The Study On Public Utility Franchise Contract

This article deals with public utility franchise contract("franchise contract" here in after),which refers to a type of contract,in accordance with relevant laws and regulations, formed by and between governments and operators of municipal public utilities,permitting the operators providing public goods and services within the boundaries and certain time period setting out in the contract.In the analysis of the legal characteristic of such contract, the author classifies franchise contract as one type of administrative contracts,and on this basis,investigating a series of main but complicated topics in this field e.g.the principles of franchise contractual formation and performance,the reconstruction of system and approaches to relief.In the course of formation and performance of franchise contract,the following principles should be complied with:open,impatial and just principle,good and faith principle,reasonable reliance principle and the balance of public and private interests principle.Concerning reconstruction of franchise contract system,perfect and fulfil the contractual formation procedure,especially involving considering consumer-related interests and expressions in the aformentioned procedure,reinforce governmental supervision of franchise contract,and harmonize the interests of relevant enterprise, consumer and government,are of importance.In addition,to settle franchise contractual disputes,multiple dispute settlement mechanism,including administrative reconsideration, administrative litigation,negotiation,administrative judgment,should be established.