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 Should the Afghan court apply Afghan law, Xlanka law, the CISG, or some other

law? Cite the legal authority.


In accordance with Article 27 of Afghanistan's Private International Law, the Afghan court
should follow Xlanka law in this situation. Article 27 gives specific guidance on the law that will
apply to obligations resulting from contracts.
Article 27:
With respect to obligations arising from contracts, the law of the State wherein parties to the
contract reside shall apply. If they do not reside in the same State, the law of the State wherein
the contract is completed shall apply, provided that the parties have not agreed on the applicable
law or it is not clear from the indications that the parties have intended that another law applies.
With respect to contracts concluded on real estate, the law of place wherein it is located shall
apply.

The parties to the contract in this specific case are from different states, Afghanistan and Xlanka.
Whether the parties have agreed on the governing law is the most important requirement in
identifying the applicable law. The parties specifically stated in their contract that the laws of
Xlanka would govern it. Thus, the Xlanka law should be given in accordance with the principle
of party autonomy and the decisions made by the parties. In addition, the CISG is not applicable
in this situation because Xlanka and Afghanistan are not parties to the CISG. As a result, the
Afghan court must follow the rules of private international law and apply Xlanka law, as stated
in the parties' contract. With this approach, the intentions of the parties are guaranteed to be
followed, and it is in accordance with the legal authority clearly given in Article 27 of the Afghan
Private International Law.

 Should the Afghan court apply the substantive law rules of the applicable law or
conflict of law rules (private international law) of the applicable law? Cite the legal
authority.
Based on Article 34 of the Afghan Articles of Private International Law, which states that "In
cases where the application of provisions of a foreign law is specified, those substantive
provisions of the mentioned law that are not related to private international law shall apply," the
Afghan court should apply the substantive law principles of the relevant law. The law of Xlanka
will be applied to this situation because the parties clearly stated this in their contract. Regarding
this, Article 34 states that the Afghan court uses Xlanka law's substantive rules to the extent that
they are applicable to the case. This shows that since the parties chose Xlanka law, it should be
used to determine how things related to the contract, like obligations, rights, and liabilities,
should be handled.
 Assume A and B's choice of law clause says: "This contract will be governed by the
laws of Xlanka. However, Afghan law will apply on any contract formation disputes
(i.e. whether there is a contract: offer, acceptance, and consideration) between the
parties." What law will govern the contract between A and B? (1 point)

According to their choice of law clause, Xlanka law will be used to regulate this contract
between A and B. However, the parties have agreed that all disputes coming out of or related to
the formation of a contract, including those relating to offer, acceptance, and awareness, shall be
governed by the laws of Afghanistan. This means that Xlanka law governs all other parts of the
contract, including confidential responsibilities, standards of quality, and warranty obligations. In
contrast, Afghan law governs matters related to the basic aspects of contract formation. The
parties' agreement is respected by this division of governing laws, which also makes it clear
which legal system governs various parts of their contract.

 Assume Xlanka Law applies on the contract and Xlanka Law says that "Payments
must be transferred within 20 days of delivery of the goods in the designated bank
account of the seller. 5% interest will be applied on late payments"). Company A
brings a suit in an Afghan court for breach of contract for non-performance and
claims damages including late 5% late payment interest. Will the Afghan court
apply the Xlanka law on payment of interest? Cite authority.
Article 35:
Provisions of foreign law, in the manner specified in the previous Articles of this Section, are
applicable to the extent that it does not contradict public order or common morality in
Afghanistan.

The Afghan court should apply Xlanka Law to resolve the late payment interest in the given
scenario, where Xlanka Law governs the contract and specifies that payments must be made
within 20 days of the goods being delivered, with a provision for 5% interest on late payments.
This is in accordance with the choice of law clause in the contract. According to Article 27 of
Afghanistan's Private International Law, legal duties resulting from contracts should be governed
by the laws of the states in which the parties reside. The chosen law in this case is the Xlanka
Law, which follows the idea of party autonomy and lets the parties choose the law that will
govern their contract. Furthermore, Article 34 makes it clear that when a foreign law is
mentioned, its substantive provisions, including the clause relating to late payment interest in
Xlanka Law, apply.

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