APPLYING_CISG_in_CHINA Gaofei 140518APPLYING_CISG_in_CHINA Gaofei 140518.doc

The Application of CISG in International Commercial Arbitration Cases in China Gao Fei Abstract In China, the application of CISG in international commercial arbitration cases is common but controversial. Whether CISG shall apply directly or mandatorily since the General Principle of the Civil Law of the PRC provides a special provision? What’s the relationship between CISG and the relevant laws of the PRC of which who shall prevail under a contract without choice of law? How to understand China’s reservation upon the ratification of CISG? All these will be discussed in the following. Key words CISG direct application reservation withdrawn “written form” I General Introduction 1. Legal Effect of CISG in China As one of the first Contracting States of CISG, China gave a signature as early as on 30 September 1981 and adopted it on 11 December 1986. When CISG went into effect on 1 January 1988, there were only more than ten Contracting States. This shows China’s desire for removal of barriers in international trade after the Reform and Opening up which started in 1978. CISG also inspired the reform of China’s domestic contract law, the Economic Contract Law and the Foreign-Related Economic Contract Law was promulgated on 13 December 1981 and 21 March 1985 respectively，and when the unified Contract Law of PRC was promulgated in 1999, most of the articles provided as the same or similar as that provided in CISG. 2. Reservations made by China China made reservations on Article 1 (1) (b), Article 11 and the contents which related to upon the approval of CISG in 1986. This means as to CISG’s sphere of application to sales in China, first, CISG shall not apply where the parties do not have their places of business in different Contracting States or where both parties are, or one of the parties is, not the Contracting State/s but rules of private international law determines the applicable law to the contract is the law of a Contracting State; second, as to