Analysis On Law Applications In Contracts For International Sale Of Goods In China

With the rapid development of China’s economy, the international sale and purchase of goods has become a common way of doing business. The proper application of laws in settling the disputes with respect to contracts for the international sale of goods serves as a preliminary issue to be solved before such disputes. Furthermore, it would directly relate to the rights and obligations of the parties to the contracts. Beginning with the introduction on the concept of contract for the international sale of goods, this paper analyses the legal system governing the laws applications in contracts for international sale of goods. This paper focuses on the two cardinal principles of party autonomy and the closest relationship to the contract, which shall be adopted in applying laws with regards to contracts for the international sale of goods, and then also discusses on various aspects of the applications of the international treaty, the domestic laws and the international customs. Through above, the author points out the related problems in connection with the application of laws to contracts for international sale of goods in China and puts forward the recommendations to improve the status quo.This paper consists of six parts, the preamble, the main body and the conclusion.The preamble mainly introduces the background, the motive and the purpose of this paper.The main body includes four chapters. The first chapter named "contracts for the international sale of goods and the forms of laws applicable to contracts for the international sale of goods" first explains on the importance of accurate definition of contracts for the international sale of goods to the proper application of laws, and makes comparison between the stipulations under the United Nations Convention on Contracts for the International Sale of Goods and the domestic laws from "being international" and "contract for the international sale of goods". Secondly, the forms of laws applicable to the contract for international sale of goods in China are illustrated in a detailed manner. The progress on the legislation in the laws applicable to contracts for the international sale of goods is recognized and the issue of excessive judicial interpretation with ambiguous effect is also mentioned.The second chapter "the two cardinal principles adopted in the law applications in contracts for the international sale of goods" discusses the development and application of the two cardinal principles of the autonomy will and the closest relationship to contract in China and points out the pros and cons of the principle of the closest relationship to contract as miscellaneous provision.The third chapter "the analysis on the application of international treaty, international customs and domestic laws in China" respectively studies on the sphere of application, means of application, their legal validity and the sequence of application in China of the international treaty and the international customs. The comparison is made between:(1) the United Nations Convention on Contracts for the International Sale of Goods and the domestic laws from substantive stipulations, (2) the United Nations Convention on Contracts for the International Sale of Goods and International Commercial Term from the time of involvement and means of application, and also (3) the United Nations Convention on Contracts for the International Sale of Goods and the Principles of International Commercial Contracts from the scope, the contents and the means of application.The fourth chapter "the explorations on the laws applicable to contracts for the international sale of goods" mainly raises the author’s recommendations towards the problems from the abovementioned three chapters. First of all, it’s recommended to sort out the judicial interpretation and interpret the laws applicable to contracts for the international sale of goods through increasing the number of cases and enhancing its legal validity. Secondly, it’s suggested to improve the legal system governing the laws applications in contracts for the international sale of goods by establishing the legal validity of the international treaty and internationals customs under the Constitution. Finally, it’s suggested to train the judgers responsible for judging the cases with foreign-related elements to be more professional, and set more restrictions on the judicial discretion for the interest of the stability and predictability of the judicial judgment.