A Review of the Doctrinal Debate on the Determination of the Performance Commitment Compensation for Major Asset Reorganization Abstract

Abstract

Around the definition of the attributes of performance promise compensation in major asset restructuring, there are doctrines such as shooting contract theory, conditional contract theory, guarantee contract theory, option theory, etc.Although there are similarities between these doctrines and performance promise compen - sation, the existing doctrines under detailed examination cannot fully interpret the normative characterization of performance promise compensation.The uncertainty of the target performance is explored, which leads to the difference of subjective uncertainty between the performance promise compensation and the contract, the "performance" of the performance promise compensation and the "condition" of the conditional contract look different, the rights and obligations of the performance promise compensation and the guarantee or option contract are constructed differently, and the performance promise compensation is not a breach of contract liability as recognized in judicial practice.