问答题
In 2009 Mr Lee and the villager committee entered into a contract for the management of land, under which he obtained the right to manage the contracted piece of land in a small mountain for 30 years. The contract was duly registered with the relevant government authority in light of the Property Law.
One day when Mr Lee was planting trees on the mountain, he accidentally found a small coal mine in the mountain. Having discovered this information many villagers rushed to the mountain to exploit coal for sale. Mr Lee demanded the villagers stop the exploitation of coal, on the ground that he has been a legitimate holder of the right of management of land. Therefore, he should be a lawful holder of right to the coal mine under the land. On the other hand, the villagers refused to accept Mr Lee’s position and insisted that Mr Lee’s right to management of land would not extend to natural resources under the land. They held that the coal mine should be the common property of the villagers as a whole and they were entitled to dig coal.
Since Mr Lee and the villagers could not reach a settlement themselves, they filed a lawsuit against each other before the court for the determination of right.
Required:
Answer the following questions in accordance with the relevant provisions of the Property Law of China, and give reasons for your answer:
问答题
(a) describe what kind of property right Mr Lee has held regarding the mountain; (2 marks)
【正确答案】In accordance with Articles 117 and 125 of the Property Law, with respect to immovables and movables owned by someone else, a usufructuary is entitled to possess, use and collect proceeds from it in accordance with law. A holder of the right to management of land has the right to possess, utilise and collect proceeds from the cultivated land, woodland and grassland, etc under the contracted management thereof, and is entitled to do such agricultural production activities as planting, forestry, etc. Therefore, Mr Lee’s right to the management of land is a kind of usufructuary right.
【答案解析】
问答题
(b) describe who should hold the ownership of the coal mine in the mountain; (4 marks)
【正确答案】In accordance with Article 46 of the Property Law, mineral resources, water and sea areas shall be in the ownership of the State. Therefore, the ownership of the coal mine shall neither belong to Mr Lee, nor belong to the villagers as a whole. Although Mr Lee is a legitimate holder of the right to management of land, this right could not extend to the natural resources under the land. The usufructuary right of Mr Lee could not prevail over the ownership of the natural resources held by the State.
【答案解析】
问答题
(c) state how the court should deal with the claim brought by Mr Lee for damages against villagers because some of the trees in the land were destroyed by villagers in digging coal. (4 marks)
【正确答案】In accordance with Article 121 of the Property Law, the ownership of the natural resources does not affect Mr Lee’s right to the management of land. The right of management of land is protected by the Property Law and other relevant laws. Since villagers were not the right holders to the management of land and coal under the land, they should be liable for the damages to the trees incurred for their illegal actions in digging coal in Mr Lee’s mountain.