Seminar incoterms 2020 Activity Case study


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Seminar 9. INCOTERMS 2020


Seminar 9. INCOTERMS 2020
Activity 1. Case study
Savdo LLC, a company registered and operating under laws of Uzbekistan, has agreed to sell to Handel GmbH, a company registered and operating under laws of Germany, 4000 tons melons, USD 225 per ton. The goods should be delivered not later than September 2021 to the designated place in Hamburg.
This is a first transaction between parties and they are currently negotiating contract terms. Since you represent the globally recognized company of lawyers with high reputation, both parties to the transaction have approached you to get advice prior to drafting the sales contract.
Please critically analyze and advise both parties on the following:

  1. Will CISG apply to this contract? If yes, would you recommend both parties to apply CISG or different governing law (i.e. Uzbek law) of the sales contract?

  2. Which type of standard delivery terms parties should choose? What will be duties and rights of parties under chosen delivery terms?

  3. Should parties include the letter of credit as a payment mechanism? What are the main duties and rights of parties under the letter of credit?

  4. Which type of dispute resolution method parties should choose?

The advice should be reasoned (including relevant articles of the legal documents) and take into account balance of interests between both parties.
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