Topic 6: CISG 1
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Questions and Answers

Under the CISG, which types of goods are excluded from the scope of the convention?

  • Both A and B (correct)
  • Personal use goods known to the seller
  • Stocks and shares
  • All goods are included

    • The CISG applies to contracts for the sale of services.

    False

    What indicates a fixed time for acceptance in an offer?

    Irrevocable offer

    A reply to an offer that contains limitations or modifications is termed a _________.

    <p>counteroffer</p> Signup and view all the answers

    Match the following terms with their definitions:

    <p>Offer = A proposal to conclude a contract Acceptance = Indicating assent to an offer Counteroffer = A rejection of the original offer Irrevocable Offer = An offer indicating a fixed time for acceptance</p> Signup and view all the answers

    Which of the following situations would the CISG apply?

    <p>The buyer is from a non-Contracting State but governed by IPL</p> Signup and view all the answers

    An offer can never be irrevocable under the CISG.

    <p>False</p> Signup and view all the answers

    What is categorized as a material scope under CISG?

    <p>Contracts for the sale of tangible, movable goods</p> Signup and view all the answers

    What type of sales does the CISG NOT apply to?

    <p>Sales by auction</p> Signup and view all the answers

    The CISG covers the seller's liability for personal injury caused by the goods.

    <p>False</p> Signup and view all the answers

    What is the primary scope of the CISG?

    <p>Contracts for the sale of goods</p> Signup and view all the answers

    The CISG applies when both parties have their places of business in __________.

    <p>Contracting States</p> Signup and view all the answers

    Match the following articles with their key focuses:

    <p>Article 1 = Scope of Application Article 2 = Exclusions from CISG Article 7 = Interpretation of CISG Article 11 = Form of Contract</p> Signup and view all the answers

    Under what condition may the CISG not apply to a supply contract?

    <p>The buyer provides a substantial part of materials</p> Signup and view all the answers

    Parties can freely exclude the application of the CISG.

    <p>True</p> Signup and view all the answers

    What must be considered when interpreting the CISG?

    <p>Its international character and need for uniformity</p> Signup and view all the answers

    The __________ outlines the process of offer and acceptance in a contract under the CISG.

    <p>Articles 14 - 19</p> Signup and view all the answers

    Match the following exclusions with their definitions:

    <p>Personal Use = Sales for individual consumption Auction = Sales conducted through bidding Shares = Transactions involving investment assets Electricity = Sales of electrical power</p> Signup and view all the answers

    Which of the following is NOT a requirement for CISG contracts?

    <p>Written documentation of the contract</p> Signup and view all the answers

    The CISG can be used to fill gaps left in a private contract.

    <p>True</p> Signup and view all the answers

    What does the term 'usages' refer to in the context of CISG?

    <p>Practices agreed upon by the parties or common in their industry</p> Signup and view all the answers

    CISG applies to the sale of goods, which are defined as tangible, __________ goods.

    <p>movable</p> Signup and view all the answers

    Study Notes

    CISG: Vienna Convention on the International Sale of Goods (1980)

    • Scope of Application:
      • Applies when both parties' businesses are in signatory countries or when international private law directs it to a signatory.
      • Covers contracts for the sale of tangible, movable goods.
      • Excludes: goods bought for personal use (unless seller knew otherwise); sales by auction, execution, or law; stocks, shares, securities, money, ships, aircraft, or electricity.
      • Supply contracts are considered sales, unless the buyer provides major materials, and if the supplier's primary obligation is labor or services, it's excluded.
    • Formation of the Contract:
      • Covers contract formation, buyer/seller rights & obligations.
      • Offer: A proposal to create a contract, definite and showing intent to be bound.
      • Acceptance: A statement or action showing agreement to an offer.
      • Irrevocable Offers: An offer might be irrevocable if it specifies a timeframe for acceptance or if reliance was reasonable.
      • Counteroffers: Reject the initial offer and propose a new one.
      • Late Acceptance: Valid if prompt notification by the offeror occurs.
      • Does not cover contract validity, property transfer, or liability for injury caused by goods.
      • Interpretation: Prioritizes consistency and uniformity across countries.
      • Gaps in the convention should be filled using general principles or international private law.
    • Other Key Concepts:
      • Parties are bound by agreed-upon practices.
      • No specific contract format required; proof can be from any source (e.g., witnesses).

    Article-by-Article Summary

    • Article 1: Scope of Application:

      • Determines when CISG applies to a contract.
      • Focuses on parties' places of business within signatory countries, or international law direction.

    • Article 2: Exclusions:

      • Outlines situations not covered, such as sales for personal use (unless seller aware of non-personal intent), sales by auctions, sales by law, financial instruments, vessels, or electricity.

    • Article 3: Supply Contracts:

      • Details the treatment of contracts where goods are manufactured or produced.
      • The CISG applies as a sale unless the buyer supplies significant materials.

    • Article 4: Contractual Relationship:

      • Clarifies the type of contractual relationships the CISG governs.

    • Article 5: Exclusion of Liability:

      • Limits the CISG's scope to exclude seller responsibility for death or injury caused by the goods.

    • Article 6: Parties' Freedom to Opt Out:

      • Parties can choose to exclude the CISG or modify its provisions.

    • Article 7: Interpretation:

      • Emphasis on consistency and uniformity in application.

    • Article 8: Interpretation of Contracts:

      • Contracts are the basis for interpreting the rights and obligations of involved parties, and CISG fills gaps.

    • Article 9: Usages:

      • Recognizes usages in the industry or trade.

    • Article 11: Form of Contract:

      • States no specific format is required, allowing for oral, written, or implied agreements.

    • Articles 14-19 (Offer & Acceptance):

      • Outline valid offer & acceptance criteria, termination, and irrevocable offer rules.

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    Description

    This quiz explores the fundamentals of the CISG, focusing on its scope of application and the formation of contracts under the Vienna Convention on the International Sale of Goods. Learn about the necessary conditions for applying the CISG and the rights and obligations of buyers and sellers in international sales. Test your knowledge on exclusions and definitions critical to understanding this important international legal framework.

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