What is the difference between rescission and rescission?

The difference between the two is that the rescission contract is a contract that violates the provisions or principles of the law, and it is a contract with the right of revocation granted by law; Termination of a contract is a contract in which both parties terminate the contract on their own or meet the agreed termination conditions. The rescission of the contract itself is somewhat illegal, and the termination of the contract itself is not illegal, but it is only objectively to be terminated!

First of all, correct one of your words, is revocation, not revocation, legal nouns need to be very rigorous, can not be replaced by other words.

Revocation of a contract means that the parties have a material misunderstanding of the content of the contract or are obviously unfair, which can be requested by the interested parties. Revoke the contract and extinguish the legal effects that have already taken place. Both rescission and rescission give retroactive effect to the contract, but there are the following differences:

First, from the perspective of the causes of occurrence, there are two main types of reasons for contract revocation stipulated in the General Principles of the Civil Law, namely, heavy misunderstanding and obvious unfairness, while in fact, fraud, coercion and other acts of untrue expression of intent should fall within the scope of voidable contracts. In general, the grounds for revocation are directly prescribed by law. However, the reasons for the termination of the contract may be prescribed by law, or may be agreed upon or agreed upon by the parties.

The reason for the rescission of the contract existed at the time of the conclusion of the contract; The reasons for the termination of the contract all occur after the contract is concluded.

Second, from the perspective of the scope of application, the termination of the contract is mainly applicable to the contractual relationship; The rescission of a contract can not only be applied to the contract, but also the defective expression of intent can be revoked regardless of whether it has been established as a contract.

Third, from the perspective of the termination of the contractual relationship, the revocation of the contract must be proposed by the person with the right of revocation and confirmed by the arbitration institution or the people's court; On the other hand, the termination of the contract can be achieved through negotiation between the parties or the exercise of the right of termination by one party, without the need for a ruling by the promotion authority or the people's court.

Fourth, from the perspective of effectiveness, the revocation of the contract must have retroactive effect; If there is a contract termination, although in principle, retroactive effect occurs, but for some special contracts, the parties promise to have special agreement, and the retroactive effect does not occur.

There is also a difference between rescission and withdrawal of a contract. The so-called withdrawal refers to the act carried out by the expressor to prevent the expression of intention from taking effect before it takes effect. The main differences between it and lifting are:

Withdrawal only applies to expressions of intent and not to contracts; On the other hand, the termination of the contract occurs after the contract has entered into force, with the aim of extinguishing the existing contractual relationship. The decision on withdrawal is primarily made by the parties themselves, and the law does not impose any restrictions; The law stipulates certain reasons for the termination of the contract.

Now there are only changeable, revocable contracts. A voidable contract gives a party the right to revoke if the contract is valid if it is not revoked and if the revocation results in the invalidity of the contract. In the case of fraud, coercion, etc., the injured party may exercise the right of rescission to invalidate the contract, or it may not be exercised, and the contract shall be valid.

The legal basis, applicable conditions, and legal consequences are different.

Lawyer Zheng Guangxiong.

The legal basis is different.

Lawyer Tian Jun.

Legal analysis: First of all, from the perspective of the lack of scope of application, the scope of application of revocation is relatively broad, not only applicable to the field of contracts that lack valid elements, but also applicable to defective expressions of intent and civil acts. Rescission, on the other hand, only applies to the early termination of a validly formed contract.

Secondly, from the perspective of the causes of occurrence, the reasons for revocation are directly stipulated by the law; The reasons for rescission are both prescribed by law and agreed by the parties.

Furthermore, from the perspective of the way of exercising, the party enjoying the right of revocation shall apply to the court or arbitration institution for revocation or modification within the period of exercising the right of revocation. The exercise of the right of rescission has two types: agreement termination and statutory termination, if it is terminated by agreement, the two parties can reach an agreement to terminate the contract, without the need to apply to the court or arbitration institution.

Finally, from the perspective of the effect of occurrence, revocation has retroactive effect, and the revoked civil act is invalid from the beginning; Rescission, on the other hand, is often non-retroactive, and can only be retroactive when the parties have a special agreement or a special provision of the law and the contract is terminated in breach of contract.

According to the law, Articles 145, 147, 148, 149, 150, 151, 562, and 563 of the Civil Code of the People's Republic of China.

Legal analysis: There are the following differences: First, the contract is rescinded because the contract is voidable, such as a civil juristic act based on a material misunderstanding.

The termination of the contract is due to the fact that both parties are willing to terminate the contract after negotiation, or one party is in fundamental breach of contract, and the other party unilaterally terminates the contract. Second, a contract that has been revoked has no legal effect from the beginning. The terminated contract only terminates the legal relationship from the date of rescission, and the part that has been performed before the rescission is still valid and does not have retroactive effect.

Legal basis: Civil Code of the People's Republic of China

Article 147:The perpetrator has the right to request that the people's court or arbitration body revoke civil juristic acts carried out on the basis of a major misunderstanding.

Article 562:The parties may terminate the contract if they reach a consensus through consultation.

The parties may agree on the grounds for one party to terminate the contract. The person who has the right to terminate the contract may terminate the contract if the cause of termination occurs.

The difference between the two is:

The termination of a contract is for a valid contract, and in the course of the performance of the contract, due to the occurrence of a cause that cannot achieve the purpose of the contract, the parties claim to terminate the contract, so that the contractual relationship is null and void, and the part that has been performed is not affected.

The revocation of the contract is for the revocable contract, the contract is revoked and becomes an invalid contract, and the parties shall return the property determined in accordance with the contract, and the rights shall be restored to the original, and it is valid if it is not revoked.

Legal basis] Article 147 of the Civil Code provides that the actor has the right to request the people's court or arbitration institution to revoke a civil juristic act based on a major misunderstanding.

Article 148 of the Civil Code provides that if one party uses fraudulent means to cause the other party to carry out a civil juristic act contrary to its true intentions, the defrauded party has the right to request the people's court or arbitration institution to revoke it.

Article 149 of the Civil Code provides that if a third party commits a fraudulent act, causing one party to carry out a civil juristic act contrary to its true intentions, and the other party knows or should know about the fraudulent act, the defrauded party has the right to request the people's court or arbitration institution to revoke it.

Article 150 of the Civil Code provides that where one party or a third party uses coercion to cause the other party to carry out a civil juristic act contrary to its true intentions, the coerced party has the right to request the people's court or arbitration institution to revoke it.

Article 150 of the Civil Code provides that if one party takes advantage of the other party's distress or lack of judgment to guess the form, resulting in the unfairness of the civil juristic act when it is established, the injured party has the right to request the people's court or arbitration institution to revoke it.

Article 562 of the Civil Code provides that the parties may terminate the contract if they reach a consensus through consultation.

The parties may agree on the grounds for one party to terminate the contract. The person who has the right to terminate the contract may terminate the contract if the cause of termination occurs.

The difference between contract termination and contract revocation: from the perspective of the cause, the occurrence of the right to revoke the contract is generally based on the provisions of the law, while the occurrence of the right to terminate the contract is not only the provisions of the law but also the agreement of the parties; From the perspective of the effect, the revocation of the contract has retroactive effect, and the termination of the contract should be determined according to the performance of the contract, the nature of the contract and the will of the parties.

[Legal basis].

According to Article 562 of the Civil Code of the People's Republic of China, which came into force on January 1, 2021.

The parties may agree on the grounds for one party to terminate the contract. The person who has the right to terminate the contract may terminate the contract if the cause of termination occurs.

Article 147 of the Code of the People's Republic of China on Civil Travel.

Where civil juristic acts are carried out on the basis of a major misunderstanding, the actor has the right to request that the people's court or arbitration institution revoke it.

Article 118 of the Civil Code of the People's Republic of China.

Where one party uses fraudulent means to cause the other party to carry out a civil juristic act contrary to its true intentions, the defrauded party has the right to request the people's court or arbitration institution to revoke it.

Article 151 of the Civil Code of the People's Republic of China.

Where one party takes advantage of the other party's distress or lack of judgment ability, resulting in the establishment of a civil juristic act that is obviously unfair, the injured party has the right to request the people's court or arbitration institution to revoke it.

From the perspective of the scope of application, the scope of application of revocation is relatively broad, not only applicable to the field of contracts that lack valid elements, but also to defective expressions of intent and civil acts. Rescission, on the other hand, only applies to the early termination of a validly formed contract. From the point of view of the cause of occurrence, the reason for revocation is directly stipulated by law; The reasons for rescission are both prescribed by law and agreed by the parties. From the perspective of the method of exercise, the party enjoying the right of revocation shall apply to the court or arbitration institution for revocation or modification within the period of exercising the right of revocation.

In the case of termination by agreement, the two parties can terminate the contract by agreement without applying to the court or arbitration institution. From the perspective of the effect of occurrence, revocation has retroactive effect, and the revoked civil act is invalid from the beginning; The termination of the refusal is often not retroactive, and can only be retroactive when the parties have a special agreement or the law has special provisions and the contract is terminated in breach of contract.

Legal basis: Article 157 of the Civil Code of the People's Republic of China: After a civil juristic act is invalid, revoked, or determined not to take effect, the property acquired by the actor as a result of the act shall be returned; where it cannot be returned or there is no need to return it, compensation shall be made at a discounted price. The party at fault shall compensate the other party for the losses suffered thereby; Where all parties are at fault, they shall each bear corresponding responsibility.

Where the law provides otherwise, follow those provisions.

Legal Analysis: There are a few differences. The contract is rescinded because the contract is voidable.

The reason for the termination of the contract is that both parties are willing to terminate the contract after negotiation or one party is in fundamental breach of contract, and the other party unilaterally terminates the contract. A contract that has been revoked has no legal effect from the beginning; The terminated contract only terminates the legal relationship from the date of rescission, but the part that has been performed before the rescission is still valid.

Legal basis: Article 147 of the Civil Code of the People's Republic of China.

If a civil juristic act of Yinye is carried out based on a major misunderstanding, the actor has the right to request the people's court or arbitration institution to revoke it.

Article 562.

The parties may terminate the contract by consensus.

The parties may agree on the grounds for one party to terminate the contract. The person who has the right to terminate the contract may terminate the contract if the cause of termination occurs.

Legal analysis: First, from the perspective of the scope of application, the scope of application of revocation is relatively broad, not only applicable to the field of contracts that lack the elements of validity, but also applicable to defective expressions of intent and civil acts, while rescission is only applicable to the early extinction of validly established contracts.

Second, from the perspective of the causes of occurrence, the reasons for revocation are directly stipulated by law, while the reasons for rescission are prescribed by law and are also agreed upon by the parties.

Legal basis: Article 563 of the Civil Code of the People's Republic of China The contract may be terminated if the party loses in any of the following circumstances: (1) the purpose of the contract cannot be achieved due to force majeure;

2) Before the expiration of the performance period, one of the parties clearly indicates or shows by its own conduct that it will not perform the main debt;

3) One of the parties has made a noise and delayed the performance of the main debt, and has not performed it within a reasonable period of time after being reminded;

4) One of the parties delays the performance of its obligations or commits other breaches of contract, resulting in the inability to achieve the purpose of the contract;

5) Other circumstances provided for by law. Sell scrambled.

In the case of an indefinite contract with the content of a continuously performed debt, the parties may terminate the contract at any time, provided that they notify the other party before a reasonable period of time.