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Public work construction is the fundament of national economic development. Government invest hundreds of billions of dollars on public construction projects, causing controversies of contract fulfillments. Not only does it reduce government agencies’ procurement effectiveness, but also consequently produce significant amount of waste on social resources. The public work authorities Public Construction Commission, Executive Yuan ( hereinafter referred to as the PCC ) is being, authorized by the Government Procurement Act, with reference to international and domestic engineering practices, set a more equitable and reasonable "Engineering Procurement Contract Template " for government agencies in the process of public work procurement to adopt. Parts of the government agencies, however, in the process of engineering procurement, does not completely comply with PCC’s template. And even more use of the advantages of standard contracts, apparently prepared beforehand and in favor of contractual terms of government agencies. Its contents clearly contradicts with the principle of fairness and reasonableness under the Government Procurement Law. In the case of the principle of freedom of contract is over abused, more often government agencies agreed to waive or reduce the contract responsibility of their own. And to increase the responsibility of contractors, even to make them prior to abandon their rights or limit them to exercise their rights, or other significant situation to the contractors. Among them, contractor exemption is the most obvious example. By using contractual liberty, through the article of contractor exemption, government agencies take the advantages of standard contracts, pass their own responsibilities and risks under no legitimacy completely to the contractors. This causes continual occurrences of public work disputes. It not only shows the public work contract unfairness, but also cause gigantic waste of resources of the society. In this paper, starting from principles of Freedom of Contract and the Clausula rebus Sic Stantibus, exploration of rationality and legitimacy of the business owner exemption is discussed, as well as to propose practical judgment on whether there are apparent unfair contract terms, by specific, clear and objective criterion, using the PCC’s template. It is expected that the government agencies can therefore correct their unconscionable contractual provisions, and to safeguard the fairness and justice of public work contracts. It is also expected to reduce the disputes of public work. It is believed that by doing so, it will effectively upgrade the efficiency of public work procurement, and the distribution of social resources may bring of greater benefits.
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