This volume of the China Legal Development Yearbook is the second in a series of annual reports written by leading Chinese law and legal policy scholars and judges. It is edited by the Institute of Law at the Chinese Academy of Social Sciences. The Yearbook contains reports on law reform priorities, major legal policy debates and an account of legislation proposed and passed in 2006. This Yearbook provides a valuable insight into contemporary debates in China about the substance, direction and priorities of legal reform.