On the Rules for the Exercise of Statutory Right of Set-off
The minutes of the Ninth People's Congress of the Supreme People's Court(2019)and the Civil Code of China both provide for the statutory right of offset.However,there are still unclear rules for the applica-tion of offset in judicial practice.Grassroots court judges often simply refuse offsetting claims made by parties in litigation or enforcement proceedings.Strengthening in-depth research on the rules of offset can help to correct-ly exercise the right of offset,ensure the effectiveness of creditor's rights,and achieve legal objectives.The au-thor analyzes and studies the system of offsetting rights from specific situations such as the conditions for exercis-ing offsetting rights,whether offsetting has retroactive effect,and the priority of offset rights,hoping to contrib-ute to the improvement ofChina's offset rules.
statutory offsetactive creditor's rightspriority of compensationright of formation