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CISG
number


LEGISLATIVE HISTORY
1980 Vienna Diplomatic Conference

G. Report of the First Committee
[Outline of committee proceedings]
Document A/CONF.97/11 [Original: English 7 April 1980]

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3
Article 3 [became CISG article 3 ]

A. UNCITRAL text [1978 draft]
B. Amendments
C. Proceedings in the First Committee
D. Subsequent proceedings
E. Overview comments

A. UNCITRAL text

1. The text [of the 1978 draft ] of the United Nations Commission on International Trade Law provided as follows:

"Article 3 [became CISG article 3 ]

"(1) This Convention does not apply to contracts in which the preponderant part of the obligations of the seller consists in the supply of labour or other services.

"(2) Contracts for the supply of goods to be manufactured or produced are to be considered sales unless the party who orders the goods undertakes to supply a substantial part of the materials necessary for such manufacture or production."

[Go to Secretariat Commentary on the above text]

[See also pre-Conference observations and proposals by Governments and International Organizations]

B. Amendments

2. Amendments were submitted to article 3 [became CISG article 3 ] by France (A/CONF.97/C.1/L.9), Norway (A/CONF.97/C.1/L.13), Belgium (A/CONF.97/C.1/L.25), United Kingdom (A/CONF.97/C.1/L.26) and Czechoslovakia (A/CONF.97/C.1 /L.27).

3. These amendments were to the following effect:

Paragraph (1).

(i) Belgium (A/CONF.97/C.1/L.25):

"This Convention does not apply to contracts in which the supply of goods is accessory to other services by the party upon which the obligation falls."

[Referred to an ad hoc working group: see Consideration, 5, below.]

(ii) United Kingdom (A/CONF.97/C.1/L.26):

Revise paragraph (1) to read as follows:

"This Convention does not apply where the supply of labour or other services represents the major part in value of the seller's obligations."

[Withdrawn: see Consideration, 5, below.]

(iii) Czechoslovakia (A/CONF.97/C.1/L.27):

Delete paragraph (1) of this article.

[Rejected: see Consideration, 5, below.]

Paragraph (2)

(i) France (A/CONF.97/C.1/L.9):

That paragraph (2) should read as follows:

"(2) Contracts for the supply of goods to be manufactured or produced are to be considered sales unless the party who orders them supplies a substantial part of the materials necessary for such manufacture or production."

[Referred to an ad hoc working group: see Consideration, 5, below.]

(ii) Norway (A/CONF.97/C.1 /L.13):

Invert the provisions of paragraphs (1) and (2), and formulate paragraph (2) as follows:

"(2) Contracts for the supply of goods to be manufactured or purchased are to be considered sales where the party who takes the order undertakes to supply all, or the substantial part, of the materials necessary for such manufacture or production."

[Referred to an ad hoc working group: see Consideration, 5, below.]

(iii) United Kingdom (A/CONF.97/C.1/L.26):

Revise paragraph (2) to read as follows:

"Contracts for the supply of goods to be manufactured or purchased are to be considered sales unless the party who orders the goods undertakes to supply:

"(a) a substantial part of the materials; or

"(b) the information or expertise necessary for such manufacture or production."

[Withdrawn: see Consideration, 7, below.]

C. Proceedings in the First Committee

(i) Meetings

4. The First Committee considered article 3 [became CISG article 3 ] at its [2d meeting, 3d meeting and 8th meeting] on 11, 12 and 17 March 1980 [see also 35th meeting of First Committee].

(ii) Consideration

5. At the 2nd meeting, the amendment by the United Kingdom with regard to paragraph (1) (A/CONF.97/C.l/L.26) was withdrawn, and the amendment by Czechoslovakia (A/CONF.97/C.1/L.27) was rejected. The amendments by France (A/CONF.97/C.1/L.9), Norway (A/CONF.97/C.1/L.13) and Belgium (A/CONF.97/C.1/L.25) were referred for consideration to an ad hoc working group composed of the representatives of Belgium, Egypt, Mexico, France, Hungary, Norway, Kenya and the United States.

6. At the 3rd meeting, the ad hoc working group submitted the following text of article 3 (A/CONF.97/C.1/L.72):

"(1) Contracts for the supply of goods to be manufactured or produced are to be considered sales unless the party who orders the goods undertakes to supply a substantial part of the materials necessary for such manufacture or production.

"(2) This Convention does not apply to contracts in which the preponderant part of the obligation of the party who furnishes the goods consists in the supply of labour or other services."

7. The amendment by the United Kingdom (A/CONF.97/C.1/L.26) was withdrawn and the Committee adopted the text submitted by the ad hoc working group.

[D. Subsequent Proceedings]

[For subsequent Conference material on the development/approval of the final text of CISG article 3, go to Plenary Conference 6th meeting (continued)]

[E. Overview Comments]

[English translation of report on the significance of the deliberations on this article at the Diplomatic Conference: prepared by Peter Schlechtriem, based on notes taken at the conference and published shortly thereafter]

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Pace Law School Institute ofInternational Commercial Law - Last updated September 7, 2000
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