The Contract Law of Australia Article Example | Topics and Well Written Essays - 3750 words

The Contract Law of Australia - Article Example In the meantime, a typhoon hit Hong Kong during those two days and many of the boxes of porcelain vases got wet and after arriving of MV Bardon in Brisbane Aussie Dcor, only 2500 out of 3000 boxes with vases inside were delivered and 100 of these were in very bad condition and not suitable for sale. But other 500 porcelain vases were not delivered by the Porcelain Vases Company of Hong Kong. For the delivery of only 2500 out of 3000 porcelain vases is the violation of the contract, in this matter, the Aussie Dcor will get remedy under Article 51 of the Convention of the International Sale of Goods (CISG). Article 51 says that if the seller delivers only a part of the goods or if only a part of the goods delivered is in conformity with the contract, articles 46 to 50 of the Convention apply in respect of the part which is missing or which does not conform. Since the Porcelain Vases Company of Hong Kong did not fulfill all part of the contract for non-delivery of the 500 porcelain vase s, the Aussie Dcor may declare the contract voided under Article 49 of the CISG. The Aussie Dcor Company will notify the Porcelain Vases Company of Hong Kong about the part delivery of porcelain vases. The Aussie Dcor Company loses the right to rely on the provisions of article 41 or article 42 if Aussie Dcor does not give notice to the seller specifying the nature of the right or claim of the third party within a reasonable time after he has become aware or ought to have become aware of the right or claim.1 So, the delivery of the 3000 porcelain vases do not conform with the contract and the price has already been paid, the Aussie Dcor Company may reduce the price of 500 porcelain vases equal to 10000 Australian Dollar. Would the use of an alternative Incoterm affect the outcome and if so, how The INCOTERMS 2000 bears for the trade contract responsibilities and liabilities between buyer and seller. It is invaluable and a cost-saving tool. The exporter and the importer need not undergo a lengthy negotiation about the conditions of each transaction.