The Scope Of Application Of The Law Of The Contract

With the development of the international civil and commercial association,the scope of the applicable law of the contract is facing new changes. In this paperthe author wants to find the changing rule and guide the relative legislation in ourcountry by analyzing the topic of the scope of the applicable law of the contractThe logic beginning point of the topic is to make the concept ofthe applicablelaw of the contract clear. There are two main kinds of the conception: one is wideand the other is narrow. In this paper, the author uses the narrow one, which meansthe law applies to the establishment and the validity of the contract There are threemain means to determine the applicable law of the contract: the objective symbolprinciple, the meaning autonomous principle and the closest connection principle.There are two kinds of theories of the concept of the applicable law of thecontract. One is the unification theory, the other is the division theory. Theformer one is becoming more and more acceptable in the world now. Meanwhile,the mixture ofthe two theories is more useful in practice.The development of the scope of the applicable law of the contract is that itnot only applies to the establishment and the validity of the contract, it also appliesto the form of the contract, the capability of the parties, etc. This trend means theunification theory is becoming more and more popular. This trend is good for theconfirmation of the validity of the contract, the unification of the application of thelaw and the efficiency of the resolving process.The expansion of the concept of the applicable law of the contract doesn'tmean the applicable law of the contract applies to every element that is relative tothe contract. The details of the form of enforcement, the shift of the property rights,the choosing clause of the court and the arbitration clause, etc are all out of itscontrol. These aspects are independent, so they have different applicable laws.In our country, the existing legislation hasn't stipulated the topic of the paper.We can't conclude that our theory belongs to the unification theory or the divisiontheory. Meanwhile we can't see the future legislation can resolve the problem, sothe author gives the following suggestions. First, we should follow the trend of expanding the scope of the applicable law of the contract. Second, we should useselective conflict rules. Third, we should pay attention to the particular situation ofour country. Only in this way, can we realize the real development of the relativelegislation in our country.In a word, discussing the concept of the applicable law of the contract is notour goal, but only means. The real purpose is to try our best to make theapplication of the law more and more reasonable in order to protect the interest ofpeople in the international market.