The System Of Anticipatory Breach And Its Appliance On International Trade

Anticipatory breach originated from Anglo-American case law system. Over many decades practice in the Anglo-American countries, it has become an important contemporary contract principle. Later, United Nation Convention on Contracts for the International Sale of Goods and Principles of Commercial Contracts (PPIC) adopted the basic principals of anticipatory breach, and made several alterations. However, in the continental genealogy of law countries, the right of uneasy pleadings which is similar to but not identical to the anticipatory breach has been developed. China also adopted the principles of anticipatory breach on the enacting of Contract Law. The establishment of anticipatory breach makes either party take the initiative to take relief measures: search for valid guarantee or end the contract for the early compensation if the other one breach the contract in advance. Besides, as the development of Chinese economy,Chinese important role and its bigger share in the world market, china now become a world factory and trading nation . How to know the basic principles of anticipatory breach so as to save damages is a necessary lesson for very foreign business traders.The whole paper falls into four parts. The first part tells the basic problems about anticipatory breach. The second part tells the pros and com in Chinese Contract Law. The third part tells the principles of anticipatory breach in United Nation Convention on Contracts for the International Sale of Goods. The fourth part tells how to imply these rules in the international trades.