45 Questions and Answers on Construction Contract Disputes

If it is difficult to determine the actual performance of the contract, and the parties request to compensate the contractor by referring to the agreed project price in the last signed contract, the people’s court shall support it.

Note: If the warranty period agreed by the parties is lower than the minimum warranty period stipulated by law, the limitation of action shall be calculated from the minimum warranty period stipulated by law.

When does the limitation of action for quality guarantee begin? The limitation of action shall be calculated from the expiration of the warranty period calculated from the date of passing the completion acceptance.

If the construction contract is deemed invalid, can we claim the project payment from the Employer? sure.

No lien may be exercised on the immovable property, but it enjoys the priority of compensation.

The party at fault shall compensate the other party for the losses incurred therefrom; If all parties are at fault, they shall bear their respective responsibilities.

Article 9 of the Interpretation of the Supreme People’s Court on the Application of Law in the Trial of Disputes over Construction Contracts of Construction Projects (I), if the parties dispute the actual completion date of a construction project, the people’s court shall determine it according to the following circumstances: (I) If a construction project has passed the completion acceptance, the date of completion acceptance shall be the completion date; (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; (3) If the construction project is used by the Employer without the completion acceptance, the date of transfer of possession of the construction project shall be the date of completion.

If the contract letting party is at fault for the losses caused by the unqualified construction project, it shall bear corresponding liabilities.

Article 9 of the Interpretation of the Supreme People’s Court on the Application of Law in the Trial of Disputes over Construction Contracts of Construction Projects (I), if the parties dispute the actual completion date of a construction project, the people’s court shall determine it according to the following circumstances: (I) If a construction project has passed the completion acceptance, the date of completion acceptance shall be the completion date; (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; (3) If the construction project is used by the Employer without the completion acceptance, the date of transfer of possession of the construction project shall be the date of completion.

Article 17 In any of the following circumstances, the people’s court shall support the contractor’s request for the employer to return the project quality deposit: (1) The return period of the project quality deposit agreed by the parties expires; (2) If the parties have not agreed on the return period of the project quality deposit, two years shall elapse from the date when the construction project passes the completion acceptance; (3) If the completion acceptance of the construction project is not carried out within the agreed time limit due to the Employer’s reason, the return period of the project quality bond agreed by the parties expires 90 days after the Contractor submits the project completion acceptance report; If the parties have not agreed on the return period of the project quality deposit, two years shall elapse from the ninetieth day after the contractor submits the project completion acceptance report.

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The creditor mentioned in the preceding paragraph is the lien holder, and the movable property in his possession is the property under lien.

The warranty period of other projects shall be agreed between the Employer and the Contractor.

The warranty period of the construction project shall be calculated from the date of passing the completion acceptance..

If the construction contract of the construction project is invalid and the construction project experience is unqualified, it shall be handled according to the following circumstances: (1) If the repaired construction project passes the acceptance, the Employer may request the Contractor to bear the repair cost; (2) If the experience of the repaired construction project is unqualified, the Contractor has no right to claim for compensation by referring to the agreed price of the project in the contract.

If one party requests to compensate the contractor at a discount according to the agreed project price in the contract actually performed, the people’s court shall support it.

The Employer has put the project into use before the completion acceptance, can the Employer refuse to pay the project payment if the project has not passed the completion acceptance? No.

If the law provides otherwise, such provisions shall prevail.

Round Bar Ferrule

The Contractor shall be compensated by referring to the agreed discount on the project price in the actually performed contract.

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Article 24 of the Interpretation of the Supreme People’s Court on the Application of Law in the Trial of Disputes over Construction Contracts for Construction Projects (I) Article 24 The parties to several construction contracts for the same construction project are invalid, but the quality of the construction project is up to standard.

Article 40 of the Regulations on the Quality Management of Construction Projects, under normal conditions of use, the minimum warranty period of construction projects is: (1) infrastructure projects, foundation projects of housing construction and main structure projects, which are the reasonable service life of the project specified in the design documents; (2) 5 years for roof waterproof works, toilets, rooms and exterior walls with waterproof requirements; (3) The heating and cooling system includes two heating and cooling periods; (4) 2 years for electrical pipeline, water supply and drainage pipeline, equipment installation and decoration works.

Article 793 of the Civil Code, a construction contract for a construction project is invalid, but if the construction project has passed the acceptance check, the contractor may be compensated at a reduced price by reference to the agreement on the project price in the contract.

1 Can the Contractor refuse to deliver the construction project on the ground that the Employer has not paid the project funds? No.

Article 157 of the Civil Code After a civil juristic act is invalid, revoked or determined to be ineffective, the actor shall return the property acquired as a result of the act; If the goods cannot be returned or it is unnecessary to return them, they shall be compensated at a discount.

The return of the project quality deposit by the Employer shall not affect the Contractor’s performance of the project warranty obligations in accordance with the contract or legal provisions.

Article 447 of the Civil Code Where the debtor fails to pay its debts as they fall due, the creditor may retain the debtor’s movables that have been lawfully in his possession, and has the right to have priority in the repayment of such movables.

If the construction project is used by the Employer without the completion acceptance, the date of transfer of possession of the construction project shall be the date of completion.