The convention on Contracts for the International Sale of Goods (CSIG) provides a framework for general standards of performance for the buyer and the seller. The buyer and the seller are entitled to receive what they expect from a contract. If either party fails to deliver as expected, they are in breach of contract. The possibility of a breach of contract creates a risk in any transaction.
o What is at risk for the seller, for the buyer, and in general?
o What was the outcome?
Provide an explanation of the issues in the case using international law.
o Had the buyer breached by not obtaining the letter of credit?
o Had the seller breached?
o Was the contract avoided?
o Was the buyer entitled to lost profits?
o Had the buyer failed to mitigate?
o How may these risks be minimized?
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