The Investigation Of The Redemption Priority Of The Payment Of Construction Project

With the growth of the real estate market, it becomes more severe that property developer doesn't pay construction project in time. It becomes one of the bottlenecks of preventing the growth of the construction industry. Because a large percentage of the delayed payment of the construction project is the wage and labor fee due to construction worker, this creates the instability to the society. "The Contract Law of China" (abbreviated as "The Contract Law") has established a brand new system - the redemption priority list of the late payment of construction project. This system has very important practical meaning. However, academia has many arguments on the redemption system, its origin, and its operation. This article studies the redemption problem from both the theoretical and the practical standpoints in five sections.The first section discusses the property of the law of the redemption priority of due construction payment. It first reviews the existing laws in different countries around the world. Then the argument regarding this law in China is introduced and the pros and the cons are analyzed. The establishment of this law is favored.The second section discusses the formulation of the law of the redemption priority. It analyzes the time and the prerequisites of the formulations. Three different views regarding the birth time of the redemption law are criticized and then our assumption regarding the origin of this law is proposed including the five important prerequisites.The third section discusses the operation of this redemption law. It researches the three requirements, the time frame, the means and some controversial topics in exercising this law.The forth section discusses the conflicts between this redemption law and the others. It studies the confliction between this redemption priority law and the mortgage, the consumer's rights, the contractor's salary, and the insurance.The last section discusses the complementation of the redemption priority law. Based on the item 286 in "The Contract Law" and the requirements on its approval at the legal practice, two suggestions are proposed on how to complement the redemption priority system.