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International

CommercialLaw:

Principles&CasesChapter1IntroductiontoICL1.RisksinInternationalCommercialTransactions2.DefinitionoftheICL3.BranchesoftheICL4.HistoryoftheICL5.SourcesoftheICLWords&Expressionscivillawsystem民法法系commonlawsystem普通法系concessionagreement特許協(xié)議convention公約customsandusages習(xí)俗和慣例theHagueRules海牙規(guī)則theHamburgRules漢堡規(guī)則nachfrist寬限期theConventiononContractsfortheInternationalSaleofGoods(CISG)國(guó)際貨物買賣合同公約Words&ExpressionstheInternationalChamberofCommerce(ICC)國(guó)際商會(huì)theInternationalRulesfortheInterpretationofTradeTerms(INCOTERMS)貿(mào)易術(shù)語國(guó)際解釋規(guī)則theUniformCustomsandPracticeforDocumentaryCredits(UCP600)跟單信用證統(tǒng)一慣例600號(hào)(UCP600)theInternationalInstitutefortheUnificationofPrivateLaw(UNIDROIT)國(guó)際統(tǒng)一私法學(xué)會(huì)thePrinciplesofInternationalCommercialContracts(UNIDROITPICC)國(guó)際商事合同通則1.RisksinInternationalCommercialTransactions1.1RiskmanagementThemanagementofinternationalcommercialtransactionsisthemanagementofrisks.LanguageCultureCurrencyPoliticalorcountryriskLegalsystems1.RisksinInternationalCommercialTransactions1.2CivilLawSystemEurope:France;Germany;Belgium;Spain;Italy;Austria;Switzerland;Netherland;Russia;Scotland

etc.Asia:Japan;SouthKorea;China;(Taiwan);PhillipinesAmerica:Louisiana;Quebec;SouthAmericaAfrica:Congo;

Rwanda;Burundi;

Ethiopia;etc.1.RisksinInternationalCommercialTransactions1.3CommonLawSystemNorthAmerica:Canada(exceptQuebec);USA(exceptLouisiana)Oceania:Australia;NewZealandAsia:India;Pakistan;Malaysia;Singapore;HongKongSAR;Europe:Ireland;UK(exceptScotland)1.RisksinInternationalCommercialTransactions1.RisksinInternationalCommercialTransactions[Case]AU.S.businesspersonentersacontractwithaGermansupplierfordeliverygoodsonJune1.OnMay25theGermansuppliersendsaletterrequestinganextensionfordeliverytoJune30.TheU.S.buyerrespondsbysayingthatthecontractprovidesfordeliveryonJune1andanydeliverybeyondthatdatewillnotbeaccepted.OnJune1thegoodsarenotdeliveredandtheU.S.buyerobtainssubstitutedgoodsfromanothersupplier.OnJune30goodsarereceivedfromtheGermansupplier.TheU.S.buyerrespondsbyrejectingthe“l(fā)ate”delivery.1.RisksinInternationalCommercialTransactionsAnalysis:InGermanythecivillawsystemrecognizesthenotionofnachfristnoticeintheareaofsaleofgoods.InU.S.law,apartyhastherighttostrictlyenforcethedeliverydateinthecontractandcansummarilyrejectarequestformoretime.Incontrast,thecivillawconceptofnachfristnoticedictatesthatsuchdatesshouldnotbestrictlyenforced.Arequestforadditionaltimeshouldbegrantedunlessthenon-breachingpartycangiveacommerciallyviablereasonfornotgrantingtherequestedextension.SoifthecaseaboveisgovernedbyGermancivillawsystem,it1.RisksinInternationalCommercialTransactionsistheU.S.buyerwhohasbreachedthecontract.BecausetheU.S.buyerfailedtogiveacommerciallyviablereasonfornotgrantingtheadditionaltime,thecivillawautomaticallyawardsthetimeextension.Therefore,thedeliveryonJune30wastimelyandtheGermancannowsueforfullcontractdamagesunderGermanlaw.2.DefinitionoftheICLInternationalCommercialLawisthebodyofrulesandnormsthatregulatescommercialactivitiescarriedoutoutsidethelegalboundariesofstates.2.DefinitionoftheICLWhenacommercialtransactionhasan“international”element,itmeansthatithasbeencarriedoutbetweenbusinesspeopleacrossnationalboundaries,insteadofbetweentwostates.Theplaceofbusinessorhabitualresidenceofthepartiesindifferentcountries,or“significantconnectionswithmorethanonestate”…2.DefinitionoftheICLCommercialistheadjectiveforcommerce.Commerceis“theexchangeofgoodsandservices,esp.onalargescaleinvolvingtransportationbetweencities,states,andnations”.Inbroadestsense,commercialtransactionsincludenotonlytradetransactionsforthesupplyorexchangeofgoodsorservices,butalsoothertypesofeconomictransactions,suchas,investmentand/orconcessionagreements,contractsforprofessionalservices,etc.InternaitonalBusinessLawInternationalSaleofGoodsInternationalInvestmentSettlementofDisputes——InternationalArbitrationInternaitonalServicesInternationalGoodsInternationalTechnologyInternationalCarriageofGoodsInnsuranceofGoodsPaymentoftheSales3.BranchesoftheICL4.HistoryoftheICLtheCodeofHammurabiJusGentiumLexmercatoriaNationallawsUniformityoftheinternationalcommerciallaws5.SourcesoftheICLContractsInternationalConventionsInternationalTradeCustomsandUsagesRestatementofInternationalCommercialContractLawNationalLaws5.SourcesoftheICLThecontractenteredintobythebusinesspartiesisthefirstsourceoflawreferredtobyacourtorarbitraltribunalinresolvingacontractdispute.“Nowrittencontractisevercomplete;eventhemostcarefullydrafteddocumentrestsonvolumesofassumptionsthatcannotbeexplicitlyexpressed.”5.SourcesoftheICLConventionsarelegallybindingagreementsbetweenstatessponsoredbyinternationalorganization,suchasU.N.UNConventiononContractsfortheInternationalSaleofGoods(CISG)1924HagueRules1968

Hague-VisbyRules1978

HamburgRules2008RotterdamRulesUNConventiononIndependentGuaranteesandStand-byLettersofCredit5.SourcesoftheICL1.Opt-outRule2.Deficiencies:Hardtobecomeeffective;Limitedratifyingcountries;Difficulttoamend;5.SourcesoftheICL

InternationalTradeCustomsandUsagesreferstothegeneralrulesandpracticesininternationaltradeactivitiesthathavebecomegenerallyadoptedthroughunvaryinghabitandcommonuse.INCOTERMS2020UCP6005.SourcesoftheICLByusingadistinctiveformatofblack-letterrules,officialcomments,illustrations,andreporter’snotes,restatementsarefirstusedbytheAmericanLawInstitutetodescribethelawinagivenareaandguidingitsdevelopment.Opt-inRulethePrinciplesofInternationalCommercialContractbytheInternationalInstitutefortheUnificationofPrivateLawin1994andrevisedin2004,2010,2016(UNIDROITPICC2016)5.SourcesoftheICLAlthoughtherearedisputesonwhethernationallawmaybeconsideredasthesourceofinternationalcommerciallaw,

itwillcontinuetoplayimportantrolesininternationaltransactionsintheforeseeablefuture.Chapter2IntroductiontoInternationalSaleLaw1.Definitionofcontract2.DefinitionofContractforInternationalSaleofGoods3.FormofContractforInternationalSaleofGoods4.LawapplicabletoInternationalsaleofgoodsWords&ExpressionsContract:合同ContractforInternationalSaleofGoods:國(guó)際貨物買賣合同F(xiàn)ormofContract:合同形式Promise:允諾Meetingofminds/Mutualassents:合意/意思表示一致1.DefinitionofcontractContractis“apromiseorasetofpromises”forthebreachofwhichthelawgivesaremedy.[US,UK]Contractisa“meetingofmindsormutualassent”withwhichonepersonormoreisobligedtogiveathing,todoornottodoathingtoonepersonormorepersons.[France]1.Definitionofcontractcontractisalegallybindingagreement,oranagreementcreatinganobligation.Thesubstanceofthedefinitionofacontractisthatbymutualagreementorassent,thepartiescreateenforceabledutiesorobligations.

MutualAssent=Offer+Acceptance2.DefinitionofContractforInternationalSaleofGoodsanagreementbetweentwopartieswhoseplacesofbusiness[1]areindifferentcountries,underwhich“oneparty(theseller)isboundtodeliverthegoodsandtransfertheproperty[2]inthegoodssoldandtheotherparty(thebuyer)isobligedtopaythepriceandacceptthegoods[2][3].

2.DefinitionofContractforInternationalSaleofGoods[1]International“placeofbusiness”principle(UnderCISG)Itreferstoalocationatwhichonecarriesonabusiness.Itshallbeapermanentandregularplace

forthetransactingofgeneralbusiness.2.DefinitionofContractforInternationalSaleofGoods[Case]

Seller,inStateA,enteredintonegotiationswithbuyerinStateBforacomplexandimportantcontractforthemanufactureofmachinery.Tocompletethenegotiations,sellersentseniorofficialsandasupportingstafftothecityinStateBwherebuyerhaditsheadquarters.Seller’srepresentativesrentedasuiteofroomsforamonth;mostofthenegotiationsandthefinalexecutionofthecontracttookplaceinthatsuite.

Question:Aretheplacesofbusinessindifferentcountries?2.DefinitionofContractforInternationalSaleofGoodsAnalysis:

TheplaceofbusinessinCISGshouldbeconstruedtomeanapermanentandregularplaceforthetransactingofgeneralbusiness,andwouldnotincludeatemporaryplaceofsojourn(逗留/旅居)duringadhoc

(特別/專門)negotiations.Sotheplacesofbusinesstothepartiesareindifferentcountries.2.DefinitionofContractforInternationalSaleofGoods[2]SaleSalereferstothetransferofpropertyortitleforaprice,oranagreementbywhichsuchatransfertakesplace.Theessenceofthesaleisthatthesellerisboundtodeliverthegoodsandtransferthepropertyinthegoodssoldandthebuyerisobligedtopaythepriceandacceptthegoods2.DefinitionofContractforInternationalSaleofGoods[3]Goodsmovablepropertyorpersonalproperty3.FormofContractforInternationalSaleofGoodsItmeanswhetheracontractismadeinwritingororally.Traditionally,manycountriesrequiredthatacontractshallbeinwriting.3.FormofContractforInternationalSaleofGoodsButsincethewritingrequirementisagainsttheprivateparties’freedomofcontractandmanycontractsareconcludedbymodernmeansofcommunicationwhichdonotalwaysinvolveawrittencontract,manylawsgoverninginternationalcommercialcontractssuchasCISGandUNIDROITPICC,alldon’trequiretheformofcontract.Thisiswhatwecalled“freedomofform”.3.FormofContractforInternationalSaleofGoodsNoformrequiredinCISGCISGArt.11:

Acontractofsaleneednotbeconcludedinorevidencedbywritingandisnotsubjecttoanyotherrequirementastoform.Itmaybeprovedbyanymeans,includingwitnesses.CISGArt.29(1):Thecontractmay,asarule,bemodifiedorterminatedbythemereagreementoftheparties.3.FormofContractforInternationalSaleofGoodsReservationsonWrittenRequirementSomecountries,mostlythecountriesoftheformerSovietUnionandsocialistlawcountries,haveoptedoutinfavorofdomesticlawsthatrequireawriting.ThesecountriesincludeArgentina,Armenia,Belarus,Chile,DemocraticPeople'sRepublicofKorea,Paraguay,Russia,UkraineandVietNamChinahadoptedoutofArticle11whenitfirstratifiedtheCISG.Butin2013,ChinesegovernmentnotifiedtheSecretary-Generalofitsdecisiontowithdrawthereservationonwrittenrequirement.3.FormofContractforInternationalSaleofGoods[Case]

SabateFrancesoldwinecorkstoChateau,awineryinCanada.ThesaletookplacethroughSabate’sCaliforniasubsidiary,SabateUSA.Intalks,Sabateclaimedthatthecorkswouldnotdistortthetasteofwine.Thepartiesagreedbytelephoneonthequantity,price,paymentandshippingterms.Noothertermswerediscussed,andthepartieshadneverdonebusinessbefore.Afterasecondorder,totalingelevenshipments,atotalof1.2millioncorkshadbeensold.Aninvoiceaccompaniedeachshipmentstatingthat:3.FormofContractforInternationalSaleofGoods“AnydisputearisingunderthepresentcontractisunderthesolejurisdictionoftheCityofPerpignan.”Chateautookdelivery,remittedpayment,andafterbottlingthewine,discoveredthatthecorkhadtaintedthewine’sflavor.WhenChateausuedforbreachofwarranty,Sabatearguedthattheforumselectionclause(爭(zhēng)議解決地選擇條款)requiredthatthecasebeheardinFrance.Chateaucountered,claimingthatavalidandenforceableverbalcontracthadalreadyexisted,andthatthesubsequentforumselectionclausewasnotapartofit.3.FormofContractforInternationalSaleofGoodsAnalysis:

TheverbalcontractforthepurchaseofcorkswasvalidandbindingunderCISG,becausethecontractofsaleneednotbeconcludedinorevidencedbywritingandisnotsubjecttoanyotherrequirementastoform.Theattemptbythesellertolaterincludeanewandmaterialterm(theforumselectionclause)intheinvoiceswasnoteffective.Thebuyerdidnotassenttothenewtermsimplybyreceivingandpayingforthegoods.

4.LawapplicabletoInternationalSaleofGoods4.1History4.2Characteristics4.3Contents4.4Applicability4.5Exceptions4.LawapplicabletoInternationalSaleofGoods4.1HistoryLegalnationalism---impedethedevelopmentofinternationaltrade

U.N.CommissiononInternationalTradeLaw(UNCITRAL)in1966In1980,CISGwaspassedbyadiplomaticconferenceinVienna—thefullnameisUNConventiononContractsfortheInternationalSaleofGoods.[CISG]4.LawapplicabletoInternationalSaleofGoods4.2CharacteristicsUnlikeUNIDROITPICC,thatisnotbinding,theCISGisaconventionoragreementamongnationsthatisbindingoncethelegislatureofacountryadoptsit.

4.LawapplicabletoInternationalSaleofGoods94countrieshavejoinedit,butuptonow,UK,India,&SouthAfricahavenotratifiedityet.HongKongSAR,2022JapanratifiedCISGon1July,2008,andhasbecomeeffectiveasfrom1,August2009.Brazilratifiediton4March,2013andhasbecomeeffectiveasfrom1April2014.VietNamratifiedonDecember18,2015,andhasbecomeeffectiveasfromJanuary1,2017PortugalratifiedonSeptember23,2020,andwillbecomeeffectiveasfromOctober1,2021.4.LawapplicabletoInternationalSaleofGoodsAlbania;Argentina;Armenia;Australia;Austria;Azerbaijan;Bahrain;Belarus;Belgium;Benin;BosniaandHerzegovina;Brazil;Bulgaria;Burundi;Cameroon;Canada;Chile;China;Colombia;Congo;CostaRica;Croatia;Cuba;Cyprus;Czechia;DemocraticPeople'sRepublicofKorea;Denmark;DominicanRepublic;Ecuador;Egypt;ElSalvador;Estonia;Fiji;Finland;France;Gabon;Georgia;Germany;Ghana;Greece;Guatemala;Guinea;Guyana;Honduras;Hungary;Iceland;Iraq;Israel;Italy;Japan;Kyrgyzstan;LaoPeople'sDemocraticRepublic;Latvia;Lebanon;Lesotho;Liberia;Liechtenstein;Lithuania;Luxembourg;Madagascar;Mauritania;Mexico;Mongolia;Montenegro;Netherlands;NewZealand;Norway;Paraguay;Peru;Poland;Portugal;

RepublicofKorea;RepublicofMoldova;Romania;RussianFederation;SanMarino;SaintVincentandtheGrenadines;Serbia;Singapore;Slovakia;Slovenia;Spain;StateofPalestine;Sweden;Switzerland;SyrianArabRepublic;TheformerYugoslavRepublicofMacedonia;Turkey;Uganda;Ukraine;UnitedStatesofAmerica;Uruguay;Uzbekistan;Venezuela;VietNam;Zambia4.LawapplicabletoInternationalSaleofGoods4LawapplicabletoInternationalSaleofGoodsPreamblePart1SphereofApplication&GeneralProvisionsChapterISphereofApplicationChapterIIGeneralProvisionsPart2FormationoftheContract4LawapplicabletoInternationalSaleofGoodsPart3

SaleofGoodsChapterIGeneralProvisionsChapterIIObligationsoftheSellerChapterIIIObligationsoftheBuyerChapterIVPassingofRiskChapterVProvisionsCommontotheObligationsoftheSellerandoftheBuyerPart4FinalProvisions4.LawapplicabletoInternationalSaleofGoods4.4Applicabilitythecontractisforthesaleofgoods;itisbetweenpartieswhoseplacesofbusinessareindifferentcountries;theplacesofbusinessarelocatedincountriesthathaveratifiedtheconvention.4.LawapplicabletoInternationalSaleofGoods4.5Exceptions(1)consumergoodsforpersonal,family,orhouseholduse;(2)goodsboughtatauction;(3)salesonexecutionorotherwisebyauthorityoflaw(4)stocks,securities,negotiableinstruments,ormoney;(5)ships,vesselsoraircraft;(6)electricity;4.LawapplicabletoInternationalSaleofGoods(7)assemblycontractsforthesupplyofgoodstobemanufacturedorproducedwhereinthebuyerprovidesa“substantialpartofthematerialsnecessaryforsuchmanufactureorproduction”(supplyofsubstantialpartofmaterialsbybuyer)(8)contractsthatarein“preponderantpart”forthesupplyoflabororotherservices;4.LawapplicabletoInternationalSaleofGoods(9)liabilityofthesellerfordeathorpersonalinjurycausedbythegoods;(productliability)(10)thevalidityofthecontractorofanyofitsprovisionsorofanyusage;(validityofcontract)(11)theeffectwhichthecontractmayhaveonthepropertyinthegoodssold(passingofproperty)4.LawapplicabletoInternationalSaleofGoods(12)contractswherethepartiesspecificallyagreeto“optout”oftheconventionorwheretheychoosetobeboundbysomeotherlaw.(opt-out)CISGArt.6:“ThepartiesmayexcludetheapplicationofthisConventionor,subjecttoarticle12,derogatefromorvarytheeffectofanyofitsprovisions.”4.LawapplicabletoInternationalSaleofGoods“ThisAgreementshallbegovernedbyandconstruedinaccordancewiththelawsofNewYork(USA),withoutregardtotheconflictoflawsprovisionsthereof.TheUnitedNationsConventiononContractsforInternationalSaleofGoodsshallnotapplytothisAgreement.”TheexclusionisacommonpracticeinCanada,Netherlands,Germany,Italy,Switzerland,NewYork.4.LawapplicabletoInternationalSaleofGoods[Case]Inaninternationalcontract,supplieragreedtodeliverandinstallmanufacturingmachineryinpurchaser’sfactoryandalsotoprovidetechnicianstooperatethemachineryfortheperiodofoneyear.Thevalueofthemachinerywas$1,000,000andthevalueofsupplyingthetechnicianswas$200,000.

Ifadisputehasarisen,isthecontractgovernedbyCISG?(ProvidedthattheplacesofbusinessoftwopartiesarelocatedinthecountriesthathaveratifiedCISG)4.LawapplicabletoInternationalSaleofGoodsAnalysis:

TheabovecontractwouldnotbeexcludedfromtheCISGsincethe“supplyoflaborandotherservices”didnotcomprise“preponderantpartoftheobligationsofthepartywhofurnishesthegoods.”Theoppositeanswerwouldresultifthecontractcalledforserviceswithvalueinexcessof$1,000,000.Chapter3SalesContractFormation1.Offer2.Acceptance

Words&ExpressionsOffer:要約Withdrawalofoffer:要約的撤回Revocationofoffer:要約的撤銷Lapse:失效Expressionofintent:意思表示Invitationoffer:要約邀請(qǐng)counteroffer反要約delayintransmission傳遞遲延lateacceptance遲延承諾materialalteration實(shí)質(zhì)性變更modifiedacceptance變更之承諾non-materialalteration非實(shí)質(zhì)性變更Example1DearSirs:

Subject:100%CashmereSweatersPleasequoteus(yourlowestprice)for2000dozenmen’s100%CashmereSweaters.

……Example2DearSirs

Subject:100%CashmereSweaters

ThankyouverymuchforyourenquiryofApril1forour100%CashmereSweaters.

WearenowmakingyouafirmoffersubjecttoyourreplyreachingusbeforeApril30,2005:

Men’s largeUS$50.00perpieceDitto(同上)mediumUS$48.00perpieceDitto smallUS$45.00perpieceExample

2[Continued]

TheabovepricesarebasedonCIFVancouverbasisnet.

Payment:

ByconfirmedirrevocableL/Cpayablebydraftatsight.

Shipment:

June/July,2005providedtheL/Creachestheselleronemonthbeforethetimeofshipment.

1.Offer1.1WhatisofferAnofferisanexpressionofanintenttoenterintoacontractwithanotherpersonE.g.Weofferyou2,000dozenMen’sShirtsatUS$54perdozen,net,CIFNewYork,shipmentAugust,termsofpaymentbyanirrevocableL/C.1.2Requirementsofanoffer1.2.1Itshouldbeaddressedtooneormorespecificpersons;1.2.2Anoffermustbesufficientlydefinite

Itshallincludemainconditionsofacontract.(CISGart14)(1)indicatesthegoods;(2)specifiesthequantityordeterminablequantity;(3)specifiesthepriceordeterminablepriceofthegoods1.2Requirementofanoffer[Case]OnJune1,BuyertelexedSeller,“Canyoushipme1,000balesofNo.1cotton?”Sellerreplied,“Acceptedyouroffer.Cottonat$110perbalewillbeshippedJuly1”.Buyerresponded,“Mytelexwasonlyaninquiry,Cannotagreetoyourterms”.Selleranswered,“Acceptedyourofferandwillholdyoutothecontract.”Arethepartiesboundtothecontract?1.2RequirementofanofferAnalysis:Thepartiesarenotboundtothecontract.UnderCISGarticle14(1),Buyer’s“proposal”maynotbeconstruedasan“offer”:itwasnot“sufficientlydefinite”becauseitdidn’t“expresslyorimplicitly”fixormake“provisionfordetermine…theprice”

1.2Requirementofanoffer1.2.3ToindicatetheintentiontobeboundItreferstohisintentiontobeboundtotheeventualcontractifthereisanacceptance.CISG:“Itshallbebindingontheofferorassoonasitisacceptedbyofferee.”Inacommercialcontext,theuseofphrasessuchas“weorderforimmediatedelivery”and“weofferforsale”shouldnormallyberegardedasindicatinganintentiontobeboundintheeventofacceptancebytheofferee.Example21.2RequirementofanofferInvitationofferInvitationoffer,alsocalled“invitation”or“invitationtotreat”,meansthatonepartyismerelyinvitingoffers,whichheisthenfreetoacceptorreject.Generally,theauctions,advertisementsetc.areinvitation.Pleasequoteus(yourlowestprice)for2000dozenmen’s100%CashmereSweaters.1.2Requirementofanoffer[Case]

Sellerdistributedcataloguesdescribingvarioustypesofgoodsandlistingprices.Buyersentselleratelexrequestingsellertoshipgoods,designatedbyamodelnumberinseller’scatalogue,towhichthetelexreferred.Buyer’stelexdidnotspecifytheprice.Isthereacontractconcluded?1.2Requirementofanoffer

Analysis:

Buyer’sorderinresponsetoseller’scataloguedidnotcloseabindingcontract.UnderCISGarticle14(1)seller’scataloguewasnotaddressedto“specificpersons”andisnottobeconstruedasanofferbutasaninvitationtosubmitoffers.Buyer’sorderwasanofferthatimplicitlyreferredtothepricestatedinthecatalogue.

1.3WhenanofferbecomeseffectiveCISGart.15para.1:Anofferbecomeseffectivewhenitreachestheofferee.theofferreachestheoffereeonceitisdeliveredtoeithertotheoffereepersonallyortoitsplaceofbusinessor(electronic)mailingaddress.(undertheofferee’scontrol)Thereisnoneedtocomeintothehandsoftheoffereeoractuallybereadbytheofferee.1.4WithdrawalofanofferTheofferorisfreetochangehismindafterdispatchofofferbutpriortothetimetheofferreachestheofferee.CISGart.15para.2:Anoffer,maybewithdrawnifthewithdrawalreachestheoffereebeforeoratthesametimeastheoffer.Oncetheofferiswithdrawn,ithasneverbecomeeffective.1.4Withdrawalofanoffer[Case]OnJune1sellermailedtobuyeraletterofferingtosellbuyerspecifiedgoodsatstatedprice.Theofferalsostated:“thisofferisbindingandirrevocableuntilJuly1.”Aletterfromsellertobuyertakesaweekfordelivery.OnJune6,beforebuyerreceivedseller’sJune1letter,sellerphonedbuyerandsaid,“disregardtheletterthatImailedtoyouonJune1,Ihavedecidedtowithdrawtheoffercontainedintheletter.”O(jiān)nreceiptofseller’sletterbuyerreplied“IacceptyourJune1offer.”1.4WithdrawalofanofferQuestion:

whethertheabovepartiesareboundbythecontract?Analysis:Theabovepartiesarenotboundbythecontract,because,onJune6,theofferhadnotyetreachedtheofferee,andthereforewasnotyet“effective”.ThestatementthattheoffercouldnotberevokeduntilJuly1wouldhavebecomebinding,whenitreachedtheofferee.Buttheofferneverbecame“effective”becauseofthewithdrawalthatreachedtheoffereeinadvanceoftheoffer.1.5Revocationofanoffer1.5.1Offersasarulerevocable:Offersareingeneralrevocableandthattherevocationiseffectivewhenitreachestheofferee.Buttherightoftheofferortorevokehisofferterminatesatthemomenttheoffereehasdispatchedhisacceptance.CISGart.14:“Untilacontractisconcludedanoffermayberevokediftherevocationreachesoffereebeforehehasdispatchedanacceptance.”1.5Revocationofanoffer1.5.2

Irrevocableoffers1.5.2.1Indicationofirrevocabilitycontainedintheoffer.CISGart.14:“Ifitindicates,whetherbystatingafixedtimeforacceptanceorotherwise,thatitisirrevocable”Itreflectsthejudgmentthatincommercialrelations,andparticularlyininternationalcommercialrelations,theoffereeshouldbeabletorelyonanystatementbytheofferorwhichindicatesthattheofferwillbeopenforaperiodoftime.1.5Revocationofanoffer(1)“priceandotherconditionsarenotgoodafter1September”.(2)“thisisafirmoffer”[seeExample2](3)“weshallstandbyourofferuntilwereceiveyouranswer.”

1.5Revocationofanoffer[Case]OnJune1sellerdeliveredtobuyeranofferthatincludedthisstatement:"IwillholdthisofferopenuntilJune15.”O(jiān)nJune2sellerdeliveredtobuyerthefollowingstatement“IherebyrevokemyofferofJune1.”O(jiān)nJune14buyerinformedsellerthatheacceptedtheofferofJune1.Question:istheofferrevoked?Analysis:Seller’sattempttorevoketheofferwasineffective.Buyeracceptedwithintheperiodsetbyseller;thepartiesareboundbycontract.1.5Revocationofanoffer1.5.2.2ReliancebyoffereeonirrevocabilityofofferIfitwasreasonablefortheoffereetorelyontheofferasbeingirrevocableandtheoffereehasactedinrelianceontheoffer.Reasonable:“wheretheoffereewouldhavetoengageinextensiveinvestigationtodeterminewhetherheshouldaccepttheoffer.Eveniftheofferdoesnotindicatethatitisirrevocable,itshouldbeirrevocablefortheperiodoftimenecessaryfortheoffereetomakehisdetermination”1.5Revocationofanoffer[Case]OnMay1builderaskedsuppliertosub

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