A COMPARATIVE EXAMINATION OF CHINESE AND UK CONTRACTUAL REMEDIES FOR UNFORESEEN EVENTS

Authors: Charlotte Elizabeth Morgan

DOI: 10.5281/zenodo.17433091

Published: July 2025

Abstract

<p><em>This study focuses on a comparative analysis of the "change of circumstances" system in contract law in China and the UK. While Chinese law refers to it as "change of circumstances" and English law terms it "contract frustration," both systems share a similar purpose: addressing unforeseen circumstances that arise after the formation of a contract, which fundamentally alter the basis of performance. When performance becomes illegal or deviates significantly from the contract’s main objective, the contract’s status may be modified or terminated. The system aims to ensure fairness between contracting parties, mitigate risks, and promote stability in the trading market. Differences in legislative expression and judicial practice have emerged between the two countries, largely due to variations in business environments and the underlying theoretical foundations. This study compares the theoretical bases of the system in both jurisdictions, examines legislative frameworks and judicial practices, and analyses the reasons for observed differences. It is important to note that this comparative study seeks to explain differences rather than evaluate the merits of either system.</em></p>

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DOI: 10.5281/zenodo.17433091

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