National law’s influence on international commercial law stems from the fundamental principle of state sovereignty. Each country has the right to regulate commercial activities within its borders, and these regulations inevitably impact international transactions. This principle creates a challenging environment for businesses operating across national boundaries. One of the most significant ways national laws contribute […]
The League of Nations introduced a concise model text on the Most Favored Nation (MFN) principle in 1933, comprising approximately 300 words. However, the global economic crisis of 1929-1933 hindered widespread adoption of this principle. The onset of World War II nearly obliterated the MFN concept entirely. In the post-war era, however, the principle experienced […]
The Incoterm CIP, (Carriage and Insurance Paid to), is an international trade term that states that the seller is responsible for arranging and paying for the carriage and insurance of the goods to a specified destination. Although the seller is responsible for the organization and costs of transport and insurance, it is important to note […]
International custom plays a crucial role as a source of international commercial law, shaping the rules and practices that govern international transactions. This unwritten body of law, derived from consistent state practice and a sense of legal obligation, complements written treaties and domestic laws in regulating global commerce. Custom in international commercial law emerges from […]
Global trade relies heavily on the influence of international commerce organizations. These entities are instrumental in both enabling and overseeing worldwide economic exchanges. By establishing a reliable, transparent, and equitable framework, they allow nations and companies to participate in international business activities. This article explores the key functions and impact of major international commerce institutions. […]
What is Pacta Sunt Servanda ? Pacta sunt servanda (sunt servanda or pacta servanda) is a Latin phrase that translates to English as “agreements must be kept” or “promises must be kept”. In other words, when parties enter into a contract, they must respect the terms and conditions of the contract representing the expression of […]