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Problems analysis in the negotiation and signing of the Contract
of MBI
1. Introduction to the negotiation and signing of the contract
of MBI
MBI is expanding its business quite rapidly at the time. The
subsidiary of MBI is negotiating and signing the largest contract
in its history with other three companies. The MBI subsidiary
is located in a state that is a member of the United Nations
Convention on Contracts for the International Sale of Goods.
Three other firms are going to be parties to the contract.
One is located in another state that is a member of CISG;
the other two are not. One of the latter is located in a state
which has a civil law legal system; the other in a state which
has a common law legal system. Many problems might occur in
the negotiation and signing of the contract. As the senior
assistant in the legal department of the company, the main
task for me is to offer consultant suggestions and legal explanations
involved in the signing of the contract. In the following
part of the dissertation, the writer would analyze the potential
problems of the contact in detail.
2.Analysis of detailed problems in the negotiation and signing
of the contract of MBI
This contract is comparatively complex in that three companies
are involved. One company is the member state of the CISG.
The other two are not. This would cause a critical problem.
What law would govern the contract? Would all three parties
agree to be restricted under CISG? How to resolve the problem?
The writer would express his own opinion.
Here it does not mean that CISG would be necessarily applied
in the governing of the contract. If the two countries are
both the member states of CISG, the transnational transfer
of goods would result in the governing of their relationship
under CISG. If the two parties are not the member states of
the contract, the two parties would not agree to follow the
regulation of CISG. Also if the referred law of the international
law dispute rules is not the applied law in the state where
MBI lies, CISG would not be applied.
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