The conclusion is that our country should draw the experience of Anglo and American s that making system regulation about the system of discharge of contract by breach,coming to establish a concept that similar to repudiatory breach composes the right about discharge of contract.

The writer considers whether discharge of contract has recalling validity is according to the character of contract.

That is to say,it seems necessary to endow the parties with right for discharge of contract.

As the indispensable composition of the modern system of contract,the system of contract rescission is very important to judicial and theory practice.

Apart from its stiputation in Article 97, the current Law of Contract of our country deals little with the legal effect of contract rescission, so it s of great theoretical and practical significance to have a study of the issue.

Being based on the living contract law of china, the analyses on the related domestic and outside theories and legislation of rescission of contract, and the successful legislative experience, the author comprehensively applies many study methods to make a deep analysis and systematic study on effect of contract rescission.