Summary of Key Points
One of the founders of Yili, Zheng Junhuai, has filed another lawsuit against the company after many years to claim back his unpaid salary (amounting to over 5.84 million yuan for the 2003-2004 years) and to request the implementation of his retirement benefits. However, the court dismissed the case on the grounds of "repeated prosecution" – this is because the parties, core demands, and legal relationships in his lawsuits in 2015 and 2016 were identical to those in this current lawsuit, and the previous judgments had already taken effect, making the new lawsuit a duplication.
I. Who is Zheng Junhuai and What is His History with Yili?
Zheng Junhuai was the former leader of Yili: he joined the company's predecessor (Hohhot Hui Ethnic Milk Products Factory) in 1983 and played a key role in promoting the establishment of Yili as a joint-stock enterprise in 1993, subsequently serving as both chairman and general manager. In 2006, his employment relationship with Yili was terminated due to criminal charges. It was not until 2023, after he regained his freedom, that he began to seek the repayment of his unpaid salary and retirement benefits from Yili.
In simple terms, he is considered one of Yili's founding fathers, but they had a falling out due to legal issues, and now he is trying to recover the money he was owed and the retirement benefits he should have received.
II. What Exactly Is Zheng Junhuai Asking for in This Lawsuit?
He has made five main demands, which can be explained as follows:
1. Confirmation of Employment Relationship: To prove that there was an employment relationship with Yili from 1996 to 2006 (although no written contract was signed, his work and social insurance contributions establish a de facto employment relationship).
2. Unpaid Salary: He claims an unpaid annual salary of 3.07 million yuan for 2003 and 2.76 million yuan for 2004, totaling over 5.84 million yuan.
3. Interest: Since the money has been owed for so many years, he believes he is entitled to interest on this amount.
4. Retirement Benefits: He wants to receive retirement benefits according to the standards for corporate executives and also requests compensation for the period from September 2010 to December 2024.
5. The Other Party Should Cover the Legal Fees.
His rationale is that in 2003, Yili promised to implement an equity incentive plan and postponed the payment of his salary. Later, in 2006, their relationship was terminated on the grounds of criminal charges, and he has not received the money since then. Despite multiple attempts to resolve the issue since his release from custody, no progress has been made.
III. Why Did the Court Rule That It Was a "Repeated Prosecution"?
The court's decision was based on three criteria:
1. The Same Person: It is still Zheng Junhuai suing Yili.
2. The Same Issue: The demands (unpaid salary and retirement benefits) are the same as those in the 2015 and 2016 lawsuits; they all stem from the same employment relationship, with additional claims such as confirming the employment relationship and claiming interest being related to the same core issue (the rights and obligations of that employment).
3. Attempt to Overrule Previous Judgments: Both previous lawsuits were dismissed by the court – the first time because he was considered a personnel dispatched by a state agency, not a labor dispute; the second time because it was deemed a repeated prosecution. This new lawsuit essentially seeks to overturn the previous judgments.
Therefore, the court decided that the same case should not be prosecuted repeatedly and dismissed the lawsuit.
IV. What Were the Outcomes of the Previous Two Lawsuits?
- 2015 (First Attempt): Zheng Junhuai claimed unpaid salary and assistance with retirement procedures. The Hui District Court ruled that he was a "public official dispatched to Yili by a state agency," and the dispute was not considered a labor issue, so the case was not accepted. When he appealed to the intermediate court, the original judgment was upheld.
- 2016 (Second Attempt): The demands were similar to those in the first lawsuit, and the Hui District Court dismissed it as a repeated prosecution. The intermediate court also upheld the decision. Later, when he applied for a retrial at the higher court, his request was again rejected.
In other words, he did not win any of the three previous lawsuits (first instance, second instance, and retrial), and the issue remains unresolved despite these attempts.
V. What Is the Core Dispute in This Case?
The court did not address the substantive issues of whether Yili owes Zheng Junhuai money or whether an employment relationship existed; it only focused on whether the lawsuit was a repeated prosecution.
The underlying conflict is that Zheng Junhuai believes he is an employee of Yili and deserves his salary and retirement benefits, while Yili (or the previous courts) considers him to be a personnel dispatched by the state, which does not fall under the category of labor disputes. However, due to the issue of repeated prosecution, these substantive issues cannot be resolved through litigation for now.
In summary, Zheng Junhuai's lawsuit for unpaid salary has been ongoing for over 20 years and has once again been dismissed due to procedural issues. To recover his money and retirement benefits, he may need to explore other avenues. This case also serves as a reminder to the general public that when filing a lawsuit, it is important to be aware of the principle of "no double jeopardy," meaning the same issue cannot be prosecuted repeatedly, or the court will not accept the case.