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Art. 75 CISG–UP, by Bojidara Borisova [Bulgaria]

Published online by Cambridge University Press:  20 October 2009

Bojidara Borisova
Affiliation:
Ph.D. Candidate, Sofia University “St.Kl.Ohridsky,” Bulgaria
John Felemegas
Affiliation:
University of Technology, Sydney
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Summary

INTRODUCTION

CISG Article 75 and its counterpart UNIDROIT Principles Article 7.4.5. regulate substitute transaction in a similar manner. Both articles correspond to each other in substance; hence the Official Comments on this Article of the UNIDROIT Principles can arguably be used for the interpretation and gap-filling of the CISG.

The basic premises that must be taken into consideration when interpreting the text of CISG Article 75 are the characteristics of the substitute transaction, the time and manner in which the substitute transaction should be made, the nature of recoverable damages, and any further damages recoverable for additional harm.

Starting with the prerequisite included in both articles – avoidance of the contract (termination of the contract in the terminology of the Principles) by the injured party – it must be noted that this particular element in CISG Article 75 and UNIDROIT Principles Article 7.4.5 provides for a special application of the general rule that is applicable to the proof of the existence and the amount of the harm caused to one of the contracting parties by the other.

The new element that both counterpart Articles introduce is the facilitated mechanism for measuring damages that does not require proof of market price. However, instead it provides for the comparison between the contractual price and the price of the substitute transaction, and it is that difference that defines the amount of the damages.

SUBSTITUTE TRANSACTION

The Official Comments to the UNIDROIT Principles contain several instructions on the particularity of the substitute transaction.

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  • Art. 75 CISG–UP, by Bojidara Borisova [Bulgaria]
  • 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/CBO9780511511417.031
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  • Art. 75 CISG–UP, by Bojidara Borisova [Bulgaria]
  • 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/CBO9780511511417.031
Available formats
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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. 75 CISG–UP, by Bojidara Borisova [Bulgaria]
  • 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/CBO9780511511417.031
Available formats
×