|An Italian seller and a German buyer concluded a contract for the sale of ham. The buyer did not pay the full price, arguing non-conformity of part of the goods sold (the ham was not sufficiently seasoned). The seller commenced an action claiming payment of the balance of the price.
The Court held that the buyer had lost the right to rely on lack of conformity of the goods since it had not given notice of their non-conformity within a reasonable time in compliance with Art. 39 CISG. In particular, the Court found that a period of 20 days after delivery was not reasonable taking into account the fact that the defects were easily recognizable, as the buyer had admitted. The Court stated that even if the examination of the goods was rendered difficult due to the Christmas holidays, the buyer should nevertheless have examined the goods by sample no later than 3 days after delivery and, within a further 3 days, given notice to the seller of lack of conformity. The seller was therefore awarded the balance of the price.
Finally, the Court held that the seller was entitled to interest (Art. 78 CISG). Since CISG does not determine the rate of interest, the Court stated that the rate was to be determined in accordance with the domestic law applicable in the seller's country.