4 In relation to the Contract Law of China:
(a) state the various legal remedies for breach of contract; and (6 marks)
(b) state the conditions to be met for a party to be eligible for specific performance as a legal remedy for breach
of contract. (4 marks)
(10 marks)

4 This question requires candidates to state the various legal remedies granted by law when the other party to a contract breaches
the contract, especially state the conditions to be met for a party to pursue specific performance as a form of legal remedy under
the relevant provisions of the Contract Law of China:
(a) (i) In accordance with Article 94 of the Contract Law, if the other party fails to perform his contractual obligations or whose
performance fails to conform to the contract, which results in that the purpose of the contract cannot be realised, a party
may claim to rescind the contract as a legal remedy.
(ii) In accordance with Articles 107 and 111 of the Contract Law, the party may request the breaching party to adopt the
appropriate remedial measures, such as repairing the defective goods, reducing the price of goods or services, etc.
(iii) In accordance with Articles 107, 112 and 113 of the Contract Law, the party may claim the damages against the
breaching party.
(iv) In accordance with Article 107 and 110 of the Contract Law, the party may request the other party to perform the
specific contractual obligations as agreed upon in their contract.
(b) In accordance with Article 110 of the Contract Law, if one party fails to perform the non-monetary obligation or the
performance of such obligation fails to conform to the contract, the other party may claim for specific performance except for
the following cases:
(i) the obligation cannot be performed in law or in fact;
(ii) the object of the obligation is not suitable for enforcement or the cost for enforcement is excessively high;
(iii) the creditor fails to claim for performance within a reasonable period.