The assessment of impact upon determining law applicable in commercial cross border sales contracts

Abstract

Legal certainty concerning cross border sales contracts is highly challenged as in the ever changing business and legal environment the parties are allowed to use their party autonomy and decide on the laws governing their contractual relationships. The law applicable to cross border sales contract between EU Member States, except Ireland and Malta, by virtue is international instrument - CISG. However, when the parties decide to apply national law over their cross border sales contract the legal certainty is challenged. This research is aiming to reveal the underlying problems that exist upon choosing the governing law, subsequently, offering potential solutions that ought to put the contracting parties in better state, ensure the maximum possible fairness for all parties upon dispute settlement. Research allowed to conclude that international instrument, such as CISG, offers higher legal certainty over dispute resolution, than national laws.