Studies On Lessee Preepmtive Right

Nowadays, Housing rental is pervasive all over the world. It is not only born ofnational policy, but also driven by economic benefits. Basically speaking, it is a kindof human right, especially a method to realize habitation. Because of the leaserelationship, the lessee holds the rights of lease, including preemptive right. In ourcountry, the customs of protecting the privilege of lessee preemption in Contract Laware based on GENERAL PRINCIPLES OF THE CIVIL LAW OF THE PEOPLE’SREPUBLIC OF CHINA. The law explicitly stipulates the right of lessee’s preemptionrights and exercise it within a certain period. But the defect is the vague definition ofthe subject, the exercising period, effectiveness, and the relief, which has createdproblems in practical operation, so that violations of the tenant right usually occurs.Lessee preemption is a creditor’s rights attached to the lease. When the lessor wants tosell the leased house during the lease term, he should notify the lessee. The lesseecould purchase the house at first place once he accepts the same conditions. Tenantright of first refusal ensures the existence of lease relationship, guarantees the lesseestates and maintains the building utility.To safeguard lessee preemption, the Supreme Court issues special explanation toregulate the concrete application to house lease contract disputes relating to the town.The housing rental explanation details rules for the lessee of exercising the right offirst refusal and reasonable relief way. Based on Contract Law, Refer to Contract Lawand the law interpretation, we try to research the prior buyer right of the tenant. Wewant to explore the basis, property, application,and relief of the privilege, so that toensure the lessee not only includes the party of the lease contract (including thelessees in divided tenancy), but also concludes subtenant. Where the lessee isdeceased during the term of a house lease, the persons who live together with thedeceased, conduct joint operation with the deceased or form a partnership with the decease could be titled to preemptive right as the lessee. Rental is the root cause of theprior buyer right. Though the lessor is dishonest to sell his house in the lease period,the lessee enjoys the privilege to get the house under the same conditions even if hedoes not obey the lease contract. The prior right could not resist against the co-owners,and it also gives way to the relative purchase. Appropriate limitation of preemptiveright is important to keep harmony with the principle sales cannot break lease, protectthe lossor’s freedom to dispose his property. To protect the third party to get the leaseitem and to balance with the third party, it is necessary to govern the application ofpreemption. After exploring special circumstances, including the action and thebankruptcy procedure, we could design rational process of protecting the lesseepreemption. We confirm that the tenant preemption as a creditor’s right, which needsrelief. Compensation scope is essential to be confirmed when it comes to a breach.,which should be based on the damage to the lessee preemption. Pecuniary reparationmust be a proper way, but it is unfair to calculate loss based on the contract pricebetween lessor and another party. Someone regards the prior buyer right as a chanceto bring lessor and lessee to a negotiation. In fact, it is impractical. So the relief oflessee preemptive right needs further research. We hope this paper could providesome optional suggestions to improve the protection of the lessee preemptive right.