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On the Public Announcement and Public Trust for the Third Party

Author: ZhangWei
Tutor: WangYanMing
School: Jilin University
Course: Civil and Commercial Law
Keywords: Publicity Credibility The interests of a third person
CLC: D913
Type: Master's thesis
Year: 2006
Downloads: 187
Quote: 0
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Abstract


The protection of the third party is the foundation that the market economy develops healthily, which requires expelling the exclusive quality of the original real right. Because the exclusive quality just means if one real right has already been established, it will prevent another incompatible one from coming into existence. So, getting rid of the exclusive quality and making the third party obtain the real right determinately is the obstacle that we have to overcome in the designing process of the system.“The real rights should be showed out to public”. We will find that public announcement sets conditions for the original real right, what providing opportunities for the third party. However, public announcement itself is not always right, it may also inform wrong information. Luckily, the principle of public trust can just make up this limitation. There is no doubt that public announcement and public trust will play a key role in the protecting system with their only superiority of giving attention to two or more things.On the one hand, public announcement and public trust adopt and carry through the external appearance standard, providing an objective and uniform standard for the bargainers and guiding them to identify the truthfulness of the rights accurately. Compared with the fact standard, the external appearance standard can bring more trade safety and trade efficiency, because it just pays attention to the external appearance of the right, not judges from the objective true angle. This method operates more easily and avails the third party as well.On the other hand, the actualizing of the external appearance standard doesn’t mean public announcement and public trust will be accepted unconditionally, but with restrictions. Among all the conditions,“the third party should have goodwill”is the most important and complicated factor.

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