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  (1) A party may suspend the performance of his obligations if, after the conclusion of the contract, it becomes apparent that the other party will not perform a substantial part of his obligations as a result of:

(a) a serious deficiency in his ability to perform or in his creditworthiness; or

(b) his conduct in preparing to perform or in performing the contract.

(2) If the seller has already dispatched the goods before the grounds described in the preceding paragraph become evident, he may prevent the handing over of the goods to the buyer even though the buyer holds a document which entitles him to obtain them. The present paragraph relates only to the rights in the goods as between the buyer and the seller.

(3) A party suspending performance, whether before or after dispatch of the goods, must immediately give notice of the suspension to the other party and must continue with performance if the other party provides adequate assurance of his performance.


Issues       
# Cases
 1 Right to suspend performance
9
  1.1 'Apparent' likelihood of non-performance by other party of substantial part of obligations
Country # Cases  
Arbitral Award 1  
Belgium 1  
Germany 1  
Netherlands 1  
Date Court
02.10.1998 Rechtbank's-Hertogenbosch
USA 2  
6
   1.1.1 Serious deficiency in ability to perform or in creditworthiness
6
   1.1.2 Conduct in preparing to perform or in performing contract
5
  1.2 Seller's right to prevent handing over of goods
1
  1.3 Obligation to notify other party of intention to suspend performance
5
  1.4 Obligation to continue performance upon adequate assurance of performance by other party
Total: 27


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