Data
- Date:
- 01-07-1997
- Country:
- Hungary
- Number:
- 12.G.75.715.1996/20
- Court:
- Metropolitan Court of Budapest
- Parties:
- Unknown
Keywords
MISTAKE - MATTER EXCLUDED FROM SCOPE OF CISG - DOMESTIC LAW APPLICABLE
DISPROPORTION BETWEEN THE OBLIGATIONS OF THE PARTIES - MATTER EXCLUDED FROM SCOPE OF CISG - DOMESTIC LAW APPLICABLE
Abstract
[Abstract: CLOUT Case 172]
The plaintiff, a German company, sold to the defendants, two Hungarian companies, used timber machinery. One of the defendants opened a letter of credit in favor of the plaintiff for the payment of part of the price, the balance to be paid in installments. However, the issuer did not pay upon demand and presentation of the necessary documents on the ground that the documentation was defective and when the defect was cured the letter of credit had expired.
The plaintiff asserted a claim against both defendants. One of the defendants contested the claim on three grounds: error, lack of conformity of the goods to the contract terms and disproportionate value of the obligations between the opposing parties.
On the one hand, the court decided on the questions of error and disproportionate value of the obligations on the basis of the Hungarian Civil Code since those issues are not covered in the CISG.
On the other hand, the court decided the question of lack of conformity pursuant to Art. 36 CISG.
The court held that only one of the defendants was liable for payment for the used timber machinery.
Fulltext
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Source
Original in Hungarian:
- unpublished
Abstract: CLOUT Case 172, in A/CN.9/SER.C/ABSTRACT/13, 23
October 1997, reproduced with kind permission of Secretary,
United Nations Publications Board}}