| A requirement contract, originated from the need of the merchants' engagement in commercial practice, refers to a sales contract in which all the needs of the buyer can only be satisfied by the seller and the contract quantity is determined by the buyer's requirements, which is a typical type of contracts with open terms. Classical contract law, normally having a skeptical attitude towards the requirement contract with indefinite quantity terms, has provided for comparatively strict requirements on contract terms. But in the view of the modern contract law, a requirement contract is a special type of sales contract in which the terms on quantity are unclear but can be determined by the buyer's requirements, for which there are spaces for legitimate interpretation and application in the common law system, the civil law system and the Chinese law system. The openness of the quantity terms brings flexibility, efficiency and other advantages to the parties of a requirement contract while, at the same time, having such disadvantages as being easily abused by the parties. In order to promote the advantages and abolish the disadvantages, it is necessary to introduce the principle of good faith as the central rule of the performance, interpretation, application and remedy of requirement contract, and to regulate the practical application of requirement contract through the combination of specific means in light of specific types, sub-rules and particular context. In the determination of the remedy for the breach of a requirement contract, one should, on the basis of distinguishing different types of requirement contracts, measure specific factors of compensation for damages and review the practical possibility of specific performance, so as to increase the certainty and operability of the remedy. |
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