SLIDE 1 A European Contract Law: a cuckoo in the nest?
Department of Law public lecture
Professor Hugh Beale
Professor of law, University of Warwick
Dr Linda Mulcahy
Chair, LSE
SLIDE 2 London School of Economics Law lectures 2011
SLIDE 4 )##
*+,-#
, .+ /0 !
* -
%
SLIDE 5 1#
2'%3#4 *%34-
%#
$#%
SLIDE 6
!*4#- 45&% *$5- #% *-
SLIDE 7
Principles of European Contract Law
Parts I & II (2000)
Formation, validity, contents & effects, performance, remedies
Part III (2003)
Multiple parties, assignment, set-off, prescription, illegality, conditions
Functional approach Articles, Comments and comparative Notes
SLIDE 8
Uses for ‘Restatements’
Cannot replace national law: Rome I Reg Express adoption by parties as part of contract By arbitrators as lex mercatoria Models for national laws terminology and concepts for EC Law translation tool
SLIDE 9
Study Group on a Euro CC (von Bar, Osnabrueck)
sales, services, long term contracts leasing, loans, personal security unjust enrichment, negotiorum gestio tort security over moveable property title to moveable property, trusts
SLIDE 10
64*3.1' (#78+-
$#, $
SLIDE 11 Action Plan on European Contract Law
Communication on European Contract Law (2001)
Action Plan on A More Coherent European Contract Law (2003)
Divergences do impose additional costs Improve the acquis using a Common Frame
Promote EC-wide contract terms Reflect on an optional instrument
SLIDE 12
The Way Forward (2004)
CFR:
assist in revision of the acquis
common fundamental principles of contract law definitions of key concepts model rules
basis of possible Optional Instrument
Review of 8 consumer directives
Green Paper (2007)
Use existing research
SLIDE 13 FP6 Network of Excellence (CoPECL)
“Principle Drafting Groups”
- SGECC
- Acquis group
- Insurance contracts
- Terminology in EC contract law (Turin)
Evaluative groups
- Law & Economics group
- Association Henri Capitant/Société de Législation
Comparée
Database, Conferences
SLIDE 14
5#)*3'/99:-
8*!- )*8$-
SLIDE 15
4$;<!/9;9
8
5+,*#- "3 8%
#
SLIDE 16
5
185 1 +, ) 8%
SLIDE 17
A “toolbox” CFR
assist in revision of the acquis
common fundamental principles of contract law definitions of key concepts model rules
$'#'
####+,
SLIDE 18 Definitions
Terms used without definition
- “Damage” (Simone Leitner)
- When a “contract is concluded”
- “Rescission”
Interpretation by ECJ / in MS Implementation in MS
- Notes show differences from national laws
Drafting
- Recital that CFR meaning unless provided otherwise
SLIDE 19
Model rules
“model rules applicable to contracts concluded between businesses or private persons and model rules applicable to contracts concluded between a business and a consumer could be envisaged” “best solutions found in Member States’ legal orders” Explanation of policy choices
SLIDE 20 )$
" %
)#'!# 1
3# =>
SLIDE 21 “Essential background information”
what is needed in Directives, what is not
Duty to disclose? Remedies for misrepresentation
5##
1 # #
+! #6 5#
SLIDE 22
general contract law sales, services, long term contracts leasing, loans, personal security unjust enrichment, negotiorum gestio tort security over moveable property title to moveable property, trusts
SLIDE 23 Contents of the CFR
Way Forward:
- Rules of general contract law
- Consumer contracts
- Sales
- Insurance contracts
FP6: grant process'
All SGECC/ Acquis Group work part-funded
SLIDE 24 )
) $)!+
4
5+, + +
1#
SLIDE 25 +!
A
5
*"!$!-
3!+
8$#4 5 (
SLIDE 26 3#)
(',$
5
(%%
+
!
SLIDE 28 #6
Prioritised after 2005 Green Paper (Feb 2007) Draft Consumer Rights Directive, October 2008 Distance & Doorstep selling, Unfair terms, Consumer sales “Horizontal instrument”
3#)+ # Full harmonisation
SLIDE 29
)
Consumer rules
Rome I Regulation, article 6
Parties may choose law Consumer entitled to mandatory rules of Law of state of habitual residence
If directed at that state
SMEs selling across borders
Must know laws of each country targeted
Internet shops
SLIDE 30 )+
)"3
5+
#
!# ##. !
8%
- Governing law to replace national law
- The “Blue Button” (Schulte-Noelke)
SLIDE 31
5“Blue Button”
(+6
$##D+ E 3!#
%# +! ++
Mandatory consumer protection plus general contract law
SLIDE 32
,4
/@/9;9 # +
8% 5+,
?+8%
(/((/ 3!+,+
4+#!
SLIDE 33 58%$%
'!
8.B.#%34
8%##D+
SLIDE 34
(/
3 4 66
#5'3
6#!
*&##. -
*-
SLIDE 35 #
%"3' #(( %"3 '
#+!
SLIDE 36 +. #4
?) +! ? +!
? #6 +!)
?)
SLIDE 37 %((+
G
$++!## "3 8%
5.##
( ! #
(
SLIDE 38 8%#
1+.+
##!# +! %#(#8%# '!
H#
SLIDE 39 (/(
(/(
1.*-'! 3 ! 7## + #
33"
SLIDE 40 ?3"
" ?#
1. 3 (4)#
$+##
3#.8
SLIDE 41
?!!
%#3"!' +# ## 8%
%##'3" 13"
5!#8%
SLIDE 42
;I9#.#
!
( 3 1$(%%%
3 #
#!#6 5'#
$+!
SLIDE 43
#
8%
3!# .+ (/ # (/(3"3
SLIDE 44
(/
1 %)! $ )+, # # %# 6 # 58%
SLIDE 45 #(/(
- ##
- +!
- 1!#
- "#
- # '+
- )
- !
- $ #
- 4#
SLIDE 46
(/(!
58%! ###
#3" 1+#! 8% + ## ##
)# "+
SLIDE 47 A European Contract Law: a cuckoo in the nest?
Department of Law public lecture
Professor Hugh Beale
Professor of law, University of Warwick
Dr Linda Mulcahy
Chair, LSE