LEGISLATIVE HISTORY

CISG ANTECEDENTS

• Match-up of CISG Article 70 with ULIS provisions
• Comments on the match-up

     CISG Article 70                    ULIS Article 97(2) 
                                                    
If the seller has committed a     In the case of the handing 
fundamental breach of contract,   over of goods which are not 
articles 67, 68, and 69 do not    in conformity with the contract, 
impair the remedies available     the risk shall pass to the buyer 
to the buyer on account of        from the moment when the 
the breach.                       handing over has, apart from 
                                  the lack of conformity, been 
                                  effected in accordance with the 
                                  provisions of the contract and 
                                  of the present Law, where the 
                                  buyer has neither declared 
                                  the contract avoided nor 
                                  required goods in replacement.

Comments on the match-up

"Article 97(2) ULIS provides that, in the case of the handing over of goods which are not in conformity with the contract, the risk passes to the buyer, where he has neither declared the contract avoided nor required goods in replacement. It was principally this provision which caused the Working Group to break the link between the passing of risk and the delivery of the goods. It did so because, in this particular case, ULIS itself departs from the principle that risk passes upon delivery, which produces a complicated system of general rules and exceptions. In the course of recasting the provisions dealing with risk, the rule governing the passing of risk in the case of the delivery of non-conforming goods was reformulated in [CISG] Article 70, but without essentially departing from the rule under ULIS." Hager in Commentary on the UN Convention on the International Sale of Goods, Peter Schlechtriem ed. (Oxford 1998) 517 [citations omitted].

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Pace Law School Institute of International Commercial Law - Last updated June 17, 1998

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