On June 13, the website of the Department of Housing and Urban-Rural Development of Hubei Province published the announcement of soliciting opinions on the model text of the professional contract for ready-mixed concrete in Hubei Province (draft for comments), which marked that the model text of the professional contract for ready-mixed concrete in Hubei Province drafted by the Provincial Association had achieved phased results.
Since the re-election in June 2022, the Provincial Association has conducted extensive visits and investigations to cities and States throughout the province. In the process of investigation, one of the most intense problems reflected by the majority of member enterprises is the existence of a large number of "overlord contract" clauses in the process of concrete sales, such as "back-to-back" clauses (payment for goods is linked to payment for projects by developers), compulsory payment of commercial tickets for housing, restrictions on prosecution conditions and other illegal and unreasonable provisions. It seriously infringes on the legitimate rights and interests of concrete enterprises, is not conducive to fair competition in the market, and is also prone to contract legal disputes.
In order to further standardize the professional contracting management of ready-mixed concrete in the whole province and effectively safeguard the legitimate rights and interests of the parties involved in the professional contracting, according to the relevant requirements of the Opinions on Promoting the High-quality Development of the Ready-mixed Concrete Industry and the Interim Measures for the Management of Ready-mixed Concrete in Hubei Province. The Provincial Office of Construction Science and Technology and Construction Energy Conservation entrusted the Provincial Ready-mixed Concrete Association to take the lead in drafting the Model Contract for Ready-mixed Concrete in Hubei Province (Draft for Comments). The Provincial Association attaches great importance to this work, specially exchanges and studies with other provinces and cities with mature experience, and organizes experts, scholars, legal staff and business management professionals to compile and draft model contract texts. After repeated revisions and improvements, the first draft of the model contract text was formed and submitted to the competent government departments for review.