Legal analysis: the method of contract risk prevention. To strengthen enterprise contract management, we must first establish contract management institutions and contract management systems, and standardize them from the organizational structure and management rules. Contract management institutions and contract managers in enterprises, especially those who often sign purchase and sale contracts in business activities, are trained in contract law, so as to improve their contract awareness, master the contract legal system and consciously apply it to the economic activities of enterprises, so that enterprises can change from passively responding to and handling contract disputes to actively preventing contract disputes, thereby enhancing their ability to respond, develop and compete and avoiding economic losses.

Legal basis: Civil Code of People's Republic of China (PRC).

Article 143 A civil juristic act that meets the following conditions is valid:

(1) The actor has corresponding capacity for civil conduct;

(2) the meaning is true;

(three) does not violate the mandatory provisions of laws and administrative regulations, and does not violate public order and good customs.

Article 490 Where the parties conclude a contract in the form of a contract, the contract is formed when the parties sign, seal or fingerprint it. Before signing, sealing or fingerprinting, one party has fulfilled its main obligations, and the contract is established when the other party accepts it.

Article 502 A lawfully formed contract shall become effective upon its formation, unless otherwise provided by law or agreed by the parties.

In accordance with the provisions of laws and administrative regulations, if the contract should go through the approval procedures, such provisions shall prevail. If the failure to go through the formalities such as approval affects the effectiveness of the contract, it will not affect the performance of the obligation clauses such as approval and the effectiveness of relevant clauses in the contract. If the party that should go through the formalities for approval fails to perform its obligations, the other party may require it to bear the responsibility for violating its obligations.