Nobody downloaded yet

Why Saudi Arabia has not joined the CISG And should it join now - Research Paper Example

Comments (0) Cite this document
Summary
Introduction:
The international business transaction has taken a major step after the formation of the CISG. CISG aimed to regulate the international transactions and frame transparent rules for the workings. …
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER91.9% of users find it useful
Why Saudi Arabia has not joined the CISG And should it join now
Read TextPreview

Extract of sample "Why Saudi Arabia has not joined the CISG And should it join now"

Download file to see previous pages The popularity of the CISG was however restricted in some Arab Islamic countries due to the presence of conflicting and ambiguous principles. Though certain modification have been done by some of the Islamic countries in signing to the convention but still countries like Saudi Arab have refrained themselves from taking part in the CISG. The factors which prevent Saudi Arab from being a part of the CISG have been studied over here. A special analysis of the article 78 of the CISG has been carefully studied over here. Critical recommendations have been made for analyzing whether CISG should involve them in the treaty and be a part of the global treaty. CISG: The CISG (Convention for the International Sale of goods) is an important adoption in the international business transaction. The area covered by CISG is huge and a large portion of the international business transaction is under its control. The CISG covers only the buying and selling of goods. The various signatories of CISG have decided to implement the laws of the CISG in a uniform fashion. The United Nations Convention for International Sale of goods is applicable to international transactions of goods. However it does not applies to transaction of personal and family household. The CISG came into effectiveness in the year 1988, and fifty eight countries have been the signatory of the treaty including four Islamic countries from the Arab. The success of the CISG can be attributed to the expansion of the global business worldwide. However the establishment of the CISG came into existence after a long struggle in the 1920’s. The evolution of CISG has been an important historical treaty in the international trade. However there exists disparity in terms of the understanding of the CISG and the Islamic law and it is found that many Arabic countries have refrained from joining or being a member nation of the treaty. The contracting propositions are discussed below. Analyzing the causes for Saudi Arab’s non-participation in CISG CISG and Islamic law of Interest: Under the international law of the CISG Article 78 clearly underlines the payment of interest to the distressed party (Akaddaf). The convention of the CISG however does not have any clear rules or policies regarding the interest rate calculation or the time frame required for the payment of interest. However charging of interest is not promoted under the Islamic law and it is prohibited. According to Quran charging of interest is held as an injustice. A notion is held that in order to maintain equity and fairness in carrying out a trade transaction, charging of interest brings differences and becomes unfair in respect to the weaker party of the contract. The Islam idea regarding this unfairness is somewhat similar to the Uniform commercial code as followed in the American approach. Islam’s held the idea that charging of interest leads to the oppression of the poor and is generally believed that interest charging should be eliminated from the commercial transactions. Practice of providing loans is common in the Islamic countries but the theory of profit making is not encouraged to place a party in any sort of financial disadvantage. Relieving a person form the debt is assumed to be an act of charity according to Islamic laws and culture. Evidence of international arbitration regarding the charging of interest or “riba” also exists. It claimed that the policy regarding riba did not provide restriction on all cases where it led to a financial loss of one party due to the inability of one of the party to pay back in time (Twibell). Islamic Banking: Islamic banking came into functioning in the year 1970. It started its operation in Egypt. Soon it became popular in the other Islamic countries as well and became popular ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Why Saudi Arabia has not joined the CISG And should it join now Research Paper”, n.d.)
Retrieved de https://studentshare.org/law/1433751-why-saudi-arabia-has-not-joined-the-cisg-and
(Why Saudi Arabia Has Not Joined the CISG And Should It Join Now Research Paper)
https://studentshare.org/law/1433751-why-saudi-arabia-has-not-joined-the-cisg-and.
“Why Saudi Arabia Has Not Joined the CISG And Should It Join Now Research Paper”, n.d. https://studentshare.org/law/1433751-why-saudi-arabia-has-not-joined-the-cisg-and.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Why Saudi Arabia has not joined the CISG And should it join now

Saudi Arabia

... Saudi Monarchy and its along the Passage of History ]In a fair political term, the political system of the Kingdomof Saudi Arabia can be considered as absolute monarchy. Indeed Saudi Arabian monarchy considers the king as the head of both the state and its government. The King of Saudi Arab functions as the chairman of the country’s Council of Ministers. But since the country is ruled according to the Islamic Laws, the King does not preserve any right to enact laws. He only “issues royal decrees in accord with the shari’a” (Matthes et al 2). The most difficult duty that the King has to perform is to maintain a balanced and harmonious relationship among the Royal Family members, the upper-class people of the society and the Ulama... of some...
7 Pages(1750 words)Essay

Dancing in Saudi Arabia

...?Running head: Dancing in Saudi Arabia Dancing in Saudi Arabia s Dancing in Saudi Arabia Saudi Arabia has a very diverse culture and it includes music, food, theater and dress and dancing. Dancing in Arab countries dates back to several centuries. One of the most famous dances in Saudi Arabia is Al-Ardha. It a traditional folklore dance, dating back to many years. It was performed by Bedouin tribes of Najd. It most probably occurs on the 3rd of September, the Saudi Arabian National day, on which men dance to show respect to their emir. To...
3 Pages(750 words)Essay

Saudi Arabia

...into Islamic faith, the constitution of Saudi Arabia has been the Holy Koran. The Islamic law, called Shari’a guides the country. The King is bound by such laws, along with the advice of Ulema, the religious scholars. The status of women has improved, as compared to the same that was prevalent during the pre-Islamic period, in Arabian region. However, the same needs lot of further reforms, as the present laws are definitely against females. Incidentally, Saudi Arabia is the only country in the world, where women are not allowed to drive. The oil boom, starting from 1950-60 has brought prosperity and huge economic...
15 Pages(3750 words)Research Paper

Saudi Arabia

...gender equality has caused men and women to be regarded as equals. Additionally, marriage is not organized by one family but by both families. These marriages rarely involve people from different families because Zuhur (155) observes that first cousin marriages are common. Whereas people from the West could divorce many times in life, divorce in Saudi Arabia is not easy but when it happens, the woman goes back to her relatives. Caution should be taken when taking photographs of children and women as the intent should be gestured prior to this. In fact, in the rural areas, photographs are perceived as being un-Islamic. Tourists should be...
5 Pages(1250 words)Research Paper

Saudi Arabia

...governmental concessions made. Through these advancements and modernizations, the fish industry in Saudi Arabia created a significant jump in the country’s economy. Considered one of the most profitable industries in the kingdom, many investors have shown interest in further developing farms and plants in order to fill the demands of the consumers. Once an almost forgotten industry, fishing is now considered nearly as precious as oil production. With help from the government, this industry continues to expand its horizons through imports, exports, retail and franchising. This trend continues to create more jobs for Saudi citizens as well as...
6 Pages(1500 words)Essay

Saudi Arabia Business Ethics

..., profit loss sharing (PLS), in which two or more transacting parties are engaged in a contractual arrangement that allows them to use their resources in investing in a project to share in profit and loss, dominates the literature in Islamic finance (Dar and Presley, 2000). It is said that PLS is a desirable transaction in Islamic transacting parties, but not in Islamic banking. The Kingdom of Saudi Arabia saw fit to regulate the ownership and management of its banks, which has been initiated by Bahrain in the 1970s as the financial center for the region (Tschoegl, 2002). This in turn, has affected the manner by which internal policies are managed according to the...
9 Pages(2250 words)Essay

Saudi Arabia

...”). In contrast to the United States, the labor laws of Saudi Arabia are less diverse and are weakly implemented. The inclusion of women and domestic workers in the labor laws were only a recent addition in Saudi Arabia; whereas, in the United States, these standards were set in their earliest labor laws. Immigration/Labor supply Immigration to Saudi Arabia has increased throughout the years because of many prospective jobs that have now become available (Maps of the World “Saudi Arabia”). The oil industry has drawn in many immigrants and laborers...
7 Pages(1750 words)Admission/Application Essay

Foreign Workers: Saudi Arabia

...Due Foreign Workers: Saudi Arabia From a historical perspective, Saudi Arabia has always strongly relied on foreign workers for its economic growth and development. After the oil book of the 1970’s, a great deal of construction and economic activities started to take place in the country. There was a big need to bring in millions of foreign workers to work in various economic sectors. Saudi culture and society has always been very open and welcoming of foreign workers from all parts of the world. Currently, there are more than six million foreign workers in the country and this represents 50% of the total workforce....
6 Pages(1500 words)Research Paper

Saudi Arabia

...Saudi Arabia is a kingdom in the Arabian Peninsula, which is ruled by a king who combines legislative, judicial, and executive functions when administering the country. Either the law of the country is generally made by a royal decree from the king or the constitution of this state is the Quran. Although this country is often perceived to be a totalitarian state by many people in America, its political system has worked for the last century and not only has it done this, but it has also led to a great deal of development for its people. The Saudi Arabian government has used the oil wealth of the country for the benefit of...
2 Pages(500 words)Research Paper

Climate change in saudi arabia

...attraction of industrialists from all over the world in the country. These industries have a major effect as they distort climate conditions in the country as well as for the universe. The countries carbon dioxide emission has risen and now it has joined other countries like the United States as the world leading carbon emission countries. Carbon Dioxide emitted into the atmosphere is so much responsible for the climatic change in the world, including Saudi Arabia. The gas has been termed as the one of the major cause changes in the weather pattern and increased warming of the atmosphere. The effects of changing global...
2 Pages(500 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Research Paper on topic Why Saudi Arabia has not joined the CISG And should it join now for FREE!

Contact Us