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Contract Law of the People's Republic of China

  Order [1999] No.15 of the President of the People's Republic of China

Contract Law of the People's Republic of China has been adopted at the Second Session of the Ninth National People's Congress on March 15, 1999, and is hereby promulgated; it will come into force as of October 1, 1999.
                       President of the People's Republic of China: Jiang Zemin

                                                                                              March 15, 1999
                    Contract Law of the People's Republic of China
                                           General Provisions
                                    Chapter 1 General Provisions

Article 1
    This Law is enacted in order to protect the lawful rights and interests of the contracting parties, to maintain social and economic order, and to promote the process of socialist modernization.

Article 2
    A contract in this Law refers to an agreement among natural persons, legal persons or other organizations as equal parties for the establishment, modification of a relationship involving the civil rights and obligations of such entities.

  Agreements concerning personal relationships such as marriage, adoption, guardianship, etc. shall be governed by the provisions in other laws.

Article 3
    Contracting parties shall have equal legal status, and no party may impose its will on the other party.

Article 4
    The parties have the right to lawfully enter into a contract of their own free will in accordance with the law, and no unit or individual may illegally interfere therewith.

Article 5
    The parties shall adhere to the principle of fairness in deciding their respective rights and obligations.

Article 6
    The parties shall observe the principle of honesty and good faith in exercising their rights and performing their obligations.



Article 7
    In concluding and performing a contract, the parties shall comply with the laws and administrative regulations, respect social ethics, and shall not disrupt the social and economic order or impair the public interests.

Article 8
    A lawfully established contract shall be legally binding on the parties thereto, each of whom shall perform its own obligations in accordance with the terms of the contract, and no party shall unilaterally modify or terminate the contract.

  The contract established according to law is protected by law.

                                 Chapter 2 Conclusion of Contracts

Article 9
    In entering into a contract, the parties shall have appropriate capacities for civil rights and civil acts.

  A party may appoint an agent to enter into a contract on its behalf in accordance with the law.

Article 10
    The parties may use written, oral or other forms in entering into a contract.

  A contract shall be in written form if the laws or administrative regulations so provide. A contract shall be concluded in written form if the parties so agree.

Article 11
    "Written form" refers to a form such as a written contractual agreement, letter, electronic data text (including a telegram, telex, fax, electronic data exchange and e-mail) that can tangibly express the contents contained therein.
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Contract Law of the People's Republic of China
Law of the PRC on Sino-Foreign Enterprises
Law of the PRC on Income Tax of Enterprises
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Law of the PRC on Chinese-Foreign Joint Ventures
Law of the PRC on Chinese-Foreign Equity JV
Law of the PRC on Chinese-Foreign Contractual JV
Documents Required for Setting up Of Enterprises
 

 
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