing to flee the country, and the creditor is worried that there will be no property to enforce after suing; the counterparty suddenly losing contact or operating abnormally, and the creditor's claim may be at risk; and multiple creditors competing to claim and the first preservationist receiving priority compensation. Many creditors mistakenly believe that they must "first finish the lawsuit" before seizing property, missing the best opportunity for preservation. In practice, freezing the other party's accounts or seizing assets before suing often forces the other party to actively settle the debt and repay the money. The related contractual claims can be sorted out in combination withBusiness and contract dispute services for enterprisesAnalysis and judgment.

II. Key points of contention

There are three main points of contention and review in pre-litigation preservation. Firstly, the urgency of the situation and the necessity of preservation: the applicant must prove that failure to immediately preserve the evidence will result in irreparable damage, and the court will review whether to accept the application based on this. Secondly, the matching of the guarantee with the subject of preservation: the amount of the guarantee is usually equivalent to the amount requested for preservation, and insufficient guarantees may be rejected. Thirdly, the clarity of the property clues: the applicant should provide specific account information, real estate title certificate numbers, or vehicle information, etc. If the clues are vague, it will be difficult for the court to enforce the order. Regarding the scope of the subject of preservation, reference can be made to the relevant provisions of the Civil Procedure Law of the People's Republic of China.Real estate sales and construction project servicesVerify the real estate clues.

III. Professional analysis by Hengluo Lawyers

The following is a real case handled by Beijing Henglu Law Firm. Ms. Chen, the plaintiff, provided wooden door installation (including labor and materials) for the defendant, a construction engineering company. However, the defendant defaulted on the payment for the materials, indicating the existence of a factual sales relationship between the two parties. Ms. Chen entrusted Beijing Henglu Law Firm to handle the case on her behalf.Tian Jia YanThe lawyer (practice license number: 11101202111381309, subject to the document issued by the judicial administrative organ) acts as the agent. After accepting the entrustment, the lawyer immediately applied for pre-litigation property preservation, seizing the defendant's bank deposits of 770,000 yuan or equivalent property, and assisted in organizing evidence such as IOUs, bank transfers, collection letters, mailing information, SMS screenshots, phone recordings, preservation guarantee fee invoices, and enterprise credit reports, forming a complete chain of evidence. The plaintiff requested the defendant to pay the purchase price and the preservation guarantee fees for rights protection; the defendant failed to appear in court for defense after being legally summoned. The court held that the defendant issued an IOU confirming the debt and stamped it with the company's official seal, and should perform its obligations according to the contract. In accordance with Articles 509 and 579 of the Civil Code of the People's Republic of China and Article 147 of the Civil Procedure Law of the People's Republic of China, the court ruled that the defendant should pay the plaintiff 770,000 yuan in purchase price and 700 yuan in preservation guarantee fees within 15 days after the judgment takes effect. The plaintiff's litigation fees, which were reduced by half, amounted to 4,175 yuan, and the preservation fees of 4,370 yuan were all borne by the defendant. This lawsuit prompted the other party to repay the debt quickly, highlighting the value of pre-litigation property preservation in applying pressure. 律师(执业证号:11101202111381309,以司法行政机关核发证件为准)代理。律师受委托后立即申请诉前财产保全,查封被告77万元银行存款或等额财产,并协助整理欠条、银行转账、催款函及邮寄信息、短信截图、电话录音、保全担保费发票、企业信用报告等证据,形成完整证据链。原告请求被告支付货款及维权支出的保全担保费等费用;被告经合法传唤未到庭答辩。法院审理认为,被告出具欠条确认欠款并加盖公章,应按约履行义务,依照《中华人民共和国民法典》第五百零九条、第五百七十九条及《中华人民共和国民事诉讼法》第一百四十七条,判决被告于判决生效后十五日内给付原告货款77万元、保全担保费700元,案件受理费减半收取4175元、保全费4370元均由被告承担。一场官司促使对方快速还款,凸显诉前保全的施压价值。

IV. Practical suggestions and legal basis

The core basis is Article 104 (Pre-litigation Preservation and Guarantee, and 30-Day Litigation Deadline) and Article 103 (Scope and Measures of Preservation) of the Civil Procedure Law of the People's Republic of China (amended on December 24, 2021 and implemented on January 1, 2022); and the "Measures for the Payment of Litigation Fees" (implemented on April 1, 2007) regarding the standard of preservation application fees (actual preservation amount not exceeding 1,000 yuan, with a fee of 30 yuan per case; for amounts exceeding 1,000 yuan but not exceeding 100,000 yuan, a fee of 1% shall be charged; for amounts exceeding 100,000 yuan, a fee of 0.5% shall be charged, with a maximum limit of 5,000 yuan). Practical suggestions: Sort out the other party's property clues such as banks, real estate, and vehicles before suing; prepare sufficient guarantees (guarantee letters or cash); draft a preservation application with complete elements and attach preliminary evidence; immediately file a case within 30 days after preservation to avoid the preservation being lifted; and claim that the losing party bear the preservation fees and guarantee fees together. For cross-regional preservation, it can be followed up accordingly.Special services and other case servicesAdvance.

5. Henglu Law Firm's Advice

The key to pre-litigation preservation lies in "speed" and "accuracy". The clues should be specific to avoid being rejected for simply stating "the other party has assets"; the guarantee should be sufficient to prevent the court from rejecting it due to insufficient guarantee; and it is also necessary to strictly observe the 30-day litigation period, otherwise all previous efforts will be in vain. Preservation is just a means of fixing assets, and the final recovery of the money still depends on subsequent litigation and enforcement. One should not think that seizing the assets is the end of the matter. If any signs of transfer by the other party are found, a lawyer should be engaged immediately to assist in the case.Creditor-debtor relations and enforcement case servicesSimultaneously advance preservation of evidence and litigation to seize the initiative in protecting rights.

VI. Frequently Asked Questions

Q1: For an application for pre-litigation property preservation, will the court generally grant approval?

Whether the court supports the application depends on whether the application meets the statutory conditions, rather than the applicant's subjective wishes. According to Article 104 of the Civil Procedure Law, it is necessary to meet three requirements at the same time: "the situation is urgent and the failure to preserve the evidence will result in irreparable damage", "the applicant provides corresponding guarantees", and "there are clear clues to the property and preliminary evidence of rights". If the materials are complete, the guarantees are sufficient, and the clues are specific, the court usually rules and takes preservation measures within 48 hours. However, if the guarantees are insufficient, the clues are vague, or there is a lack of preliminary proof of creditor's rights, there is a higher risk of the application being rejected. It should be noted that successful preservation does not equal a final victory in the substantive case. The creditor's rights still need to be confirmed through litigation and enforced. Therefore, preservation measures should not be mistaken for the final outcome.

Q2: To apply for pre-litigation preservation, what materials do I need to prepare?

The core materials include: a preservation application (specifying the types of property, amounts, and clues requested for preservation, as well as the emergency situation and reasons); guarantee materials (insurance company guarantees, bank guarantees, or cash deposits, the amount of which is generally equivalent to the amount requested for preservation); evidence of the applicant's identity and status; preliminary evidence of the creditor's rights (contracts, IOUs, transfer receipts, account statements, etc.); and specific property clues (bank account numbers and issuing banks, real estate certificate numbers, vehicle license plate numbers, equity information, etc.). The materials should be organized around the principles of "existence of rights—urgency of the situation—clarity of property—sufficient guarantees". The more precise the clues are, the faster the court will seize and freeze the property. It is recommended to hire a lawyer to assist in obtaining and drafting the materials.

Q3: How much are the guarantee fees, preservation fees, and attorney's fees for pre-litigation preservation?

The application fee for preservation of evidence is charged in accordance with the "Measures for the Payment of Litigation Costs", which is prepaid by the applicant and ultimately borne by the losing party. The standard is as mentioned above (about 4,370 yuan for a case with a target amount of 770,000 yuan). The guarantee fee depends on the guarantee method: a cash deposit incurs no fees but ties up funds; a litigation preservation liability insurance guarantee is typically charged at a few percent of the preservation amount, depending on the insurer's rates. Lawyer's fees are related to the complexity of the case and the target amount, and are charged on a per-case or pro-rata basis, subject to the terms of the contract. Among the above-mentioned fees, reasonable preservation and guarantee fees can be claimed to be borne by the losing party. In this case, the preservation guarantee fee was ruled to be borne by the other party, but lawyer's fees are generally borne by each party separately.

Q4: How long does it usually take to freeze the other party's assets after obtaining pre-litigation preservation orders?

After the court accepts the pre-litigation preservation request, it shall make a ruling on the urgent cases within 48 hours. The ruling to implement the preservation measures shall take effect immediately. Freezing accounts or seizing real estate is usually completed within a few days. However, it should be noted that after the ruling, the applicant must file a lawsuit or arbitration within 30 days, otherwise the preservation measures will be lifted and the property will be unfrozen. The actual recovery of the funds depends on the subsequent litigation and enforcement cycles. The ordinary procedure of the first instance lasts six months, and the summary procedure lasts three months. After the judgment takes effect, the applicant can apply for enforcement. Overall, pre-litigation preservation can quickly lock in the property, but the complete recovery of the funds often takes months or even years. It is recommended to proceed with the preservation and filing of the case simultaneously.

Q5: I want to apply for pre-litigation preservation. What should I do specifically in the first step?

It is recommended to proceed in four steps: First, immediately investigate the other party's property clues, including bank accounts, real estate, vehicles, equity, and accounts receivable. The more specific the clues are, the better. Second, prepare guarantees. You can contact insurance companies to issue litigation preservation liability insurance guarantees, or prepare cash deposits. Third, draft a preservation application and attach preliminary evidence of creditor's rights and property clues, and submit it to the court where the preserved property is located, the defendant's residence, or a court with jurisdiction. Fourth, immediately file a lawsuit within 30 days after the court grants the preservation order, and claim that the losing party should bear the preservation fees and guarantee fees. Throughout the process, it is recommended to entrust a lawyer to control the materials and deadlines, and seek help when necessary.Financial capital and cross-border legal services involving foreign affairsHandle complex creditor's rights cases.

The above questions and answers are mainly based on judicial practices in Beijing. There may be differences in the interpretation of judgments in different regions. It is recommended to consult a professional lawyer based on the specific circumstances of the case.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the relevant evidence materials, to avoid missing the statutory time limit.\nLegal services for creditor-debtor disputes·Attorney Tian Jiaoyan·Beijing Henglu Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and publicly available 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. In the event of a dispute, please consult a practicing lawyer in a timely manner.