Guiding Case No. 88: Zhang Daowen, Tao Ren et al. v. People's Government of Jianyang City, Sichuan Province (Case about dispute over infringement upon the operational rights of passenger tricycles）
(Issued on November 15, 2017 as deliberated and adopted by the Judicial Committee of the Supreme People's Court)
Guiding Case No. 88
administrative; administrative licensing; time limit; duty to inform; administrative procedure; on confirmation of illegality
Key Points of Judgment
1. The administrative licensing has a statutory time limit. When making an administrative licensing, the administrative organ should explicitly inform the administrative counterpart of the time limit of administrative licensing and the administrative counterpart also has the right to know the time limit of administrative licensing.
2. The people's court does not uphold the claim of the administrative counterpart that the administrative licensing has no time limit only on the ground that the administrative organ does not inform him or her of the time limit.
3. Where the administrative organ does not inform the administrative counterpart of the time limit when making an administrative licensing and afterwards terminates the administrative counterpart's administrative licensing rights on the ground of expiration of the time limit, the administrative organ violates the law in the administrative procedure, and the people's court should legally render a to revoke the alleged administrative act. However, if the on revocation of the alleged administrative act will bring adverse impacts on the public interests and the administrative order, the people's court should render a to confirm that the alleged administrative act violates the law.
On December 12, 1994, the People's Government of Jianyang City, Sichuan Province (hereinafter referred to as the “Government of Jianyang City”) implemented the quota management of passenger-carrying tricycles within the jurisdiction of Jianyang City in the form of an announcement. In August 1996, the Government of Jianyang City collected the paid use fee of CNY3,500 per operator of 240 passenger-carrying tricycles transformed from passenger-carrying elderly mobility scooters. In November 1996, the Government of Jianyang City collected the paid use fee of CNY2,000 per operator of the original 161 passenger-carrying tricycles. From November 1996, the Government of Jianyang City started to implement the paid use of operational rights and the relevant departments also collected the relevant fees on 401 passenger-carrying tricycles within the quota. On July 15 and 28, 1999, with respect to passenger-carrying tricycles whose time limit of paid use exceeded two years, the Government of Jianyang issued the Announcement on Improving the Operation Order of Small Vehicles in Urban Areas (hereinafter referred to as the “Announcement”) and the Supplementary Announcement on Improving the Operation Order of Small Vehicles in Urban Areas (hereinafter referred to as the “Supplementary Announcement”). In particular, the Announcement required that “operators of passenger-carrying tricycles originally with legal licenses must re-register their passenger-carrying tricycles in the office of the Traffic Police Brigade of Jianyang City from July 19 to July 20, 1999” and the Supplementary Announcement required that “the registrants obtaining the operational rights upon examination should pay the fees for paid use for operational rights according to the standard of CNY,000 per passenger-carrying tricycle (or CNY7,200 per passenger-carrying tricycle where the registrants complied with the provisions of Article 6 of the Announcement).” Zhang Daowen, Tao Ren, and other 180 operators of passenger-carrying tricycles deemed that Article 6 of the Announcement and Article 2 of the Supplementary Announcement issued by the Government of Jianyang City constituted double charges, which infringed upon their lawful operational rights. They filed an administrative lawsuit with the People's Court of Jianyang City, Sichuan Province and requested the Court to render a to revoke the aforesaid Announcement and Supplementary Announ