- VSL sodba in sklep I Cpg 951/2006
- Ljubljana High Court
REVOCATION OF OFFER - MUST REACH OFFEREE BEFORE DISPATCH OF ACCEPTANCE (ART. 16(1) CISG)
[CLOUT Case no. 1151. Abstract prepared by Peter Riznik]
A Slovenian buyer sent an order for goods to an Austrian seller, who confirmed its acceptance of the offer on 8 October 1999. On 14 October 1999, the buyer sent a revocation of the offer to the seller, who immediately notified the buyer that a revocation was no longer possible because the goods had already been handed over to the carrier on 12 October. The buyer refused to pay the contract price claiming that it had revoked the offer before having been notified that the goods had been taken over by the freight forwarder.
The seller brought an action for payment of the price before the court of first instance. The court ruled that the buyer’s revocation statement had no legal consequences because the seller had already performed its obligations under the contract in their entirety.
The buyer appealed.
The appellate court applied the CISG under article 1(1)(a) as the parties had their places of business in contracting States.
The appellate court pointed the parties’ attention to the provision of article 16(1) CISG under which an offer may be revoked if the revocation reaches the offeree before it has dispatched an acceptance. The court found that because the seller had received the revocation statement on 14 October 1999 which was after it had dispatched its acceptance of the buyer’s offer on 8 October 1999 and even after it had, by delivering the goods, fulfilled its obligations under the contract of sale in their entirety, the buyer’s statement of revocation had no legal effect.
The appellate court therefore dismissed the buyer’s appeal against the judgement of the court of first instance and upheld the decision in its entirety.
Original in Slovenian:
- available at www.sodisce.si/znanje/sodna_praksa/visja_sodisca/43709
Abstract: CLOUT Case no. 1151, in A/CN.9/SER.C/ABSTRACTS/118CLOUT}}