This precedent has been authored by Dr. Gordon Hughes, Principal, Davies Collison Cave Law.
The United Nations Convention on Contracts for the International Sale of Goods (Vienna 1980) (known as the “Vienna Convention”) (Convention) generally applies to the sale of goods (other than to consumers) between parties whose places of business are in different member States (which includes Australia) or if the conflict of law rules lead to the application of the law of a member State. Terms implied by the Convention include clauses which benefit both a supplier and a customer. The perceived problem is that this may lead to uncertainty as to precisely what terms are in fact applicable to the transaction addressed by the contract. As a clause will generally not be implied by the Convention if it contradicts an express term of an agreement, parties to an international contract are often best served by expressly excluding the operation of the Convention altogether.