Avoidance under the CISG
The CISG permits a buyer or seller to declare a contract avoided only where the applicable requirements are met, such as a fundamental breach or, in specified cases, non-performance after an additional period. Notice is required. Avoidance releases both parties from contractual obligations subject to damages and surviving dispute provisions; restitution rules address what has been supplied or paid. It does not mean hiding from tax or other legal duties.
Worked example
A seller fails to deliver after a buyer fixes an additional reasonable delivery period and the relevant conditions are met. The buyer declares avoidance and considers restitution and damages under the Convention.
Common mistake
Assuming every breach automatically terminates the contract, or confusing avoidance with unlawful evasion.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | LW (GLO) | Direct | September 2026–June 2027 |
