Research On The Price Difference Adjustment Problem Of Fixed Price Contract For Construction Project

In China’s practice,due to the different types of construction projects involved,the two parties agree on different settlement methods of project funds.In the construction contract,the agreement of both parties on the settlement method will have different legal effects.Fixed price contract is a common settlement method in the construction contract of construction projects.This pricing method is usually used for small-scale and short-term projects.In all these ways,the total project price can be determined without the identification or evaluation of intermediary agencies.In the process of performing the construction contract of the construction project,the Contractor and the Employer shall settle the project payment according to the lump sum price agreed in the contract,if there is no change in the contract or changes in the quantities.However,in practice,due to many factors such as price fluctuation,one party believes that the previous contract agreement is unfair and requires adjustment of the price.But at this time,the other party will defend on the ground that the contract is fixed price and the fixed price contract does not adjust the difference.The settlement of such disputes is often a breakthrough in strict adherence to the principle of contract.How the people’s court or arbitration institution balances the interests of both parties is a test of the professionalism of judges.This paper is mainly divided into five parts to discuss,combining relevant legal theories with specific cases,using the methods of literature research,case analysis,etc.The first part clarifies the background and significance of the topic selection of this paper,and determines the research role of this paper in solving practical problems;The second part focuses on the common adjustment and reasons,and determines the source of dispute;The third part,combined with the case,put forward targeted solutions to the focus of the dispute;The fourth part provides risk prevention suggestions to the contractor and the employer to help them avoid the legal risks that may arise from fixed price contracts;The fifth part compares the advantages and disadvantages of the application of the principle of change of circumstances and the principle of fairness in such disputes,and puts forward the research direction and legislative suggestions of this proposition,in order to help solve the disputes of construction contracts of construction projects in China.