An International Sales Contract (often referred to under the CISG framework or Vienna Convention) is a fundamental legal instrument in global trade that regulates the sale and purchase of goods between companies residing in different countries. As a country with an open economy and a growing role as an international transit hub, Georgia is actively involved in foreign trade. For companies engaged in export or import, it is critically important to execute agreements that precisely define the rights and obligations of the parties, risk allocation, and dispute resolution mechanisms. An international sales contract is not merely a formal document; it is the primary safeguard for business interests during cross-border operations where different legal systems and business cultures intersect.
Lawyers registered on the Legal.ge platform offer comprehensive services regarding international trade agreements. This service includes not only drafting the contract text but also conducting a full legal audit and providing representation during negotiations. Specialists can assist you in resolving the following issues:
- Application of CISG (Vienna Convention): Analyzing whether the UN Convention on Contracts for the International Sale of Goods applies to a specific transaction and how it protects the client's interests.
- Selection of INCOTERMS 2020: Correctly defining delivery terms (FOB, CIF, EXW, DAP, etc.) to optimize cargo insurance and transportation risks.
- Liability and Warranties: Drafting provisions regarding quality standards, return of defective goods, and compensation for damages.
- Force Majeure Circumstances: Detailed outlining of force majeure events, which is particularly relevant in the context of global logistics disruptions.
- Dispute Resolution Mechanisms: Correct selection of arbitration or court jurisdiction and Applicable Law to ensure enforceability.
The need for international sales contracts arises in many practical situations. For example, a Georgian wine producer planning to export products to EU countries needs a contract that protects them from the risk of non-payment. Another common scenario involves a Georgian construction company importing expensive machinery from China, requiring guarantees that the equipment will be functional and meet specifications. It is also common for a foreign supplier to delay cargo delivery, causing losses to the Georgian company, necessitating a claim for damages under international legal norms. The involvement of a qualified lawyer minimizes the likelihood of misunderstandings and ensures the security of the transaction.
International sales contracts in Georgia are regulated by both national and international legislation. Primarily, this includes the "Civil Code of Georgia," which defines general principles of contract law. However, in dealings with foreign counterparties, the "UN Convention on Contracts for the International Sale of Goods" (Vienna Convention 1980), to which Georgia is a party, is often decisive. This Convention applies automatically between parties unless the contract provides otherwise. Additionally, the "Law of Georgia on Private International Law" is crucial for determining which country's law applies in case of a dispute. Lawyers also utilize the INCOTERMS rules developed by the International Chamber of Commerce (ICC) to interpret cargo delivery terms.
The process begins with a detailed analysis of the client's business needs. The specialist examines the subject of the transaction, transportation routes, and financial terms. The next stage involves drafting the contract in two languages (e.g., Georgian and English) to avoid translation-related misunderstandings. The lawyer actively participates in negotiations with the foreign partner or their legal counsel to reach an agreement on contentious points. After signing the contract, if necessary, the lawyer monitors its performance and, upon detecting a breach, prepares a claim or lawsuit.
On Legal.ge, you can find lawyers specializing in international commercial law who have real-world experience in handling cross-border transactions. The platform allows you to select a specialist who is fluent in foreign languages and familiar with the business specifics of a particular region (EU, USA, Asia). Through Legal.ge, you save time and gain access to verified professionals who ensure the legal soundness and security of your international trading operations.
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