Title

IV.4.1 - Freedom of form

Content

No. IV.4.1 - Freedom of form

(a) Contractual declarations are valid even when they are not made in or evidenced in writing unless mandatory rules of any applicable domestic law provide otherwise. 

(b) Parties to international business contracts may not insist on undue formalism without any good reason.

Commentary

1 The need for speed and efficiency and the presumed professional competence of businessmen result in the fact that international business contracts or unilateral contractual declarations by the parties to such contracts prior to the conclusion of the contract or during the lifetime of the contract are not subject to any requirement as to form.

2 The parties are of course free to agree on a specific form requirement for declarations to be made by them during the contract or for its termination. In the latter case, the need for legal certainty as to the question whether the contract was in fact terminated may dictate such a contractual form requirement.

References

Arbitral Awards

African Holding Company of America, Inc. Et Société Africaine de Construction au Congo S.A.R.L. v. La République Démocratique du Congo, CIRDI No. ARB/05/21ICC Award No. 10329, YCA 2004, at 108 et seq.

Doctrine

Bianca, C. Massimo/ Bonell, Michael Joachim, Commentary On The International Sales Law, Art. 7, Milan 1987Dölle, Hans (ed.), Kommentar zum Einheitlichen Kaufrecht, Comment on Art. 10 by Ulrich Huber and on Art. 17 by Eduard Wahl, Munich 1976.Domingo, Ortega, Rodriguez-Antolin, Zambrana, Principios de Derecho Global, Navarra, 2006Ferrari, Franco, Das Verhältnis zwischen den Unidroit-Grundsätzen und den allgemeinen Grundsätzen internationaler Einheitsprivatrechtskonventionen, JZ 1998, at 9 et seq.Ferrari, Franco, The CISG's Interpretative Goals, Its Interpretative Method and Its General Principles in Case Law (Part II), IHR 5/2013, at 181 et seq.Goldman, Berthold, Nouvelles Réflexions sur la Lex Mercatoria, in: Festschrift Pierre Lalive, Basel, Frankfurt a.M. 1993, at 241 et seq.Herber, Rolf/ Czerwenka, Beate, Internationales Kaufrecht, Munich 1991Jenks, Edward et al., A Digest of English Civil Law, London, Sydney, Calcutta, Winnipeg, Wellington 1921.Lando, Ole, CISG and Its Followers: A Proposal to Adopt Some International Principles of Contract Law, in: American Journal of Comparative Law 53, Berkley 2005.MacQueen, Hector L./Thomson, Joe, Contract Law in Scotland, Fourth Edition 2016Magnus, Ulrich, Die allgemeinen Grundsätze im UN-Kaufrecht, 59 RabelsZ 1995, at 469 et seq.Majeed, Nudrat, Good Faith and Due Process: Lessons from the Shari'ah, 1 Arb. Intl'l 2004, at 97 et seq.Marrella, Fabrizio, La nuova lex mercatoria, Principi Unidroit ed usi di contratti des comercio internazionale, CEDAM, Tratto di dritto commerciale e di dritto publico dell‘economia, Volume 30, Padova 2003Schlechtriem, Peter (ed.), English Commentary on the UN Convention on the International Sale of Goods (CISG), Comment on Art. 7 by Rolf Herber, Oxford 1998

National Legislation

Contract Law of the People's Republic of ChinaContract Law of the People's Republic of ChinaCzechoslovak International Trade CodeEthiopian Civil CodeLouisiana Civil Code 2015Russian Civil CodeUK Sale Of Goods Act 1979, Chapter 54

International Legislation

Fontaine, Marcel, OHADA Uniform Act On Contract Law Preliminary DraftUnited Nations Convention on Contracts for the International Sale of Goods (CISG)

Court Decisions

Leiman v Noble Resources Ltd, [2020] SGCA 52Nuclear Tests (Australia v. France), Judgment, I.C.J. Reports 1974, p. 253 et seq.

Principles / Restatements

OHADAC principles on international commercial contractsPrinciples of European Contract Law - PECLPrinciples of the Existing EC Contract Law (Acquis Principles)UNIDROIT Principles of International Commercial Contracts 2016

Model Laws

Uniform Law on the Formation of Contracts for the International Sale of GoodsUniform Law on the International Sale of Goods

Contract Clauses

1. Contractual Form RequirementsSales & Purchase Contract