Keywords:
• public policy/
• public interests/
• restitution/
• unjust enrichment

Abstract:According to Civil Law Code of China, there must be restitution when contracts violate public policy, which follows the rules of unenforceable contracts in General Provisions of the Civil Law of China and Contract Law of China. In legal practice, these restitution rules are socially improper and hard to litigate by judicial interpretation. The key point is that existing restitution rules lack the rationale behind the unenforceable contracts on the ground of public policy. To balance public interests and private interests, when contacts conflict with public policy, the restitution claims should be denied generally and only in some particular situations could the claims be allowed. The justification of "generally denied" rules is punishing contractors violating public policy and avoiding stultifying the refusal to enforce this type of contracts. As for "exceptionally allowed", when a party suffers a forfeiture that is disproportionate in relation to the contravention of public policy, his or her restitution claim might be allowed. These exceptions depend on factors such as the extent of the contravention and the situation contrary to public interests. By interpreting public policy principles and restitution rules, "generally denied" and "exceptionally allowed" can be effectuated in Civil Law Code of China.