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Research on Merger Clause Rule
Author: GuoXiaoFeng
Tutor: MengGuoBi
School: Guangdong College of Commerce
Course: Civil and Commercial Law
Keywords: merger clause rule contract law
CLC: D913
Type: Master's thesis
Year: 2011
Downloads: 6
Quote: 0
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Abstract
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A merger clause(also named“entire contract clause”and“integration clause”) is so commonly found in commercial contracts in common law systems. The intention behind such a clause is simply to make the document in which it is contained an exhaustive statement of the express terms of the contract and to prevent the parties to a contract being liable for statements or representations, made in the context of contractual negotiations, which are not incorporated into the agreement.Therefore,the function of merger clauses is to increases the certainty and predictability of the contract reduce and to avoid costly and time-consuming litigation in that merger clauses will force the parties to acknowledge that they are not relying on any statements or representations made during the contractual negotiations other than those expressly set out in the document.In recent years, with the rapid development of the world economy, merger clauses have been written in all kinds of contracts in civil law system. Merger clauses are also adopted in Principles of International Commercial Contracets,Principles of European Contract Law, and so on. Civil law systems countries have already recognized the value of the merger clauses and tried to adopt them in domestic legislation.Therefore,the study of merger clause rule is of importance to Chinese contract legislations and practice.This paper contains a lot of creative work of the author. On the one hand ,you can have a deep understanding of how the merger clause rule works in common law and why this rule can be accepted in two systems. On the other hand, by analyzing some cases related to China, you can draw a conclusion that it is necessary and feasible for China to study and apply merger clause rule in legislations and practice.
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