Preview

“When International Buyers and Sellers Disagree”

Satisfactory Essays
Open Document
Open Document
530 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
“When International Buyers and Sellers Disagree”
Case: “When International Buyers and Sellers Disagree”

The subject of this case is one that happens quite often in international commerce; I personally believe that when doing deals specially with other countries we must especify everything in order to avoid this kind of conflicts.
There are differents forms to solve this case, the first that I will mention is using the CISG.
According to article 1 of the CISG, this law is applicable since both country are member states, they are selling goods, is not for personal use and there are different states.
According to the CISG, the court that should solve the case, is the one of which the party is performing the characteristic part of the contract, in this case, the sale of pork liver, the law of the seller: The US. Law. And then we have to see which U.S. law is applicable, since in the States there are several laws.
According to the CISG, since the goods are in good state to sell them, they do not lack of quality, and since this one was not strictly detailed by the German Buyer, this one have to accept the goods.
Since both countries have differents legal systems, U.S.  Common Law, and Germany  Civil or Code law, we will have differents results.
Then, if we try to solve this case by the U.S. courts, the party that will win the case is the seller, since the other party did not especify the quality of the goods.
If the jurisdiction of this case were of the German courts, it might win as well the seller since the buyer did not especify the quality of the goods, eventhought this party could appeal that since the goods are for German market should have the German standards.
In order to avoid all the probabilities that problems may arise, it is important to include in the contract which law is applicable, and specify the quality of the good, delivery, date, price, place of origin,certificates that must have and all the important facts of the goods.
According to Cateora Graham in this case another possible

You May Also Find These Documents Helpful

  • Good Essays

    Wk 5 Ia Legal Focus

    • 599 Words
    • 3 Pages

    Legal protection is an important part of running a successful business. For example, Horse meat was discovered in products that were sold in Sweden that were advertised as 100% beef. The company selling the meat blamed a supplier. They claimed they were defrauded by the supplier and were unaware of the meats content. The supplier blamed their sub supplier claiming that they were victims of the fraud. This is a case the makes it clear to distributors that they need to be careful who they buy merchandise from.…

    • 599 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Alpha Electronic Components, Inc., ships 100,000 silicon chips to Beta E-Products Corporation. The chips arrive a week early, on a Friday that is extremely busy on Beta’s receiving dock. Beta’s dockworkers check the bill of lading against the quantity marked on the boxes, but do not exam­ine the chips. The chips are then put in the back of the warehouse until needed in the plant. The next week, when the chips are sent to the plant and unpacked, Beta’s plant manager discovers that the quality is less than that stated in the parties’ contract. Beta contacts Alpha to inform it of the defect. Does Beta have any remedies? If so, what are they? If not, why not?…

    • 329 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Chapter 11 Business law

    • 475 Words
    • 2 Pages

    Signal won’t necessarily succeed on his claims. “Acceptance of the goods prevents the buyer or lessee from exercising the right of rejection, but it does not necessarily prevent the buyer or lessee from pursuing other remedies” (Business Law Today; page 337). In some circumstances, a buyer or lessee are allowed to revoke their acceptance of the goods. The revocation of acceptance is not effective until the seller has been notified. The seller must also be notified within a reasonable time after the buyer discovers or should have discovered the grounds for revocation. Tuner noticed cartons with scrape marks and right away questioned Signal, but Signal assured they would not be damaged. A couple days later Tuner’s stocker opens some cartons and then discovers the damages, notifying Signal. Two days later is within a reasonable time. Therefore Tuner has not breached for accepting the goods. He could now keep the goods and recover damages caused by…

    • 475 Words
    • 2 Pages
    Good Essays
  • Satisfactory Essays

    Law421/ week 5 final team

    • 546 Words
    • 2 Pages

    Before taking legal action against a foreign business partner it is important to take into consideration different laws, political situations, prevailing international laws, and cultural influence have a major impact on international markets. Usually, international arbitration is the most appropriate venue to resolve any disputes between both companies. It is also important to factor in issues such political climate and sublicensing when making decisions as these could drastically affect an international partnership.…

    • 546 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    The Little Steel Company is a small steel fabricator that makes steel parts for various metal machine shops. When Little receives an order from a client, it must locate and purchase 10 tons of a certain grade of steel to complete the order. Little sends an e-mail message to West Coast Steel Company inquiring into the availability of 10 tons of the described grade of steel. West Coast replies by e-mail that it has available the required 10 tons of steel and quotes $450 per ton. Little replies by e-mail that it will purchase the 10 tons of described steel at the quoted price. The e-mails are signed electronically by Little and West Coast. There is no date set forth in the e-mails for delivery. When the steel arrives, Little rejects shipment, claiming the steel was shipped too late. When West Coast sues Little for breach of contract, Little also raises the defense of the Statute of Frauds. Who wins, and why?…

    • 478 Words
    • 2 Pages
    Good Essays
  • Satisfactory Essays

    Mc Cain Foods Limited

    • 271 Words
    • 2 Pages

    Using the case titled 'McCain Foods Limited: Global Fries—Good in Any Language' on pages 100-101 in your text, please answer the following questions:…

    • 271 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    DECISION: The court should not grant Kallestad’s request for dismissal because he breached his contract with the Rothings and failed to honor the implied warranty of merchantability. In addition, Kallestad should be ordered to reimburse or compensate the Rothings for the goods and products they’ve lost due to the defective product they received from Arnold Kallestad’s ranch.…

    • 841 Words
    • 4 Pages
    Better Essays
  • Good Essays

    The “Addressing International Legal and Ethical Issues” simulation discusses the contract between a US pharmaceutical company called CadMex Pharma and a company called Gentura in the country of Candore. When international agreements are made, the company has to make sure that the contract is legal and the terms will be enforced. Defining contract terms explicitly is very critical. For example, deciding which laws will govern the business decisions (local, American, or popular international), and the Forum Selection Clause where the type of dispute resolution is specified. International arbitration is the most commonly used contract dispute resolution because it’s cheaper and business can go on as usual while the dispute is in arbitration.…

    • 526 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    (1) strength of the plaintiff’s mark; (2) relatedness of the goods; (3) similarity of the marks; (4) evidence of actual confusion; (5) marketing channels used; (6) likely degree of purchaser care; (7)…

    • 332 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Business Law

    • 359 Words
    • 2 Pages

    It wouldn’t be wise for the seller to sue to recover the purchase price when the buyer accepts the goods and refuses to pay for them because he is insolvent. Saxby will not be able to recover the price if it seeks this remedy. The seller should sue to reclaim the goods from the buyer.…

    • 359 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    This paper will discuss a scenario involving two competing designer and manufacturing companies and their mutual retailer. The names of the two designer companies are Mathis Inc. and Countess Lori- Ann (CLA). The name of the retailor is Normandale’s. Normandale’s is having trouble profiting from the sales of the high priced clothing items made by Mathis Inc. Normandale’s made a request to CLA to duplicate the clothing made by Mathis Inc. The clothing is to be sold at lower cost, in efforts to help increase their profits. In efforts to aide Countess Lori Ann in duplicating Mathis’s clothing line; Normandale sends samples and photos of the clothing to CLA. Mathis has discovered that the counterfeit items are being sold, and has requested that Normandale stop selling the imitation product. Normandale has not complied. This paper will discuss if Normandale’s behavior was ethical or not, state or federal laws in relation to intellectual property, and if Mathis has incurred any damages. The paper will also cover social responsibility, implementation of ethical codes, and personal and criminal liabilities.…

    • 1539 Words
    • 7 Pages
    Powerful Essays
  • Satisfactory Essays

    Business Law

    • 421 Words
    • 2 Pages

    The issues involved in resolving legal disputes in international Transactions are the changes that are mad to international laws and regulations. The largest focus is the minimum wages. What is most discussed is China has a cheap labor force compared to America. This increases the profits for the company who outsources to cheaper labor cost. If the China manufacturing do not meet the US standards the US Company may become obligated to take legal action against the China Company. The American Company must take into consideration if the China Company meets their manufacturing requirements. The most common discuss topic on this matter is the lead based paint China Manufacturing applied to their products. American laws banned lead based paint and all products in China did not have an obligation to change their paint because China did not ban the lead in the paint. Once the orders started to return because it didn’t meet the US standards, China standards and laws did not change, however the China Company changed its paint to continue business with its foreign business partner. This strengthened the relationship and caused for contracts to outline such changes in manufacturing requirement. To cover the purchase of illegal products a contract must be agreed upon between the companies. This is the same in the way CadMex granted sublicensing agreements. This places CadMex as the liable party in a lawsuit. Without total control over the loosely worded contracts they become vulnerable to loop holes when law suits are filed against them. When the local customs and laws conflict with the customs and laws of an organization operating abroad the company that produces the product has the responsibility to abide by the ordering countries laws. When ordering products the contracts should stipulate the required regulation standards. If both parties agree upon the…

    • 421 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Products Liability

    • 1635 Words
    • 7 Pages

    Privity under English common law does not apply to third party members who are not involved in the original agreement. It only covers the relationship between the parties in the contract agreement. This applies to consumers who purchase the product from a retailer who buys it from the manufacturer. Since the manufacturer is not a part of the original agreement, they are not liable for any damages that the consumer has about the defective product. They can only be liable if the consumer bought the goods from the manufacturer directly. If the consumers did not buy the goods directly from the manufacturer, then the manufacturer would be considered a third party. This is under the privity doctrine.…

    • 1635 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    1) In their Lordships' judgement the retailers are liable in contract of sale. The facts set out show negligence in manufacture. If excess sulphites were left in garment, that could only be because someone was at fault…

    • 729 Words
    • 3 Pages
    Good Essays
  • Good Essays

    A suit was filed suit in the United States District Court for the District of Kansas against the defendant for breach of an express warranty under Kansas law, the plaintiff claim that the item that was acquired failed to perform, the jury deliberated that the plaintiff should receive damages, and yes it was a breach of a contractual agreement, usually when you purchase a good unless its stated as is, you are assuming that the item is in reasonable condition. Any affirmation of fact or promise made by the seller to the buyer which relates to the goods and becomes part of the basis of the bargain creates an express warranty that the goods shall conform to the affirmation or promise. Any description of the goods which is made part of the basis of the bargain creates an express warranty that the goods shall conform to the description…

    • 901 Words
    • 4 Pages
    Good Essays