CISG Article 69 ULIS Article 97
1. In cases not within articles 1. The risk shall pass to the
67 and 68, the risk passes to buyer when delivery of the
the buyer when he takes over goods is effected in accordance
the goods or, if he does not do with the provisions of the
so in due time, from the time contract and the present Law.
when the goods are placed at
his disposal and he commits a 2. In the case of the handing
breach of contract by failing over of goods which are not
to take delivery. in conformity with the contract,
the risk shall pass to the buyer
2. However, if the buyer is from the moment when the
bound to take over the goods handing over has, apart from the
at a place other than a place lack of conformity, been effected
of business of the seller, the in accordance with the provisions
risk passes when delivery is of the contract and of the present
due and the buyer is aware of Law, where the buyer has neither
the fact that the goods are declared the contract avoided
placed at his disposal at that nor required goods in replacement.
place.
ULIS Article 98
3. If the contract relates to
goods not then identified, 1. Where the handing over of the
the goods are considered not goods is delayed owing to the
to be placed at the disposal of the breach of an obligation of the
buyer until they are clearly buyer, the risk shall pass to the
identified to the contract. buyer as from the last date when,
apart from such breach, the
handing over could have
been made in accordance with
the contract.
2. Where the contract relates to a sale of unascertained goods, delay
on the part of the buyer shall cause the risk to pass only when the
seller has set aside goods manifestly appropriate to the contract
and has notified the buyer that this has been done.
3. Where unascertained goods are of such a kind that the seller
cannot set aside a part of them until the buyer takes delivery,
it shall be sufficient for the seller to do all acts necessary to
enable the buyer to take delivery.
SEE ALSO:
ULIS Article 19(3). Where the goods handed over to the carrier
are not clearly appropriated to performance of the contract by
being marked with an address or by some other means, the
seller shall, in addition to handing over the goods, send to the
buyer notice of the consignment and, if necessary, some
document specifying the goods.
"Although the CISG does not adopt the approach under ULIS, which links the passing of the risk to the delivery of the goods, it does continue to place the risk, in principle, upon the person with custody of the goods. . . . [U]nder Article 69(1) . . . the risk passes to the buyer when he takes over the goods. . . . Article 69(2) lays down an additional rule to cover the case in which the buyer is bound to take over the goods at a place other than the seller’s place of business, a rule intended above all to cover the sale of goods stored in a warehouse. In such a case, the passing of risk is linked to the placing of the goods at the buyer’s disposal. This system is supplemented by the rule that risk still passes to the buyer if the goods are not taken over as a result of the buyer’s breach of contract (Article 69(1)) . . ." Hager in Commentary on the UN Convention on the International Sale of Goods, Peter Schlechtriem ed. (Oxford 1998) 512-513.
Pace Law School Institute of
International Commercial Law
- Last updated July 30, 1999