Contract Law of the People's Republic of China
Author:sipoIssuing Date:2008-01-24 13:28:30Source:sipo
Article 353 Where the exploitation of a patent or the use of know-how by a transferee in accordance with the terms of the contract infringes upon the legitimate right and interests of others, the transferor shall be liable, except as otherwise agreed upon by the parties.
Article 354 The parties may stipulate in a technology transfer contract, the method of sharing technological achievements obtained from the follow-up improvements made in the exploitation of a patent or the use of know-how in light of the principle of mutual benefit. Where there is no such agreement in the contract or such agreement is unclear, nor can it be determined according to the provisions of Article 61 of this Law, the other parties shall have no right to share the technological achievements made by one party in the follow-up improvement.
Article 355 Where the laws and administrative regulations stipulate otherwise on the technology import and export contract, or patent contracts or contracts on application for patents, such provisions shall be followed.
Section 4 Contracts for Technical Consultancy and Technical Service
Article 356 Technical consultancy contracts include contracts whereby feasibility studies, technological forecasts, technical investigations and analytical evaluation reports shall be provided in respect of specific projects.
Technical service contracts refer to contracts whereby one party undertakes to solve specific technical problems by using its technical expertise for the other party, excluding contracts for construction projects and contracts for work.
Article 357 The commissioning party of a technical consultancy contract shall, as agreed upon in the contract, state clearly the questions raised for consultancy, supply technological background information and relevant technical materials and data, accept from the commissioned party the result of its work and pay the remuneration.
Article 358 The commissioned party of a technical consultancy contract shall complete the consultancy report or answer the questions raised by the commissioning party according to the agreed time limit. The consultancy report thus submitted shall meet the requirements as agreed upon in the contract.
Article 359 Where the commissioning party of a technical consultancy contract fails to supply the necessary materials and data according to the terms of the contract which consequently affects the progress and quality of the consultancy work, or does not accept the result of the work or accepts it beyond the time limit, the remuneration already paid may not be refunded, and the remuneration unpaid shall be paid in due amount.
Where the commissioned party of a technical consultancy contract fails to submit the consultancy report on time or the report thus submitted does not meet the requirements as agreed upon in the contract, the said party shall bear such Liabilities for breach of contract as reducing or waiving the remuneration, etc.
The losses resulting from decisions made by the commissionung party of a technical consultancy contract on the basis of the consultancy report and of the advice of the commissioned party that meet the requirements as agreed upon in the contract shall be borne by the commissioning party, except as otherwise agreed upon by the parties in the contract.
Article 360 The commissioning party of a technical service contract shall supply the work facilities and accomplish cooperative undertakings according to the terms of the contract, and accept the result of the work and pay the remuneration.
Article 361 The commissioned party of a technical service contract shall complete the services, solve the technical problems, guarantee the quality of its work and convey to the other party the knowledge on the solving of technical problems according to the terms of the contract.
Article 362 Where the commissioning party of a technical service contract fails to perform the contract or the performance is not in conformity with the terms of the contract, which consequently affects the progress and the quality of the work, or does not accept the result of the work or accepts it beyond the time limit, the remuneration already paid may not be refunded, and the remuneration unpaid shall be paid in due amount.
Where the commissioned party fails to complete the service work in conformity with the terms of the contract, the said party shall bear such liabilities for breach of contract as waiving the remuneration, etc.
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