Liability For Breach Of Contract In The Finance Lease Contract Research

Financial Leasing is a new type of financial tool which has both the function of leasing of money and object. It plays an important role in the development of economy. But, there are a lot of disputes regarding financial leasing contract in the leasing practice. It's frequent that the parties under financial leasing contract breach it. One of the most important reasons is the incompleteness of the related law and regulations. Therefore, in this article, we focus on the analysis of the obligations of each party in the contract and their appearance of breach of this contract and corresponding remedies for each party. After this analysis, we draw a conclusion that the financial leasing contract is a contract between lessor and lessee only. A definite relationship of rights and obligations exists between them. And the supplier should not be considered as one party in this contract. Anyway, as a complex relationship exists in the financial leasing transaction, many different ideas occur, including the idea about duty of breach of financial leasing contract. We think, in this kind of contract, the principle of freedom of contract is still effective. Based on this acknowledge, we could analyze the duty of breach of contract and special remedies more easily.