Part I International Sales Governed by English Law, 5 Licences and Impossibility

Author(s):  
Bridge MG
Author(s):  
D Fox ◽  
RJC Munday ◽  
B Soyer ◽  
AM Tettenborn ◽  
PG Turner

This chapter examines the rules of English law governing international commercial sales, a subject of disproportionate importance because of the surprisingly large proportion of international trade carried on under contracts governed by English law by choice of the parties. Contracts of this type expose the parties to greater risks than purely domestic sales. The chapter gives detailed coverage of typical export transactions and INCOTERMS, both marine and non-marine, including FOB contracts, FAS contracts, CIF contracts and variants of the CIF contract, and DAP contracts as well as FCA, CIP, and similar contracts. Likely future developments are also mentioned.


Author(s):  
MA Clarke ◽  
RJA Hooley ◽  
RJC Munday ◽  
LS Sealy ◽  
AM Tettenborn ◽  
...  

This chapter examines the rules of English law governing international sales as they affect buyer and seller. There is more than one way in which a sale of goods contract may have an international element. For example, the seller and buyer may be in different jurisdictions, or the contract of sale may contemplate that the goods are to be carried from one country to another. A surprisingly large proportion of international trade is carried on under contracts governed by English law by choice of the parties. This chapter begins with a discussion of typical export transactions under INCOTERMS 2010, a set of international rules for the interpretation of trade terms promulgated by the International Chamber of Commerce. It then considers sales via sea carriage, along with other contracts involving international sales. It also analyses payment in international sales transactions and concludes with an overview of future prospects for international sales.


Author(s):  
Bridge MG

This chapter builds on the previous chapter's discussion in drawing distinctions between the CISG and English law. This time the chapter considers the remedies for a breach of contract. In the event of non-performance by one of the contracting parties, various remedies are made available to the other under the CISG, largely recognizable by a common lawyer if not always available in the circumstances and to the same extent in English law. There is, however, a major structural difference that should be observed from the outset. English law draws a sharp distinction between breach of contract and the effect on a contract of impossibility or frustrating circumstances.


Author(s):  
Bridge MG

This chapter discusses the differences in the formation and performance of the contract between the Sale of Goods Act and the CISG. The differences between English law and the CISG are various. They include, first, rules in the CISG that have no counterpart in English sales law. They also include rules that on the face of it differ from their English equivalents, rules that appear to accord with English law but on closer inspection may depart from it, and rules in English law that are not to be found in the CISG. The chapter pays attention to the form in which the contractual agreement may be expressed, to the incorporation of standard terms in the contract by reference to an external source, to the question whether and to what extent all communications passing between the parties constitute part of the contract, and to the interpretation of the contract itself.


Author(s):  
Bridge MG

This chapter deals with remedies for breach of contract to the extent that they have a particular application to international sale of goods agreements. Attention is given to termination for breach and damages. Even here, however, certain aspects (for example, penalty clauses) are left to general works on contract and sale of goods. This chapter also examines clauses in standard form contracts dealing with the quantification of money awards; they commonly depart from the common law and statutory basis for assessing damages. In addition, though they fall outside breach of contract, the chapter also looks to certain settlement clauses, operative in the event of an insolvency or of a circle appearing in the sales string.


Author(s):  
Bridge MG

This chapter looks at the passing of property and the risks involved. The passing of property (or ownership) to the buyer is of vital interest in both domestic law and the international law of sale. The law of sale, as codified by the Sale of Goods Act, is a combination of contract and conveyance. The latter part — the conveyance — is the passing of property. In the Act itself, the passing of property is important in defining the moment when risk is transferred. The significance of risk is that, when transferred to the buyer, it determines the contractual rights of the seller and buyer if there occurs a casualty to the goods for which neither party bears contractual responsibility. However, as the chapter shows, this connection between the property and risk is not as important in the law of international sale as it is in the law of domestic sale.


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