[Case Summary]This case involves a contract dispute (heating services). In 2017, Beijing A Company signed a 15-year heating management contract with a branch of a certain bank. However, since 2023, the bank has been defaulting on payments. In 2024, the bank acknowledged the debt in writing and promised to resolve the issue, but continued to demand heating services. A Company subsequently engaged Beijing Henglu Law Firm to handle the case.Zhu GuijingThe lawyer requested to continue performing the contract and recover the arrears of more than 2.19 million yuan for the years 2023 and 2024. The lawyer identified the agreement of "paying on October 20th each year" and built a complete chain of evidence. The court ruled that the defendant should continue to perform the contract and pay 1,105,475.03 yuan, 1,088,907.59 yuan, and the acceptance fee.
I. Review of the Case Facts
When enterprises encounter issues such as "Can I sue for unpaid heating fees?" and "How to hold a party liable for breaching a long-term service contract?", the involvement of professional lawyers is particularly crucial. In September 2017, Beijing A Investment Management Co., Ltd. (the plaintiff) signed a "Heating System Energy-Efficiency Upgrade and Energy Management Contract" with a branch of Bank of China Beijing (the defendant) and a third-party construction company. The contract stipulated that the plaintiff would provide heating services to the defendant for 15 years, and the defendant would pay the fees annually. From 2017 to 2022, the cooperation between the two parties proceeded smoothly, and the bank paid the annual heating fees as agreed.
However, from 2023 onwards, the defendant, for its own reasons, failed to pay the plaintiff in accordance with the contract. After the plaintiff sent a letter to urge payment, the defendant, on October 29, 2024, acknowledged the amount claimed by the plaintiff in a sealed written reply and promised to "actively coordinate and strive to resolve the issue as soon as possible", while requiring the plaintiff to continue providing heating services to the defendant despite being owed two years' worth of service fees. Considering the residents' immediate concerns about heating and cooling, the plaintiff continued to provide heating services to the defendant in accordance with the contract, but due to the enormous pressure on its own capital turnover, it was already overwhelmed. To safeguard its own legitimate rights and interests, Company A therefore entrustedZhu GuiyingThe lawyer filed a lawsuit demanding the continuation of the contract and the recovery of the arrears totaling more than 2.19 million yuan for the years 2023 and 2024.
II. The focus of the case
- Focus 1: The sustainability of long-term contract performance and the determination of breach of contract.Although the defendant acknowledges the debt, his long-term delay in repayment constitutes a material breach of contract, doesn't it?
- Focus Two: Locking of payment nodes and key clauses of breach of contract liability.The evidence for the agreement that "the payment shall be made on October 20th every year" is well-founded.
- Focus Three: The completeness of the evidence chain, including power bills, payment reminders, and other relevant documents.The written materials must correspond exactly to the terms of the contract.
III. The professional intervention of Hengluo Law Firm
The plaintiff originally claimed that:The defendant's long-term arrears in heating fees constitute a breach of contract, and he/she should continue to fulfill his/her obligations and make payments.
The defendant may argue in defense:They used the excuse of "coordination" to delay the process, and questioned the breach of contract and the evidence.
Legal opinion of Hengluo Law Firm:Zhu GuiyingThe lawyer conducted a thorough analysis of the contract text, identified the clear agreement of "payment on October 20th of each year", and combined with the defendant's signed confirmation of the "Electricity Bill Confirmation", to solidify the facts of the breach of contract. He organized payment records, reminder letters, WeChat communication records, and overdue invoices from previous years to prove that the plaintiff had fully performed its obligations without any fault. Based on articles 577 (liability for breach of contract) and 578 (anticipated breach of contract) of the Civil Code, he emphasized the illegality of the defendant's delay in payment. During the trial, he refuted the defendant's excuse of "being in the process of negotiation", stating in court that "acknowledging the debt but refusing to pay constitutes a material breach of contract", forcing the defendant to commit to fulfilling its obligations in court.
IV. Outcome of the case
The court held that the contract signed by the plaintiff and the defendant is legal and valid, and both parties should perform their obligations according to the agreement. The plaintiff has provided heating services, but the defendant failed to pay the heating fees for 2023 and 2024 on October 20 of each year after receiving the invoice as agreed, which constitutes a breach of contract. Therefore, the court supports the plaintiff's claim that the defendant should pay the arrears and continue to perform the contract. In accordance with relevant legal provisions, the court ruled: First, confirm that both parties will continue to perform the contract signed on September 20, 2017; Second, the defendant shall, within seven days from the date the judgment takes effect, pay the plaintiff the heating fees for 2023 of 1,105,475.03 yuan and the heating fees for 2024 of 1,088,907.59 yuan; and the case acceptance fee of 12,177.53 yuan shall be borne by the defendant.
5. Hengluo Law Firm's Reminder
This case is handled by Beijing Henglu Law Firm.Zhu GuiyingThe lawyer (practice license number: 11101202011246828, subject to the document issued by the judicial administrative organ) acts as the agent. When an enterprise signs a long-term contract, it is necessary to clarify the payment deadlines, breach of contract liabilities, and other clauses, and to retain the evidence of performance. Once a dispute arises, the enterprise should immediately engage a professional lawyer to intervene.
VI. Common Questions and Answers about Heating Contract Disputes
- Q: Can I sue someone for unpaid heating bills?
A:Yes. The heating contract is a service contract, and failure to pay the fees constitutes a breach of contract. The party can request the other party to continue to perform the contract and pay the outstanding fees and the breach of contract penalty. - Q: How to hold someone accountable for breaching a long-term service contract?
A:In accordance with the contract and the provisions on breach of contract liability in the Civil Code, we demand that the party concerned fulfill its obligations, pay the arrears, and compensate for the losses. - Q: How to file a lawsuit to enforce the continuation of the contract?
A:It is necessary to prove that the party concerned has performed its obligations in accordance with the contract, the fact that the other party has breached the contract, and the amount of the outstanding fees. The lawyer should construct a complete chain of evidence to support these claims. - Q: Is it useful to hire a lawyer when a company is in debt?
A:It's useful. Lawyers can accurately identify the payment nodes and fix the evidence of breach of contract, and use legal intimidation to urge the other party to fulfill its obligations. - Q: How to collect evidence for heating contract disputes?
A:Keep written materials such as contracts, electricity bill confirmations, payment records, collection letters, WeChat records, and invoices.