• Title/Summary/Keyword: Goods Conformity Clauses

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Problems on Validity of the Goods Conformity Clauses in FOB Contracts (FOB 계약(契約)에서 물품적합성조항(物品適合性條項)의 유효성(有效性) 문제(問題) -The Mercini Lady 사건(事件)을 중심으로-)

  • Choi, Myung Kook
    • THE INTERNATIONAL COMMERCE & LAW REVIEW
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    • v.58
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    • pp.35-58
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    • 2013
  • In Mash & Murrell, Diplock J said that "there is an implied warranty not merely that they shall be merchantable at the time they are put on the vessel, but that they shall be in such a state that they can endure the normal journey and be in a merchantable condition upon arrival." But in The Mercini Lady, Field J said that "the goods would be of satisfactory quality not only when the goods were delivered on to the vessel but also for a reasonable time thereafter." and "The proposed conditions were not excluded by clause 18. ${\cdots}$ clause 18 was not to be construed as extending to conditions ${\cdots}$". In relation to the problems on validity of the goods conformity clauses in FOB contracts, when considering Lord Wright's comments ("${\cdots}$ hence apt and precise words must be used to exclude it: the words guarantee or warranty are not sufficiently clear.") in Cammell Laird & Co Ltd v Manganese Bronze and Brass, FOB contracts are fundamentally one that seller's duty to deliver the goods is completing at the port of shipment and "principle of party autonomy" in Contract Law, I do not think that the terms implied by section 14 of the SGA and Common Law cannot absolutely excluded by the goods conformity clauses in sale contracts. Therefore, in order to exclude the implied terms, the parties must very clearly spell out this in the relevant clauses.

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Regulating Exclusion Clauses of the Seller's Liability for Non-Conforming Goods: Comparative Accounts (매도인의 하자물품책임 면책약관의 규제에 관한 비교연구)

  • Lee, Byung-Mun
    • THE INTERNATIONAL COMMERCE & LAW REVIEW
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    • v.32
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    • pp.29-56
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    • 2006
  • This article primarily concerns the various aspects of the rules to control express terms particularly in standard form which seek to absolve either wholly or in part from the seller's liability for non-conforming goods. It describes and analyzes in detail how English law regulates such terms. In this analysis, it places the following questions; first, whether each jurisdiction treats the seller's liability for non-conformity in quality and quantity as mandatory rules, second, if it does, to what extent it is treated so and third, if not, in what way it controls the seller's attempt to exclude or restrict his liability for non-conformity in quality and quantity. In addition, it attempts to compare the rules under English law with those under Korean law and to evaluate them in light of the discipline of comparative law. In an attempt to evaluate them, it asks the question of whether a solution from one jurisdiction may facilitate the systematic development and reform of another jurisdiction. The evaluation is based upon the idea that the problems of fairness associated with the use of standard terms occur where the customer is unfairly taken by surprise due to his ignorance of the terms, or where even if he knows of the substance of the terms and objects to it, he is met with a take-it-or-leave-it situation.

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The Rules of Law on Warranty Liability in Contracts for the International Sale of Goods - With Special Reference to CISG - (국제물품매매계약에 있어서 하자담보책임에 관한 법리 - CISG를 중심으로 -)

  • Hong, Sung-Kyu
    • Journal of Arbitration Studies
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    • v.24 no.4
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    • pp.147-175
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    • 2014
  • In contracts for the international sale of goods, a seller must deliver appropriate goods and hand over relevant documents according to a contract, which will transfer the ownership of the goods to a buyer. In this case, if there are defects in the contracted goods, the warranty liability will occur. However, in the United Nations Convention on Contracts for the International Sale of Goods (CISG), a term-the conformity of the goods to the contract-is used universally instead of the warranty. According to the CISG, a seller must deliver goods in conformance with the relevant contract in terms of quantity, quality, and specifications, and they must be contained in vessels or in packages according to the specifications in the contract. In addition, a certain set of requirements for conformity will be applied implicitly except when there is a separate agreement between parties. Further, the base period of conformity concerning the defects of goods is the point when the risk is transferred to the buyer. A seller shall be obliged to deliver goods that do not belong to a third party or subject to a claim then, and such obligations shall affect the right or claim of a third party to some extent based on intellectual property rights clauses. If the goods delivered by the seller lack conformity, or incur right infringement or claim of a third party, then it shall be regarded as a default item per the obligation of the seller. Thus, the buyer can exercise diverse means of relief as specified in Chapter 2, Section 3 (Article 45-Article 52) of the CISG. However, such means of relief have been utilized in various ways for individual cases as shown in judicial precedents made until now. Contracting parties shall thus keep in mind that it is best for them to make every contract airtight and they should implement each contract thoroughly and faithfully to cope with any possible occurrence of a commercial dispute.

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A Study on the Law of Non-performance of International Sales Contract under the Contract Law of The People's Republic of China (중국계약법(中國契約法)상 무역계약불이행(貿易契約不履行)관련 규정(規定)의 연구(硏究))

  • Ahn, Yeong-Tae
    • International Commerce and Information Review
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    • v.8 no.1
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    • pp.243-257
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    • 2006
  • This study is to introduce the Chinese Contract Law against non-performance of the contract and to solve the wide range of problems involving to executing the trading contract. The parties' liability for the period of performance, the place of performance, the failure to deliver conforming goods together with it's nature of the lack of conformity, and the methods of compensation against damages and the force majeure clauses application. Those issues affect directly to commercial transactions in international business. The focus is more on the interrelationship of private individuals in its trade and on aiming to remove the legal obstacles from the Chinese Contract Law to freely flow of international trade. Reference may include foreign corrupt practices, Conventions on Contracts for the International Sale of Goods and Laws of England, France, and Japan. This study has brought the efforts of these issues in the full spectrum of performance and with concentrations on effectiveness to avoid the different viewpoints of the general principles of CISG and commercial practice founded pre-eminently. This study, in presenting the legal framework, will contribute to a better understanding of the purpose of rules of Chinese Contract -Law as they interact to the benefit of the parties involved in international trade transactions. The writer believes that a problem-oriented approach and the concentration as outlined above would offer a different perspective for law faculty teaching in this area and hope that this study can be sufficiently diverse to satisfy many of those views.

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