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Product acceptance is a basic concept that China sourcing buyers often overlook. It asks when the buyer is treated as having accepted goods, and when the buyer can still argue that quantity or quality does not match the contract.

Many buyers receive goods, warehouse them, distribute them, list them online, or resell them. Weeks or months later, defects appear. The supplier’s common response is: you accepted the goods, or you notified too late.

The short definition

Inspection is the act of checking. Acceptance is the consequence. A buyer can inspect and reject. A buyer can also fail to inspect carefully and still be treated as having accepted.

Articles 620 and 621 of the PRC Civil Code address inspection and notice rules in sales contracts. In simple terms, if there is an agreed inspection period, the buyer should notify nonconformity within that period. If there is no agreed period, the buyer should inspect in time and notify within a reasonable time after discovering, or when it should have discovered, the issue.

Statute Arts. 620-621 inspection and notice

Arts. 620-621www.court.gov.cn中华人民共和国民法典 - 中华人民共和国最高人民法院最高人民法院政务网站,最高人民法院网,最高人民法院,最高人民法院网是人民群众了解和联系最高人民法院的重要窗口,承载着司法公开、法治宣传、服务群众、接受监督等重要使命。是最高人民法院的政务网站,是最高人民法院在互联网上唯一的正式身份。www.court.gov.cn: miss the agreed inspection period without notice and the goods are deemed conforming. Without an agreed period, notify within a reasonable time, capped at two years from receipt unless a quality guarantee period applies.

Why the inspection period matters

A clear inspection period reduces argument.

For example, a contract may say that the buyer has 7 days after receipt to check appearance and quantity, and 30 days to complete basic function testing. Defects must be notified in writing. That creates a workable structure.

If the contract says nothing, the parties may later fight over what timely inspection means, what reasonable time means, and when the buyer should have discovered the problem.

Apparent and hidden defects

Apparent defects are problems that ordinary checking can reveal at receipt. Examples include wrong quantity, obvious color error, damaged packaging, and wrong model.

Statute Art. 622 short period, apparent defects only

Art. 622www.court.gov.cn中华人民共和国民法典 - 中华人民共和国最高人民法院最高人民法院政务网站,最高人民法院网,最高人民法院,最高人民法院网是人民群众了解和联系最高人民法院的重要窗口,承载着司法公开、法治宣传、服务群众、接受监督等重要使命。是最高人民法院的政务网站,是最高人民法院在互联网上唯一的正式身份。www.court.gov.cn: if the agreed inspection period is too short for a full check given the nature of the goods, it is treated as covering only apparent defects. Hidden defects still get a reasonable time.

Hidden defects require use, testing, or time to appear. Examples include durability problems, electronic performance, internal structure, and long-term stability.

The contract should not mix them together. It should state different inspection methods, notice times, and supplier responsibilities.

Statute Art. 623 signed delivery notes

Art. 623www.court.gov.cn中华人民共和国民法典 - 中华人民共和国最高人民法院最高人民法院政务网站,最高人民法院网,最高人民法院,最高人民法院网是人民群众了解和联系最高人民法院的重要窗口,承载着司法公开、法治宣传、服务群众、接受监督等重要使命。是最高人民法院的政务网站,是最高人民法院在互联网上唯一的正式身份。www.court.gov.cn: with no agreed inspection period, a signed delivery note or confirmation listing quantity, model, and specifications is presumed to show you inspected quantity and apparent defects. Contrary evidence can rebut it.

What to do after finding defects

First, preserve the goods . Do not rush to sell, repair, or discard everything.

Evidence Keep originals and samples

Chinese courts expect originals: a movable submitted as evidence should be the original item. Keep defective and conforming samples, photos, and the document chain before selling or reworking under the SPC evidence rulesipc.court.gov.cn最高人民法院关于民事诉讼证据的若干规定(2019修正) - 最高人民法院知识产权法庭最高人民法院知识产权法庭网是人民群众了解和联系最高人民法院知识产权法庭的重要窗口,承载着司法公开、法治宣传、服务群众、接受监督等重要使命。是最高人民法院知识产权法庭的政务网站,是最高人民法院知识产权法庭在互联网上唯一的正式身份。ipc.court.gov.cn.

Second, take photos and videos, keep samples, and organize the order, PI, PO, contract, inspection report, and communications.

Third, send a quality objection notice in the method required by the contract. If there is no method, use a traceable written method quickly.

Evidence Make the notice provable

The notice is what stops the Art. 621 clock, so keep proof it reached the supplier: a specific written message sent by a traceable channel, with delivery records retained. Chat complaints without detail are weak substitutes.

Fourth, state the problem, quantity, batch, evidence, and requested remedy, such as rework, replacement, discount, refund, or suspension of balance payment.

Common mistakes

The contract has no acceptance period, and the parties only discuss standards after the dispute starts.

The buyer resells the goods first and later tries to prove defects after the condition of goods and evidence has become messy.

The buyer complains in chat but never sends a formal quality notice.

The buyer confuses a platform dispute window with legal inspection and notice rules.

The buyer fails to separate apparent defects from hidden defects.

The bottom line

Product acceptance is not just a warehouse process. It is the starting point for quality claims. A clear acceptance clause helps the buyer prove timely inspection, timely notice, and supplier responsibility.

If you have received goods from a Chinese supplier and are unsure whether you can still raise a quality objection, contact me.

References

  1. Supreme People’s Court, PRC Civil Code, including Articles 620-623: https://www.court.gov.cn/zixun/xiangqing/233181.htmlwww.court.gov.cn中华人民共和国民法典 - 中华人民共和国最高人民法院最高人民法院政务网站,最高人民法院网,最高人民法院,最高人民法院网是人民群众了解和联系最高人民法院的重要窗口,承载着司法公开、法治宣传、服务群众、接受监督等重要使命。是最高人民法院的政务网站,是最高人民法院在互联网上唯一的正式身份。www.court.gov.cn
  2. Supreme People’s Court, Provisions on Evidence in Civil Proceedings (2019 revision), including Articles 11-15: https://ipc.court.gov.cn/zh-cn/news/view-393.htmlipc.court.gov.cn最高人民法院关于民事诉讼证据的若干规定(2019修正) - 最高人民法院知识产权法庭最高人民法院知识产权法庭网是人民群众了解和联系最高人民法院知识产权法庭的重要窗口,承载着司法公开、法治宣传、服务群众、接受监督等重要使命。是最高人民法院知识产权法庭的政务网站,是最高人民法院知识产权法庭在互联网上唯一的正式身份。ipc.court.gov.cn
  3. UNCITRAL, United Nations Convention on Contracts for the International Sale of Goods, including Articles 38-39: https://uncitral.un.org/sites/uncitral.un.org/files/media-documents/uncitral/en/19-09951_e_ebook.pdfuncitral.un.orguncitral.un.org

This article is part of the China Legal Glossary series. Related reading: What Is Quality Inspection in China?, Chinese Supplier Shipped Defective Goods, and Evidence That Holds Up in China Arbitration.

Frequently Asked Questions

What does product acceptance mean?

It is the point at which the buyer checks and accepts goods as conforming. Express confirmation, signing delivery notes, silence, or missing notice periods can affect claims.

Is inspection the same as acceptance?

No. Inspection is the checking act. Acceptance is the commercial and legal consequence. Inspection helps decide whether to accept.

When should defects be reported?

If the contract has an inspection period, notify within that period. If not, notify within a reasonable time after discovering or when the buyer should have discovered the problem.