International Trade Law

Seminar No. 2 – Conditions of application of the Vienna Convention. Conclusion of a sales contract with an international element, terms and conditions and their incorporation, battle of forms. Regulation in the Vienna Convention. Arbitration agreement.

Objectives of the second seminar:

  • learn the application test of the UN Convention on Contracts for the International Sale of Goods (CISG)
  • you will know what situations the CISG applies to
  • you will learn how to determine the legal regime of unregulated and excluded issues 
  • understand the importance of the autonomy of the parties' will 
  • you will learn the difference between the interpretation of the Convention and the interpretation of the specific provisions of a contract of sale between the parties 
  • you will learn in what form a contract can be concluded
  • you will be able to describe the process of concluding a sales contract with an international element (the contracting process)
  • you will learn how to deal with commercial terms and conditions and their incorporation
  • you will learn what a battle of forms is and how it can be resolved
  • from international arbitration we will look at the arbitration agreement in international trade
  • you will be able to deal with pathological arbitration clauses

Getting ready

  • read carefully Articles 1 to 24 of the UN Convention on Contracts for the International Sale of Goods
  • study the case law 23 Cdo 1308/2011 of 17.12.2013 on the form of the contract
  • keep other regulations with you, in particular the Rome I Regulation, Private International Law Act, Act Arbitration and Enforcement of Arbitral Awards,  the European Convention on International Commercial Arbitration, the (New York) Convention on the Recognition and Enforcement of Foreign Arbitral Awards
  • to assist you in preparation you may find the PMO cast on the application of the UN Convention on Contracts for the International Sale of Goods (available via the link https://www.youtube.com/watch?v=oIfZQQ2ed30) and on arbitrability (available via the link https://www.youtube.com/watch?v=WDY3IpujSzA)
  • Have the assignment for the 1st seminar with you, if there is anything that has not been covered
  • Also study the assigned chapters from the textbook and have studied the presentation from the lecture on international arbitration
  • Prepare solutions to the assigned examples for the seminar (see below)
  • review your teacher's seminar presentation if it is embedded (see below)

TIP

The text of the CISG and other useful links, including CISG contracting states, can be found in the common PMO casts folder. Useful links to the CISG. Clauses to practice. Publications Clauses. VIS MOOT.

Readings

ESSENTIAL LITERATURE

Rozehnalová, N., Valdhans, J., Kyselovská T. Právo mezinárodního obchodu. Včetně problematiky mezinárodního rozhodčího řízení. 4. vydání. 2021, konkrétně:

  • Chapter XI.1 - Úvod (pp. 179-184)
  • Chapter XI.2 - Obecná ustanovení (pp. 184- 209)
  • Chapter XI.3 - Vznik smlouvy (pp. 209-225)
  • Chapter XXI - Mezinárodní rozhodčí smlouva (pp. 426-458)

OTHER MATERIALS (FOR INTERESTED PARTIES):

ROZEHNALOVÁ, N.; DRLIČKOVÁ, K.; VALDHANS, J. a kol. Nový občanský zákoník pohledem mezinárodních obchodních transakcí. Brno: Masarykova univerzita, 2014 - kapitoly o interpretaci, kontraktaci a obchodních podmínkách. Link

Legal Acts

Also keep a list of CISG contracting states and their respective reservations. 

Important Notice:

Parties to the Convention may make several reservations to the Convention to the effect that the Convention will not apply to them in certain respects. In the past, the Czech Republic has made a reservation to the Convention under Article 95 CISG - it was not bound by the wording of Article 1(1)(b) CISG (i.e. the Convention cannot be applied if one party to the contract is from a Contracting State to the Convention and the other party to the contract of sale is not from a Contracting State to the Convention).

With effect from 1 June 2018, this reservation has been withdrawn by the Czech Republic and will not apply. The Convention is thus applicable in the Czech Republic to the full extent of Article 1. 

Assignment

PMO CAST (On CISG and ARBITRABILITY - YouTube links)