Study On The Exercise Of The Discretionary Right Of Termination In The Commission Contract And The Liability For Compensation

The paper will begin with the analysis of problems emerged from legal practices,explore loopholes in the current law regulations,and try to find corresponding suggestions to better prevent ill use and disputes emerged during the process of the execution of discretionary right of termination in the Commission contract.This paper is divided into four parts.The first part introduces the basic theory of discretionary right of termination in the Commission contract and liability incurred thereafter.This paper expounds the damage compensation liability of the parties to the Commission contract to exercise the right of arbitrary rescission.In the second part,the author will use the method of empirical analysis of problems emerged during contract right execution in China,and mainly discusses typical cases during the exercise of the judicial practice and entrusted contract disputes.The author has detected some long-existing problems in such process:(a)the scope of right is not clear enough;(b)The waiver of such right may have different validity a rules and regulations;(c)There lies an unclear distinguish between any recession provisions,the scope of compensation for damages is not clear.In the third part,the author introduces four countries legislation of discretionary right of termination in the Commission contract,namely Japan,Italy,Germany and France.Besides,the author has further analyzed two types of Commission contract,respectively are free of charge and compensation,and their influence upon the right of discretionary right of termination in the Commission contract and its liability.The author also summarizes restrictions on party's that exercises their discretionary right of termination in the Commission contract and list them as reference to perfect related legislation of discretionary right of termination in China.In the fourth Part,the author has combined empirical analysis aforementioned with analysis and comparison of related regulation to refine and perfect the right of discretionary right of termination in the Commission contract in China.When exercise the arbitrary rescission right of the Commission contract,distinction mustbe made between the free Commission and the paid Commission,and between the commercial Commission and the civil commission.To clarify the scope of application of discretionary right of termination in the Commission contract,and to analyze the effectiveness of the contract of waiver of discretionary right of termination in the Commission contract.In terms of the liability for discretionary right of termination in the Commission contract,the author suggests that one need to distinguish between the subject and the type of contract,determine the scope of compensation for the right of arbitrary rescission so as to enhance the applicability of discretionary right of termination in the administration of justice and to balance the interests of both sides of discretionary right of termination.