| With the enforcement of 2004 Amendment of Chinese Constitution, the promulgation of Property Law of the PRC in 2007 and the revision of Urban Real Estate Administration Law of the PRC by NPC Standing Committee, Regulation on the Administration of Urban Housing Removal (Removal Regulation for short) issued in 2001 has many conflicts with these higher-level laws. The situation has led to more serious social conflicts because the use of laws and regulations of housing demolition in confusion. These problems will result in stopping execution of Removal Regulation. Especially in the urban commercial demolition, there are not relevant laws and regulations to regulate urban commercial demolition along with the enforcement of the higher-level laws. To amend and abolish the Removal Regulation is extremely urgent. After 3 years of research, 40 times of seminars and 2 times to the public for comments, State-owned Land on the Housing Levy and Compensation Ordinance (Levy and Compensation Ordinance for short) has been promulgated by State Council on Jan. 21, 2011. Meanwhile, Removal Regulation was abolished. The application scope of new Ordinance is the behavior of housing levy and compensation for the"needs of public interest". The commercial demoliton was excluded from it. New Ordinance strictly distinguished public and commercial demolition. The history of confusing the public benefit collection and the commercial demolition was ended. So how to regulate commercial demolition which accounts for a considerable part of our urban housing demolition is very important.The direction of this paper is to research the legal problems of commercial demolition. There are four parts in this paper. The first part is the overview of commercial demolition, it concludes: the emergence and development, the role in urban construction and legislation in practice. The intention is to explain the significance and purpose of commercial demolition. The second part: According to the legal relationship in operation, to explore special manifestation with market economy, definitely to define the legal nature of commercial demolition. In order to solve the legal and social problems in commercial demolition. The third part: Take the typical events in city's commercial demolition as examples, through the way of empirical analysis to reveal realistic legal problem in commercial demolition's operation process. To solve problems better, we must face and analyze the problems first. The forth part: Put forward some suggestions on construction of legal protection system of urban commercial demolition based on the analysis and research on commercial demolition's present situation and problems in practice, and taking the progressive provisions in Levy and Compensation Ordinance, foreign laws and regulations for non-public benefited demolition. So that to establish complete laws and regulations to guide the smooth implementation of commercial demolition in urban construction.
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