The Theory Of Efficient Breach And The Consummation Of The Contract Law

Efficient breach is a new theory of the breach of contract, based on the economic analysis of law. It starts from efficiency, to judge the party's breach. If the beach will take more benefits than performance of contract, we can say, it is worth to breach, because the breach is efficient. The theory has been accepted and developed in countries of Anglo-American Law System. However, the Roman-Germanic Law System has not accepted this theory till now, when the theory develops in Anglo-American Law System. Because they think it is a challenge to traditional contract. In our country, the scholars have not reached a common understanding at all. But it cannot deny the value of efficient breach. The trait that it brings the concept of the "efficiency" from economics into the contract law field is positive. With the development of economics in the world, there is a tendency of emerge between Anglo-American Law System and Roman-Germanic Law System. Whatever economics system, or law system, the gap between countries is much more narrow. In this circumstance, our country should learn from others to improve our law system.This paper will introduce the efficient breach theory, contrast the legislation in other countries, then prove the feasibility that this theory can transplant to the contract law, finally, some advices will be given to perfect our contract law.