Issuing Body: Guozun Cathay Associates Georgia Office
Date of Conclusion: 20 May 2026
Core Outcome: The case was fully resolved through non-litigious settlement. The institution shall bear all long-term medical rehabilitation expenses for the child, and pay liquidated damages for breach of contract as well as service compensation.
This case was jointly handled by Guozun Cathay Associates Georgia Office and the Foreign-Related Dispute Resolution Team of the Beijing Headquarters. Strictly adhering to the laws of China and Georgia and the conflict-of-law rules for contracts under private international law, and drawing on Guozun’s experience in cross-border medical legal services and practice qualifications in both jurisdictions, we delivered a full-chain, human-centric cross-border rights protection solution to the Chinese client.
This case has been included in Guozun’s 2026 Typical Case Library for Foreign-Related Civil Dispute Resolution. Its case-handling model of “mutual evidence recognition across two jurisdictions + linkage with local regulators + priority of medical rights and interests” has been widely applied in the resolution of Eurasian cross-border medical service disputes.
I. Case Background and Engagement Process
To fulfil their reproductive needs, the Chinese client signed a service contract and a "guaranteed success" package agreement with a leading assisted reproductive institution in Georgia. The agreement stipulated that the institution would provide full-process assisted reproductive technical support, gestational carrier pregnancy management, delivery support and follow-up coordination services. The two parties formally established a cooperative relationship in September 2024, and the initial diagnosis, treatment and early pregnancy procedures proceeded smoothly.
In March 2025, routine antenatal check-ups of the gestational carrier detected cervical shortening and other clear signs of preterm labour risk, but the institution failed to provide the client with medical risk warnings and plan briefings. In May 2025, the gestational carrier underwent an emergency caesarean section due to severe preeclampsia. The preterm infant was admitted to the intensive care unit immediately after birth, and was diagnosed with severe neurological damage such as severe cerebral haemorrhage and hydrocephalus, requiring lifelong medical intervention and rehabilitation training. While being fully aware of the newborn’s serious condition, the institution concealed the true diagnosis and issued a final payment invoice to the client, who paid the remaining service fee of USD 11,000 without knowledge of the condition. The client later learned the true condition of the child through a local third-party channel, and multiple self-negotiations with the institution on issues such as medical expense bearing and breach of information disclosure obligation reached a deadlock.
In June 2025, the client was connected to the Georgia Office through Guozun’s Beijing Headquarters. Given the three core difficulties of the case – determination of liability for breach of cross-border medical service contracts, collection of overseas medical evidence, and cross-border protection of minors’ rights and interests – the Georgia Office activated the "Sino-Georgian Emergency Collaborative Case Handling Mechanism" on the same day, and jointly set up a dedicated case team of 4 lawyers (including 2 locally practising lawyers in Georgia and 2 members of the Beijing Lawyers Association’s Foreign-Related Lawyer Talent Pool) with the Beijing Headquarters, to fully represent the client in rights protection and claim for damages.
II. Full Process of Sino-Georgian Joint Case Handling
This case adopted a standardised collaborative model: Beijing Headquarters is responsible for legal scheme coordination under Chinese law and connection of the client’s rights and interests; Georgia Office is responsible for local medical evidence fixation and negotiation with the institution. All links have written records and verifiable outcomes:
1.16 June 2025 – 22 June 2025: Cross-Jurisdictional Case Risk Assessment
a.Beijing Headquarters: Completed preliminary sorting of the service contract, payment vouchers and cross-border communication records between the two parties, and issued the Report on Determination of Contract Breach and Assessment of Damages under Chinese Law. It confirmed that the facts of the institution’s violation of the risk notification obligation and the prudent pregnancy management obligation were clear, the client had sufficient legal basis to claim medical expense compensation and liability for breach of contract, and preliminary calculation of the scope of damages was completed simultaneously.
b.Georgia Office: Relying on the information inquiry channel of the Georgian medical regulatory authority and the cooperative network of local medical institutions, it verified the practice qualification of the assisted reproductive institution involved, the full-cycle antenatal examination records of the gestational carrier, and the medical records and diagnosis reports of the newborn after birth within 3 working days. It ruled out the risk of the institution being unqualified or unable to pay compensation, and preliminarily fixed the key medical evidence that the institution failed to perform the risk notification obligation.
2.23 June 2025 – 15 July 2025: Full-Chain Evidence Fixation and Validity Reinforcement across Two Jurisdictions
a.Beijing Headquarters: In accordance with the Several Provisions of the Supreme People's Court on Evidence in Civil Procedures, it conducted hash value verification and timestamp fixation on all electronic data held by the client, including electronic contracts, cross-border payment records and chat communication records. The Beijing Notary Public Office issued a notarial certificate for electronic evidence to ensure the admissibility of evidence in Chinese judicial proceedings, and meanwhile improved the legal argumentation system for breach losses.
b.Georgia Office: Liaised with the Georgian national notary authority, and in accordance with relevant provisions of the Georgian Notary Law and Medical Service Law, obtained original antenatal examination records, newborn diagnosis certificates, ventriculoperitoneal shunt surgery records and other medical documents issued by local public hospitals and completed local notarisation. Meanwhile, it conducted compliance verification on the institution’s service performance process, formed a complete local evidence chain, and reinforced the probative force of the institution’s breach of contract.
3.16 July 2025 – 5 August 2025: Drafting of Legal Documents and First Round of Negotiations
a.Sino-Georgian lawyers jointly drafted a bilingual Lawyer’s Negotiation Letter in Chinese and Georgian, which explicitly cited relevant provisions of the Contract Book of the Chinese Civil Code, and corresponding provisions of the Georgian Contract Law and Consumer Rights Protection Law. It detailed the institution’s breach of contract in pregnancy risk monitoring and newborn condition disclosure, and informed it of a series of legal consequences such as "regulatory administrative penalties + litigation in both jurisdictions + industry credit publicity" if it refused to perform compensation obligations.
b.Georgia Office completed personal service of the legal documents on 20 July 2025 through local on-site delivery, which greatly shortened the communication cycle compared with the traditional diplomatic service route. Simultaneously, it launched the first round of online negotiations, and clearly put forward three core demands: full coverage of the child’s medical expenses, compensation for breach of contract damages, and refund of service fees.
4.6 August 2025 – 9 February 2026: Seesaw Negotiations and Dual-Track Pressure
a.At the initial stage of negotiations, the institution adopted a negative attitude, shirked responsibility on the grounds that "preterm labour is an inherent medical risk" and "it has performed basic service obligations", and refused to bear the child’s long-term rehabilitation expenses. The negotiations once came to a standstill.
b.Beijing Headquarters: Sorted out the institution’s cooperative promotion channels and affiliated entities in China, drafted a notification letter on joint and several liability of domestic partners and an industry complaint plan, forming a backup path for domestic pressure.
c.Georgia Office: Simultaneously sorted out clues of the institution’s practice violations, submitted formal reporting materials to the Georgian medical regulatory authority and the assisted reproductive industry association, and requested administrative inspection on the institution’s violations such as concealing the child’s condition and failing to perform medical monitoring obligations. Meanwhile, it informed the institution of the progress of regulatory reporting and potential penalty consequences, directly narrowing its room for delay and forcing it to return to the negotiating table for substantive consultations on the compensation plan.
5.10 February 2026 – 20 May 2026: Settlement Negotiations and Realisation of Rights and Interests
a.The two parties conducted 7 rounds of online and offline negotiations on matters such as the child’s incurred medical expenses, follow-up rehabilitation expenses, liquidated damages for breach of contract, refund of service fees, and supporting service compensation. The case team demonstrated the reasonableness of compensation claims item by item based on the child’s medical prognosis assessment report and the judgment standards of similar cases. Meanwhile, adhering to the principle of children’s rights and interests priority, it pushed the institution to advance part of the emergency treatment expenses to ensure uninterrupted treatment for the child.
b.On 20 May 2026, the two parties finally signed a comprehensive settlement agreement: the institution shall fully bear all medical expenses already incurred by the child, as well as core rehabilitation and diagnosis and treatment expenses in the following years; refund part of the service fees to the client and pay liquidated damages for breach of contract; and simultaneously provide follow-up supporting assisted reproductive service compensation. The child has received continuous professional medical care in Georgia, and its physical condition has gradually stabilised.
6.22 May 2026: Case Closure and Delivery of Risk Prevention and Control
After the client confirmed that all settlement funds had been implemented and the child’s medical security scheme had officially taken effect, the joint case team delivered the Case Closure Report and the Risk Prevention and Control Manual for Cross-Border Assisted Reproductive Services to the client, and put forward three special recommendations on risk avoidance and rights protection for cross-border reproductive services.
III. Core Case Handling Difficulties and Authoritative Solutions
The difficulties in handling this case are common problems in cross-border assisted reproductive service disputes. Relying on professional capabilities in both jurisdictions and experience in handling medical disputes, the Sino-Georgian joint team has formed a replicable standardised solution:
1.Boundary of Liability for Breach of Cross-Border Medical Service Contracts and Application of Laws across Two Jurisdictions
a.Professional Basis: Article 41 of the Law on the Application of Law for Foreign-Related Civil Relations of the People's Republic of China, provisions on liability for breach of contract in the Contract Book of the Civil Code of the People's Republic of China, and provisions on service contract obligations under the Georgian Contract Law.
b.Solution: First, clarify the rules of law application for the place of contract performance and the place with the closest connection. Combined with the contract agreement and service performance characteristics, establish a dual-jurisdiction reference standard for determining liability for breach of contract. Define the "dynamic pregnancy risk monitoring obligation" and "timely notification obligation for true medical conditions" as the core contractual obligations of the service institution, rather than general incidental obligations, so as to consolidate the legal basis for determining breach of contract.
2.Cross-Border Evidence Difficulties in Medical Negligence and Information Concealment
a.Professional Basis: Evidence rules of the Civil Procedure Law of the People's Republic of China, provisions on the notification obligation of medical institutions under the Georgian Medical Service Law, and relevant principles of the Convention on the Taking of Evidence Abroad in Civil or Commercial Matters.
b.Solution: Adopt a dual evidence fixation model of "notarisation of client’s evidence domestically + official collection and notarisation of overseas medical documents". Local Georgian lawyers directly liaise with medical institutions to obtain original medical records, and restore the complete logical chain of "risk occurrence – failure to notify – preterm labour – concealment of condition – demand for payment" through timeline comparison, directly proving the institution’s subjective fault and breach of contract.
3.Efficient Resolution of Cross-Border Disputes and Protection of Minors’ Rights and Interests
a.Professional Basis: The principle of the best interests of the child under the United Nations Convention on the Rights of the Child, and relevant provisions of China and Georgia on civil dispute resolution.
b.Solution: Abandon the single litigation path, adopt a diversified dispute resolution mechanism of "negotiation as the mainstay, supplemented by regulatory pressure". Take the child’s emergency medical treatment needs as a priority in negotiations, and push the institution to perform treatment guarantee obligations first. Meanwhile, rely on administrative constraints from local regulatory channels to narrow the institution’s room for delay, and achieve efficient settlement on the premise of protecting children’s rights and interests, so as to avoid delays in the child’s treatment caused by lengthy cross-border litigation.
IV. Applicable Authoritative Legal Basis for This Case
(1) Chinese Laws
1.Article 465 of the Civil Code of the People's Republic of China: A lawfully formed contract is protected by law. A lawfully formed contract is legally binding only on the parties concerned, except as otherwise provided by law.
2.Article 509 of the Civil Code of the People's Republic of China: The parties shall fully perform their respective obligations in accordance with the contract.
3.Article 577 of the Civil Code of the People's Republic of China: Where a party fails to perform its contractual obligations or the performance does not conform to the contract, it shall bear the liabilities for breach of contract such as continued performance, taking remedial measures or compensation for losses.
4.Article 41 of the Law on the Application of Law for Foreign-Related Civil Relations of the People's Republic of China: The parties may choose the law applicable to the contract by agreement. If no choice is made, the law of the place of residence of the party whose performance of obligations best reflects the characteristics of the contract or other laws most closely related to the contract shall apply.
5.Paragraph 1 of Article 67 of the Civil Procedure Law of the People's Republic of China: A party shall have the burden of providing evidence for its own claims.
(2) Georgian Laws
1.Georgian Contract Law: A service provider shall fully and prudently perform service obligations in accordance with contract stipulations and industry norms, and shall have the obligation to timely and truthfully inform of major risks in the service process.
2.Georgian Medical Service Law: Medical service providers and affiliated service institutions shall truthfully inform service recipients of medical risks and diagnosis and treatment conditions, and shall not conceal important medical information affecting rights and interests.
3.Georgian Consumer Rights Protection Law: When providing services to consumers, business operators shall abide by the principle of good faith and protect consumers’ right to know and right to fair dealing.
(3) International Rules
Article 3 of the Convention on the Rights of the Child: In all actions concerning children, whether undertaken by public or private social welfare institutions, courts of law, administrative authorities or legislative bodies, the best interests of the child shall be a primary consideration.
V. Authoritative Practical Recommendations Based on the Experience of This Case
Combined with years of experience in cross-border assisted reproductive legal services of Guozun Cathay Associates Georgia Office, the following three authoritative recommendations are put forward for groups with demand for cross-border reproductive services:
1.Refinement of Contract Rights and Obligations: When signing a service contract, core contents such as pregnancy monitoring standards, time limit and method of risk notification, newborn health protection clauses, and scope of breach compensation shall be clearly agreed in writing. Priority shall be given to agreeing on the applicable law and dispute resolution path that are favourable to oneself, so as to avoid unclear rights and obligations caused by vague expressions such as "guaranteed success".
2.Full-Process Documentation of Medical Risks: During the service process, require the institution to regularly provide written antenatal examination reports and risk assessment statements, properly keep all communication records, payment vouchers and medical documents, and promptly notarise and fix key information, so as to avoid difficulties in producing evidence in case of disputes.
3.Early Intervention in Rights Protection: Once it is found that the institution has concealed information or improperly performed its obligations, entrust a lawyer team with dual-jurisdiction service capabilities to intervene at the first time, so as to avoid delays in evidence fixation and the child’s treatment timing due to self-negotiation. Priority shall be given to a rights protection scheme of "medical security first + compensation promoted simultaneously" to maximise the protection of minors’ rights and interests.