Legal Research On Chinese Construction Contract Bond

Since our country has entered into WTO, construction industry, as one of the pillar industries in national economy, is playing a more important role day by day. However, there are many serious problems existing long time ago in Chinese construction market, such as bad quality and nonpayment in construction. The real reason why these problems can't be solved all the time is that construction market in our country lacks a set of effective interest restriction and credit security mechanism causing bad performance of contract. Construction contract guarantee system, being one of the international convention, has a set of ripe risk management procedures and credit security system in the western developed countries. To establish and enforce construction contract guarantee system in Chinese construction market is the eagerly important subject ,which is expected to solve old disease and persistent ailment in construction field in our country, meanwhile, make our country construction enterprise be familiar with the risk management convention on international project as soon as possible and strengthen their international competitiveness. Based on extensive investigation on construction contract guarantee internationally, combined with the consideration of the current market condition of China, a proposal of applying contract bonding system in all over our country is developed.This paper firstly introduces juristic characters of construction contract guarantee system from the very beginning of explaining its concept. Via investigation and analysis on both of the international construction contract guarantee system's development history and different functions of construction contract guarantee internationally, a conclusion is drawn that establishing and enforcing construction contract guarantee system at the present time is urgent since China is in a special century. This paper proposes the imagination on structuring and perfecting construction contract guarantee system in China on the basis of analyzing the international construction contract guarantee system characteristic, combined with the national conditions of our country. Furthermore, it offers the juristic basis for government's enforcing such construction contract guarantee system. Finally, this paper analyses the juristic difficulty to establish construction contract guarantee system in construction industry of our country, proposing basic tactics on establishing and enforcing suitable construction contract guarantee system in the present juristic background.