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

Research on Damage Compensation of Legal Dissolution of Contract

Author LinShuang
Tutor YaoXinHua
School China University of Political Science
Course Civil and Commercial Law
Keywords Legal Dissolution Performance Interest Reliance Interest Validity of Rescission Damage Compensation
CLC D923.6
Type Master's thesis
Year 2012
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The Legal Dissolution of the Contract is a relief right providingthe non-delinquent party to flee from the contract relationship whenthe contract is impossible to performance or meaningless toperformance. According to difference reasons, there are LegalDissolution based on Default and Legal Dissolution based ForceMajeure. Without specification, the problem of compensation fordamages in Legal Dissolution of the contract, which the paperdiscusses, especially refers to the problem of the Legal Dissolutionbased on Default.For the problem of compensation for damages in LegalDissolution of the contract, there are issues such as re-claiming thecompensation for damages after Legal Dissolution, and the characterand range of the compensation for damages. At first, the paperintends to review the legislation example about the compensation fordamages of Legal Dissolution of the Contract; on this basis the paperputs forward two models of the compensation for damages: thecompensation for damages doctrine based on performance interestand doctrine based on reliance interest. After that, the paper wish tocomb though the related concepts of compensation for damagesbased on performance interest and reliance interest, and discusses thefoundation of engagement validity about the damages compensationof Legal Dissolution of the contract, thereby discusses the character and range of damages compensation of Legal Dissolution of thecontract.There are three parts of the paper: introduction, text andconclusion. The text consists four chapters, the structure is asfollows:Chapter I introduces the legislation examples and doctrines ofthe Legal dissolution of the contract. Reviewing the legislationexamples, it is found that continental law system countries andinternational legal texts mostly choose both doctrines, but there aredifferent opinions on the definition of character and range of damagescompensation. This chapter analyzes the two doctrines to lay thegroundwork for the coming discussion.Chapter II discusses the damage compensation based onperformance interest or reliance interest. On the one hand, throughcombing the general comprehension and related problem ofperformance interest and reliance interest, the writer thinks theconsensus between parties is the justness foundation of performanceinterest protection, and the principle of good faith is the justnessfoundation of reliance interest protection; on the other hand, startingfrom the general principle of damage compensation, for the purposeto recover damage, it can be deduced that the damage caused bydefault is damage of performance interest, it should by recover evenin the state of contract rescission.Chapter III discusses the foundation of contract validity ofdamage compensation of legal rescission. First, the paper commentsthe recent doctrines of contract rescission, the liquidation theoryclaims contract rescission will not annihilating the effect of thecontract, it will only cause a liquidation relation on paymentobligation; second, the paper discusses the relationship of contractrescission system and autonomy of will, the purpose of contractrescission system, the function of contract rescission and the object ofcontract rescission, for the purpose to prove the feasibility andnecessity of the foundation of contract validity of damagecompensation of legal rescission. Chapter IV discusses the range of damage compensation of legalcontract dissolution. First, the paper introduces the concepts relatingto general range of damage compensation, and built the theory basefor the range of damage compensation of legal contract dissolution;second, though discussion of the basis of claim right of damagecompensation in the Article97of Contract Law, the change ofdefinition during the drafting process, and main opinion of recentscholars, the writer thinks that the range of damage compensation oflegal rescission should include both damage compensation base ondefault and rescission, and deduct the interest acquired from excusingfrom a duty, which also caused by the rescission.

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