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LPC Law Notes International Commercial Law Notes

Sga 1979 Consolidation Table Notes

Updated Sga 1979 Consolidation Table Notes

International Commercial Law Notes

International Commercial Law

Approximately 179 pages

A collection of the best notes for new University of Law module 'International Commercial Law' the director of Oxbridge Notes (an Oxford law graduate) could find after combing through dozens of LPC samples from outstanding students with the highest results in England and carefully evaluating each on accuracy, formatting, logical structure, spelling/grammar, conciseness and "wow-factor".

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FORMATION OF THE CONTRACT

S. 2

CONTRACT OF SALE

  • Defines contract for sale of goods

  • S2 (1) – a contract whereby S transfer or agrees to transfer title in goods to B for money consideration, called PRICE

S. 4

HOW CONTRACT IS MADE

  • Sets out how such a contract can be made

  • S4 (1) – can be:

  1. In writing;

  2. Made orally; or

  3. Implied by the conduct of the parties.

S. 5

EXISTING & FUTURE GOODS

  • Present/ existing/specific goods owned or possessed by S (identified + agreed)

  • Future goods to be manufactured or acquired by S after contract made

S. 6

PERISHED GOODS

  • Where contract is for sale of specific goods + goods have perished without knowledge of S at time contract made, contract is void

S. 7

PERISHED GOODS

  • Where agreement is to sell specific goods + subsequently goods perish, without fault of either party + before RISK passes to B, agreement is avoided
THE PRICE
S. 8 (PRICE)

  • S8(1) – can be fixed by contract, or left to be fixed in a manner agreed in contract

  • S8(2) – if not fixed, B pays ‘reasonable price’

  • S8(3) – ‘reasonable price depends on circumstances of each case
IMPLIED TERMS

S. 10

TIME

  • 10(2) – time NOT of the essence unless parties agree to the contrary

  • 10(2) – parties can agree whether time of the essence wrt any other term under contract

S. 12

TITLE

Implied non-excludable term

  • Implied term that S has right to sell goods (CANNOT be excluded)

  • S. 12(2) – sold free of charges/ encumbrances

  • S. 12(3) – B will enjoy quiet possession

  • International provisions: p. 80

S. 13

DESCRIPTION

implied term

  • S13(1) - implied term that goods sold should comply with their descriptions

  • Applies to websites, catalogues, brochures, ads

  • B must know of and have relief on description

  • Will not apply if B relied on own skill and judgement

  • Does not exclude B’s right to inspect

  • S13 is a condition; breach may also amount to misrepresentation

  • International provisions: p. 81

S. 14

QUALITY

FITNESS

Implied term

  • S14(2) – where S sells goods in course of business, implied term that goods supplied under contract are of satisfactory quality

  • S14(2B) – factors to be taken into account include fit for the purpose commonly supplied, appearance and finish, freedom from minor defects, safety, durability

  • S14(2C) – S not liable if defect drawn to B’s attention before contract made or if should have been obvious upon examination

  • S14(3) – if B expressly or impliedly tells S particular purpose of goods, implied term that goods are fit for that purpose

  • S14(4) – must be fit for particular trade usage if rble, universally accepted by trade / profession, be certain, be lawful, and be consistent with express or implied terms of contract

  • S14(6): terms implied under this section are conditions

  • International provisions, pp. 82, 83

S. 15

SALE BY SAMPLE

Implied term

  • S15(2) – in case of sale by sample, implied term that:

  1. The bulk will correspond with sample in quality

  1. Goods will be free from any defect, making quality unsatisfactory

  • Sale by sample normally also sale by description

  • S15(2) is a condition

  • International provisions, p. 84

S. 15A

SLIGHT

BREACH

  • S15A (1): in case of contract for sale:

  1. B has right to reject goods for breach by S of term implied under s13, 14 or 15; but

  2. If breach is so slight that would be unrble to reject them then, if B does not deal as consumer, breach is treated as breach of warranty not condition
CHART
Section Duty of S in relation to Condition / warranty Remedy
s.12(1) Title Condition (s. 12(5A)) Rejection and / or damages
s. 12(2) Freedom from charges Warranty (s. 12(5A)) Damages only
s. 12(2) Quiet possession Warranty (s. 12(5A)) Damages only
s. 13(1) Description Condition (s. 13(1A) Rejection and / or damages
s. 14(2) Satisfactory quality Condition (s. 14(6)) Rejection and / or damages
s. 14(3) Fitness for purpose Condition (s. 14(6)) Rejection and / or damages
s. 15(1) Sample Condition (s. 15(3)) Rejection and / or damages
EFFECTS OF THE CONTRACT

S. 16

ASCERTAINED

  • Unascertained goods no title passes to the buyer unless and until the goods are ascertained. (Go to s.18, Rule 5, for unascertained goods)

S. 17

WHEN PROPERTY PASSES

Default Term

  • Title in goods is transferred to the buyer at such time as the parties intended it to.

  • (In conjunction with s.19 (S may reserve the right of disposal of goods and retains title until certain conditions are fulfilled (note that B is free to sell the goods until S such time as S claims its RoT clause)), these two ss allow for RoT clause)

S. 18

RULES FOR ASCERTAINING INTENTION

Default Term

(Where the parties have failed to make provision for the passing of ownership s.18 is default provision to determine transfer of ownership)

  • Intention to pass title:

Rule 1:

  • Unconditional contract for the sale of specific goods in a Deliverable state the title passes to B when the contract is made (point of acceptance).

Rule 2:

  • Sale of specific goods and S is bound to do something to the goods in order to put them in a Deliverable state, title does not pass until the thing is done and B is given notice of this.

Rule 3:

  • Sale of goods in a Deliverable state and S is bound to weigh, measure, test or do some other act for the purpose of ascertaining the PRICE, title does not pass until the act/ thing is done and B has notice of this.

Rule 4:

  • When goods are Delivered to B on approval or on sale or return or other similar terms, title passes to B when:

  1. He signifies his approval or acceptance to S or does any act adopting the transaction;

  2. If he does not signify his approval/ acceptance to the S but retains the goods without giving notice of rejection, then, if a time has been fixed for the return of the goods, on the expiration of that time, and, if no time has been fixed, on the expiration of a reasonable time. ]

Rule 5:

  • See SGA

S. 20

PASSING RISK

(risk passes with ownership)

Default Term

  • S20 (1): unless otherwise agreed, goods remain at S...

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