ASSIGNMENT 2
DUE DATE: 16 APRIL 2025
, LJU4804 PRIVATE INTERNATIONAL LAW ASSIGNMENT 2
FOR FIRST SEMESTER STUDENTS
UNIQUE NUMBER: 166975
DUE DATE: 16 April 2025 at 17:00 (CAT) Instructions for answering the
assignment:
Read the set of facts below and then answer the questions that follow:
Computec (Pty) Ltd is a South African company with its principal place of business in
Johannesburg, South Africa. Computec manufactures and exports computer hardware
components. Technologie GmbH is a German company with its principal place of business in
Hamburg, Germany. Technologie regularly purchases large consignments of computer
hardware from Computec. It has become standard practice between the companies that the
goods are shipped CIF (Hamburg) (Incoterms 2020). Payment is always made by means of
confirmed letters of credit, issued by Deutsche Bank (Berlin) and confirmed by Rand Merchant
Bank, (Johannesburg).
The contract contains a choice of law clause in favour of German law. During June 2023, a
dispute arose as to the quality of a shipment of computer components received in May of that
year. Technologie argued that the quality of the hard drives received in that shipment, were
not of the same quality as those received in previous orders and demanded that the hard
drives be replaced. Computec refused, arguing that the goods were in conformity with the
contract. In February 2024, Technologie instituted a claim against Computec in the South
Gauteng High Court.
1.1 Germany is a CISG contracting state. Should the CISG be applied to the dispute
between the parties? (Refer to the applicability criteria of the CISG and your prescribed
journal article on the topic).
Yes, the CISG should be applied to the dispute between Computec (South Africa) and
Technologie GmbH (Germany), provided the parties have not explicitly excluded its
application.
Applicability of the CISG:
Article 1(1)(a) CISG
The CISG applies automatically if both parties have their places of business in different
contracting states. Germany is a CISG contracting state, but South Africa is not. Therefore,
this provision does not apply directly.