题目内容
（请给出正确答案）
A．enforced
B．strengthened
C．ordered
D．authorized
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A、Government regulations
B、Inflation
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A Chinese trading company (the Buyer) entered a contract with a Japanese manufacturer (the Seller) of precision machinery and testing equipment for purchasing 15 sets of production lines and 8 sets of testing devices. The total value of the contract is 400,000 US dollars. Price terms: CFR Shanghai; Time of shipment: the end of September 2013; Payment terms: Buyer opens an irrevocable negotiable letter of credit in full amount two months prior to the date of shipment. Standard arbitration clauses were included in the sales contract. On September 30, 2013, the buyer opened a letter of credit through a bank in favour of the seller and no deposit was made. The seller, on October 8 and 31, shipped the goods in two lots, and negotiated the payment to the negotiating bank. The negotiating bank got repayment from the issuing bank. On October 19, the first lot of 15 sets of production lines arrived at the port of destination – Shanghai. On November 12, the second lot of 8 sets of testing devices arrived at the same port. Since the original copies of the bills of lading for the two lots were not available, the buyer took the goods from the shipping company using the copies of the bills of lading. The provincial commodity inspection bureau inspected the production lines and the testing devices. The inspection report issued by the authority shown that: 4 out of 15 sets of the production lines are not in conformity with the quality terms stipulated in the sales contract. These 4 sets of production lines cannot be used to manufacture standard-conforming products at all. The buyer insisted that the 15 sets of production lines should be used together. Since 4 sets of the production lines were of no use, the remaining 11 sets of qualified production lines should be rejected as well. Therefore, on December 15, 2013, the buyer sent a memo to the Japanese manufacturer, which requested that all 15 sets of production lines should be sent back to Japan. However, the Japanese seller neither signed the memo nor replied to the Chinese buyer’s request. The buyer finally brought the case to the CCPIT, the arbitration institute specified in the sales contract. The demands of the buyer were: 1). Return the 15 sets of the production lines. The seller should fully refund the payment and bear the costs and expenses associated with the return. 2). The 8 sets of the testing devices were late for delivery by six weeks than the stipulated date of shipment. Therefore, the seller should pay the fine of 40,000 US dollars for the delayed delivery. 3). All 15 sets of the production lines were rented out to another Chinese company. Because the 4 sets of faulty production lines, the buyer had already paid compensation of 15,000 US dollars to another Chinese company. The buyer demanded that the seller should bear the loss and pay the buyer 15,000 US dollars. Questions: 1. Other than the discrepancy and claim clauses, what kind of clause regarding dispute settlement should be included in the sales contract of this case? The buyer demanded a fine of 40,000 US dollars for late delivery of the testing devices to be paid by the Japanese manufacturer. If the Japanese manufacturer does pay the fine, could they terminate the contract? Why? 2. How would the arbitration court handle the demands of the buyer? Give your answers for the following subjects a. 15 sets of production lines b. 8 sets of testing devices c. economic loss to the Chinese company which rented the equipment 3. Since the Japanese manufacturer did not sign the memo and respond to the Chinese buyer, could the buyer bring the case to a court in China and sue the Japanese seller for damage and loss first before arbitration? Why? After the arbitration award was made, if the Japanese manufacturer refused to honour the award, what could the Chinese buyer do?
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