PAGE\*MERGEFORMAT#TheFinalReviewQuestiontypes:SectionI:TrueorFalse.(MarkTforTrue,FforFalseintheblankprovided)(20%)SectionHGivebriefanswerstothefollowingquestions.(30%)SectionIII:ReadtheCasecarefullyandanswerthefollowingquestions.(20%)SectionIV:ReadtheCasecarefullyandanswerthefollowingquestions.(30%)Content:1.Theestablishmentofthecontract:avalidcontractisanagreementthatcontainsalloftheessentialelementsofacontractwhichare:(1)itisanagreementbetweenthepartiesenteredintobytheirmutualassent;Themutualagreementisreachedthroughthebargainingprocess,betweenoffferorandoffereeuntiltheoffereeacceptedtheoffer.Inotherwords,acontractisn'tformeduntiltheofferisacceptedbytheofferee.(2)thepartiesmusthavelegalcapacity;(3)thecontractmustnotbeforillegalpurposesortocarryonanactivitythatisillegalorcontrarytopublicpolicy.Theabovetellusthatwhichessentialelementsarecontainedbyavalidcontract.Offer:anofferisastatementbyonepartyofawillingnesstoenterintoacontractonstatedterms,providedthatthesetermsare,inturn,acceptedbythepartyorpartiestowhomtheofferisaddressed.AnoffertakeseffectwhenitreachestheoffereeCISG:Aproposalforconcludingacontractaddressedtooneormorespecificpersonsconstitutesanofferifitissufficientlydefiniteandindicatestheintentionoftheofferortobeboundincaseofacceptance.RequirementofOffer:undertheCISGanoffermustbesufficientlydefiniteandindicatestheintentionoftheofferortobebound.(1)thecontractlawofmostnationsholdthatanoffermustbeaddressedtooneormorespecificpersons;(2)Aproposalissufficientlydefiniteifitindicatesthegoodsandexpresslyorimplicitlyfixesormakesprovisionfordeterminingthequantityandtheprice.(3)anofferbecomesvalidwhenitarrivesattheofferee.Thistellsusthatanoffermusthastheconditions.Aninvitationtoofferorinvitationtotreatissimplyanexpressionofwillingnesstoenterintonegotiationswhich,itishoped,willleadtotheconclusionofacontractatalaterdate.Thedistinctionbetweenofferandinvitationtoofferistheintention;thatis,didthemakerofthestatementintendtobeboundbyanacceptanceofhistermswithoutfurthernegotiationordidheonlyintendhisstatementtobepartofthecontinuingnegotiationprocess.UnderCISGrules,anadvertisementispresumedtobeaninvitationunlessthecontraryisclearlyindictedbythepersonmakingtheproposal.Inanauctionsale,whentheauctioneerinvitesthebidsfromthepublic,isitdeemedasanoffermadetotheprospectivebuyers?oraninvitationtooffer?TheBindingofanOffer:Asageneralrule,anofferisbindingtheofferorandnotbindingontheofferee.CISGstates:(1)untilacontractisconcludedanoffermayberevokediftherevocationreachesoffereebeforehehasdispatchedanacceptance;(2)however,anoffercan'bterevoked:(a)ifitindicates,whetherbystatingafixedtimeforacceptanceorotherwise,thatitisirrevocableor(b)ifitwasreasonableforoffereetorelyontheofferasbeingirrevocableandtheoffereehasactedinrelianceontheoffer.ItisnotcorrectthattheoffershallbecancelbeforetheoffereetoacceptwithoutexceptionundertheCISG.TheabovetoldusthatwhatcircumstancesanoffermayberevokedundertheCIS.G.Anofer,evenifitisirrevocable,maybewithdrawn(撤回)ifthewithdrawalreachestheoffereebeforeoratthesametimeastheoffer.要约被撤回;WhatcircumstancesanoffermaybewithdrawnunderCISG?Theaboveansweredthequestion.Anofferdidnottakeeffectbecauseitswithdrawalnoticealreadyreachedtheoffereebeforeitsofferreachofferee,whichwithdreweffectivelyitsoffer.Sotheagreeoftheotherpartyisnottheacceptance.Thereisnocontractualrelationshipbetweentheparties.Untilacontractisconcludedanoffermayberevokediftherevocationreachestheoffereebeforehehasdispatchedanacceptance.要约被撤销Theacceptanceistheofferee'smanifestationoftheintentiontobeboundtothetermsoftheoffer.UndertheCISG,anacceptancemaytaketheformofastatementoranyotherconductbytheoffereethatindicatestheofferee'sintentiontobeboundtothecontract.Theacceptancemustbemadebyoffereetoofferor.Anacceptancemustbemadewithintheperiodofvalidity;Theacceptancemustbeunconditionalandabsolute,withsamecontentsastheoffer;Apurportedacceptancewhichdoesnotacceptallthetermsandconditionsproposedbytheofferorbutwhichinfactintroducesnewtermsisnotanacceptancebutacounter-offer,whichisthentreatedasnewoffer.Theeffectofthecounter-offeristokillofftheoriginaloffersothatitcannotsubsequentlybeacceptedbytheofferee.UndertheCISG,anacceptancecontainingnewtermsthatdonotmateriallyalterthetermsoftheofferbecomesapartofthecontract,unlesstheofferorpromptlyobjectstothechange.However,anacceptancethatcontainsadditionalordifferenttermsthatdomateriallyalterthetermsoftheofferwouldconstitutearejectionoftheofferandacounteroffer.Nocontractwouldariseatallunlesstheofferinreturnacceptsallofthetermsofcounteroffer.UnderCISGanacceptanceofthecounteroffermayarisebyassentorbyperformance.SalesexcludedfromCISG:1)Consumergoodssoldforpersonal,familyorhouseholduse.2)Goodsboughtatauction.3)Stocks,securities,negotiableinstrumentsormoney.)4Ships,vessels,oraircraft.5)Electricity.6)Assemblycontractsforthesupplyofgoodstobemanufacturedorproducedwhereinthebuyerprovidesasubstantialpartofthematerialsnecessaryforsuchmanufactureorproduction.7)Contractsthatareinpreponderant主要的)partofthesupplyoflabororotherservices.8)Liabilityofthesellerfordeathorpersonalinjurycausedbythegoods.)9Contractswherethepartiesspecificallyagreetooptoutoftheconventionorheretheychosetobeboundbysomeotherlaw.2.breachandremediesWhat'smeaningofanticipatoryrepudiationoranticipatorybreach?Onetypeofbreachofcontractoccurswhenthepromisorindicatesbeforethetimeforhisperformancethatheisunwillingorunabletocarryoutthecontract.Thisiscalledactualbreach,isthatcorrect?Apartymaydeclarethecontractavoided:ifthefailurebytheotherpartytoperformanyofhisobligationsunderthecontractandthisConventionamountstoafundamentalbreachofcontract.WhataretheconsequencesofmaterialbreachundertheCISG?Thepartywhoisinjuredbyamaterialbreachhastherighttowithholdhisownperformance.Heisdischargedfromfurtherobligationsunderthecontractandmaycancelit.Healsohastherighttosuefordamagesfortotalbreachofcontract.Whatisthedifferencebetweentheremediesformaterialbreachofcontractandnonmaterialbreach?Thepartywhoisinjuredbyamaterialbreachhastherighttowithholdhisownperformance.Heisdischargedfromfurtherobligationsunderthecontractandmaycancelit.Healsohastherighttosuefordamagesfortotalbreachofcontract.Bycontrast,thenon-breachingpartymaysueforonlythosedamagescausedbytheparticularbreach.Inaddition,hedoesnothavetherighttocancelthecontract,althoughanonmaterialbreachcangivehimtherighttosuspendhisperformanceuntilthebreachisremedied.Oncethebreachisremedied,thenon-breachingpartymustgoaheadandrenderhisperformance,minusanydamagescausedbythebreach.Aslongasthesellerfailstoperformthecontractwithintheprescribedtimelimitwithoutexemptcause,thebuyercanannouncetocancelthecontract.Isthatcorrect?TheCISGprovide,ifthesellerisnotfulfillhisobligationswithinthetimestipulatedinthecontractanddoesnotconstituteafundamentalbreachofcontract,thebuyercangivethesellerareasonableadditionaltimetocontinuehisperformanceunderthecontract,andcan'ttakeconflictswiththeremediessuchasterminatethecontractduringthisperiodoftime.Specificperformance:anorderofspecificperformanceisanorderofthecourtwhichrequiresthepartyinbreachtoperformhisprimaryobligationsunderthecontract.Incommonlawcountries,specificperformanceareseldomadoptedbythecourtandaresubjecttothefollowingconditions:specificperformanceisgenerallyunavailablewhereitwouldcauseseverehardshiptothedefendant,wherethecontractisunfairtothedefendant,wheretheconductoftheclaimantdemonstratesthathedoesnotdeservetheremedy,wheretheclaimanthassoughttotakeadvantageofamistakebythedefendant,wheretheperformanceisimpossible,wherethecontractisoneofpersonalservices,suchascontractofemploymentSo,isitcorrectthatspecificperformancewillbegrantedbymostofthecourtsincaseofcontractbreachincommonlawcountriesasithelpsremedytheplaintifffromunfaithfulconducts?PerformanceofcontractsunderCISG:Seller'sobliga:tidoenliverthegoods,itmaybeactualorconstructive;handoveranydocumentsrelatingtothemandensurethatthegoodsconformwiththecontract.TheabovetellusthatwhatobligationsasellerisrequiredundertheCISG.Placefordelivery:undertheCISG,ifthesellerisnotboundtodeliverthegoodsatanyotherparticularplace,hisobligationtodeliverconsists:(1)thefirstcarrier'splaceoiffthbeuscinoenstrsactinvolvesthecarriageofgoodsor(2)theplacewherethepartiesknewthegoodswerelocatedorweretobemanufacturedorproduced.(thetimeofthepartiesknewtheplacewaswhentheconclusionofthecontract);(3)inothercase-nplacingthegoodsatthebuyer'sdisposalattheplacewherethesellerhadhisplaceofbusinessatthetimeoftheconclusionofthecontractImpliedwarrantiesunderCISG:Thesellermustdelivergoodsthat(1)arefitforthepurposesforwhichgoodsofthesamedescriptionwouldordinarilybeused;(2)arefitforanyparticularpurposeexpresslyorimpliedlymakeknowntotheselleratthetimeoftheconclusionofthecontract.So,itiscorrectthatthesellermustdelivergoodsthatarefitforthepurposesforwhichgoodsofthesamedescriptionwouldordinarilybeused.Thesellermustdelivergoodswhicharefreefromanyrightorclaimofathirdpartybasedonindustrialpropertyorotherintellectualproperty,ofwhichunderthelawofthestatewherethegoodswillberesoldorotherwiseused,ifitwascontemplatedbythepartiesatthetimeoftheconclusionofthecontractthatthegoodswouldberesoldorotherwiseusedinthatstate;or(b)inanyothercase,underthelawofthestatewherethebuyerhashisofbusiness.theobligationofthesellerdoesnotextendtocaseswhere:(a)atthetimeoftheconclusionofthecontractthebuyerkneworcouldnothavebeenunawareoftherightorclaim;or(b)therightorclaimresultsfromtheseller'cosmpliancewithtechnicaldrawings,designs,formulasorothersuchspecificationsfurnishedbythebuyer;theabovetellusthatisnotcorrectabouttheobligationofsellerthatmustdelivergoodswhicharefreefromanyrightorclaimofathirdpartybasedonindustrialpropertyorotherintellectualpropertyunderCISGdoesnotdischargeinanycase.unlessthebuyeragreedtotakethegoodssubjecttothatrightorclaim.Thepassingoftherisk:PassageofriskisdefinedastheshiftingofresponsibilityforlossordamagefromthesellertothebuyerWhenacontractrequiresthesellertodeliverthegoodstoacarrierforshipmentanddoesnotrequirethesellertodeliverthemtoaparticularplace,theriskpassesthenthegoodsarehandedovertothefirstcarrier.AccordingtotheCISGprovisions,Ifthecontracthasnoprovisiononbearingthelossofgoods,andinvolvedtransportationofthegoods,thentherisktransferfromsellertobuyerwhenthedeliveryofthefirstcarrierfordeliveringbuyerinaccordingwiththecontract.Sometimesgoodsaresoldaftertheyarealreadyaboardacarrier.Insuchacase,theriskpassestothebuyeratthetimethecontractisconcluded.TheriskoflossofthegoodswhichbesoldintransittransfertobuyerwhenthecontractisconcludedinanycaseunderCISG.Isthatcorrect?Thegoodsaresoldaftertheyarealreadyaboardacarrier.Insuchacase,thegeneralruleisthattheriskpassestothebuyeratthetimethecontractisconcluded.ifatthetimeoftheconclusionofthecontractofsalethesellerkneworoughttohaveknownthatthegoodshadbeenlostordamagedanddidnotdisclosethistothebuyer,thelossordamageisattheriskoftheseller.Theriskdoesnotpasstothebuyeruntilthegoodsareclearlyidentifiedtothecontract.Atthistime,theriskoflossofgoodsshallbebornebywhom?Partnershipandcorporation:Thegeneralpartnershavejointandseveralliabilityforthedebtsofthepartnership.Thelimitedpartnershavelimitedliability,meaningtheyareonlyliableondebtsincurredbythefirmtotheextentoftheirregisteredinvestment.ApartnerneednottoberesponsibleforthedebtsofthepartnershipWhenthepartnerwithdrawsfromthepartnership.Whichiscorrect?InchinaLimitedliabilitypartnership(LLP)isapartnershipinwhichsomeorallpartners(dependingonthejurisdiction)havelimitedliability.InanLLPonepartnerisnotresponsibleorliableforanotherpartner'smisconductornegligence.Thisisanimportantdifferencefromthatofanunlimitedpartnership.Limitedliabilitypartnershipsaredistinctfromlimitedpartnershipsinsomecountries,whichmayallowallLLPpartnerstohavelimitedliability,whilealimitedpartnershipmayrequireatleastoneunlimitedpartnerandallowotherstoassumetheroleofapassiveandlimitedliabilityinvestorPreincorporationContracts:Incommonlawsystem,thepromotermaysignacontractinthecorporatenamewheninfactthecorporationhasnotyetbeenformed.Manycasessaythatsuchapromoterispersonallyliable.Thecircumstanceswhenpiercingthecorporateveil:Itisnotsufficienttoshowthatthereisonlyoneshareholderwhenchallengingtheindependenceofcorporatepersonality.Theremustbeanimproperuseofthecorporation.Transactionsbeyondbusinessscope:IsthecontractvoidinChinaifitisexecutedbyaCorporationbeyonditsbusinesscoperegisteredintheArticles?(1)Thetransactioniseffectiveifitneedsnospecialpermissionfromthegovernment;(2)ThetransactionisnoteffectiveifitneedsspecialpermissionInUnitedStatesandEngland:inhistory,it'nsoteffectiveduetotheprincipleofUltraVires(越权无效原则);nowadays,it'suysueafflelctive