Civil Code - Agency by Necessity

(The following clauses are selected from The Civil Code of the People’s Republic of China translated by Steve Li and Robert Zhang, international arbitration lawyers registered in Shanghai, China, and published by Kindle Unlimited.)

Article 979 An agent by necessity who acts on behalf of a principal to avoid losses thereof but is not obligated to do so by law or agreement shall be entitled to claim payment of its necessary costs therefor by the principal and shall be entitled to claim appropriate compensation from the principal for its losses arising therefrom, if any.

The agent by necessity shall not be entitled to the claims as specified in the preceding paragraph if it acts in contradiction to the true intention of the principal unless the true intention of the principal is in violation of the law, public policies, or ethical standards.

Article 980 In the case of agency by necessity which is not as specified under Article 979 above but accrues benefits to the principal, the principal shall perform the obligations specified in the first paragraph of Article 979 above to the extent of the benefits it obtains.

Article 981 When acting on behalf of the principal, the agent by necessity shall act in a manner in the principal's interests. An agency by necessity shall not be interrupted without due cause if the interruption is against the principal's interests.

Article 982 An agent by necessity shall promptly notify the principal of its agency by necessity in a timely manner. Unless it is urgently necessary to act on behalf of the principal, the agent by necessity shall not take actions before receipt of any instruction from the principal.