The validity of the construction contract of the construction project (I) ineffective situation Article 1 of the interpretation of the Supreme People’s Court on the application of law in the trial of construction contract disputes stipulates: “the construction contract of a construction project shall be deemed invalid in accordance with item (5) of Article 52 of the contract law: (1) the contractor has not obtained the qualification of a construction enterprise or exceeds the qualification level; (2) An unqualified actual constructor borrows the name of a qualified construction enterprise; (3) A construction project must be subject to bidding, but it is invalid if it fails to do so or if it wins the bid.
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The general contractor and the subcontractor shall be jointly and severally liable to the construction unit for the subcontracted project.
The general construction contract clearly stipulates the rights and obligations between the construction party and the employer, including but not limited to the total project price, project quality, construction progress and project payment settlement.
(3) Article 270 of the contract law stipulates that “a construction project contract shall be in writing.” Therefore, it should be noted that a construction project contract not concluded in writing is still valid if one party has performed its main obligations and the other party accepts it.
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However, in the actual construction process, both parties are easy to ignore the key details, time nodes and risk points of the contract, resulting in unnecessary differences and disputes during the construction period, and the performance rate of the construction contract is greatly reduced.
Article 2 of the interpretation of the Supreme People’s Court on the application of law in the trial of disputes over construction contract of construction project stipulates: “the construction contract of construction project is invalid, but the construction project has passed the completion acceptance, and the Contractor’s request to pay the project price with reference to the contract shall be supported.” It should be noted that the law only stipulates that the Contractor’s request shall be supported.
The determination of the construction project price （1） If there is an agreement, if the parties have an agreement on the pricing standard or pricing method of the construction project, the project price shall be settled in accordance with the agreement; for the settlement disputes of the construction contract of the construction project invested by the government, the employer’s claim that the audit results of the government audit department shall be used as the basis for the settlement of the project cost shall not be supported in principle, except for those explicitly agreed by the parties in the contract..
Payment of project price (I) the contract is invalid and qualified.
In addition, a construction project contract not concluded in writing is invalid.
If the employer requests to pay the project price according to the contract, the law does not specify whether it is supported.
If the parties have not agreed on the interest on the advance payment and the contractor requests to pay interest, it shall not be supported.
” (4) The contractor illegally subcontracts or illegally subcontracts construction projects; （2） Effective situation (1) the labor subcontract signed by the contractor with legal qualification for labor operation and the general contractor and subcontractor shall not be supported if the party requests to be determined as invalid on the ground that the subcontracted construction project violates the legal provisions; (2) If a contractor signs a construction contract for a construction project beyond the business scope permitted by the qualification level and obtains the corresponding qualification level before the completion of the construction project, and the party concerned requests to be handled according to the invalid contract, it will not be supported.
3、 According to Article 14 of the interpretation of the Supreme People’s Court on the application of law in the trial of construction contract dispute cases of construction projects, “if the parties have disputes over the actual completion date of construction projects, they shall be dealt with respectively according to the following circumstances: (1) if the construction projects pass the completion acceptance, the date of completion acceptance shall be the date of completion.
(2) If the parties have not agreed on the advance payment, it shall be handled in accordance with the project arrears.
If the employer is at fault for the losses caused by the unqualified construction project, it shall also bear the corresponding civil liability.
（2） Article 3 of the interpretation of the Supreme People’s Court on the application of law in the trial of construction contract disputes of construction projects stipulates: “if the construction contract of construction projects is invalid and the construction projects fail to pass the completion acceptance, they shall be dealt with respectively according to the following circumstances: (1) If the repaired construction project passes the completion acceptance and the employer requests the contractor to bear the repair cost, it shall be supported; (2) If the repaired construction project fails to pass the completion acceptance, and the contractor requests to pay the project price, it will not be supported.
(3) If the employer uses the construction project without completion acceptance, the date of transfer of possession of the construction project shall be the date of completion.
(3) If the actual construction contractor brings a lawsuit against the subcontractor or illegal subcontractor, the people’s court shall try it according to law; (4) If the actual constructor claims the rights with the employer as the defendant, the people’s court may add a subcontractor or illegal subcontractor as the party to the case, and the employer shall bear the responsibility only within the scope of the unpaid project price.
5、 Advance payment and interest on advance payment (1) Article 6 of the interpretation on the application of law in the trial of disputes over construction contracts of construction projects stipulates: “If the parties have an agreement on the advance fund and the interest on the advance fund, and the contractor requests to return the advance fund and its interest in accordance with the agreement, it shall be supported, except that the agreed interest calculation standard is higher than the interest rate of similar loans issued by the people’s Bank of China in the same period.
Eight common disputes and solutions in today’s sharing contract.
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(2) If the contractor has submitted the completion acceptance report and the employer delays the acceptance, the date when the Contractor submits the acceptance report shall be the completion date.
1、 The subject of litigation: (1) according to Article 25 of the interpretation on the application of law in the trial of disputes over construction contracts of construction projects (hereinafter referred to as the interpretation): “in case of disputes over the quality of construction projects, the employer may bring a lawsuit with the general contractor, subcontractors and construction workers as the co defendants”; (2) Construction Law Stipulate that the general contractor of construction projects shall be responsible to the construction unit in accordance with the provisions of the general contract; The subcontractor shall be responsible to the general contractor in accordance with the provisions of the subcontract.
