Judicial Application Of The Rule Of The Breaching Party’s Right To Rescind The Contract

According to the traditional understanding of contract law,only the observant party can have and exercise the right to rescind the contract.In judicial practice,if the performance of the contract has become meaningless or cannot be completed,the breaching party’s right to rescind the contract must be denied,which will inevitably lead to The occurrence of contract deadlock dilemma.And under strict restrictions,giving the defaulting party the right to rescind is in line with the principles of good faith,fairness,and green principles,which can greatly improve the effectiveness of market transactions and maximize social and economic benefits.The "Civil Code of the People’s Republic of China"(hereinafter referred to as the "Civil Code")and the "Minutes of the National Court Civil and Commercial Judgment Work Conference"(hereinafter referred to as the "Nine Civil Minutes")formally formulated the rules for the right to rescind the contract of the breaching party.As a major innovation of the contract rescission system,it can play a role in properly handling contract deadlock issues in judicial practice.However,the rules still have problems such as too broad normative terms and unclear application conditions,which are contrary to the legislative purpose that the breaching party’s right to rescind the contract can only be applied under certain conditions.By examining the judicial application of the existing rules on the breaching party’s right to rescind the contract,we can find the lack of relevant rules in the case where the breaching party is obliged to pay money,the unclear application method of breach of contract after the contract is rescinded,the subject of litigation costs and the contract.The timing of the right to rescind is unclear.Our country should draw lessons from the international regulations and theories on the breaching party’s rescission of the contract,and on the basis of summarizing my country’s judicial practice experience,improve the breaching party’s contract rescission rules.In view of the conflict between the rules of the breaching party’s right to rescind the contract and the judicial application,it is necessary to clarify the application of the breaching party’s right to rescind the contract in the case of monetary payment obligations,establish the court’s obligation to interpret the breach of contract liability and the scope of compensation for breach of contract damages,and improve the liability for litigation costs.The relevant rules shall reasonably determine the time point when the right to rescind the contract occurs,so as to achieve a balance of interests between all parties.