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Freedom of Contract in Chinese Concept

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Chapter Summary

The use of the term "making contract voluntarily" in China other than "freedom of contracts" as commonly used elsewhere may also serve as an interesting indication that China is the country where people prefer to have something that could be claimed as that of their own. The history of drafting the Contract Law helps to illustrate how the concept of freedom was dealt with in Chinese contract law legislation. The main tenet of the freedom of contract is that the parties have the right to determine and arrange their business affairs themselves without interference. Freedom of Contract focuses on maximum economic efficiency, and it promotes the parties' ability to exercise their full creative potential and to establish appropriate business relationships that possess all the specific nuances required in such relationships. The administrative supervision of contract is unique in China.

Keywords: administrative supervision; Chinese contract law legislation; freedom of contracts; party autonomy



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