ElderIron10136
1. INCOTERMS are: A. A set of negotiatory tactics. B….
1. INCOTERMS are:
A. A set of negotiatory tactics.
B. A set of predefined terms used in trade. C. A set of mandatory legal rules for trade. D. Aset of terms for policy formulation.
2. Incoterms are published by: A. ICC.
B. WTO. C. UN.
D. UNIDROIT.
3. In a CIF incoterm:
A. The seller does not carry the risk that the goods are lost or damaged along the way, because risk shifts to the buyer at origin.
B. The seller carries the risk that the goods are lost or damaged along the way, because risk shifts to the buyer at origin.
C. The buyer does not carry the risk that the goods are lost or damaged along the way
D. All are incorrect.
4. When a contract is international:
A. The parties may agree not to have their disputes governed by national law. B. They can submit the contract to customs and usages of international trade. C. They may submit the contract to UNIDROIT Principles on International Commercial Contracts.
D. All the above are true.
5. The so-called soft law:
A. Means agreements, principles and declarations that are legally binding.
B. Becomes legally binding when the parties so agree in a contract. (Correct) C. They can never be used as a framework of interpretation.
D. They have no relevance in international trade since they have no positive force in the law of anycountry.
6. According to articles 1.7 UNIDROIT PINCIPLEs 2016:
A. The parties to the international contract are bound by the duty to keep good
B. Faith during the negotiation phase of the contract. the parties may not exclude or limit this duty.
C. Nothing prevents parties from providing in their contract for a duty to observe more stringent standards of behaviour.
D. All are true.
7. Which are the formal sources of international law?
A. Custom, treaties and judicial decisions.
B. Custom, general principles of law and theory. C. Treaties, custom and general principles of law.
D. Treaties, custom and General Assembly Resolutions.
8. FOB incoterms applies:
A. If the main carriage is via air.
B. If the main carriageis via ground. C. If the main carriage is via rail.
D. If the main carriage is via ocean or inland waterway transport.
9. Modern private international law developed from the need to
issues involving commercial transactions between traders belonging to different cities.
A. Conciliate. B. Reconcile. C. Adjudicate.
D. None of them.
10. Contracting parties will often include a clear
states which laws should apply in case of dispute.
A. Assignment. B. Termination. C. Choice of law.
D. None of them.
1. How does an open account payment method work?
A. Payment is held by thebank until items clear customs. B. Items are delivered, then payment is made.
C. Payment is made first, then items are shipped. D. Payment is made to a third-party distributor.
2. UCP 600 are recognized as having legal effect.
A. Yes, UCP 600 govern the relationship between the parties regardless of their will.
B. No, UCP 600 govern the relationship if the parties agree to it. C. Yes, it depends on what the arbitrator or judge decides.
D. Yes, but only if the UCP 600 have been transplanted into the domestic law of any of the parties to the contract.
3. In an international commercial relation when the parties trust each other, what payment method should be used?
A. Payment in advance. B. Open account.
C. Letter of credit. D. Consignment.
4. Standby Letter is a method of payment for importing and exporting goods?
A. Right.
B. Wrong.
C. Depends on the will of the parties.
D.Yes, it is the same as a letter of credit
5. Forward contracts are the best option to obtain the best value of currency in an international commercial transaction.
A. Wrong.
B. Right
C. Depends on the will of the parties.
D. Yes, it allows the parties to modify the terms of the contracts to obtain the best value.
6. How does a countertrade payment method work?
A. Payment is held by thebank until items clear customs. B. Items are delivered, then payment is made.
C. Goods or services which are paid for, in whole or part, with other goods or services, rather than with money.
D. Payment by goods is made to a third-party distributor.
7. In which of the following circumstances might an exporter chose to use a collection document method of payment?
A. The buyer’s country is politically unstable.
B. The buyer is creditworthy but hasa record of slow payment.
C. There are some risks associated to delay in performance, but there is a good market for the goods in the buyer’s country.
D. Above B andC.
8. Generally, if no risk is associated, what is the most secure method of payment of the exporter.
A. Cash in advance. B. Letter of credit. C. Consignment.
D. Open account.
9. Generally, if no risk is associated, what is the most secure method of payment of the importer.
A. Cash in advance. B. Letter of credit. C. Consignment.
D. Open account.
10. . Which one of the following International Chamber of Commerce (ICC) Publication governs stand by Practices?
A. URC522
B. UCP600
C. URR725
D. ISP98
1. Can a fraud or a scam be submitted tointernational arbitration?
A. Yes, if theparties agree to submit the dispute to an arbitration tribunal.
B. No. There is no dispute in the event of fraud or scam but a criminal or deceptive behavior by the fraudsters.
C. Yes, if the legislation of the countries involved admit it. D. Yes,after the prior approval of the WTO.
2. For the intervention of a mediator to be effective, what requirement should they comply with?
A. They must havebeen appointed by the relevant authorities.
B. They must be members of a professional association for mediators.
C. They must be trustworthy for the parties as well as acknowledged by them. D. They must be from a country different from those of the parties to the dispute.
3. Who appoints an arbitrator in a dispute between companies?
A. The authorities.
B. The two parties to the dispute agree on the appointment of thearbitrator. C. The WTO.
D. The European Commission.
4. When is an arbitrator appointed?
A. At the time set forth by the legislation of the country where the dispute is submitted to arbitration.
B. It could have been fixed in the contract, or it may be then appointed bythe parties once the dispute had arisen.
C. The WTO analyzes the dispute and determines when it is appropriate to move on to arbitration.
D. When the arbitration court decides.
5. What is an arbitration award?
A. The ruling on a dispute rendered by judicial body.
B. The rules set by a government on how to settle trade disputes. C. The decision of an arbitration tribunal.
D. The dispute settlement proposal made by an arbitrator.
6. What is a«special panel» in a WTO dispute settlement procedure?
A.A panel made up of representatives from the two governments to the dispute.
B. A panel of countries that join toassert a complaint.
C. A panel of WTO officials who manages the dispute settlement body.
D. A panel of independent experts, appointed by the WTO, who analyzes the dispute and issue a ruling on it.
7. What happens if a country targeted with a complaint does not comply with the ruling of the Dispute Settlement Body?
A. The country faces a fine imposed by the WTO. B. TheWTO takes the case to ordinary courts.
C. The WTO imposes a general increase in the tariffs, by all its members, for the exports of the non-compliant country.
D. The complaining country may retaliate.
8. What is the objective of the consultations stage in the dispute settlement procedure of the WTO?
A. The objective is for a special panel to analyze the issue, ask for reports and hearallegations.
B. At this stage, the WTO consults with other international bodies related to the issue at stake.
C. The consultations take place after the ruling of theWTO Dispute Settlement
Body and its objective is to plan how theruling will be implemented.
D. At the consultations stage, the aim is that both parties to the dispute negotiate and reach an amicable agreement to avoid furthering the procedure.
9. What is the ICSID?
A. The London Court of International Arbitration.
B. A center for the settlement of disputes arising from investment under the
World Bank.
C. The dispute settlement body under the WTO. D. The main arbitration court in Latin America.
10. Who can besubjected to a complaint before the ICSID?
A. Acompany.
B. An international body that has damaged a company in their trade activities. C.A large multinational company with activities in a great number of countries. D. A government.
