For information only - not an official document
22 May 2012
Finland Becomes a Party to Part II (Formation of the Contract) of the United Nations Convention on Contracts for the International Sale of Goods (CISG)
VIENNA, 22 May (UN Information Service) - On 1 June 2012, Finland will become a party to Part II of the United Nations Convention on Contracts for the International Sale of Goods (CISG). It means Finland will now apply both CISG Part II, which covers the formation of contracts, and CISG Part III, which covers the obligations of buyers and sellers. Contracts concluded by parties having their place of business in any of the five Nordic States (Denmark, Iceland, Finland, Norway and Sweden) will continue to be excluded from the scope of application of the CISG.
Finland accepts the provisions on contract formation by withdrawing a declaration, made upon signing the CISG in 1981, that it would not be bound by Part II. Finland's action is part of a current trend for States to reconsider declarations made upon signing or acceding to the CISG. Withdrawal of these declarations increases the level of legal uniformity in the scope of application of the convention.
The United Nations Convention on Contracts for the International Sale of Goods provides an equitable and modern uniform framework for the contract of sale, which is the backbone of international trade in all countries, irrespective of their legal tradition or level of economic development. The CISG is therefore considered to be one of the core conventions in international trade law.
The CISG, which has been adopted by a large number of major trading countries, establishes a comprehensive code of legal rules governing the formation of contracts for the international sale of goods, the obligations of the buyer and seller, remedies for breach of contract and other aspects of the contract. The CISG has currently 78 State Parties.
Further information on the CISG is available on the UNCITRAL website at www.uncitral.org.
The United Nations Commission on International Trade Law (UNCITRAL) is the core legal body of the United Nations system in the field of international trade law. Its mandate is to remove legal obstacles to international trade by progressively modernizing and harmonizing trade law. It prepares legal texts in a number of key areas such as international commercial dispute settlement, electronic commerce, insolvency, international payments, sale of goods, transport law, procurement and infrastructure development. UNCITRAL also provides technical assistance to law reform activities, including assisting Member States to review and assess their law reform needs and to draft the legislation required to implement UNCITRAL texts. The UNCITRAL Secretariat is located in Vienna, Austria.
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