On The Mechanism Of Treated In Insolvency Proceedings To Perform The Contract Process

"Executory contract" in bankruptcy law is a relatively special legal institution, which in bankruptcy proceedings grants certain right to the bankruptcy receiver to reject or assume some contracts, if their material obligations have not been performed by the both parties, naturally violating the ancient principle of "Pacta sunt servanda". This legal institution stipulates so with view to realizing the legislative purpose of bankruptcy law, recovering the operation of the bankrupt and simultaneously assuring the creditors' interests in maximum. Since the property estate is the material basis not only to satisfy the creditors' interests but also to resurrect the bankrupt as soon as possible. No matter what decision is made by the bankruptcy recerver, "maximum of property estate" must be complied with. In consideration of the detriment of creditors' interests to various extent in case bankruptcy receiver is granted the absolute power to freely deal with the executory contract, therefore, creditors' interests shall be protected in some conditions to avoid the unfair treatment.While the revision on the Bankruptcy Law, in which the legal institution of executory contract is extremely simple and imperfect, is under way, the general principle of bankruptcy law, the concept of property estate and the structure of bankruptcy law are not very reasonable. To solve fundamentally the problem of "executory contract" can be achieved only by the revision on the bankruptcy law in whole.