Unpaid Feed Supply Debt Leads to Court Judgment for 23,310 Yuan in Eastern China

Unpaid Feed Supply Debt Leads to Court Judgment for 23,310 Yuan in Eastern China

CASE OVERVIEW
A civil court in Eastern China has ruled in favor of a饲料 company seeking payment for unpaid goods. The defendant, a buyer of pig premix feed, was ordered to pay 23,310 yuan in outstanding货款, plus legal costs, after failing to honor a repayment plan. The total original debt was 33,310 yuan, with 10,000 yuan repaid during proceedings.

CASE BACKGROUND AND FACTS
The plaintiff, a饲料 company based in Eastern China, and the defendant, Mr. Feng, had an ongoing business relationship involving the sale of pig premix feed and related goods. By December 26, 2008, after a formal reconciliation of accounts, the defendant acknowledged owing the plaintiff 33,310 yuan in unpaid货款. Mr. Feng signed a reconciliation receipt confirming this amount.

In an effort to resolve the debt amicably, the parties later entered into a repayment plan. On August 9, 2010, the defendant issued a written repayment plan to the plaintiff, promising to pay off the outstanding balance in installments by October 30, 2010. Despite this commitment, the defendant made no payments according to the agreed schedule. The plaintiff sent representatives multiple times to demand payment, but these efforts were unsuccessful. Consequently, the plaintiff initiated legal proceedings to recover the full amount of 33,310 yuan.

COURT PROCEEDINGS AND EVIDENCE
The plaintiff submitted two key pieces of evidence to the court: a reconciliation receipt dated December 26, 2008, signed by the defendant, and the written repayment plan dated August 9, 2010. The defendant did not file a defense, appear in court, or submit any evidence. Because the defendant failed to appear, the court reviewed the plaintiff’s evidence in conjunction with the plaintiff’s oral statements during the hearing. The court determined that the evidence met the legal standards for admissibility and credibility, and it was accepted as proof of the facts alleged by the plaintiff.

During the course of the litigation, the defendant made a partial payment of 10,000 yuan to the plaintiff, reducing the outstanding debt to 23,310 yuan.

COURT FINDINGS AND JUDGMENT
The court found that a valid and legally binding sales contract existed between the plaintiff and the defendant. The defendant’s failure to pay the full amount of货款 in a timely manner was the primary cause of the dispute. The court held that the defendant bore corresponding civil liability for this breach.

The court ruled that the plaintiff’s claim was legally sound and supported by the evidence. The judgment ordered the defendant to pay the remaining 23,310 yuan in货款 to the plaintiff within ten days of the judgment taking effect. If the defendant failed to make the payment within the specified period, the court ordered that interest on the delayed payment would accrue at double the standard rate, as provided by law. The defendant was also ordered to bear the court costs of 216.5 yuan, to be paid within seven days of the judgment taking effect.

KEY LEGAL PRINCIPLES
This case illustrates the application of Article 159 of the Contract Law of the People’s Republic of China, which requires a buyer to pay the agreed price for purchased goods. The court reinforced the principle that a signed reconciliation receipt and a written repayment plan constitute strong evidence of a debt obligation. The judgment also highlights the consequences of failing to respond to a lawsuit, as the defendant’s absence did not prevent the court from ruling based on the plaintiff’s uncontested evidence.

PRACTICAL INSIGHTS
For businesses engaged in credit sales, this case underscores the importance of obtaining written acknowledgments of debt from buyers. A signed reconciliation receipt and a repayment plan can serve as critical evidence in court. Additionally, the case demonstrates that partial payment during litigation does not extinguish the full claim; the plaintiff is entitled to pursue the remaining balance. Sellers should also be aware that court costs may be recoverable from the defaulting buyer.

LEGAL REFERENCES
Contract Law of the People’s Republic of China, Article 159.
Civil Procedure Law of the People’s Republic of China, Article 130.

DISCLAIMER
This article is for informational purposes only and does not constitute legal advice. Readers should consult a qualified attorney for advice regarding their individual circumstances. The content is based on a publicly available court judgment and has been anonymized for privacy.