You are on page 1of 14
CHAPTER V Comparative Law and the Law of Nations Law of Nations. Relationship between Comparative Law and the Law of Nations. Pacta Sunt Servanda. Doctrine of Clausula Rebus Sic Stantibus. Grounds of avoidance and cancellation of treaties. Different theories of interpretation of treaties (@) Subjective theory, () Textual theory, and (©) Teleological theory. Treaties and contracts. 8. Principles Governing Interpretation of Treaties and Contracts. ooReNe 1, Law of Nations.—The law of nations or the public international law is the body of principles and rules which civilized States consider as binding upon them in their mutual relations. They are the rules which regulate the conduct of the State in their mutual dealings and intercourse with one another. In the S.S. Lotus case the Permanent Court of International Justice defined international law as meaning the principles which are in force between all independent nations. 2. Relationship between Comparative Law and the Law of Nations.—As regards the relationship or kinship between comparative law and the law of nations, Gutteridge observes that this relationship is of a very shadowy nature, and the only possible link between the two disciplines is to be found in the extent to which the comparative study of private law can be regarded as an instrument to be employed in promoting the growth and development of the law of nations. Gutteridge further observes that “it is an indisputable fact that resort is very frequently had to private law sources and analogies as an aid to the settlement of international disputes......The resort to private law principles is in both cases limited to those which can be described in such terms as ‘general’, ‘universal’, or ‘common to civilized nations’ and the like, and an enquiry into the existence of these principles and into the manner in which they are to be ascertained constitutes the link which binds the two disciplines in a common task." Article 38 of the Statute of the International Court of Justice authorises the Court to apply the teachings of the most highly qualified publicists of the various nations as a subsidiary means for the determination (37) x Compare La nS pe a writers plays ‘of law. In the first place, the work of WHS Dhiy a Proportion te ter dette eric val, determination to scrutinize critically the pra frine rebus sic stantibus justifies the avoidance of testis in Change of circumstances. It connotes that when the existence or 4 State stands in unavoidable conflict with its treaty ter must give way for self preservation and development with the growth and the vital requirements of the natin. Il observes : = rine ivate-law must that itis rmgized in bwtanco bya the main tsteme olay nth ee teil oot | at the time of its conclusion. ern Tn this connection Lawrence also observes thet TOS certainly does not give a right of veto on politcal PTOBTESS (7 member of the family of nations who can dievel Wt icicts agai obsolete treaty, on the fulfilment of whose stipulations wishes of the other signatory pow ing party a Thus, every treaty ip a cnaton hat ts conten Py tr have the right lem: release from ligations pra ence of the sa senha aoe ceed to as an international person be threatened. In the case of Russian denunciation ofthat part of the eat, of Pr of 1856 which related to the neutralization of Black So S010 the restriction imposed upon Russia in respect of x 1870 the ri sea, the powers recognised as far back as in the veer 110) Ot invoke the clause rebus sic stantibus as a ground for {he exine treaties, but it was observed that Russia could not wnila treaty. With regard to revision of treaties, League of Nations (1920) provided as fol Oe 19 of the Covenant re bocrme ia Memivere of the League of treaties which ba : tnd the consideration of international, conditions whose cont represent i cle 19 of the Coven: of tatives of 50 States was arrived at. Article 19 of the Co therefore, confirmed the validity of the clause rebus sie stantibus by same time it rejected any claim to apply it unilaterally. ace During the last century opinion has been gaining ground that ac aE nyse emt to revoke the treaty obligations upon the happening of a vital hanes circumstances, but should entitle it to be released from them onl consent of the other party or parties to the treaty. : ‘The Charter of the United Nations does not contain a provi analogous to Article 19 of the Covenant relating to the revision of treatie ‘The relevant provision in the Charter is Article 103, which reads thus "In the event of a conflict between the obligations of Members the United Nations under the present Charter and their obligatos under any other international agreement, their obligations under present Charter shall prevail.” ‘The power of revision of treaties must be left in the hands of international organisation, for the possibility of achieving revision Comparative Law and the Law of Nations a consent ofthe putin concerned is very remote. Article 19 ofthe Covenant of the League was a “shy attempt in this direction, and the Charles ef UNO. does not tke matters much further” (Geong Schwarzenberger dance and cancellation of treaties-—The doctrine rebus sc tanibusjutifes the avoidance of treaties in ease of vel Ghange of ‘cumstances. This doctrine may be resorted to i vosy txceptional sieumstances. Change in the balance of Power oF in velatee Strength and in fuence ofthe contracting parties does at warrant any eat to terminate or modify a treaty without the consent of the other. ie ‘Treaties when once concluded bind the partes thereto; but raifcaton of a treaty may be withheld and its provisions avoided ifthe representative for plenipotentiary has exceeded his powers, any deceit as to matters of fac ha been practised or its performance becomes impossible: ‘A treaty may also lone its binding force by cancellation on the ground of ts being inconsistent with International Law as formulated subserernt to the conclusion of the testy, violation of stipulations contained in the reas by ono of the contracting parties, subsequent change of satus of one of thom, ea, transforming ene of the contracting States into dapendency of nother Slate or the outbreak of war bntween the paris to the tag 6. Different theories of interpretation of treaties. There are three diferent theories of interpretation of treaties, us. the cabjente, te textual and the teleological (@) Subjective theory—The subjective theory aims to interpret a treaty in accordance with the aetoal intention or real will ofthe Pesca which are the States. Such intention can be gathered even with reareece so ogotiations leading tothe conclusion of treaty. Sir Hersch Lauierpacht in his proposals to. the Institute of International Law, submitted in 1950, laid emphasis oa seas reparatoire for ascertaining the intention of the partis, ‘The subjective theory of interpretation of statutes is open to various objections. In the first pace, there may not be any common intention tie in not be any tention ofthe 1 the second place, the question which may beset the parties at the time of interpretation, may not initlly have arisen at all in thes mda ‘Thirdly, the subjective theory may be appropriate in cases of unilateral documents where the intention of the individual party may be Laces Lastly, recourse to travaux preparatoires for ascertaining the invent of the parties may not be a sufficient guide as records of orf ze eoiations may not be complete. ee document are ambiguous, extrinsic aid may be resorted to for correct interpretation of the treaty. mt 1 of the resolution on the Interpretation of Treaties adopted by Comparntve La : ides that the agreeme the Institute of Intemational Law (1856) en Fhe oe of the parties having been embodied in + take the natural and ordinary meaniné OF Tribe treaty should \y of the prordance with good faith and ig ‘awe, In case of doubt, legitimay, ntext as a whole, i of International ice followed in «gy the practice followed in thy Paar ys preparatory works) he practice HONS in cru, ytcation of Ua treaty, te cnaidert ects To Reetstenent (second) of the nee ae aaa also provides that the primary o < in whi rm States alin provides plpate o the erms ia Which he etmen is expressed, having regard to the contest in whi rfances under which the agreement a8 sage Art oo er be interpreted in god faith in acordance wih To ee caning tae given tothe terms ofthe treaty aa a in et oO De ae held in Admission to the United . 1 Court of Justice . ate eeegGo) LC Repos] that in the view ofthe Court the Set duty of a trib ich is called upon to interpret and apply the provisions to give effect to them in their natural and Shainary meaning in the context in which they occur. If the relevant words thet natural and ondary meaning make sens in their context, that fn end of the matter I, onthe other hand, the words in their natural an Grdinary meaning are ambiguous or lead fo an unreasonable result, then, nd then only, must the Court, by resort to other methods of interpretation, Seek to ascertain what the pasties really did mean when they used these words. (©) Teleological theory—Acconding to teleological theory a treaty is to be interpreted in the light of its objects and purposes. This theory is in effect a combination of elements of both the subjective and the textual theories. In so far as it seeks to ascertain the objects and purposes of the treaty—as they are expressed in the text—, the theory is essentially a variant of the textual theory. But in so far as it seeks to ascertain the aims ‘and intentions of the parties by referring to the entire course of negotiation ‘and the circumstances leading to its conclusion, it embodies the subjective ‘The Draft Convention on the Law of Treaties prepared in 1935 Harvard Draft provides that “a treaty is to be interpreted in the light Es wee Purpose which it is intended to serve.” . “reaties and Contracts—In Municipal Law contracts are Eisen ofa Steg, Ae gabrosable at law having been entered into between Internationa treaties, on the other hand, are agreements tea a tha emanaaen re, Purpose of carrying ‘out the various tof international relationship existing Comparative La an he La of Satine 2 between them. ‘exercised personally agair oom ee i a aa ttl La, ai rot Moding i th ct em ieee ee ee con a ae Meni tnurstaton of Teeaten end ee Soe Sie ca ee ete ie erat mere tees mes contradictory meaning, the interpretation which accords with the sreneana Pian woe mere ‘Mavrommatis cae A eae a interpretation is to be placed on the prov: door uct sect tts ty te burdensome to the person responsible for the burden under the treaty. During the last centur ioe limited scope wi te or oppressive treaties for Professor Gutteridge, however, observes that “th 0 certain Tarins of interpretation which are commun to both systems eg fra the culibus non derogant. But there would seem to belittle or no scope for Of igmbloyment of the comparative process in this connection, The drafting Meiuttional agreements is carried out in conditions which make it Alsiable that the draftsman should not be fettered by meticulous rls of Comparative La in as In 7 rh ogrsomn sil be SU 5 interpretation me csibie, Even ift were de to be gained by Tera spirit as posible. Even 0 for the purpose there wou! A doing.” “comparison of privet rows light He further observes or eat i a ciate ba an true, be usefl to tne oesmray have been used ye oe which eh ‘terms of art’ which may to deal with the situat uk tnpears tobe an emergene) MEAS 2 5 'an expedient to be adopte spPet pave been allowed t0 ‘general use." les may, it a0 CHAPTER VI The Process of Comparison 1, Sources of Continentat law. 2. Sources of English Law. 3 $f Legal Wie Opinions of ters. 5. Materia’ for Comparison. &. French Tia. 7. Appeats 8 indian That 1. Sources of Continental law.—The chief source of continental law is to be found in the European codes which are supplemented by statute lave, judicial precedents, customs and the opinions of commentators and textbook ‘writers. Gutteridge observes that "the provisions of the codes are, in certain circumstances, liable to be modified, or even to be superseded, by judge-made law or by the operation of the continental rules of interpretation of statute law". ‘According to Professor Gutteridge, “a continental code is intended to lay down new rules and is not conceived as resting on a pre-existing body of law. ‘The history of a rule of continental law is, consequently, not a matter of very great importance save in exceptional cases. Whereas an English lawyer seeking to interpret a legal principle will look first to its pedigree, a continental lawyer will search for its policy". for the judges to work out its details by the process of interpretation. Gutteridge further observes that “the continental codes are replete with cross-references which are anathema to English parliamentary draftemen." The continental codes are then divided into articles which correspond to sections of an Act of Parliament, but sub-sections are not, as a rule, identified by sub-lettering. Again, continental lawyers do believe in making provision for an interpretation section, 2. Sources of English Law.—The chief sources of Engli (a) enacted law, having its source in legislation, (b) case-law, source in precedents, (c) customary law, having its source in cust (@) conventional law, having its source in agreement, (45) Comparative « the statute law, or Code is 8 crs etbject. fry, ineliiity and , athe result is that th al engeltian sing 1 versa of law making: It js a rule of conduct w, rm tein parume® ofa ey stom or any otber Dre-eis ie amplified or modi political superior. "The Code has the tendency * law. The same c8, hi displace owever, fe pions of lg writer a8 subdiry Source regard to the opinions Tyays declined to recognize the solution, ave alway ced by Gutteridge, foreign leg! sourts with much greater freedom tha, heir views to be shaken by judical "nay, at any time, lose its authority observes : "The main differences between the status of le oe a ea se its hilo ‘obstacles are placed on the Continent in the way of the was delivered. ‘A comparative lawyer will ‘commentaries and textbooks. Gutteridge observes that "the bul ‘evidenced by the bibliographies and books Sn English lawyer. But ‘comparative lawyer, 6 French Trial.—In Franee when a serious crime is ide by the police, the prisoner to help an inquiry, be represented by hi accused is brought to a Court of Assize for manned by three Judges. The Jury panel avoid a fresh trial if a regular jur ‘After the jury has been chosen the Presiding Judge explains “* Comparative Lam After a witness has stated, the Judge puts certain quest Public Prosecutor accused. The Public Prosecutor may th America, the French Presiding Judge does sum up the ease and eall attention to the real points hand, the French Judge furnishes a list of questions 0 ‘The Jury retires from the court-room and frames its answers majority vote after taking a seeet ballot on each question. On the basis «! Jury's answers the three Judges announce the verdict and impo: Sentence. Where the Judges disagree they decide by majority vote ‘Appeals.—An appeal on a question of law is taken to the Court yes ‘Court of Assize. The Court Cassation from the verdict and sentence at of Cassation has no power to set aside the verdict; it can only order a retrial, which takes place in a Court of Assize other than the one which had conducted the original tral. It will appear from the above that a French Court is a court of investigation and not a court of contest. The Presiding Judge tries himself to ascertain the facts and he is empowered to admit, in his discretion, such evidence as he may consider necessary for the ascertainment of the 8, Indian Trial—In India a case is tried either as a summons case or as a warrant case. A summons case relates to an offence which is not a warrant case. A warrant case means a case relating to an offence punishable with death, imprisonment for life or imprisonment for a term exceeding two years. instituted on a police report. ‘The preliminary enquiry conducted by a public prosecutor. before the court in pursuance of a commit shall open his case by describing the charge brought stating by what evidence he proposes to prove the upon consideration of the record of the therewith, and after hearing the sul ground for proceeding against and record his reasons for so doi If after such consideration and hearing as aforesaid, the Judg opinion that there is ground for presuming that the accused hee oxi a tere accused has co (@) is not exclusively triable by the court of session, he may frame a charge against the accused and, by order, transfer the vase hee trial to the Chief Judicial Magistrate, and thereupon the Chet Judicial Magistrate shall try the offence in accordance with the Procedure for the trial of warrant-cases instituted on police report; (b)is exclusively triable by the court, he shall frame in writing a charge against the accused. Where the judge frames any charge under el. (b) above, the charge so Comparative Law shall be read and explained to the accused and the accused shall be as), whether he pleads guilty of the offence charged or claims to be tried, If the accused pleads guilty, the judge shall record the’ plea and ma, in his discretion, convict him thereon. : If the accused refuses to plead or does not plead, or claims to be trie or is not convicted on his plea of guilt, the judge shall fix a date for 1, examination of the witnesses and take all such evidence as may be producg, in support of the prosecution on the date fixed. If after taking the evideng, for the prosecution, examining the accused and hearing the prosecution ayg the defence on the point, the judge considers that there is no evidence thy the accused committed the offence, he shall record an order of acquittal Where the accused is not acquitted he shall be called upon to enter o, his defence and adduce any evidence he may have in support thereof. Whe, the examination of the witnesses (if any) of the defence is complete, th, prosecutor shall sum up his case and the accused or his pleader shall }, entitled to reply. After hearing arguments the judge shall give a judgmen, in the case. If the accused is convicted, the judge shall, unless he release him on probation of good conduct or releases him with admonition, hear th, accused on the question of sentence, and then pass sentence on hin according to law. ga CHAPTER XVIII Comparative View of the Rule of Law Rule of Law. Provisions in Indian Constitution, Ombudsman. International Conventions. Rule of Law in International Affairs. Ohene 1. Rule of Law.—The expression ‘Rule of law’ connotes in its popular meaning the paramountcy of law over Governments. In his classic work "Introduction to the Study of the Law of the Constitution", Dr. A.V. Dicey of the Inner ‘Temple, Professor of English Law, who by his masterly exposition of the subject aroused the interest of students of law and politics to the study of public law and Government, observes that the two features which have at all times since the Norman conquest characterised the political institutions of England are sovereignty of Parliament and the Rule or Supremacy of law. He has considered the expression ‘Rule of Law’ from three distinct though kindred points of view. In the first place, it means that no man is punishable or can be lawfully made to suffer in body or goods except for a distinct breach of law established in the normal legal manner before the ordinary courts of the land. It, thus, means that there is an established predominance of the regular law over the exercise of arbitrary power. Dicey contended that discretionary authority vested in the Government is incompatible with individual liberty—the more there is of the one, the less of the other. The right of personal freedom of speech and of public meetings, the liberty of the press, freedom from arbitrary arrest and the right to enjoy one’s own property are all a direct corollary to the application of the Rule of Law. He observed that in that sense this was a peculiarity of the English institutions as against almost every continental country where the executive enjoyed far wider discretion in the matter of arrest, temporary ‘ercieomment, expulsion from its territory, ete. In the second place, he understands the ‘Rule of Law’ to mean equality of all people in the eye of the law of the land. In this sense every man, irrespective of his rank of station in life, is subject to the common law and amenable to the jurisdiction of the ordinary tribunals. He observed that in England every official from the Prime Minister down to the constable or the collector of taxes, is equally responsible for every act done without legal justification with any other citizen. Of course, the Prime Minister, or for the (229 ) ie Compartive Vew of he Rae tLe ey ‘there has been a change. Wadi i ibunals. He disapproved of th i yunals existing in France whieh ust the jurisdiction of the civil courts with respect to the affairs o1 in which the Government or its servants are involved. According to aspect is utterly unknown to the law of England and not, as in many countries which have a written constitution, flow from the constitution but the constitution itself is the result of such rights and is cual based on them. E 3 conversely be said that the law of the land is the result Dicey’s work upon the Constitution, which first appeared in 1885, ‘on. Tn India, for example, the Constitution ensures the provoked vigorous criticism. His notions were derived from an age of ts and these rights can be said to be the direct result of 7 Tn th of the supremacy of law over Government, the Rule of ‘Taw is taking shape institutionally in the comity of nations, England, in the next half century the growth of administrative law in England was continuous. State shi Aiscriminate against any citizen on grounds only of religion, race, ca place ‘any of thom. Article 16 envisages equali property. Article 21 protects the jife and personal liberty of providing that no person deprived of his life oF perso except according to procedure established by law. The necessary corollary of the Rule from the Executive. Part IV court, but the princi the governance of the count principles in making laws. down that the State State. With this end in view most o¢ to separate the Judiciary from the the Constitution clearly lays down th: of the state towards securing the pri deemed to be void on the ground of siving effect to the down in Part IV st with Art, 14 or Art. 19. The States are taking upon themselves various ameliorative f for providing basic minimum requirements of food, shelter and clo the citizens. They are also taking up planning and other social recognition of the increased functions of the State, The age of lais gone. Individual rights have been subordinated to the social requiem the country. Effective planning entails a degree of administrative contr nature of public requirements is changing shape. The compulsory acq of land for public purposes like road making, development of new hospitals, etc. necessitate a clash of certain ideas strictly associated wi term ‘Rule of Law’ as developed by Dicey. Ifthe State is denie to requisition such private property for publie purposes, Paramount object of doing social good to its citizens. of laissez-faire is giving way to the modera notion of governmental intervention in the day to day activities of the citizens. All this has become imperative to meet the need of a rapidly developing and changing society engaged in the task of extensive and advanced industralisation. ‘The Government of India also considered the question of impos ceiling on the ownership of urban property. The modern trend climination of private right and interest by Governmental action to m basic needs of the citizens even necessitated the consideration ‘question about amendment of the provisions of the Constitution of I as to take away the property rights guaranteed under Article 19 ( pleaded that the fundamental right regarding property enshrined Constitution had become an anachronism. The fundamental right to property, no doubt, inspired people to work hard, but the appalling poverty of the vast million of the country compelled a section of the people to start rethinking on this aspect of the matter. The distinction must, however, be ‘maintained between property for use and consumption and accumul hhuge wealth and the amassing of means of production in a few hands. The extension of Governmental activites, the quantum of compensation for the wate property acquired for public purp privtference with private rights ender atom, ce. ae fers ore haan he E and wanton expropriation of property save for pul and attentuated fundamental right to prope! f the Constitution has been abi 1978; and in their place a new chapter, Chapter IV, has been added to Part XII of the Constitution by insertion of ‘Article 300-A, which reads : "No person shall be deprived of his property save by authority of law." The right to property, therefore, even though not a fundamental right, still remains a constitutional right. . 2M Comp Lokayuktas bill with a view to ensuring quick and cheap administrative justice. This is a measure which will examine independently charges of corruption against the administration. It envisages the appointment of the Lokpal after consultation with the Chief Justice of India and the leaders of the opposition in the Lok Sabha. The Lokayuktas are to be appointed in consultation with the Lokpal. Their term would be for five years and nobody holding an office of profit would be eligible for the post. The introduction of the institution of Ombudsman should have a beneficial effect on the morale of the administration, if he is impartial and acts, as a bulwark against undue political interference in the administration. There is, observes Professor Herwitz, a remarkable harmony between the Ombudsman and the administration. The aim of both being efficient and clean administration, there can never be any conflict of interest. 4, International Convention—The _ fundamental principle enunciated by Dicey in his concept of the ‘Rule of Law’ envisages the absence of arbitrary power in any authority; an official who abuses his power is answerable for his conduct in the court of law. The International Law Commission of the United Nations at its second session, in 1950, while formulating a set of principles of law based on the Nuremberg judgment, followed, in the main, the above concept of the Rule of Law and laid down, inter alia, that the fact that a person who committed an act which constitutes a crime uncer International Law, did so as the Head of a State or responsible Government official does not absolve him from responsibility under the International Law; and that the fact that a person carried out the order of his Government or of a superior does not relieve him from responsibility under the International Law, provided a moral choice was in fact possible to him. The Universal Declaration of Human Rights, adopted by the General Assembly of the United Nations on the 10th December, 1948, declares right, which should be granted to all persons, without distinction of any kind, and affords equal protection of the law. 5. Rule of Law in International Affairs.—In case of a dispute the contending nations never deny the existence of the rule of law governing nations but recognise it, endeavouring to interpret it so as to justify their conduct. The Israeli aggression on Egyptian territory towards the end of October, 1956, followed by an Anglo-French invasion of that territory, constituted a flagrant violation of the law of nations; its position was however rehabilitated by the various resolutions of the United Nations General Assembly, which vacated aggression and restored peace. The USSR, too, had to respond—though slowly—to the strong protest of the world organization against interference in Hungary's internal affairs. Similar was the result in respect of the armed intervention by U.S.A. in the Lebanon and that by Great Britain in Jordan in the middle of July, 1958. Even with regard to the violation of the Soviet territory by U-2 flight on May 1, 1960, the United States of America had to concede that flights similar to those of U-2 would not be repeated and that there would be no more violation of Soviet air space. That is the triumph of the ‘Rule of Law’ in international affairs. CHAPTER XIV Unification of Trade Law 1. Stondora! Contract. 2. Vertical and Horizontal Standoralsation 3. ESC Standard Contract Forms. 4. Incoterms 5. Application of Comparative Method. 1. Standard Contract—A standard contract is a model contract fore, reduced into writing assists the businessman or a lawyer entrusiat contract to prepare the same according to the ‘The international international custom by trade evolved by the business community; it grows into a trade usage (usance), ripens into a custom, then emerges as a national custom, an] finally assumes an international character. An international commercial custom consists of “commercial practices, usages or standards which are so widely used that businessmen engaged in inter: trade expect their contracting parties to conform with them." (Clive M. Schmitthoff : The Law of International Trade, its Growth,. Formulation and Operation). In order to evolve uniformity of international practice, it is desirable that the standard contract should be formulated by an international agency, ‘The United Nations Eoonomic Commission for Europe and the International Chamber of Commerce have worked in this direction. The former has tried to evolve complete model contracts with a view to achieving standardisation, dealing with almost all the relevant terms of the conti 2. Vertical and Horizontal Standardisation.—Apart from ‘model contracts and sets of standard conditions, Dr. Eisemann has el standardisation into vertical and horizontal. The former standardis usages in a particular trade, and the latter all types of international sales. ‘The ECE General Conditions for the International Sale of Citrus Fruit (No. 312) fall under the eategory of vertical standardisation, while the Incoterms 1953 furnish an illustration of the horizontal standardisation. 3. EOE Standard Contract Forms.—The ECE general conditions of (156 ) jmprovements on current pr have evolved over the years theoretical improvements; s0 developed is autonomous in the features by adopting an intern invariably contains an arbitrat against conflicts. 5. Application of Comparative Method. ‘that, in the preparation of standard contract application 158 ‘Comparative Law to improving and amending the legal norm. The Incoterms have specially adopted the consolidating method—what practical merchants have evolved over the years as convenient is always likely to be better than theoretical improvements. The ECE, even though primarily adopting the consolidating method in the preparation of their standard contracts, has # certain codifying content also when it aims to achieve "an agreed balance of fairness between the economically stronger and weaker contracting parties. In order to achieve uniformity in the interpretation of the term» employed in international standard contracts in the national courts, a glossary of trade terms may be prepared and appended to the uniform law. A unified terminology will ultimately lead to substantive unification. Then the Court of Arbitration established by the ICC and the European Convention of International Commercial Arbitration, sponsored by the ECE, and which came into force on January 1, 1964, are positive attempts made to achieve a uniform interpretation of international standard contracts. ‘The establishment of an international court of commercial arbitration as an appellate tribunal is another method to achieve uniformity in the interpretation of international standard contracts. Apart from the standardised contract texts, there should be international legislation which may not only complement, but improve on, national regulation. The Incoterms, which provide for partial standardisation, offer a wide scope for international legislation. As already stated, a glossary of trade and commercial terms may be prepared and appended to the standardised contracts, International conventions, treading on the field of codifying method of comparative law, can also be adopted That will afford the integration and adoption of the best of all national commercial legislations into an international legislation, thus paving the way for a codified world trade law. aa

You might also like