The Research On The Application Of The Principle Of Changed Circumstances

The principle of changed circumstances can summarize the objective situation'variation after the establishment of contracts. The parties of the contract can not predict this major variation which is not attributed to the parties. To continue the contract is unfair for one party or can not achieve the purpose of the contract. The parties may request the court change or terminate the contract. The principle of changed circumstances has experienced several hundred years of evolution from the initial embryonic. It generates transaction basis theory, unforeseen theory, the theory of obligations fundamental change. The principle of changed circumstances can easily be abused in practice, so we need elaborate the applicable scope and conditions strictly. The author thinks that the principle should apply to the field of contract law only. In addition, the principle should not apply to these cases which have legal regulations or agreements of the parties. We must discuss on the applicable conditions with the latest laws. The applicable effects of the principle are divided into two aspects. The entitative effects are the obligations of renegotiation, alteration or cancellation of the contract. The obligation of renegotiation is an independent legal effect. The procedural effects mainly refer to the claim to the court by the parties. The principle can not be directly determined by the court' authority. The parties'right is a requested right, not a formed right. When we use the principle of changed circumstances, we should strictly distinguish business risk and force majeure. At the same time, we must control the discretion of the judge, and carefully apply the principle of changed circumstances, so that the system can play its proper value.