Tongfang Dynamics | Lawyer Xu Peng'en from our firm receives a commendation banner.
Tongfang Honor
2024-05-15
On May 15, 2024, Ms. Liu presented a banner to Attorney Xu Peng'en of our firm. The banner read: “Dedicated and Honest, Fearless in the Face of Power, Expert in Practice, and Providing High-Quality Service,” expressing Ms. Liu’s deep gratitude for Attorney Xu Peng'en’s wholehearted commitment to legal work and further highlighting her high praise for Tongfang Lawyers’ professional competence.
Photo / Partner and Senior Partner, Attorney Zhao Jing
Attorney Xu Peng'en poses for a commemorative photo with his client.
Case Summary
The injured party, Ms. Liu, suffered economic losses exceeding 600,000 yuan due to an accident involving a vehicle owned by a certain logistics company. The logistics company claimed exemption from liability by arguing that it had leased the vehicle to a transportation company. In turn, the transportation company asserted exemption from liability by contending that it had subcontracted the vehicle to the driver under the terms of a framework agreement. However, the driver lacks the financial means to provide compensation. Ms. Liu has entrusted her case to Attorney Xu Peng'en of Tongfang Law Firm, seeking legal assistance on how to hold the companies liable for damages.
Attorney Xu Peng'en's View
Through the Framework Agreement, the transportation company contracts vehicles to drivers, which appears to be a contracting relationship and thus suggests that the company should not bear liability for compensation. However, in essence, this arrangement constitutes an employment relationship, making the transportation company the entity liable for compensation. By signing the Framework Agreement with drivers and using a work platform to assign transportation tasks to them, the transportation company aims precisely to evade the status of an employer and avoid its employment-related responsibilities. It seeks only to reap the benefits derived from the drivers’ transportation work while sidestepping the associated employment risks. This practice effectively uses the façade of a contracting relationship under the Framework Agreement to conceal the true nature of an employment relationship. Therefore, the transportation company should be held as the primary entity liable for compensation.
Case verdict
The final judgment in this case was rendered by the Shenyang Intermediate People's Court. Based on the view that the transportation company enjoyed operational benefits from the vehicle involved in the case, the court ordered the transportation company and the driver to bear joint and several liability for compensation.
Thanks to Attorney Xu Peng'en's efforts, the litigation goal was ultimately achieved—successfully establishing the transportation company as the party liable for compensation, thereby ensuring that Ms. Liu’s case could be smoothly compensated.
Attorney Xu Peng'en pointed out that legal relationships cannot be determined solely by the name of the contract or its superficial provisions; rather, one must examine the specific obligations undertaken by each party in the actual performance of the contract and penetrate to uncover the underlying legal relationship.
Xu Peng'en
Attorney at Tongfang Law Firm
In 2018, I obtained the title of Fourth-Level Lawyer. In 2020, I was elected as a member of the Financial and Insurance Law Specialized Committee and the Tort Law Specialized Committee of the Shenyang Lawyers Association. Also in 2020, I was appointed as a member of the Shenyang Legal Aid Center. In 2024, I was selected as a member of the Financial and Insurance Law Specialized Committee of the Liaoning Provincial Lawyers Association. Each year, I handle approximately 200 litigation cases and have extensive experience in court trials. For many years, I have served as legal counsel to the People's Government of Heping District in Shenyang, as well as to insurance companies and property management companies.
Areas of expertise:
Insurance contracts, labor disputes, work-related injury disputes, traffic accident liability disputes, marriage, inheritance, and other related areas.
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