Distribution of risks of change in the price of a foreign trade contract

About the author:

Marina G. Bakueva,

Abstract:

In connection with the Russia entering the World Trade Organization the substantial expansion and intensification of foreign economic relations is occurring in new conditions as the part of the legal system of the WTO. The most important thing, according to the effective pursuance of federal and regional interests in the process of cooperation with members of the WTO and protecting the rights of Russian contractors in foreign trade, is to study legal means of protection against the adverse effects of risk occurrence in foreign trade. The author considers legal problems connected with some types of foreign trade price risks. The emphasis is placed on the convention’s standard of risk distribution of lower prices in foreign trade contract based on the practice of foreign state courts and the International Commercial Arbitration Court at the Chamber of Commerce of the Russian Federation. The comparative analysis of price conditions in foreign trade contract is made through consideration of judicial acts. The legal means of contractual distribution of price risks, that mutually serve the rights of each other, are proposed.

References:

1. The United Nations Convention on Contracts for the International Sale of Goods, 1980 (Document A / CONF. 97/18, Annex 1). Vedomosti SSSR — Bulletin of the USSR. 1990. No. 23. Art. 428 (in  Russian).

2. Honnold, J. Op. cit. P. 393; Will Op. cit. P. 372. Adapted from the book: Venskaja konvencija o dogovorah mezhdunarodnoj kupli-prodazhi tovarov [The Vienna Convention on Contracts for the International Sale of Goods]. Moscow, 1994. P. 140.

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9. Decision of ICAC on 02/16/98. Case No. 33/1997. Arbitrazhnaja praktika Mezhdunarodnogo kommercheskogo arbitrazhnogo suda pri TPP RF za 1998 g. — Arbitration of the International Commercial Arbitration Court at the Chamber of the Russian Federation for 1998. Comp. MG Rosenberg. Moscow, 1999. Pp. 52-54 (in  Russian).

10. Decision of ICAC on 02/16/98. Case No. 33/1997. Arbitrazhnaja praktika Mezhdunarodnogo kommercheskogo arbitrazhnogo suda pri TPP RF za 1998 g. — Arbitration of the International Commercial Arbitration Court at the Chamber of the Russian Federation for 1998. Comp.MG Rosenberg. Moscow, 1999. Pp. 52-54 (in  Russian).