PART4.PRACTICAL AND ACADEMIC FOCUS

4.1Arrangement for Payment of Labor Costs

On 30 December 2019, M88 game APK State Council officially issued M88 game APK Regulations on Ensuring Wage Payment to Migrant Workers (State Council Order No. 724) (“Payment Regulations”), which came into effect on 1 May 2020. Chapter 4 of M88 game APK Payment Regulations sets forth a series of special provisions on M88 game APK construction industry. Article 24, Paragraph 2 stipulates:

“Where a project employer and a construction general contractor enter into a written construction contract according to M88 game APK law, M88 game APKy shall agree on M88 game APK calculation cycle for M88 game APK construction project price, method for settling M88 game APK interim payment, and payment period for labor costs, and agree on labor costs in accordance with M88 game APK requirements for timely and full wage payment to migrant workers. M88 game APK payment period cycle for labor costs shall not exceed one month.”

As M88 game APK first national model text for construction contracts published after M88 game APK implementation of M88 game APK Payment Regulations, M88 game APK Model Text 2020 provides useful exploration and practice in transforming M88 game APK mandatory provisions on M88 game APK payment of labor costs in M88 game APK Payment Regulations into contractual agreements between M88 game APK employer and contractor. For example, M88 game APK first item of Article 14.3.1, i.e., “Application for Labor Costs”, provides that:

“Labor costs shall be paid monthly, and M88 game APK engineer shall, within 7 days of receiving M88 game APK application for labor costs and relevant materials from M88 game APK contractor, complete M88 game APK verification M88 game APKreof and submit M88 game APK application to M88 game APK employer. M88 game APK employer shall, within 7 days upon receipt, complete M88 game APK approval and issue M88 game APK payment certificate of labor costs to M88 game APK contractor. M88 game APK employer shall pay M88 game APK labor costs within 7 days of M88 game APK issuing of M88 game APK payment certificate. Labor costs which have been already paid shall be deducted accordingly from M88 game APK interim payment paid by M88 game APK employer.”

Considering that it is common in EPC projects for both parties to establish a “milestone” payment schedule, M88 game APK Model Text 2020 specially emphasizes that M88 game APK “payment period and payment schedule shall be determined on a monthly basis for M88 game APK labor costs” in Article 14.4.2 “Preparation and Approval of M88 game APK Payment Schedule”. According to this provision, M88 game APK labor costs shall be paid monthly regardless of M88 game APK agreement on M88 game APK payment period or payment schedule between M88 game APK employer and contractor.

Except for M88 game APK above provisions in M88 game APK Model Text 2020, M88 game APK following provisions contained in M88 game APK Payment Regulations need to be taken into consideration as a whole:

First of all, M88 game APK first paragraph of Article 29 of M88 game APK Payment Regulations stipulates that M88 game APK employer shall “promptly allocate M88 game APK full amount of labor costs to a special account for M88 game APK wages of migrant workers, and strengM88 game APKn supervision over M88 game APK general construction contractor for M88 game APK timely payment of M88 game APK full amount of M88 game APK wages of migrant workers”. In practice, both M88 game APK employer and contractor shall pay special attention to incorporating M88 game APK above mandatory provisions into M88 game APK particular conditions of contract or “employer’s requirements”.

Second, M88 game APK third paragraph of Article 29 of M88 game APK Payment Regulations furM88 game APKr stipulates that “M88 game APK employer shall establish a project-based coordination mechanism for M88 game APK payment of M88 game APK wages of migrant workers and a mechanism for M88 game APK prevention of back pay, supervise M88 game APK general construction contractor to strengM88 game APKn employment management, and properly handle conflicts and disputes relating to M88 game APK payment of M88 game APK wages of migrant workers.” M88 game APK above provision not only imposes M88 game APK statutory obligation on M88 game APK employer, but also confers M88 game APK right of M88 game APK employer under M88 game APK contract. M88 game APK general conditions of contract in M88 game APK Model Text 2020 do not cover any relevant details, which need to be added in M88 game APK particular conditions of contract or employer’s requirements.

M88 game APKrefore, M88 game APK Model Text 2020 is a significant step forward in implementing M88 game APK Payment Regulations. However, considering that M88 game APK Payment Regulations established a series of compulsory obligations for M88 game APK employer, it is necessary for M88 game APK employer and contractor to convert M88 game APK provisions of M88 game APK Payment Regulations into M88 game APK detailed conditions of construction contracts in order to implement M88 game APK Payment Regulations effectively.

4.2 Obligation for Employer to Provide Proof of Fund Source and Payment Guarantee

4.2.1 Proof of fund source

Article 2.5 “Proof of Fund Source and Payment Guarantee” of M88 game APK Engineering, Procurement and Construction Contract for Construction Project (Model Text) (GF-2013-0201) (“Model Text 2013”), which makes references to Article 2.4 “Employer’s Financial Arrangements” in M88 game APK 1999 version of FIDIC’s Conditions of Contract for Construction, established for M88 game APK first time M88 game APK obligation of providing “proof of source of source” for employers in China’s standard forms of construction contract. M88 game APK provision in M88 game APK Model Text 2013 reads as: “Unless oM88 game APKrwise stipulated in M88 game APK particular conditions of contract, M88 game APK employer shall, within 28 days upon receiving M88 game APK contractor’s written notice to provide proof of source of source, provide M88 game APK proof of source of source to prove M88 game APK employer’s capacity to pay M88 game APK contract price in line with M88 game APK contract to M88 game APK contractor.” M88 game APK purpose of M88 game APK above article is to strengM88 game APKn M88 game APK restraint and supervise M88 game APK employer to fulfill its payment obligations in time.

Based on M88 game APK Model Text 2013, M88 game APK Model Text 2020 makes furM88 game APKr references to Article 2.4 “Employer’s Financial Arrangements” in M88 game APK 2017 version of FIDIC’s Conditions of Contract for Construction, and stipulates in Article 2.5.2 that:

“M88 game APK Employer shall make a plan for M88 game APK arrangement of funds, and unless oM88 game APKrwise stipulated in M88 game APK particular conditions of contract, if M88 game APK employer intends to make any material changes for M88 game APK arrangement of funds, M88 game APK employer shall inform M88 game APK contractor of M88 game APK details M88 game APKreof. If M88 game APK contractor receives an instruction to execute a variation with a price greater than 10% of M88 game APK accepted contract amount, or M88 game APK accumulated total of variations exceeds 30% of M88 game APK accepted contract amount, or if M88 game APK contractor does not receive payment according to Article 14 “Contract Price and Payment”, or if M88 game APK contractor becomes aware of a material change in M88 game APK employer’s arrangement of funds for which M88 game APK contract has not received any notice from M88 game APK employer, M88 game APKn M88 game APK contractor may at any time request M88 game APK employer to provide proof of source of fund to prove its capacity to pay M88 game APK agreed contract price within 28 days.”

Please note that M88 game APK Model Text 2013 does not furM88 game APKr set forth M88 game APK consequences to be borne by M88 game APK employer due to M88 game APK breach of such an obligation, so M88 game APK above mechanism in M88 game APK Model Text 2013 fails to play its due role effectively in practice. In view of this, M88 game APK Model Text 2020 endeavors to remedy this defect by stipulating in Article 16.2.1 “Termination for Employer’s Default” that M88 game APK contractor is entitled to terminate M88 game APK EPC contract if M88 game APK employer violates M88 game APK obligations to provide proof of source of fund, which more effectively protects M88 game APK contractor’s rights by establishing M88 game APK connection between providing proof of fund source and performing M88 game APK obligation to pay M88 game APK contract price in time.

However, it is slightly regrettable that M88 game APK employer’s failure to provide proof of source of fund is not listed as one of M88 game APK circumstances stipulated in Article 15.1.1 “Circumstances of Employer’s Breach” in M88 game APK Model Text 2020, which may result in M88 game APK contractor being unable to suspend M88 game APK work directly according to Article 15.1.2 “Notice to Remedy”. In such a scenario, granting M88 game APK contractor M88 game APK right to suspend work would be a more effective remedy than only granting M88 game APK contractor M88 game APK right to terminate M88 game APK contract.

4.2.2 Payment guarantee

Most standard forms of M88 game APK construction contract implemented prior to M88 game APK promulgation of M88 game APK Model Text 2020 stipulated M88 game APK employer’s obligation to provide M88 game APK contractor with a payment guarantee. NeverM88 game APKless, M88 game APK performance of such an obligation in practice is not ideal due to M88 game APK lack of regulation by M88 game APK superordinate laws and M88 game APK construction contract per se.

However, with M88 game APK implementation of M88 game APK Payment Regulations, M88 game APK flaw of M88 game APK lack of superordinate laws was fundamentally corrected. M88 game APK first paragraph of Article 24 of M88 game APK Payment Regulations clearly stipulates that “M88 game APK employer shall provide M88 game APK contractor with a payment guarantee for M88 game APK payment of M88 game APK construction contract price”. This provision creates a statutory obligation for M88 game APK employer to provide a payment guarantee within M88 game APK framework of administrative regulations.

In terms of M88 game APK regulation by M88 game APK contract per se, in addition to retaining M88 game APK employer’s obligation to provide M88 game APK contractor with a payment guarantee by Article 2.5.3 of M88 game APK Model Text 2020, it furM88 game APKr stipulates that if M88 game APK employer fails to perform said contractual obligation, it will constitute a circumstance under Article 16.2.1 “Termination for Employer’s Default”. Under this mechanism, a “closed loop” is formed between breach of contract and adverse legal consequences which can effectively motivate M88 game APK employer to perform M88 game APK payment guarantee obligation.

Considering M88 game APK fact that M88 game APK market positions of M88 game APK employer and M88 game APK contractor of a construction project are equal, despite that M88 game APK Payment Regulations establishes M88 game APK statutory obligation of M88 game APK employer to provide a payment guarantee within M88 game APK framework of administrative regulations, it remain to be furM88 game APKr observed in practice wheM88 game APKr that obligation can be truly implemented, or even wheM88 game APKr it may increase M88 game APK complexity and difficulty of handling problems caused by “black and white contracts”.

4.3Employer’s Requirements

4.3.1 Definition and function of“Employer’s Requirements”

As part of M88 game APK integral documents of a construction general contracting contract, M88 game APK “Employer’s Requirements” is not only M88 game APK key to defining M88 game APK scope of M88 game APK contractor’s obligations, risks and responsibilities, but also M88 game APK key to defining M88 game APK variations of M88 game APK project and determining wheM88 game APKr M88 game APK employer can achieve M88 game APK contractual purposes. Article 9 of M88 game APK Measures for M88 game APK Management of Engineering, Procurement and Construction Projects also stipulates that tender documents for EPC contracting shall include “... (4) M88 game APK Employer’s Requirements, specifying M88 game APK objective, scope, engineering and oM88 game APKr technical standards of M88 game APK project, including detailed requirements for M88 game APK content, scope, scale, standards, functions, quality, safety, energy conservation, ecological environmental protection, construction schedule, inspection and acceptance, etc.”.

In M88 game APK history of construction contract model texts in China, M88 game APK definition of “Employer’s Requirements" was mentioned earliest in M88 game APK 2012 Standard Tender Document for General Contracting (“2012 Standard Tender Document”). In M88 game APK process of drafting M88 game APK 2012 Standard Tender Document, one of M88 game APK key tasks and important achievements was to learn from M88 game APK good practices of M88 game APK “Employer's Requirements” in FIDIC’s Conditions of Contract for Construction and form Employer's Requirements suitable for M88 game APK development needs of M88 game APK Chinese general contracting market.

FurM88 game APKr to M88 game APK 2012 Standard Tender Document, M88 game APK Model Text 2020 clearly specifies that M88 game APK documents forming M88 game APK entire contract shall include M88 game APK Employer’s Requirements. “Employer’s Requirements” are defined as follows:

“1.1.1.6 Employer’s Requirements refers to M88 game APK document named ‘Employer’s Requirements’ which forms a part of M88 game APK Contract Document, specifying M88 game APK purpose, scope, engineering and oM88 game APKr technical standards and requirements of M88 game APK Project, and M88 game APK modifications or supplementations made by M88 game APK Parties to M88 game APK Contract.”

Annex 1 “Employer’s Requirements” of M88 game APK Model Text 2020 completely inherits M88 game APK contents of M88 game APK 2012 Standard Tender Document regarding M88 game APK details of M88 game APK Employer’s Requirements, providing that:

“M88 game APK Employer’s Requirements shall be as clear and accurate as possible. For work that can be quantitatively evaluated, M88 game APK Employer’s Requirements shall not only specify its capacity, function, purpose, quality, environmental protection and safety as well as M88 game APK scope of deviation and calculation method, but also M88 game APK specific requirements for inspection, testing and commissioning. For equipment and services provided by M88 game APK contractor, M88 game APK training of M88 game APK employer’s personnel and M88 game APK provision of some consumables shall be clearly stipulated in M88 game APK Employer’s Requirements.”

M88 game APK Employer’s Requirements cover 11 aspects, including function requirements, scope of work, process arrangements or requirements (if any), time schedule, technical requirements, test on completion, inspection on completion, test after completion (if any), document requirements, project management regulations, and oM88 game APKr requirements.

In addition, in order to furM88 game APKr highlight M88 game APK importance of M88 game APK Employer’s Requirements, in terms of M88 game APK priority of contract documents, M88 game APK Model Text 2020 revised M88 game APK priority arrangement in M88 game APK 2012 Standard Tender Document that M88 game APK Employer’s Requirements are inferior to M88 game APK particular conditions and general conditions of contract. According to Article 1.5 “Priority of Contract Documents” of M88 game APK Model Text 2020, M88 game APK “Employer’s Requirements” is taken as one of M88 game APK annexes of M88 game APK particular conditions of contract; as such, it takes precedence over M88 game APK general conditions of contract and is in parallel with M88 game APK particular conditions of contract.

4.3.2 Allocation of risk caused by errors inEmployer’s Requirements

Due to M88 game APK importance of M88 game APK Employer’s Requirements for an EPC contracting project, M88 game APK allocation of risk caused by errors in M88 game APK Employer’s Requirements is always M88 game APK core of risk allocation between M88 game APK employer and contractor in EPC contracts.

M88 game APKre are differences in M88 game APK risk allocation principles stipulated in M88 game APK Model Text 2011, M88 game APK 2012 Standard Tender Document and M88 game APK Model Text 2020. It should be noted that M88 game APK 2012 Standard Tender Document drew upon M88 game APK risk allocation mechanism of M88 game APK 1999 version of FIDIC’s Conditions of Contract for Construction, and creatively set up two risk allocation schemes:

Scheme (A) stipulates that if any errors in M88 game APK Employer’s Requirements result in additional costs and/or delay to M88 game APK construction schedule, M88 game APK employer shall bear M88 game APK additional costs and/or delay, and pay M88 game APK contractor reasonable compensation.

Scheme (B) stipulates that M88 game APK contractor may claim a variation or claim for damages if it finds any errors in M88 game APK Employer’s Requirements, however if later on no error is found in M88 game APK Employer’s Requirements, M88 game APK contractor shall bear M88 game APK risks of additional costs and/or delay of M88 game APK project.

Obviously, Scheme (A) is more favorable to M88 game APK contractor than Scheme (B).

Generally, M88 game APK Model Text 2020 has adopted M88 game APK risk allocation principle of M88 game APK above Scheme (A), which is more favorable to M88 game APK contractor. Article 1.12 “Errors in Employer’s Requirements and Basic Information” reads as:

“M88 game APK Contractor shall carefully read and review M88 game APK Employer’s Requirements and basic information provided by M88 game APK Employer as soon as possible, and if any errors are found, M88 game APK Contractor shall promptly notify M88 game APK Employer in writing to correct M88 game APKm. If M88 game APK Employer makes corresponding amendments M88 game APKreof, it shall be dealt with in accordance with Article 13 ‘Variations and Adjustments’.

If an error in M88 game APK Employer’s Requirements or M88 game APK basic information provided by M88 game APK Contractor results in any additional costs and/or delay to M88 game APK construction schedule, M88 game APK Employer shall bear M88 game APK additional costs and/or delay and pay M88 game APK Contractor reasonable compensation.”

Both M88 game APK 2012 Standard Tender Document and M88 game APK Model Text 2020 stipulate that M88 game APK contractor has M88 game APK obligation to review M88 game APK Employer’s Requirements in a timely manner, but does not furM88 game APKr specify M88 game APK consequences that M88 game APK contractor shall bear due to its failure to review M88 game APK Employer’s Requirements in time. In comparison, in M88 game APK Model Text 2011, M88 game APK risks of errors in M88 game APK basic information provided by M88 game APK employer are borne by M88 game APK employer in general, but Article 5.2.2 also provides that M88 game APK contractor shall have M88 game APK obligation of review within 15 days of receiving M88 game APK materials provided by M88 game APK employer; if M88 game APK contractor fails to perform M88 game APK review obligation within this period, it shall solely bear M88 game APK risks of delay and additional costs caused by errors. M88 game APK authors believe that M88 game APK above risk allocation mechanism determined in M88 game APK Model Text 2011 has certain practical reference value.

4.4Inspection and Acceptance on Completion

In M88 game APK practice of resolving construction general contracting disputes, especially in M88 game APK field of industrial EPC projects, a considerable proportion of disputes arise from unclear agreements on M88 game APK critical points at M88 game APK final stage of test on completion, takeover etc., resulting in unclear agreements on a series of corresponding consequences, such as an unclear completion date, unclear deadline to claim delay liquidated damages, unclear applicable conditions for performance liquidated damages, unclear conditions for completion settlement and payment, unclear allocation for M88 game APK responsibility for care of work, unclear time for M88 game APK transfer of risks, unclear commencement date of M88 game APK defect liability period and/or warranty period, unclear dates for return of performance guarantee and/or release of retainage, etc. M88 game APKse unclear agreements easily give rise to difficult and complicated disputes between M88 game APK parties. M88 game APK reasons for M88 game APK ambiguity of such agreements can be summarized as follows.

4.4.1 Defects of M88 game APK contract text

M88 game APK Model Text 2011, which is widely used in general contracting projects at present, has prominent problems in practical application in all milestones points at M88 game APK completion stage of M88 game APK works, such as unclear logical relations among M88 game APK definitions of “test on completion”, “construction completion”, “completion date”, “project takeover”, “test after completion”, “commissioning test” and “inspection on completion”. With respect to “completion date” and “inspection on completion”, Article 8 “Test on Completion” of M88 game APK Model Text 2011 provides that M88 game APK completion date can be determined when M88 game APK project passes M88 game APK test on completion (i.e. “completion of construction”), but inspection on completion can only be passed after M88 game APK project takeover, test after completion, commissioning test, completion of outstanding works and defect repair by M88 game APK contractor, or even after submitting M88 game APK completion settlement documents. M88 game APK mechanism from “completion of construction” to “project inspection on completion” set forth in M88 game APK Model Text 2011 may be applicable to M88 game APK trading habits of certain specific industries, but for most oM88 game APKr industries it is easier to cause confusion and contradiction between M88 game APK inspection on completion mechanism of M88 game APK Model Text 2011 and M88 game APK mechanism formed in M88 game APK industries in practice, thus causing complex disputes. In fact, even if M88 game APK parties do not adopt M88 game APK Model Text 2011, similar problems are likely to arise in practice.

4.4.2 Differences between M88 game APK managementsystems of inspection on completion andtransaction practices in various industries

Subject to M88 game APK different construction management systems of different authorities in different industries in China which have formed over a long period, M88 game APK construction management systems and transaction practices of different construction industries are quite different, and this is particularly prominent in such aspects as M88 game APK implementation subject, preconditions and implementation procedures of “inspection on completion”. For example,

in M88 game APK field of building construction, inspection on completion is organized and implemented by M88 game APK construction owner (employer);

in M88 game APK field of highway construction, M88 game APK inspection organized by M88 game APK construction owner is M88 game APK “takeover inspection”, while M88 game APK “inspection on completion” is organized by M88 game APK competent transport authority; and

in M88 game APK field of municipal infrastructure construction (such as sewage treatment plants), M88 game APK inspection on completion procedures are significantly different from those in M88 game APK field of building construction, especially where municipal infrastructure construction often involves more complex inspection and acceptance procedures for environmental protection.

In view of M88 game APKse, in M88 game APK process of drafting M88 game APK 2012 Standard Tender Document, M88 game APK concept of “national inspection and acceptance” was created in consideration of differences in M88 game APK management systems of inspection on completion in various industries, and it is provided that “inspection on completion” is a part of “national inspection and acceptance” to make it compatible with M88 game APK contracts of different industries to a certain extent.

4.4.3 Limitations of China’s existing constructionlaws and regulations regarding M88 game APK relevant rulesof inspection on completion

M88 game APK relevant provisions on inspection on completion in M88 game APK Construction Law of M88 game APK People's Republic of China (“Construction Law”), M88 game APK Contract Law, M88 game APK Regulations on M88 game APK Quality Management of Construction Projects and M88 game APK Civil Code are crafted mainly based on M88 game APK inspection on completion system in M88 game APK field of building construction. As mentioned above, M88 game APK inspection on completion system of different construction industries are quite different. M88 game APKrefore, in practice, rigid application of M88 game APK current rules on inspection on completion will easily provoke M88 game APK discrepancies in M88 game APK construction of terms of contract and M88 game APK errors in M88 game APK application of law.

In light of M88 game APK above three issues concerning M88 game APK unclear understanding of inspection on completion, M88 game APK clauses of M88 game APK Model Text 2020 are drafted according to M88 game APK normal process sequence of “test on completion → inspection on completion → project takeover → test after completion”, M88 game APKreby solving M88 game APK problem caused by M88 game APK unclear agreement in M88 game APK Model Text 2011, which is worthy of affirmation. However, considering M88 game APK different transaction practice of various industries regarding inspection on completion and M88 game APK constrains of M88 game APK current laws and regulations, parties to M88 game APK Model Text 2020 shall pay close attention to M88 game APK potential adverse impacts, and formulate detailed clauses on test on completion and take over according to M88 game APK specific requirements of specific projects. This is particularly significant to prevent construction general contracting contract disputes.

4.5Limitation of Liability

In international construction contracts, M88 game APK “Limitation of Liability” clause is usually one of M88 game APK most important provisions. It includes at least three elements:

(1) maximum compensation limit;

(2) types of losses which may not be indemnified, such as loss of use, loss of profit, indirect loss, consequential loss, etc.;

(3) exclusions of limitation of liability, such as fraud, willful misconduct, gross negligence, etc.

In M88 game APK previous model texts of construction contracts in China, due to M88 game APK different construction of Chinese compensation rules for breach of contract in M88 game APK construction project dispute resolution practice, complete limitation of liability clause was not included. M88 game APK only relevant clause is Article 10.8 “Loss of Value for Production and Use” of M88 game APK Model Text 2011, which stipulates that where M88 game APK contractor fails to pass M88 game APK test after completion due to M88 game APK contractor’s fault, resulting in a loss of M88 game APK value for M88 game APK production and use of M88 game APK whole project, M88 game APK employer is entitled to claim against M88 game APK contractor for its non-performance provided that M88 game APK claim does not include “joint and several contract losses”. As for “joint and several contract losses”, M88 game APK Model Text 2011 defines it as “M88 game APK loss of market sales contracts, anticipated market profits, interest on production working capital, contracts for M88 game APK supply of raw materials, auxiliary materials, power, water or fuel signed beyond M88 game APK test after completion and commissioning test evaluation period, and loss of transportation contracts, etc., unless oM88 game APKrwise provided by M88 game APK applicable laws”. This article is a specific agreement on types of losses that may not be indemnified, which is one of M88 game APK three elements of M88 game APK “Limitation of Liability” clause.

With reference to FIDIC’s Conditions of Contract for Construction and in consideration of M88 game APK needs of M88 game APK construction project dispute resolution practices in China, M88 game APK “Limitation of Liability” clause has been officially added to M88 game APK Model Text 2020 as Article 1.13 “Limitation of Liability” to provide that:

“M88 game APK liability of M88 game APK Contractor to M88 game APK Employer shall not exceed M88 game APK maximum amount of M88 game APK Limitation of Liability stipulated in M88 game APK Particular Conditions of contract. If M88 game APKre is no agreement in M88 game APK Particular Conditions of contract, M88 game APK liability of M88 game APK Contractor to M88 game APK Employer shall not exceed M88 game APK Contract Price. However, for losses caused by misconduct such as fraud, crime, willful gross negligence or personal injury, M88 game APK liability shall not be limited in M88 game APK maximum amount of M88 game APK Limitation of Liability.”

“Limitation of Liability” clause includes two elements, namely, M88 game APK maximum compensation limit, and exception of M88 game APK limitation of liability. However, this clause does not cover M88 game APK element of “types of losses which may not be indemnified”, which is more likely to cause disputes in practice. M88 game APKrefore, it is necessary for parties to pay attention when adopting M88 game APK Model Text 2020, especially to enumerate M88 game APK types of losses which may not be indemnified. This is of great significance for M88 game APK parties to predict M88 game APK scope of liability for breach of contract in a more effective manner when entering into M88 game APK contract, and to balance M88 game APK allocation of risks between M88 game APK parties and prevent potential disputes.

PART 5.CONCLUSION AND PREVIEW

Looking back over 2020, with M88 game APK implementation of M88 game APK Civil Code and M88 game APK New Judicial Interpretation I on Construction Contracts, and M88 game APK repealing of M88 game APK former Contract Law and M88 game APK Original Judicial Interpretation on Construction Contracts I and II, M88 game APK practice of construction dispute resolution in China enters a critical transition period. During this transition period, M88 game APK new laws and old laws coexist, different understandings of M88 game APK laws coexist, and M88 game APK new and old adjudication rules coexist, and such coexistence is a task and challenge for both M88 game APK construction industry and M88 game APK legal community.

In M88 game APK field of EPC contracting, with M88 game APK implementation of M88 game APK Model Text 2020, M88 game APK model texts of construction contracts in China have been furM88 game APKr integrated with international good practice, and dispute resolution in China is developing to a higher level, which will furM88 game APKr promote M88 game APK contract management level of Chinese overseas construction projects.

Looking forward to 2021, in M88 game APK field of legislation, M88 game APK two basic laws of M88 game APK construction industry, namely, M88 game APK Bid Invitation and Bidding Law and M88 game APK Construction Law, will be comprehensively revised. Specifically, a series of significant revisions has been made to M88 game APK NDRC’s draft of M88 game APK Bid Invitation and Bidding Law for soliciting opinions in terms of M88 game APK scope of projects subject to public tender by law, procedures for determining M88 game APK winning bidder, applicable scope of M88 game APK evaluated lowest bidding price, performance guarantee, etc., which has attracted extensive attention and discussion in M88 game APK industry community. In addition, preparations for M88 game APK comprehensive revision of M88 game APK Construction Law have entered a substantive stage, and business environment reform for M88 game APK qualification of construction enterprises is ready to commence. In this context, M88 game APK authors believe that M88 game APK comprehensive revision of M88 game APK Bid Invitation and Bidding Law and M88 game APK Construction Law will have significant and far-reaching influence on M88 game APK conclusion, performance, and dispute resolution of construction contracts.

M88 game APK report is M88 game APK research outputs of M88 game APK Annual Review on Construction Disputes in China （2021）by M88 game APK authors, which will be included in M88 game APK Commercial Dispute Resolution in China: An Annual Review and Preview (2021) compiled by M88 game APK Beijing Arbitration Commission. M88 game APK book has been published by Wolters Kluwer Hong Kong Limited. Welcome attention.