Supreme People's Court's Interpretation and Application of the Judicial Interpretation on Adjudicating Disputes over Commodity Housing Purchase and Sale Contracts

Author: Supreme People's Court Civil First Tribunal
Publisher:
Publish Date: 2003-06-01
Features: On April 28, 2003, the Supreme People's Court announced the >, which came into effect on June 1, 2003. The formulation and announcement of this > is a major initiative by the Supreme People's Court to adapt to the development trends of China's commodity housing market and to achieve the theme of fairness and efficiency in judicial work. The > is based on the provisions of laws such as the >, >, >, >, >, etc., and provides detailed explanations on how to apply the laws in cases involving the validity of pre-sale contracts for commodity housing, the sale of commodity housing advertisements, multiple sales of the same property, shrinkage in property area, the delivery and risk assumption of commodity housing, the quality of commodity housing, the wholesaling of commodity housing, and the use of commodity housing as collateral for loans. Among these, it also clarifies the application of punitive damages for malicious breaches of contract and fraudulent acts by sellers that severely deviate from the principle of good faith and harm buyers' interests. It also legally establishes the application of punitive liability, which will help deter unlawful acts and maintain the integrity of the normal transaction system in the commodity housing market. By providing in-depth refinement of both substantive and procedural legal provisions, it enhances the operability of the law, unifies its application, and promotes equal protection for parties, thereby establishing the authority of judicial rulings by the courts.