On The Definition Of Financial Leasing In China

Financial leasing, which combines the traditional rental and credit financing,is anew type of transaction.In the past thirty years,financial leasing developed rapidly inChina and also faced a lot of obstacles.As one of the basic obstacles is the fuzzydefining of financial leasing, this thesis will focus on the issue and aim to wipe out theobstacle by clarifying the logical structure of different normative documents about thefinancial leasing and finding the accurate method and characteristics in law to definethe financial leasing.This thesis is composed of four chapters as follows:chapter one brieflyintroduces the history and the development status in our country of the financialleasing,including its diverse forms in different historical stages.These materials lay afoundation for later accurate understanding of its essential characteristics from theperspective of history.In chapter two, the necessity of defining the financial leasing and the causes ofconfusing definition are presented.Firstly,compared with other financings,financialleasing has unique advantages for its special functions.Therefore it is very importantto distinguish the financial leasing from other transactions. Because it is so importantand at present the definitions in China are not unified,a clear criterion of defining isparticularly necessary.Secondly,this study reveals the three primary causes of chaoticdefinitions which include the divers forms of financial leasing,the inconsistent logicalstructure of different normative documents and the controversy between formalist andsubstantive defining methods.For the former two kinds of non-legal reasons, theauthor analyzes their influences and puts forward their solutions.Chapter three is both significant and difficult which introduces the method andspecific criteria of defining the financial leasing contract in the legal perspective.Comparing with formalist theory,the substantive theory is selected to define thefinancial leasing contract.Based on this conclusion,the thesis futher discusses theessential characteristics and specific criteria of financial leasing contract.Thus thedefining of financial leasing contract is more detailed and feasible.In order to have a more in-depth understanding to the financial leasing contract’sdefining,chapter four elaborates some issues related to it.Two of the main issues arethe legal structure and the subject matter of financial leasing contracts.For the formerissue,this thesis supports the viewpoint of “one contract” by studying with the theoryof civil law and the financing leasing contract’s new judicial interpretation.For thelatter issue,combining with the foreign legislation and the financial leasing practicesin China,this thesis agrees with limited real estate as the subject matter of financialleasing contracts.