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American Contract Law for a Global Age, 2017a

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CISG Article 29<br />

(1) A contract may be modified or terminated by the mere agreement of the<br />

parties.<br />

(2) A contract in writing which contains a provision requiring any modification<br />

or termination by agreement to be in writing may not be otherwise modified or<br />

terminated by agreement. However, a party may be precluded by his conduct from<br />

asserting such a provision to the extent that the other party has relied on that<br />

conduct.<br />

______________________<br />

ROSER TECHNOLOGIES, INC., v. CARL SCHREIBER GmbH<br />

U.S. District Court <strong>for</strong> the Western District of Pennsylvania<br />

2013 U.S. Dist. LEXIS 129242 (Sept. 10, 2013)<br />

ARTHUR J. SCHWAB, U.S.D.J.<br />

[CSN Metals (“CSN”) sent quotations to Roser Technologies, Inc. (“RTI”) <strong>for</strong><br />

the manufacture of copper plates. RTI responded with purchase orders that referred<br />

to the CSN quotations. CSN then sent order confirmations to RTI which referenced<br />

RTI’s purchase orders. These confirmations included a new provision, not included in<br />

the original quotes or purchase orders, which allowed CSN to ask <strong>for</strong> “guarantees or<br />

payment in advance” in some situations. When CSN subsequently insisted on<br />

invoking the payment term, and refused to deliver without it. RTI refused to comply<br />

and subsequently bought its requirements elsewhere. RTI sued. CSN counterclaimed.<br />

The key question be<strong>for</strong>e the court was whether a contract had been <strong>for</strong>med and<br />

whether it included the payment term. The answer, said the court, depended on what<br />

law applied to the transaction.]<br />

The parties agree that the choice is between the Uni<strong>for</strong>m Commercial Code<br />

(“UCC”), and the United Nations Convention <strong>for</strong> the International Sale of Goods<br />

(“CISG”).<br />

RTI argues that there is no choice-of-law issue because the UCC and CISG do<br />

not differ with respect to the issue be<strong>for</strong>e the Court. CSN argues that there is a<br />

difference and that the CISG applies.<br />

[Under the CISG], additional terms are governed by Article 19.<br />

Few <strong>American</strong> courts, either state or federal, have interpreted Article 19. The<br />

United States District Court <strong>for</strong> the Southern District of Ohio has stated that “the<br />

CISG applies the common law concept of mirror image.” Miami Valley Paper, LLC v.<br />

Lebbing Eng’g & Consulting GmbH, 2009 U.S. Dist. LEXIS 25201, 2009 WL 818618,<br />

______________________________________________________________________________<br />

UNIT 12: CONTRACTS FOR THE INTERNATIONAL SALE OF GOODS 229

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