This study is focused on the problems and the suggestions of proper ideas for solving them which are arisen from appling CIF, Incoterms 1990 into the contract of sale after reviewing of the contents of traditional CIF contract and the main changes of CIF, Incoterms 1990. This study summerized as follows: First, when the seller provide the buyer with non-negotiable sea waybill or inland waterway document instead of negotiable bill of lading, it is my feeling that the essence of symbolic delivery in traditional CIF contract is fading. And if the buyer has paid for the goods in advance, or a bank wishes to use the goods as security for a loan extended to the buyer, it is not sufficient that the buyer or the bank be named as consignee in a non-negotiable document. This is true because the seller by new instractions to the carrier could replace the named consignee with someone else. To protect the buyer or the bank it is therefore necessary that the original instructions from the seller to the carrier to deliver the goods to the named consignee be irrevocable. Second, CIF term can only be used for sea and inland waterway transport. When the ship's rail serves no practical purposes such as in the case of roll-on/roll-off or container traffic, CIP term instead of CIF term is more appropriate to use. Third, the EDI method still contains many legal and technical problems to be solved in order to be used thoroughly' in the international sale of goods. Therefore, the parties wishing to replace the traditional paper-based trade documents by electronic messages must exchange the agreement on EDI each other in order to prevent and sol ye unexpected problems. Forth, it may be that the goods are to be carried in bulk without such marking or naming of consignee as would amount to appropriation. Then the risk will not pass until effective appropriation has been made. Therefore, the seller needs to appropriate by issuing of separate bills of lading or delivery orders for parts of the bulk cargo. And in case the goods are bought while they are carried at sea, some problems on the passing of risk would arise. One possibility is that the buyer might have to assume risks which have already occured at the time when the contract of sale is entered into force. The other possibility would be to let the pissing of the risk concide with the time when the contract of sale is concluded. The parties are advised to ascertain the applicable law and any solution which might follow there form. Finally, Incoterms are restricted to deal with the main principles for the division of functions, costs and risks between the parties and the rest is left to their individual contract as supplemented by the custom of the trade, the individual terms of the contract of sale and the applicable law. Thus, the parties are advised to ascertain the applicable law on their individual contract of sale in order to solve the problems on the transfer of property, the remedy and so on.
This study is focused on the privity of the contract of carriage of goods by sea, so to speak, privity between B/L holder and carrier by transfer of bill of lading, privity by attornment to delivery order and conflict between bills of lading and charterparty terms. Under a CIF contract, possession of the bill of lading is equivalent to possession of the goods, and delivery of the bill of lading to the buyer or to a third party may be effective to pass the property in the goods to such person. The bill of lading is a document of title enabling the holder to obtain credit from banks before the arrival of the goods, for the transfer of the bill of lading can operate as a pledge of the goods themselves. In addition, it is by virtue of the bill of lading that the buyer or his assignee can obtain redress against the carrier for any breach of its terms and of the contract of carriage that it evidences. In other words the bill of lading creates a privity between its holder and the carrier as if the contract was made between them. The use of delivery orders in overseas sales is commen where bulk cargoes are split into more parcels than there are bills of lading, and this practice gives rise to considerable difficulties. For example, where the holder of a bill of lading transferred one of the delivery orders to the buyer who presented it to the carrier and paid the freight of the goods to which the order related, it was held that there was a contract between the buyer and the carrier under which the carrier could be made liable in repect of damage to the goods. The contract was on the same terms as that evidenced by, or contained in, the bill of lading, which was expressly incorporated by reference in the delivery order. If the transferee of the delivery order presents it and claims the goods, he may also be taken to have offered to enter into an implied contract incorporating some of the terms of the contract of carriage ; and he will, on the carrier's acceptance of that offer, not only acquire rights, but also incur liabilities under that contract. Where the terms of the charterparties conflict with those of the bills of lading, it is interpreted as below. First, goods may be shipped in a ship chartered by the shipper directly from the shipowner. In that case any bill of lading issued by the shipowner operates, as between shipowner and charterer, as a mere receipt. But if the bill of lading has been indorsed to a third party, between that third party and carrier, the bill of lading will normally be the contract of carriage. Secondly, goods may be shipped by a seller on a ship chartered by the buyer for taking delivery of the goods under the contract of sale. If the seller takes a bill of lading in his own name and to his own order, the terms of that bill of lading would govern the contractual relations between seller and carrier. Thirdly, a ship may be chartered by her owner to a charterer and then subchartered by the chaterer to a shipper, to whom a bill of lading may later be issued by the shipowner. In such a case, the bill of lading is regarded as evidencing a contract of carriage between the shipowner and cargo-owners.
PURPOSES : Case studies of an asphalt-overlay project with a performance-based contract method were conducted on a national highway in Korea to evaluate the effect of the method on asphalt pavement maintenance. This study evaluated the procedure of the performance-based contract method. METHODS : In this study, an asphalt-pavement maintenance project for a national highway was assessed with a performance-based contract to investigate the advantage of the new contract procedures. This is the first trial applying the performance-based contract to a pavement-rehabilitation project in Korea. In the four case studies, the warranty period of the performance-based contract was designed for seven years. The research team monitored the construction site to compare the normal contract method with the performance-based contract method. The case studies' project sites were investigated after the end of the construction. RESULTS : Based on the limited case studies, the performance-based contract method could extend the service life of the asphalt pavement and reduce the pavement-maintenance budget because the quality control was well managed by the contractors. However, a few construction laws would be necessary to apply the performance-based contract method in the future. CONCLUSIONS : Using the performance-based contract, the construction company made great efforts to guarantee the warranty period and to apply the optimal maintenance method, based on the pavement distress condition. The contractor and the agency would need to understand the new performance-based contract system for it to be activated. Therefore, a proper education program for the performance-based contract system would be needed to educate the stakeholders regarding the procedures and their effects on the pavement management and maintenance.
본 연구는 최근 구매주문서 발송을 조건으로 한 매도인의 승낙을 주요 이슈로 하는 CISG상 판례가 있어 이를 소개하고 심층 분석한 논문에 해당한다. 이러한 분석을 위해 CISG상 계약의 성립 관련 조항을 청약과 승낙으로 나누어 고찰하고, 특히 이 판례의 주요 이슈가 되고 있는 대응청약과 승낙의 요건 및 연착된 승낙의 인용 관련 조항을 주로 고찰하였다. 이와 더불어 판례의 분석과 CISG상 관련 조항의 분석을 통해 CISG를 준거법으로 하여 국제물품매매거래에 임하는 거래 당사자들이 유의하여야 할 실무적 시사점을 도출하였다.
The world economy is becoming increasingly globalized. The globalization has resulted in far reaching agreements to deepen trade liberalization and enlarge its scope to cover new areas in addition to strengthening its supporting institutional base. Economic growth has developed international trade which has accelerated the development of international carriage of goods in 21st century. The international trade is basically founded on the contract of international sale of goods and backed up by the contract of international carriage of goods and the insurance on the goods carried. It is essential to incorporate each other sections for the efficient development of international trade. As a result of rapid expansion of international carriage of goods, rationalization of transport was required, which has brought about the International Multimodal Transport System through containerization. The approach to liability system will be a right way to solve the insurance problems for the development and enlargement of world trade volume. International multimodal transport system has affected international trade a lot, especially the field of insurance a grate deal. This paper is to analyze contents of liability system on Multimodal Transport with in the UN Convention on International Multimodal Transport of goods.
The CISG has been effective since January 1,1988. Even if both parties of international sales contract are located in ratifying countries, the CISG does not apply to certain excluded transactions. The CISG does not apply if the parties have opted out of the CISG. When the parties opt out, they usually agree on the law that is to replace the CISG. In the context of international sales, the frequent and difficult choice of law problems will arise when the CISG applies to a transaction but does not resolve all the legal issues before the tribunal. So this article deals with the question. What should we select the applicable law in such situations? (1) For products liability issues excluded from the CISG by article 4 and 5, the court should apply the substantive law of the market state and the statute of limitations law of the forum, (2) For validity issues excluded from the CISG by article 4(a). the court should apply the UNIDROIT Principles when its rules resolve the issue.
Purpose - This paper studies whether CISG can be a suitable governing law for pure service contracts. When CISG was first drafted, there was little disagreement on the fact that contracts for the sale of goods and those for the provision of services were two different types of contract. Based on this understanding, CISG explicitly provides that the Convention will apply to contracts where the preponderant part of the contractual obligation is on the sale of goods, not services. However, as more sales transactions have come to include more elements of services, mainly due to the advancement of the IoT industry, the distinction between goods and services became more blurred. Based on the observation of recent changes, some scholars even argue that such a change supports the applicability and suitability of CISG to even pure service contracts. The purpose of this paper is to critically analyze and evaluate their argument. Design/methodology - This paper focuses on two separate but related issues: CISG's 'applicability' and 'suitability' to service contracts. For the first issue, this paper will examine the rules of interpretation of international treaties under the Vienna Convention on the Law of Treaties of 1969, and will apply its rules to find the proper answer. For the second issue, this paper will perform logical and empirical analyses on the reasoning employed by scholars claiming the suitability of CISG to service contracts. Findings - This paper concludes that CISG does not, and should not, apply to pure service contracts. The argument that CISG applies to pure service contracts directly contravenes Article 3(2) of the Convention, which expressly states that it does not apply to a contract wherein the preponderant part of its obligation is about services rather than sales. Similarly, CISG is not a suitable governing law for pure service contracts because it aims provide rules specifically tailored to the needs of transactions of sales of goods, not services. Servitization of sales of goods transaction does not change this conclusion. Originality/value - This paper presents different views from those offered by some eminent scholars on the issue of applicability and suitability of CISG to service contracts. By doing so, it is hoped that the confusion caused in discussions so far are clarified. Hopefully, this paper can also provide practical guidance to practitioners engaged in the fields of international sales, services, and IoT industries.
English contract law has traditionally taken the view that it is not the duty of the parties to a contract to give information voluntarily to each other. In English law, one of the principal distinctions between insurance contract law and general contract law is the existence of the doctrine of utmost good faith in insurance law. The doctrine gives rise to a variety of duties, some of which apply before formation of the contract while others apply post-formation. This article is, therefore, designed to analyse the overall structure and problems of the doctrine of utmost good faith in English marine insurance law. The results of analysis are as following : First, the requirement of utmost good faith in marine insurance law arises from the fact that many of the relevant circumstances are within the exclusive knowledge of the assured and it is impossible for the insurer to obtain the facts to make a appropriate calculation of the risk that he is asked to assume without this information. Secondly, the duty of utmost good faith provided in MIA 1906, s. 17 has the nature as a bilateral or reciprocal, overriding and absolute duty. Thirdly, the Court of Appeal in Skandia held that breach of the pre-formation duty of utmost good faith did not sound in damages since the duty did not arise out of an implied contractual term and the breach did not constitute a tort. Instead, the Court of Appeal held that the duty was an extra-contractual duty imposed by law in the form of a contingent condition precedent to the enforceability of the contract. Fourthly, the scope of the duty of utmost good faith is closely related to the test of materiality and the assured is required to disclose only material circumstances subject to MIA 1906, s. 18(1) and 20(1). The test of materiality, which had caused a great deal of debate in English courts over 30 years, was finally settled by the House of Lords in Pan Atlantic and the House of Lords rejected the 'decisive influence' test and the 'increased risk' test, and the decision of the House of Lords is thought to accept the 'mere influence' test in subsequent case by the Court of Appeal. Fifthly, the insurer is, in order to avoid contract, required to provide proof that he is induced to enter into the contract by reason of the non-disclosure or misrepresentation of the assured. Sixthly, the duty of utmost good faith is, in principle, terminated before contract is concluded, but it is undoubtful that the provision under MIA 1906, s. 17 is wide enough to include the post-formation duty. The post-formation duty is, however, based upon the terms of marine insurance contract, and the duty lies entirely outside s. 17. Finally, MIA 1906, s. 17 provides expressly for the remedy of avoidance of the contract for breach of the duty. This means rescission or retrospective avoidance of the entire contract, and the remedy is based upon a fairly crude 'all-or-nothing' approach. What is needed in English marine insurance law is to introduce a more sophiscated or proportionate remedy.
CISG provides the Convention's default provisions on anticipatory breach. Article 71 permits the aggrieved party to suspend the performance of his obligations if it becomes apparent that the other party will not perform a substantial part of his obligations after the conclusion of the contract. The aggrieved party must give notice of the suspension to the other party and if he provides adequate assurance of his performance, the party must continue with performance. Article 72 authorizes the aggrieved party to avoid the contract to the date of performance when it is clear that the other party will commit a fundamental breach. The aggrieved party is also required to give the other party notice of his intent to avoid the contract if time allows. The requirements for avoidance under Article 72 are more stringent than those for suspension under Article 71. Article 72 requires reasonable prior notice only if time allows, while article 71 requires immediate notice with no exceptions.
Smart contracts are implemented by blockchain technology, which stores the terms of the contracts of both parties on the blockchain. In the event of an international dispute over smart contracts and blockchains, no special solution has been proposed, such as the enactment of the International Unification Act. The blockchain platform which operates smart contracts is decentralized and operates through distributed nodes around the world without central servers, making it difficult to establish jurisdiction and governing laws. As an alternative to traditional dispute-solving methods, a new mediation model-smart arbitration-is being attempted. The arbitration process is likely to be a preferred means of resolving disputes over smart contracts in practice. There are many problems, such as the fairness of the arbitration center on the selection and judgment of arbitrators, the question of securing reliability, the question of the validity of the arbitration agreement, and how much the court can be involved in the case. Preparations at the national level, such as fostering blockchains and smart contract experts, and overhauling the legal system, are needed.
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