Exam 4: The Formation and Performance of Contracts for the Sale of Goods

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Identify at least 10 similarities between the CISG and the UCC and/or U.S. common law.

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1. Both the CISG and the UCC are legal frameworks that govern the sale of goods.

2. They both provide rules and regulations for contracts, including offer and acceptance, consideration, and performance.

3. Both the CISG and the UCC address the issue of contract formation, including the requirements for a valid contract, offer, acceptance, and consideration.

4. Both legal frameworks provide rules for the interpretation of contracts, including the use of trade usage and course of dealing.

5. Both the CISG and the UCC provide rules for the delivery and acceptance of goods, including the transfer of risk and the passing of title.

6. Both legal frameworks address the issue of remedies for breach of contract, including the right to damages and specific performance.

7. Both the CISG and the UCC provide rules for the transfer of property in goods, including the passing of risk and the right to reject non-conforming goods.

8. Both legal frameworks provide rules for the seller's obligations, including the delivery of goods and the transfer of title.

9. Both the CISG and the UCC address the issue of warranties, including the implied warranties of merchantability and fitness for a particular purpose.

10. Both legal frameworks provide rules for the limitation of liability, including the exclusion or limitation of damages.

Write a contract (between a U.S. buyer and a German seller) that includes some provision of German law.

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Sure, here is a sample provision that includes German law in a contract between a U.S. buyer and a German seller:

"Any disputes arising out of or in connection with this contract shall be governed by and construed in accordance with the laws of Germany. The parties agree to submit to the exclusive jurisdiction of the German courts to resolve any such disputes. This provision shall not affect the rights of either party to seek injunctive relief or other equitable remedies in any court of competent jurisdiction."

In the People's Republic of China, domestic contract law serves largely to enforce commitments made between state agencies.

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Draft a model statute regarding international e-contracts (perhaps considering rules for offer, acceptance, and revocation).

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Compare and contrast the mailbox rule with the receipt theory. What implications might these different rules have?

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Under a device known as nachfrist notice, the CISG allows either party -- buyer or seller -- to fix an additional period of time, beyond the date called for in the contract, for the other to perform.

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Who will prevail in the following scenarios applying the CISG? Would your answer change if the parties selected the UCC pursuant to a choice of law clause? Please provide a short explanation for each of your answers. Scenario An attempt by an American consumer to sue a Chinese manufacturer for product defects which resulted in his personal injury.

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A force majeure clause serves as a general excuse for nonperformance of a sales contract in all situations.

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If a U.S. buyer wants to avoid a sales contract with an Italian seller, the CISG states that the U.S. buyer:

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Who will prevail in the following scenarios applying the CISG? Would your answer change if the parties selected the UCC pursuant to a choice of law clause? Please provide a short explanation for each of your answers. Scenario An attempt by an American buyer to introduce evidence of preliminary negotiations in order to interpret a written contract in a breach of contract case against an Italian seller.

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In what ways is the coverage of the CISG and the UCC similar? Different?

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A seller's employees go on strike, is this a commercial impossibility a valid legal excuse for not performing under a sales contract.

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A buyer of goods has no obligation under the CISG to examine goods promptly when received and give notice of an error in shipment.

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Compare and contrast the remedies for breach under the CISG and U.S. law.

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International sales contracts concerning consumer goods sold for personal use come under CISG.

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The provisions concerning express and implied warranties are similar under the UCC and CISG.

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Commercial impracticability is an excuse for nonperformance of a contract if it adds more than 20% to the cost of completing performance.

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Under the CISG, all contracts for the sale of goods must be in writing.

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Who will prevail in the following scenarios applying the CISG? Would your answer change if the parties selected the UCC pursuant to a choice of law clause? Please provide a short explanation for each of your answers. Scenario A claim of formation of a contract based upon a purported acceptance of an offer mailed by a Chinese offeree but never received by the American offeror.

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Under common law, a contract is formed when the notice of acceptance has been sent by the mode required by the other party under the mailbox rule.

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