1 Various Limitation Periods different Claims or the "National Huddle"
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1 TALE OF CONTENTS INTRODUCTION 1 PART II LIMITATION OF ACTIONS - THE CORE REGIME 11 CHAPTER 1 THE HISTORICAL DEVELOPMENT OF THE LAW ON LIMITATION PERIODS IN CIVIL LAW AND COMMON LAW JURISDICTION I 11 II HISTORICAL DEVELOPMENT OF THE LEGAL INSTITUTION OF EXTINCTIVE PRESCRIPTION IN CONTINENTAL EUROPE 1 The General Principle of Perpetuity of Actions in Roman Law 2 The Temporal Limitation of Warranty Claims in Roman Law 3 From Usucapio to Longi Temporis The Roots Prescription Law 4 The Temporal Limitation of Personal Actions - The Theodosian Code 14 5 The Shift from the Concept of Limitation of Actions to the arring of Claims - Concept of the Actio III HISTORICAL DEVELOPMENT OF THE INSTITUTION OF LIMITATION OF ACTIONS IN COMMON LAW IV 19 CHAPTER 2 DEFINITION AND CHARACTERISTICS OF NATIONAL AND INTERNATIONAL PRESCRIPTION REGIMES 20 I 20 II THE LIMITATION PERIOD AND LENGTH 21 1 Various Limitation Periods different Claims or the "National Huddle" Huser, Daniel The appropriate prescription regime for international sales contracts digitalisiert durch: IDS asel ern
2 2 The Appropriate Limitation Period in Transnational Trade Law - an Assessment 22 A A Single Limitation Periodfor Different Claims the Need for Standardisation 22 The Appropriate Length Limitation Period an Evaluation 24 III COMMENCEMENT OF THE LIMITATION PERIOD 26 1 The Objective and Subjective Criteria in General 26 2 The Evaluation Appropriate Starting Point The Two-Tier System as a alance Subjective and Objective Concept 26 IV THE SUSPENSION OF THE LIMITATION PERIOD 28 1 Introduction 28 2 Suspending the Limitation Period by Arbitration Proceedings 29 A The Status of State Litigation and Arbitration in Respect of Suspending the Limitation Period 29 The Exact Moment and the Required Events for Suspending the Limitation Period 30 a) Introduction 30 b) The Parties agree on the Moment and Steps for Suspending the Limitation Period c) The Arbitration determine the Starting Point of Arbitration 32 aa) In General bb) The Request for Arbitration or Notice of Arbitration - the Form and Time cc) The Submission of Claims after the Commencement of Arbitration - to Suspend the Limitation Period? dd) A Request or Notice for Arbitration - Sufficient to Suspend the Limitation Period? aaa) Introduction The different Options of Pathological Arbitration
3 i) Minor and Curable Defects Request allowing the Arbitration to Move on - Consequences for the Course Limitation Period 38 Major Defects Request leading to the Dismissal of Claims - Consequences for the Course Limitation Period 39 V THE OJECT OF THE PRESCRIPTION LAW AND EFFECT OF THE EXPIRATION OF THE LIMITATION PERIOD 42 VI 44 CHAPTER 3 TERMINOLOGY 45 I INTRODUCTION 45 II THE TERMINOLOGY IN 46 1 The Terms contained in the Prescription Regimes 46 2 The Nomenclature used in Arbitral Practice 47 III THE PROPOSAL OF A NEW TERM 49 IV CONCLUSION 51 PART III THE CLASSIFICATION OF THE LAW ON LIMITATION PERIODS 52 INTRODUCTION 52 CHAPTER 1 THE CLASSIFICATION OF THE LAW ON LIMITATION PERIODS IN PRIVATE INTERNATIONAL LAW 56 I INTRODUCTION 56 II THE DEVELOPMENT IN CIVIL LAW 56 III THE DEVELOPMENT IN COMMON LAW 58
4 1 The Introduction Foreign Limitation Periods Act 1984 in England and Wales 2 The Introduction of "orrowing Statutes" in the United States 63 3 Interim Conclusion 64 CHAPTER 2 THE CLASSIFICATION OF THE LAW ON LIMITATION PERIODS IN INTERNATIONAL ARITRATION 65 I INTRODUCTION 65 II THE CLASSIC DICHOTOMY OF PROCEDURAL AND SUSTANTIVE LAW IN INTERNATIONAL COMMERCIAL ARITRATION 66 1 Introduction 66 2 Defining Procedural and Substantive Law in Arbitration 68 A The diverse Set governing Arbitration 68 A Definition of Procedural and Substantive Law in Arbitration 71 3 Conclusion 73 III THE FUNCTIONAL APPROACH 74 1 The Lex Arbitri - The Arbitration Law at the Seat of Arbitration 74 A Preliminary Remarks 74 The Motives Parties when choosing an Arbitral Seat - a Question of Convenience? The Consequences for the Prescription Law 76 a) Introduction 76 b) The Motive when choosing the Seat of Arbitration 76 c) The Selection Seat of Arbitration in the Absence Agreement 77 d) The Consequences for the Legal Institution of Prescription 78 C The Ratio Lex Arbitri 79 a) The Essential Functions Lex Overview 79 IV
5 b) The Supportive Lex Arbitri 79 aa) Concept 79 bb) Evaluation 80 c) The Directive Function of the Lex Arbitri 81 aa) Concept bb) Evaluation d) The Mandatory Provisions Lex Arbitri 82 aa) Concept 82 bb) Evaluation 84 e) Pragmatic Considerations Lex Arbitri Qualification 85 aa) The Lex Arbitri Qualification can Circumvent uncertain Choice Exercises 85 bb) The Lex Arbitri Qualification can Lead to an Inappropriate to the Administrative ody Institutions 87 2 The Municipal Civil Procedural Law - Part "Legal Framework" Seat of Arbitration? 88 A Concept 88 Evaluation 91 3 The Law on the Merits 93 A Introduction 93 Concept Law on the Merits 93 C Evaluation 94 CONCLUSION 97 PART IV TO A CONTRACTUAL LIMITATION PERIODS CLAUSE 99 I INTRODUCTION 99 II THE PRESCRIPTION CLAUSE IN ARITRAL PRACTICE AND GENUINE ADVANTAGES 100 III AN EXEMPLARY LIMITATION PERIODS CLAUSE 101
6 IV LIMITS OF A LIMITATION PERIODS CLAUSE 104 TO TRADE USAGES 105 I THE CONCEPT OF TRADE USAGES AND THE SCOPE OF APPLICATION IN INTERNATIONAL COMMERCIAL ARITRATION 105 II Is THERE A TRADE IN THE FIELD OF PRESCRIPTION LAW? Acting in Good Faith and the Law on Limitation Periods A The asic Notion Law on Limitation Periods - A Manifestation ona Fides Principle? Evaluation 2 The UNIDROIT Principles or the Limitation Convention as a Trade Usage? A The Objective and Subjective Requirements Trade Usages The Evaluation HO a) The vast Application of Transnational b) The subjective Criteria III CONCLUSION 113 PART VI ACCORDING TO A CHOICE OF LAW AGREEMENT Y THE PARTIES 114 PRELIMINARY 114 CHAPTER 1 S IN LINE WITH A "SUSTANTIVE LAW" OF A NATIONAL LEGISLATION IN GENERAL ACCORDING TO THE UNITED NATIONS CONVENTION ON CONTRACTS FOR THE INTERNATIONAL SALES OF I N 116 I PRELIMINARY REMARKS
7 II THE DIFFERENT AVENUES OF APPLICATION OF THE IN INTERNATIONAL ARITRATION PROCEEDINGS 1 Initial Position - the Difference to State Litigation 2 The Parties have a Choice of Law or of Law A The Parties have Chosen a National Law as "Law on the Merits " a) The CISG as the International Law State b) The Explicit and Implicit Exclusion CISG The CISG as the "Rules Chosen by the Parties 122 C Interim Conclusion 124 III THE OF THE CISG AND THE OMISSION TO IMPLEMENT A PRESCRIPTION REGIME Preliminary Remarks on the Time-limits of the CISG - Article 39 CISG and the Difference to Limitation Periods The Judicature as regards Limitation Periods in the CISG 126 IV THE CONCEPT OF ARTICLE 7(2) - A WAY OUT OF THE CONFINES OF NATIONAL PRESCRIPTION REGIMES? Introduction The Gap according to Article 7(2) CISG and Limitation Periods 128 A Concept of Article 7(2) CISG 128 Evaluation 129 a) Are Limitation Periods Rights and Obligations Contracts? b) The CISG 's Omission to Implement a Law on Limitation Periods from a Legislative History Perspective - The explicit Exclusion of Limitation Periods in the CISG aa) The Enacting Process - The History Limitation Convention bb) The explicit Exclusion - Interim Conclusion 133 V CONCLUSION The General Consequences Absence of Limitation Periods in the CISG 133 VII
8 2 The Specific Position CISG - The Force of Article 39 CISG to Design the Limitation Period 135 PART VII ACCORDING TO CHOICE OF WS RULES 138 THE DIFFICULTIES OF THE CHOICE OF LAW EXERCISE FOR THE QUESTION AT HAND THE SINGLE LEGAL QUESTION 138 CHAPTER 1 ACCORDING TO THE METHOD 141 I INTRODUCTION 141 II THE CONFLICT OF LAWS RULES OF THE PRIVATE INTERNATIONAL LAW AT THE SEAT OF ARITRATION The Adequacy of Conflict of Laws Rules at the Seat of Arbitration in General 2 Interim Conclusion The Application I Regulation in International Commercial Arbitration in Particular A Introduction Scope of Application Regulation and its Applicability in International Commercial Arbitration C The Appropriateness Conflict Rules Rome I Regulation 146 D Conclusion III THE ADEQUACY OF THE "CLOSEST CONNECTION TEST" - AN EXAMPLARY CONFLICT OF LAW RULES PROVIDED IN THE LEX ARITRI Introduction 149 VIII
9 A The Legal Framework with the Connection" to the les Contract in General The Principle "Schuldstatut" in Particular Evaluation A The Adequacy Principle "Schuldstatut" in Particular 151 The Appropriateness "Closest Connection in General and the Proposal "denationalised" Application in International Arbitration CHAPTER 2 ACCORDING THE METHOD 154 I THE CONCEPT OF "APPROPRIATE" "RULES OF LAWS" 154 II EVALUATION 155 III CONCLUSION 158 PART VIII THE LIMITS TO THE ARITRATORS' FREEDOM IN EVALUATING THE APPROPRIATE PRESCRIPTION REGIME 15? CHAPTER 1 LIMITS TO PARTY TO RULES OF THE LEX CAUSAE I INTRODUCTION 159 II THE DIFFERENT MANDATORY RULES IN PRESCRIPTION REGIMES The Contractual Agreement on the Length of the Limitation Period A The Approach National Prescription Regimes 160 The Solution Adopted in International Prescription Regimes 2 The Contractual Agreement on the Starting Point Limitation Period A Contractual Agreements on the Starting Point of the Limitation Period in General The Scott v Avery Clause in Particular IX
10 III PRELIMARY CONCLUSION The General Appropriateness of Mandatory Prescription Rules in the of International Trade 2 The General Consequence of Mandatory Rules and the Restricted Freedom to Circumvent these Provisions 166 CHAPTER 2 THE LIMIT OF PARTY THE ORDRE PULIC RESERVATION 168 I PRELIMINARY REMARKS The Difference Mode of Action of Mandatory Rules and the Ordre Public Reservation The Difference Ordre Public Reservation to the Principle of ut sit Finis and its Appropriateness in International Commercial Arbitration II LIMITATION PERIODS AND ORDRE PULIC IN ARITRATION PROCEEDINGS AND THE DIFFERENCE WITH LITIGATION The General 170 A The Polar Limitation Periods - a Particular Short or Long Limitation Period- or the Legal Institution of Extinctive Prescription per se as Potential Cases of Application Ordre Public Reservation The Appropriate Ordre Public in International Commercial Arbitration and the Law on Limitation Periods - the Concept "Denationalised" Ordre Public in Arbitration 2 Evaluation 174 III CONCLUSION 177 PART IX CONCLUSION LT?
11 ILIOGRAPHY 183 I JOURNAL ARTICLES AND OOKS 183 II JURISPRUDENCE Arbitral Awards State Jurisprudence 207 A France 207 England and Wales 207 C Switzerland 208 D United States of America and State New York 208 III LEGAL FRAMEWORK National Legislation 209 A France 209 England and Wales 209 C Switzerland 210 D United States of America and State New York International Conventions and Principles 3 Arbitration Rules XI
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