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The principle of changed circumstances in the contract for the sale of the applicable

Author: DongShouYan
Tutor: GuoMingRui
School: Yantai University
Course: Legal
Keywords: the principle of substantial change of circumstances normal business risk business contract period value
CLC: D923.6
Type: Master's thesis
Year: 2011
Downloads: 69
Quote: 0
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Abstract


The cases are introduced, which were dealed according to Interpretation of Contract Law in 2009, and the principle of substantial change of circumstances is analysed to get application standard in business contract.ChapterⅠintroduces historical background、theorical basis and period value. The part summarizes the history of the theory, and analyses the principle. The theory reflects the value of balancing business interests.ChapteⅡresearches the differences between substantial change of circumstances and normal business risks mainly in accordance to anticipation and abnormal change of price. In the process of drafting contracts, substantial change of circumstances can’t be foreseed and overcomed, but normal business risks can be foreseed and controled.In China some rules includes the limit to prices, and these rules are reference to the judge. The conditions of the market are changing continuously, and the price is effected by many factors. So the judge should verify price change normal according to the specific situation of the market.ChapteⅢanalyses the effects of application of the theoy. And the effects includes change or dissolution of contract. The two parties should consult with each other. If they can’t reach same ideas, then the judge should change the content of the contract. And the judge should insist on the correct value standard, that is, protecting the interets of the part who keep the contract. In the meantime, the judge should pay attention to interets balance to distribute risk rationally.

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CLC: > Political, legal > Legal > Chinese law > China and France > Contract Law
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