- Audiencia Provincial de Murcia (Sección 1)
- Frugima, S.A.T vs. Vegamur, S.L.
SALES CONTRACT - BETWEEN TWO SPANISH COMPANIES - REFERENCE TO THE CISG AND TO THE UNIDROIT PRINCIPLES IN SUPPORT OF THE SOLUTION UNDER THE APPLICABLE DOMESTIC LAW (SPANISH LAW)
PRICE OF THE GOODS NOT FIXED IN THE CONTRACT - TO BE DETERMINED IN ACCORDANCE WITH OBJECTIVE CRITERIA SUCH AS THE MARKET PRICE - REFERENCE TO SPANISH CIVIL CODE AND A NUMBER OF INTERNATIONAL INSTRUMENTS AMONG WHICH THE UNIDROIT PRINCIPLES (ART. 5.1.7)
Plaintiff, a Spanish company, brought a civil claim against Respondent, another Spanish company, requesting payment of the price of lemons it had sold to the latter. Since the contract did not fix the price, it was up to the Court of Appeal to determine the price owed.
The Court held that the price should be determined on the basis of objective criteria. In support of this approach it cited the Spanish civil code as well as international instruments such as the United Nations Convention on Contracts for the International Sale of Goods (CISG), the UNIDROIT Principles of International Commercial Contracts (2010), the Principles of European Contract Law and the Draft Common Frame of Reference, all of which provide for the determination of the price objective criteria such as the market price and the reasonable price. In the case at hand, the Court decided that the price owed was the market price.