【正确答案】In accordance with Article 73 of the Contract Law, the term subrogate right (right of subrogation) refers to such a right as authorised to a party (creditor) by the law to claim, in his own name, the creditor’s right against a third party to whom there is not direct contractual relations between them.

【正确答案】In accordance with Article 73 of the Contract Law, the following conditions shall be met if a party intends to exercise the right of subrogation against a third party: (i) The party claiming subrogate right shall be the creditor under a contract. (ii) The debtor is reluctant to exercise his creditor’s right against a third party, which causes harm to the creditor. (iii) The debtor’s credit against the third party has been matured. (iv) The party claiming the subrogate right shall file a law suit against the third party to exercise such right. (v) The subrogate right shall be exercised within the scope of creditor’s credits towards his debtor.