cisg & domestic laws of e.communications in arab world

Dr. Amel k. Abdallah Sultan Qaboos University

Sultanate of Oman

CISG is a substantial international legislation for cross-border electronic commercial contracts.(e- contracts)

an attempt to explores the CISG precepts and its relevancy for e- contracts in Arab world .

CISG & Domestic laws of E.communications in Arab World -

Amel Abdallah 2

1. Direct & indirect Application of CISG in arab World.

2. CISG & E. commerce in Arab world a-Legal framework of E- commerce in Arab world.

b-Bridge between CISG & E-commerce rules in

Arab world.

c-E-Commerce & Scope of application of CISG in Arab

world.

d -CISG & Formation of E-contract in Arab world.

e-CISG & Termination of E-Contract in Arab world

f-CISG & Dispute Resolution in Arab World ( E- Courts)

CISG & Domestic laws of

E.communications in Arab World - Amel Abdallah 3

SIX Arab countries ratifies CISG

1. Egypt on 1 January 1988,

2. Syria on 1 January 1988,

3. Iraq on 1 April 1991,

4. Mauritania on 1 September 2000,

5. Lebanon on 1 December 2009.

6. Bahrain 1 October 2014

7. What about other (16) countries ?


Amel Abdallah 4

in non-contracting state

Conflict-of-laws rules may lead to apply CISG,

pursuant to Article 1(1)(b) CISG.

“( when the rules of private international law lead to the application of the law of a Contracting State.”


Amel Abdallah 5

Law Chosen by the Parties Almost all Arab laws consider the law chosen by the

parties. ( ex.Art.21- Omani civil law/Art.20 Egyptian civil law/Art.21 Jordanian civil law, Tunisian PIL code .Art.62) In The absence of choice The law of the state where such contracts were concluded ( Majority)

Art, 62 - Tunisian PIL code .Art.62 : Law of the country of residence of the principal actor carrying out the contract.(Minority ) Possibility of applying CISG in non- contracting Arab states.


Amel Abdallah 6

1. Legal framework of E- commerce in Arab world.

2. Bridge between CISG & E-commerce rules in Arab world.

3. E-Commerce & Scope of application of CISG in Arab world.

4. CISG & Formation of E-contract in Arab world.

5. CISG , performance & Termination of E-Contract in Arab world

6. CISG & Dispute Resolution in Arab World ( E-Courts)


Amel Abdallah 7

Arab legal systems & civil law nature.

influence of Civil / Commercial Codes & custom in contractual relationships.

Arab laws of electronic commerce by 2000s.

Role of UNCITRAL model law of E-commerce and E-signature.


Amel Abdallah 8

1. Tunisia's Electronic Exchanges and Electronic Commerce Law No. 83 of 2000

2. Jordan's Electronic Transaction Law No. 85 of 2001 3. Dubai's Electronic Transactions and Commerce Law No. 2 of

2002 4. UAE's Federal No.1 of 2006 on Electronic Commerce and

Transactions 5. Bahrain's Electronic Commerce Decree No. 28 of 2002 6. Syria's Electronic Signature and Network Services Law No. 4 of

2009 7. Egyptian's Law No. 15 of 2004 on E-signature & Establishment

of Information Technology Industry Development Authority (ITIDA)

8. Lebanon's E-signature draft law 9. KSA System of e-transactions 2007 10. Oman- Law no 69/2008 on E-transactions 11. Arab League Model Law for E- transactions & E- commerce.


Amel Abdallah 9

Arab Model Law for E- transactions & E- commerce.

Inspired by the UNCTIRAL model laws for E-commerce and E- signature /some modifications and additions.

Covers also e-payments, e-contracts (including consumer protection), applicable law and jurisdiction.

May be used as a guidelines, but not as a comprehensive Model Law.



National laws are quit similar to each others.

e-commerce needs an international umbrella.

United Nations Convention on the Use of Electronic Communications in International Contracts (New York, 2005)

How many Arab States (

( only) 2 states signed : Lebanon -2006/KSA- 2007


Amel Abdallah 11

1. streamline efficiency of the process by which e-transactions are conducted.

2. to create a safe “environment” for e-transactions to take place.

3. provides a list of procedural requirements and safety nets to be implemented by “Authentication Service Providers” who manage and provide electronic transaction services.

4. Regarding CISG , these rules comply with the CISG advisory council Opinion No.1 concerning electronic Communication Under CISG (2003)


Amel Abdallah 12

Art(7) CISG

1. Three guidelines for interpreting the convention. ( internationality /Uniformity/Good Faith) 1. The comparative legal analyses may play a role in

interpreting CISG , for instance where a particular rule has been transferred into the convention from one /several legal system.( Huber& Mullis-2008)

Any rules of this framework may influence the

interpretation of CISG Articles . Ex. Concept of “Goods”.



1. Type of e-contracts could be governed by CISG

2. Electronic materials and concept of “goods” in CISG.


Amel Abdallah 14

Regarding Art. (2)(1) – CISG rules applied to the formation of :

1. B2B (business to business) e-commerce contracts

2. B2G (business to government)

3. G2G (government to government) contracts

CISG is not applicable to B2C (business to consumers) e-commerce contracts


Amel Abdallah 15

CISG is not applicable to B2C (business to consumers) e-commerce contracts.

Transaction concluded electronically by exchanging emails, accepting offers on websites….etc, Wouldn„t be subject to CISG unless it is concluded for commercial purpose ( commercial contracts )- principle of free proof in commercial Dealings.

sale by online auction Wouldn„t be subject to CISG. ( art.2 CISG)



CISG didn‟t specify the Concept of „goods‟. movable property means :

1. anything of an instable and unfixed. 2. cannot be removed without damaging it or altering ( Art.54

Omani civil law /82 Egyptian civil law…..)they didn‟t require any physical form for movable.

3. Some Arab law distinguish between movables by nature and constructive movables ( including copy rights ) Tunisian civil code Art.9.

4. Arab laws consider Software as goods, irrespective the form of this software. (tangible media, program expressed by codes…etc)

5. CISG will govern the contract as long as it transfer the property of software , Irrespective the physical form of software .

6. Shrink-wrap licenses/Click-on licenses subject to domestic laws


Amel Abdallah 17

principle of informality in CISG.(art.11)& Principle of consensuality in Arab Civil codes.

Writing is not a requirement of conclusion of contract in Arab world. It is required to prove the contract .( Omani civil code

/Egypt/Tunisia/Syria/KSA/Bahrain….) Principle of free proof in Arab commercial codes comply with principle of

informality in CISG. Arab laws recognize equivalency between electronic contracts and

traditional paper contracts ( ex. art.12/2 Omani law of e-transaction/ art.12 UAE ).

CISG (art.13) comply with Arab laws of e- transactions. Arab Civil law ,CISG ( art.24) – time and place of conclusion – reach of

acceptance ( ex. Omani Civil Law –art.80)


Amel Abdallah 18

Notice concerning lack of conformity ( CISG.39),Notice concerning intellectual property rights of third party ( CISG.43),Notice of declaration of avoidance in (CISG.26),….etc

Electronic Notice & performance / termination of contract . Accepted in Arab laws ( ex.art.11 of Omani Law of e-transaction – CISG Advisory Board)

Art. 27 CISG – (Delay / error/ failure of transmission of communication does not deprive that party of the right to rely on the communication)

accepted in Arab Laws as long as the electronic notice could be proved .(ex.art.11 of Omani Law of e-transaction)

Liability of service provider .


Amel Abdallah 19

Settlement of Electronic CISG contract in Arab world .

Modern Legislation / lack of practice/ experience.

Settlement of CISG disputes by arbitration.

Special case of Dubai international Financial center Courts ( E.Courts)


Amel Abdallah 20

Arab Laws of electronic dealings comply with

CISG Advisory Council Opinion No. 1 Electronic Communications Under CISG .

Legal framework of E-Commerce in Arab world comply with CISG .

Availability of settlement of CISG disputes arising out of electronic contract in Arab world.


Amel Abdallah 21

cisg & domestic laws of e.communications in arab world

Documents