Concerning The System Of Fundamental Breach Of Contract On The International Trade In Goods

The system of fundamental breach of contract originated in English common law, had a significant impact on the American contract law, The 《United Nations Convention on Contracts for the International Sale of Goods》、《The Principles of European Contract Law》 and the《Principles of International Commercial Contracts》 all enact the system of fundamental breach of contract. Thus it has a more far-reaching significance and influence. The system not only have a very important position in international trade is also have greater influence in National contract law, which have reflect in countries legislation in contract directly or indirectly. But due to the domestic law and international laws just make abstract regulation on the constitute of fundamental breach of contract. even the Article25of the United Nations International sale of Goods Convention on Contracts for the definition of fundamental breach of contract led to much controversy in practice because of the high generalization in language. For example:"how to determine an equivalent qualification, show common people in the same circumstances, sometimes may combine with the specific circumstances of the case?""The establish standard of predictable time?" And so on all is not clear in the trade practice brings many problems and inconvenience.In addition. as a contracting party to the United Nations International Sale of Goods Convention on Contracts, embody the substance of the system of fundamental breach of contract in the contract law, can provides a more scientific and reasonable legal reasons for our country’s termination of the contract. However, because there are still many problems. its application in the country will inevitably lead to a number of shortcomings, which needs to be improved. In short, the system of fundamental breach of contract as a legal reason of the termination of the contract, on the one hand should embody the protection of the injured party interests. On the other hand is actually a necessary limit on the exercise of right to terminate a contract. The regulation of the system and improve in China’s new contract law, not only enrich and strengthen our contract law. but also promoted China’s legislation on the issue To conform with the international legal system.