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Art. 7 CISG–UP, by Ulrich Magnus [Germany]

Published online by Cambridge University Press:  20 October 2009

Ulrich Magnus
Affiliation:
Professor of Law, University of Hamburg; Judge, Court of Appeal of Hamburg
John Felemegas
Affiliation:
University of Technology, Sydney
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Summary

GOOD FAITH IN THE CISG AND THE UNIDROIT PRINCIPLES

The CISG mentions the good faith principle in Art. 7(1), which rules on the interpretation of the Convention as a uniform international law text. According to that provision, the CISG is to be interpreted and applied in a way that “the observance of good faith in international trade” is promoted. The CISG, however, does not contain an express provision that the individual contract has to obey the maxim of good faith as well.

In contrast, the UNIDROIT Principles address good faith as a principle directed to the parties of international contracts: “Each party must act in accordance with good faith and fair dealing in international trade” (Art. 1.7(1) Principles). Even more specifically Art. 4.8(2)(c) of the Principles refers to good faith and fair dealing as a determining element when and which omitted contract term has to be implied. On the other hand, the provision on the interpretation of the Principles (Art. 1.6) does not mention the maxim of good faith.

But despite these obvious differences of wording, both texts accord in their essence. For, it is commonly held that under the CISG the good faith principle also applies to the interpretation of the individual contract and to the parties' contractual relationship as such. On the other hand the UNIDROIT Commentary to the Principles acknowledges that the good faith principle “may also be seen as an expression of the underlying purpose of the Principles” and may be used in interpreting the Principles.

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  • Art. 7 CISG–UP, by Ulrich Magnus [Germany]
    • By Ulrich Magnus, Professor of Law, University of Hamburg; Judge, Court of Appeal of Hamburg
  • Edited by John Felemegas, University of Technology, Sydney
  • Book: An International Approach to the Interpretation of the United Nations Convention on Contracts for the International Sale of Goods (1980) as Uniform Sales Law
  • Online publication: 20 October 2009
  • Chapter DOI: https://doi.org/10.1017/CBO9780511511417.004
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  • Art. 7 CISG–UP, by Ulrich Magnus [Germany]
    • By Ulrich Magnus, Professor of Law, University of Hamburg; Judge, Court of Appeal of Hamburg
  • Edited by John Felemegas, University of Technology, Sydney
  • Book: An International Approach to the Interpretation of the United Nations Convention on Contracts for the International Sale of Goods (1980) as Uniform Sales Law
  • Online publication: 20 October 2009
  • Chapter DOI: https://doi.org/10.1017/CBO9780511511417.004
Available formats
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Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

  • Art. 7 CISG–UP, by Ulrich Magnus [Germany]
    • By Ulrich Magnus, Professor of Law, University of Hamburg; Judge, Court of Appeal of Hamburg
  • Edited by John Felemegas, University of Technology, Sydney
  • Book: An International Approach to the Interpretation of the United Nations Convention on Contracts for the International Sale of Goods (1980) as Uniform Sales Law
  • Online publication: 20 October 2009
  • Chapter DOI: https://doi.org/10.1017/CBO9780511511417.004
Available formats
×