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Article
Publication date: 7 September 2012

Fryderyk Zoll

The purpose of this article is to investigate the role that the principle of pacta sunt servanda plays in consumer contracts under the Common European Sales Law (CESL).

513

Abstract

Purpose

The purpose of this article is to investigate the role that the principle of pacta sunt servanda plays in consumer contracts under the Common European Sales Law (CESL).

Design/methodology/approach

The new proposal for the CESL resembles quite closely other global and European instruments and collections of rules on contracts, such as the CISG, PECL, and DCFR. At a closer look, the concept of contract, and in particular the consumer contract, differences between the CESL and its predecessors becomes readily apparent. This article will point out these differences and thereby analyse the role of the pacta sunt servanda principle in consumer contracts.

Findings

The question must be answered whether the consumer protection provisions that weaken the bindingness of contracts will discourage traders from opting into CESL? The Article also shows the inconsistencies in the CESL in business‐to‐business (B2B) contracts in the areas relating to mistake and lack of conformity.

Originality/value

The article poses a question which is of such relevance that it should be more comprehensively discussed by European legislators before the CESL is adopted as an EU regulation.

Article
Publication date: 7 September 2012

Hector L. MacQueen

The purpose of this paper is to present a critical analysis of the concept of “change of circumstances” as a justification for judicial revision of contracts.

475

Abstract

Purpose

The purpose of this paper is to present a critical analysis of the concept of “change of circumstances” as a justification for judicial revision of contracts.

Design/methodology/approach

The study analyses international legal texts on the subject in the light of a decision of the Inner House of the Court of Session in Scotland, Lloyds TSB Foundation for Scotland v. Lloyds Banking Group plc [2011] CSIH 87 (currently subject to appeal to the UK Supreme Court).

Findings

Whatever the merits of a change of circumstances doctrine, the Lloyds case does not provide a good example for its application.

Research limitations/implications

The scope of a change of circumstances doctrine should be tested by further comparative study.

Originality/value

This is the first consideration of the Lloyds case in an international and comparative context.

Details

Journal of International Trade Law and Policy, vol. 11 no. 3
Type: Research Article
ISSN: 1477-0024

Keywords

Article
Publication date: 19 April 2011

Evaldas Klimas

The purpose of this paper is to identify the substance of any general duty to co‐operate that might exist in relation to construction contracts. It also explores the potential…

2045

Abstract

Purpose

The purpose of this paper is to identify the substance of any general duty to co‐operate that might exist in relation to construction contracts. It also explores the potential impact that a duty to co‐operate might have on ensuring the smooth operation and absence of disputes within construction projects.

Design/methodology/approach

The analysis is based on a number of widely accepted international documents. Reference is also made to an edition of the Fédération Internationale des Ingénieurs‐Conseils Red Book and to several jurisdictions of common law and continental law systems.

Findings

The duty to co‐operate permeates the law of contract and is related to the principles of good faith and fair dealing. In common law countries, the duty can take the form of implied terms within the contract. A greater level of awareness of this duty by the parties to construction contracts would minimise disputes and better ensure that the parties achieved their shared objectives.

Originality/value

Because different jurisdictions take a variety of approaches towards the areas of law discussed, the paper's use of comparative analysis of the selected documents provides particular insights into the existence of a general duty to co‐operate which will assist the future development of the law in this area.

Details

International Journal of Law in the Built Environment, vol. 3 no. 1
Type: Research Article
ISSN: 1756-1450

Keywords

Article
Publication date: 4 May 2021

Abdullah Murrar, Madan Batra and James Rodger

Service quality and customer satisfaction influence the financial performance of service organizations. Hence, the purpose of this paper is to investigate the path relationship of…

Abstract

Purpose

Service quality and customer satisfaction influence the financial performance of service organizations. Hence, the purpose of this paper is to investigate the path relationship of service quality to customer satisfaction to financial sustainability in the water service sector, which is vital to the sustainable future of mankind. Further, these three interrelated constructs and their dimensions are clearly articulated.

Design/methodology/approach

SERVQUAL questionnaire responses were collected from 635 household families, and the financial sustainability indicators of 56 water providers were gathered as well. Cronbach's alpha and factor analysis were conducted to measure the internal consistency and convergent validity. Path analysis was utilized to evaluate the causal diagram by examining the relationships among service quality, customer satisfaction and financial sustainability using the AMOS software package.

Findings

The results showed that the five dimensions of service quality explain 58% of the customer satisfaction variation. The responsiveness, empathy, assurance and reliability have significant impact on the customer satisfaction where p < 0.05, while the tangible dimension has an insignificant effect. The results also revealed that customer satisfaction has a significant impact on the financial sustainability indicators of the water providers, where p = 0.000 for the debt collection ratio indicator, and p = 0.003 for the financial efficiency ratio indicator.

Research limitations/implications

This research on financial sustainability is based on evidence about service quality and customer satisfaction in the Palestinian water sector. Future research on financial sustainability of the water sector may focus on the pricing mechanism and debt collection of water service.

Practical implications

The findings suggest that water providers should recognize the importance of service quality dimensions, which strengthen the customer satisfaction, which, in turn, is a significant driver for their financial sustainability. It is, therefore, sound to draw action-oriented managerial implications from these results.

Originality/value

The study adds to the literature of water service sector and is based on empirical evidence from primary data of household families and secondary data of water service providers from developing countries. This paper also contributes toward the strengthening of sustainability of the water service sector in Palestine – a worthy humanitarian cause. The study provides evidence useful for policy makers toward carving out policies aimed at strengthening the financial sustainability of the water service sector.

Details

The TQM Journal, vol. 33 no. 8
Type: Research Article
ISSN: 1754-2731

Keywords

Content available
Article
Publication date: 7 September 2012

Larry A. DiMatteo

375

Abstract

Details

Journal of International Trade Law and Policy, vol. 11 no. 3
Type: Research Article
ISSN: 1477-0024

Article
Publication date: 7 September 2012

Larry A. DiMatteo

This article seeks to take a critical look at the proposed Common European Sales Law (CESL).

1262

Abstract

Purpose

This article seeks to take a critical look at the proposed Common European Sales Law (CESL).

Design/methodology/approach

The article looks at the rationales given to support the enactment of the CESL. The approach is critical in nature seeking to vet the plausibility of the rationales given for a new regulation The article also takes a critical look at the CESL's structure and trilogy of coverage – sale of goods, supply of digital content, and supply of services.

Findings

The article exposes some of the shortcomings of the CESL and the dangers to substantive private law of crafting a regulation based on political feasibility.

Research limitations/implications

The CESL as proposed offers some innovative ideas in areas of the bifurcation of businesses into large and small to medium‐sized enterprises (SMEs), as well as rules covering digital content and the supply of trade‐related services. In the end, the analysis suggests a more thorough review is needed to better understand the CESL's interrelationship with the Convention on Contracts for the International Sales Law (CISG) and EU consumer protection law.

Practical implications

Further analysis is needed and unanswered questions need to be answered prior to the enactment of the CESL into law. A practical first step would to begin with a more targeted law focused on internet trading and licensing contracts.

Originality/value

This article questions the rationales given for the enactment of an ambitious new regulation covering disparate areas of sale of goods, supplying (licensing) of digital content, trade‐related services, and consumer protection. It further questions the rationality and practicality of the creation of the designation of SMEs as types of businesses in need of extra protections not currently provided by contract law's general policing doctrines.

Article
Publication date: 7 September 2012

Rafael Illescas Ortiz and Pilar Perales Viscasillas

This article aims to take a critical look at the proposed Common European Sales Law (CESL) and its field of application.

Abstract

Purpose

This article aims to take a critical look at the proposed Common European Sales Law (CESL) and its field of application.

Design/methodology/approach

The article provides a comparative analysis of the scope of application of CESL with that of the Convention on Contracts for the International Sales of Goods (CISG). The approach is critical in nature in that it questions the regulation of business‐to‐business (B2B) transactions under CESL. It also takes a critical look at the CESL and its coverage of three areas of contracting – sale of goods, supply of digital content, and supply of services.

Findings

The article exposes some of the shortcomings of the CESL in relation to its field of application.

Research limitations/implications

The CESL as proposed offers an optional regulation that complicates the law of transborder sales within the European Union (EU) and between EU member states and non‐EU states. The article recommends that CESL not extend its coverage to B2B transactions and leave transborder commercial transactions to the CISG. The article also suggests other changes to improve the CESL.

Practical implications

Further analysis is needed and more defined rules should be considered before CESL is enacted into law.

Originality/value

This article questions the wide scope of application of CESL. It further questions the rationality and practicality of the CESL's coverage of B2B transactions.

Article
Publication date: 7 September 2012

Christian Twigg‐Flesner

This paper aims to explore the way in which informational asymmetries between the two parties to a contract for the sale of goods are dealt with under two legal regimes designed…

Abstract

Purpose

This paper aims to explore the way in which informational asymmetries between the two parties to a contract for the sale of goods are dealt with under two legal regimes designed for transnational sales contracts: the UN Convention on the International Sale of Goods (CISG) and the proposed Common European Sales Law (CESL).

Design/methodology/approach

Having considered the different types of informational asymmetry that can exist in a contract of sale, the paper undertakes a doctrinal legal analysis of the relevant provisions first in the CESL and then the CISG to identify what, if anything, has been done to deal with informational asymmetries. The paper primarily exposes and analyses these rules and compares the approaches taken under both legal regimes.

Findings

The CESL has a more detailed set of rules which address informational asymmetries. This might be because the genesis and context of the CESL (being limited to the EU) might make it easier to agree on more extensive rules. However, the CESL has not yet been adopted.

Practical implications

A seller in a contract of sale governed by CESL will be subject to more detailed (and onerous) requirements when it comes to the disclosure of information.

Originality/value

This is a first attempt to compare the treatment of informational asymmetries under the CISG and CESL, and will be of interest to scholars of both transnational and EU private law.

Book part
Publication date: 7 May 2015

Maren Heidemann

In this chapter, the author offers a horizontal comparison of interpretation standards contained in international legal instruments of different origin. These legal instruments…

Abstract

In this chapter, the author offers a horizontal comparison of interpretation standards contained in international legal instruments of different origin. These legal instruments range from international treaties to model laws. They also originate from different law makers such as the United Nations or individual states as well as trade or academic organisations, mainly regulating civil and commercial matters. The author argues that this comparison can provide the basis for the development of a uniform standard in the application of such law, which is often referred to as uniform law because it provides a single source of law to regulate a multitude of situations spanning across national boundaries. The main point of reference is the 1969 Vienna Convention on the Law of Treaties, also known as the VCLT. This UN treaty specifically provides a general interpretation standard. From there newer standards occurring in subsequent uniform laws can be integrated using the lex specialis doctrine. This, in turn, provides opportunities for comprehensive usable methods to be developed for uniform law both in a public and private law settings. These then facilitate transparency, fairness and reasonableness. The correct identification of object and purposes of any given instrument is crucial for the successful interpretation of its content. It is this point that needs further research, and this chapter offers a starting point by providing some detailed examples from a range of uniform laws of varying nature including international sales laws, arbitration laws and Double Taxation Conventions.

Details

Comparative Sciences: Interdisciplinary Approaches
Type: Book
ISBN: 978-1-78350-456-5

Keywords

Article
Publication date: 31 August 2012

Rosa Lapiedra, Felipe Palau and Isabel Reig

The aim of this article is to provide solutions to protect the weaker party in management and distribution contracts, especially in the field of franchising.

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Abstract

Purpose

The aim of this article is to provide solutions to protect the weaker party in management and distribution contracts, especially in the field of franchising.

Design/methodology/ approach

The paper is based on a review of literature, legislation and practices concerning management and franchise contracts. The regulation of this field at a national level consists of laws that are both private and mandatory in nature. Certain questions are raised concerning the obligatory nature of regulations when applied to the management of international franchise contracts.

Findings

This article studies the question of whether the imperative application of laws to international contract management is appropriate. These contracts are concluded through the form of adhesion contracts, which have been prewritten by the dominant party and by which the adherent, the distributor, the franchisee or the agent, are placed in a weaker legal position. Considering the absence of international tuitive rules, this article suggests a way to guarantee the protection of parties in a weaker position.

Practical implications

This research provides entrepreneurs, managers and other members of the business community with legal tools and mechanisms for the protection of the franchisee's position.

Originality/value

This approach may well be helpful in finding solutions to legal issues that are of great importance in the negotiation of service contracts, as a way to overcome the difficulty of finding solid arguments to extend the rules that protect consumers and workers in service agreements.

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