Attempt to Harmonize International Contract Law: Analysing the Role of CISG and UNIDROIT
The United nations commission on International Trade Law (UNCITRAL) is a body under the U.N. General Assembly established on 1966 for the purpose of facilitating the international trade through harmonization, unification and codification of international trade law. To achieve this the commission uses different conventions, model laws etc. One of the major convention drawn up by the UNCITRAL commission was CISG (United Nations Convention on Contracts for the International Sale of Goods) developed in 1968. The CISG is considered as a successful instrument which focuses on facilitating international trade among the contracting states. It is estimated that 80% of the world's trade in goods is potentially governed by the CISG. It provides the duties of all contracting parties and expressly lay down the principle, formation of contract, terms, remedies in case of breach. The commission under UNCITRAL draws the convention of CISG by relying heavily on the UNIDROIT( International Institute for the Unification of Private Law). The UNIDROIT’s objective is to harmonize private laws across different nations through model laws and it has also developed soft law instruments. Unlike CISG, UNIDRIOT principles will only apply only when it is chosen by the parties under the contract.