value and duration of insurance shall be decided by the board of directors
in accordance with the provisions of the People’s Insurance Company of
China.
Chapter 16 The Amendment, Alteration and Termination of the Con- tract
Article 40
The amendment of the contract or other appendices shall come into
force only after a written agreement has been signed by Party A and Party
B and approved by the original examination and approval authority.
Article 41
In case of inability to fulfil the contract or to continue operation
due to heavy losses in successive years as a result of force majeure, the
duration of the cooperative venture and the contract shall be terminated
before the time of expiration after being unanimously agreed upon by the
board of directors and approved by the original examination and approval
authority.
Chapter 17 Liability for Breach of Contract
Article 42
Should the cooperative venture company be unable to continue its
operation or achieve its business purpose due to the fact that one of the
contracting parties fails to fulfil the obligations prescribed by the
contract and articles of association, or seriously violates the provisions
of the contract and articles of association, that party shall be deemed to
have unilaterally terminated the contract. The other party shall have the
right to terminate the contract in accordance with the provisions of the
contract after approval by the original examination and approval
authority, and to claim damages. In case Party A and Party B of the
cooperative venture company agree to continue the operation, the party who
fails to fulfil its obligations shall be liable for the economic losses
caused thereby to the joint venture company.
Article 43
Should either Party A or Party B fail to provide on schedule the
contributions in accordance with the provisions defined in Chapter 5 of
this contract, the party in breach shall pay to the other party
________Yuan, or __________% of the contribution starting from the first
month after exceeding the time limit. Should the party in breach fail to
provide after ______months, _________Yuan, or _________% of the
contribution shall be paid to the other party, who shall have the right to
in accordance with the provisions of the People’s Insurance Company of
China.
Chapter 16 The Amendment, Alteration and Termination of the Con- tract
Article 40
The amendment of the contract or other appendices shall come into
force only after a written agreement has been signed by Party A and Party
B and approved by the original examination and approval authority.
Article 41
In case of inability to fulfil the contract or to continue operation
due to heavy losses in successive years as a result of force majeure, the
duration of the cooperative venture and the contract shall be terminated
before the time of expiration after being unanimously agreed upon by the
board of directors and approved by the original examination and approval
authority.
Chapter 17 Liability for Breach of Contract
Article 42
Should the cooperative venture company be unable to continue its
operation or achieve its business purpose due to the fact that one of the
contracting parties fails to fulfil the obligations prescribed by the
contract and articles of association, or seriously violates the provisions
of the contract and articles of association, that party shall be deemed to
have unilaterally terminated the contract. The other party shall have the
right to terminate the contract in accordance with the provisions of the
contract after approval by the original examination and approval
authority, and to claim damages. In case Party A and Party B of the
cooperative venture company agree to continue the operation, the party who
fails to fulfil its obligations shall be liable for the economic losses
caused thereby to the joint venture company.
Article 43
Should either Party A or Party B fail to provide on schedule the
contributions in accordance with the provisions defined in Chapter 5 of
this contract, the party in breach shall pay to the other party
________Yuan, or __________% of the contribution starting from the first
month after exceeding the time limit. Should the party in breach fail to
provide after ______months, _________Yuan, or _________% of the
contribution shall be paid to the other party, who shall have the right to