Law in the Liao Dynasty is applied differently in the Northern and Southern Chancelleries.

The Northern Chancellery, governed by the Xiao consort clan, retains a distinctive Khitan-steppe character.

The Yelu clan, who govern the Southern Chancellery, are considerably more sinified in character.

Initially, justice had not been delivered in an evenhanded fashion to the Chinese inhabitants of the empire.

This is reported to having changed from 989.

Beginning in 994, Khitans having committed one of ten grave crimes will be punished according to Chinese law.

This is indicative of a transition from “ethnic law” to “territorial law.”