Алонцева
Профессиональный
английский
для юристов
и экономистов
Практическое пособие
Professional English in Use
Law and Economics
ЧАСТЬ I
PART I
КЛЮЧИ
KEYS .................................................................................................268
6
CORPORATE LAW
PART I
UNIT 1 CORPORATE LAW
CORPORATIONS
Artificial entities that are created by state statute, and that are
treated
much like individuals under the law, having legally enforceable rights,
the ability to acquire debt and to pay out profits. the ability to hold and
transfer property, the ability to enter into contracts, the requirement to
pay
taxes, and the ability to sue and be sued.
The rights and responsibilities of a corporation are independent and
distinct from the people who own or invest in them. A corporation
simply provides a way for individuals to run a business and to share in
profits and losses.
7
UNIT 1
HISTORY
The concept of a corporate personality traces its roots to Roman law
and found its way to the American colonies through the British. After
gaining independence, the states, not the federal government, assumed
authority over corporations.
Although corporations initially served only limited purposes, the
Industrial Revolution spurred their development. The corporation
became the ideal way to run a large enterprise, combining centralized
control and direction with moderate investments by a potentially
unlimited number of people.
The corporation today remains the most common form of business
organization because, theoretically, a corporation can exist forever and
because a corporation, not its owners or investors, is liable for its
contracts. But these benefits do not come free. A corporation must
follow many formalities, is subject to publicity, and is governed by
state and federal regulations.
Many states have drafted their statutes governing corporations
based upon the Model Business Corporation Act. This document,
prepared by the American Bar Association Section of Business Law,
Committee on Corporate Laws, and approved by the American Law
Institute, provides a framework for all aspects of corporate governance
as well as other aspects of corporations. Like other model acts, the
Model Business Corporation Act is not necessarily designed to be
adopted wholesale by the various states, but rather is designed to
provide guidance to states when they adopt their own acts.
TYPES OF CORPORATIONS
Corporations can be private, nonprofit, municipal, or quasi-public.
Private corporations are in business to make money, whereas nonprofit
corporations generally are designed to benefit the general pubic.
Municipal corporations are typically cities and towns that help the
state to function at the local level. Quasi-public corporations would be
considered private, but their business serves the public’s needs, such as
by offering utilities or telephone service.
There are two types of private corporations. One is the pubic
corporation, which has a large number of investors, called shareholders.
Corporations that trade their shares, or investment stakes, on securities
exchanges or that regularly publish share prices are typical publicly
held corporations.
The other type of private corporation is the closely held corporation.
Closely held corporations have relatively few shareholders (usually 15
to 35 or fewer), often all in a single family; little or no outside market
exists for sale of the shares; all or most of the shareholders help run the
8
A В
1) to enter into g) a) guidance
2) to make b) profits
3) to pay c) taxes
4) to provide d) money
5) to run e) a business
6) to share in f) property
7) to transfer g) contract
5. In the above text find the English equivalents for the fol-
lowing words and phrases.
1) частная корпорация; 2) зарабатывать деньги; 3) некоммер-
ческая организация; 4) общественность; 5) муниципальная кор-
порация; 6) квазигосударственная корпорация; 7) коммунальные
услуги; 8) акционерное общество открытого типа; 9) подавляю-
щее большинство; 10) корпорация закрытого типа; 11) торговое
право; 12) Ассоциация американских юристов; 13) федеральное
правительство; 14) участвовать в прибылях; 15) выплачивать
налоги; 16) заключать договор; 17) вести дело, управлять пред-
приятием; 18) передавать имущество; 19) прибыли и убытки;
20) Примерный закон “О коммерческой корпорации”.
6. Translate the following table into English and speak on the
Types of Corporations.
9
UNIT 1
7. Read the texts below and define which of the terms in bold
match the following definitions.
1) a formal agreement between two or more parties;
2) a written agreement setting forth the basic structure of a
corporation;
3) one of the equal parts into which the ownership of a company
is divided and which can be bought by members of the public;
4) a person who helps to organize, develop, or finance an
undertaking;
5) something demanded or imposed as an obligation;
6) any property owned by a person or firm;
7) a sum of money which is borrowed, often from a bank, and has
to be paid back, esp. together with an additional amount of money
that you have to pay as a charge for borrowing.
GETTING A CORPORATION STARTED
Many corporations get their start through the efforts of a person
called a promoter, who goes about developing and organizing a busi-
ness venture. A promoter’s efforts typically involve arranging the need-
ed capital, or financing, using loans, money from investors, or the pro-
moter’s own money; assembling the people and assets (such as land,
buildings, and leases) necessary to run the corporation; and fulfilling
the legal requirements for forming the corporation.
A corporation cannot be automatically liable for obligations that
a promoter incurred on its behalf. Technically, a corporation does
not exist during a promoter’s pre-incorporation activities. A promoter
therefore cannot serve as a legal agent, who could bind a corporation
to a contract. After formation, a corporation must somehow assent
before it can be bound by an obligation that a promoter has made on
its behalf. Usually, if a corporation gets the benefits of a promoter’s
contract, it will be treated as though it has assented to, and accepted,
the contract.
The first question facing incorporators (those forming a corpora-
tion) is where to incorporate. The answer often depends on the type
of corporation. Theoretically, both closely held and large public cor-
porations may incorporate in any state. Small businesses operating in
a single state usually incorporate in that state. Most large corporations
select Delaware as their state of incorporation because of its sophisti-
cation in dealing with corporation law.
Incorporators then must follow the mechanics that are set forth in
the state’s statutes. Corporation statutes vary from state to state, but
10
A В
1) small i) a) procedure
2) voting b) incorporation
3) legal c) fee
4) articles of d) law
5) business e) agent
6) filing f) corporation
7) corporation g) venture
8) public i) business
11
A В
1) to set forth i) a) to contain
2) credit b) to order
3) to include c) to revise
4) to choose d) benefit
5) obligation e) commitment
6) to require f) matter
7) agreement g) to select
8) to amend h) creation
9) formation i) to vary
10) profit i) to state
11) affair k) loan
12) to differ l) contract
12
CORPORATE LAW
SHAREHOLDERS
Shareholders’ financial interests in the corporation is determined
by the percentage of the total outstanding shares of stock that they
own. Along with their financial stakes, shareholders generally receive a
number of rights, all designed to protect their investments. Foremost
among these rights is the power to vote. Shareholders vote to elect
and remove directors, to change or add to the bylaws, to ratify (i.e.,
approve after the fact) directors’ actions where the bylaws require
shareholder approval, and to accept or reject changes that are not part
of the regular course of business, such as mergers or dissolution. This
power to vote, although limited, gives the shareholders some role in
running a corporation.
Shareholders typically exercise their voting rights at annual or
special meetings. Most statutes provide for an annual meeting, with
requirements for some advance notice, and any shareholder can get
a court order to hold an annual meeting when one has not been held
within a specified period of time. Although the main purpose of the
annual meeting is to elect directors, the meeting may address any
relevant matter, even one that has not been mentioned specifically in
the advance notice. Almost all states allow shareholders to conduct
business by unanimous written consent, without a meeting.
Shareholders elect directors each year at the annual meeting. Most
statutes provide that directors be elected by a majority of the voting
shares that are present at the meeting. The same number of shares
needed to elect a director normally is required to remove a director,
usually without proof of cause, such as fraud or abuse of authority.
A special meeting is any meeting other than an annual meeting.
The bylaws govern the persons who may call a special meeting;
typically, the directors, certain officers, or the holders of a specified
percentage of outstanding shares may do so. The only subjects that
a special meeting may address are those that are specifically listed in
an advance notice.
Statutes require that a quorum exist at any corporation meeting. A
quorum exists when a specified number of a corporation’s outstanding
shares are represented. Statutes determine what level of representation
constitutes a quorum; most require one-third. Once a quorum exists,
most statutes require an affirmative vote of the majority of the shares
present before a vote can bind a corporation. Generally, once a quorum
is present, it continues, and the withdrawal of a faction of voters does
not prevent the others from acting.
13
UNIT 1
13. Solve the puzzle using the information from the above text.
1) quorum — a minimum number of members in an assembly, so-
ciety, board of directors, etc., required to be present before any valid
business can be transacted;
2) a person who owns some of the equal parts into which the own-
ership of a company is divided;
3) a person authorized to act on behalf of someone else; agent;
4) one of the equal parts into which the ownership of a company is
divided and which can be bought by members of the public;
5) acquiescence to or acceptance of something done or planned by
another; permission;
6) someone who has an important position in an organization;
15
d о t a f p a r e a к P e q l a m
o f s h a r e h o l d e r u o p e
r f d i m o g h e o z t a o n d r
е i t a k x w s h a r e b r s i t
h с i c h y о n o f f r c u e r i
к е r o u t s i d e r e e m n e u
е r o n j o о m i t a к x w e c l
а s l s n l m e e t i n g o t t e
n j v e p r a b h s r m e t i o l
p q i n v e s t o r a s l o r r a
t О t t p a t a k x w j v r o i b
s R m e к f p a r e a k p e l e o
13. In the above texts find the English equivalents for the fol-
lowing words and phrases. Then choose any seven phrases and
make up sentences using them.
1) акционер; 2) фондовая биржа; 3) совет директоров; 4) Комиссия
по ценным бумагам и биржевым операциям; 5) политика корпорации;
6) нанимать; 7) повседневный; 8) мошенничество; 9) превышение
полномочий; 10) письменное согласие; 11) чрезвычайное собрание; 12)
ежегодное собрание акционеров; 13) право участия в голосовании; 14)
ликвидация; 15) соглашение о голосовании; 16) слияние, объединение;
17) акция; 18) выпускать акции; 19) зарегистрированный владелец,
собственник; 20) единственный владелец; 21) список акционеров,
реестр владельцев акций; 22) собственник-бенефициарий; 23)
доверенное лицо; 24) передача права голоса по доверенности; 25)
кумулятивное голосование; 26) избирательный список; 27) день
регистрации.
16
CORPORATE LAW
15. Read the text and give opposites for the underlined words.
DIRECTORS
Statutes contemplate that a corporation’s business and affairs will
be managed by the board of directors or under the board’s authority or
direction. Directors often delegate to corporate officers their authority
to formulate policy and to manage the business. In closely held corpo-
rations, directors normally involve themselves more in management
17
UNIT 1
18
CORPORATE LAW
19
A B
1) advance h) a) meeting
2) board b) act
3) fiduciary c) dividends
4) declare d) liability
5) illegal e) care
6) board of f) faith
7) good g) person
8) prudent h) notice
9) personal i) directors
10) duty of j) duty
A В
1) manage b) a) control
2) empower b) run
3) appoint c) threaten
4) handle d) permit
5) regulate e) deal with sb/sth
6) increase f) arise
7) allow g) nominate
8) endanger h) forbid
9) occur i) authorize
10) prohibit j) rise
20
CORPORATION REQUIREMENT
DESCRIBE RATIFICATION
EMPLOY LITIGATE
EXECUTE TRANSACT
MINUTE LIABILITY
AUTHORIZE
21
1) president a) a person appointed or elected by the company’s
board of directors;
2) director b) the chief executive officer of a company, corporati-
on, etc.;
3) officer c) a person who owns one or more shares of stock in a
joint stock company or a corporation;
4) secretary d) an officer ranking immediately below a president and
serving as his deputy;
5) proxy e) an officer of a corporation charged with responsi-
bility for keeping records and taking minutes;
6) shareholder f) someone who is in charge of the money for an orga-
nization, corporation etc.;
7) treasurer g) an individual selected to serve on its board of di-
rectors and thereby oversee the management of its
affairs;
8) vice h) a person authorized to act on behalf of someone
president else; agent;
9) beneficial i) the owner of real property and stocks, bonds, and
owner other financial instruments as shown by public records;
10) record j) the real owner of an investment, rather than an
owner organization holding the investment for them;
22
CORPORATE LAW
FINANCES
Shares
A corporation divides its ownership units into shares, and can issue
more than one type or class of shares. The articles of incorporation
must state the type or types and the number of shares that can be is-
sued. A corporation may offer additional shares once it has begun op-
erating, sometimes subject to current shareholders’ preemptive rights
to buy new shares in proportion to their current ownership.
Directors usually determine the price of shares. Some states require
corporations to assign a nominal or minimum value to shares, called
a par value, although many states are eliminating this practice. Many
states allow some types of non-cash property to be exchanged for shares.
Corporations also raise money through debt financing — also called debt
securities — which gives the creditor an interest in the corporation that
ultimately must be paid back by the corporation, much like a loan.
If a corporation issues only one type of share, its shares are called
common stock or common shares. Holders of common stock typically
have the power to vote and a right to their share of the corporation’s
net assets. Statutes allow corporations to create different classes of
common stock, with varying voting power and dividend rights.
A corporation also may issue preferred shares. These are typically
nonvoting shares, and their holders receive a preference over holders
of common shares for payment of dividends or liquidations. Some
preferred dividends may be carried over into another year, either in
whole or in part.
24
CORPORATE LAW
Dividends
A dividend is a payment to shareholders, in proportion to their
holdings, of current or past earnings or profits, usually on a regular
and periodic basis. Directors determine whether to issue dividends.
A dividend can take the form of cash, property, or additional shares.
Shareholders have the right to force payment of a dividend, but they
usually succeed only if the directors abused their discretion.
Restrictions on the distribution of dividends can be found in the
articles of incorporation and in statutes, which seek to ensure that the
dividends come out of current and past earnings. Directors who vote
for illegal dividends can be held personally liable to the corporation. In
addition, a corporation’s creditors often will contractually restrict the
corporation’s power to make distributions
West’s encyclopedia of American law
26. In the above text find the English equivalents for the follow-
ing words and word combinations. Then choose any five phrases
and make up sentences using them.
1) номинальная стоимость; 2) преимущественное право на по-
купку акций; 3) класс акций; 4) незаконный дивиденд; 5) выплата
дивидендов (из прибыли компании); 6) дивиденд по привилеги-
рованным акциям; 7) ликвидация (дела, предприятия); 8) пра-
во на получение дивиденда; 9) право участия в голосовании;
10) стоимость имущества за вычетом обязательств; 11) обычные,
непривилегированные акции; 12) ценная бумага, представляю-
щая собой долговое свидетельство.
27. Fill in the missing terms in the sentences below according
to the above text.
1. Under a new law, Swiss companies will be able to lower the n _
_ _ _ _ _ value of their shares to 10 Swiss francs from 100.
2. Existing shareholders have p _ _ _ _ _ _ _ _ _ _ rights to buy new
shares in proportion to their existing holdings.
3. The directors may i _ _ _ _ _ shares only for an authorised
purpose
and in the best interests of the company.
4. The company’s accounts are considered and the directors’ and
auditor’s reports are put before the s _ _ _ _ _ _ _ _ _ _ .
5. He recommended that the company be dissolved and its net a _
_ _ _ _ _ distributed to shareholders.
6. Currently denominated at 500 yen p _ _ value, the shares will be
changed to 50 yen.
25
UNIT 1
26
CORPORATE LAW
27
UNIT 1
3.
A corporation can terminate its legal existence by engaging in the
dissolution process. Most statutes allow corporations to dissolve before
they begin to operate as well as after they get started. The normal
process requires the directors to adopt a resolution for dissolution,
and the shareholders to approve it, by either a simple majority or, in
some states, a two-thirds majority. After approval, the corporation en-
gages in a “winding-up” period, during which it fulfills its obligations
for taxes and debts, before making final, liquidation distributions to
shareholders.
4.
Shareholders can bring suit on behalf of a corporation to enforce
a right or to remedy a wrong that has been done to the corporation.
Shareholders “derive” their right to bring suit from a corporation’s
right. One common claim in a derivative suit would allege misappro-
priation of corporate assets or other breaches of duty by the directors
or officers. Shareholders most often bring derivative suits in federal
courts.
Shareholders must maneuver through several procedural hoops be-
fore actually filing suit. Many statutes require them to put up security,
often in the form of a bond, for the corporation’s expenses and at-
torneys’ fees from the suit, to be paid if the suit fails; this requirement
often kills a suit before it even begins. The shareholders must have
held stock at the time of the contested action and must have owned it
continuously ever since. The shareholders first must demand that the
directors enforce the right or remedy the wrong; if they fail to make a
demand, they must offer sufficient proof of the futility of such a de-
mand. Normally, a committee formed by the directors handles — and
dismisses — the demand, and informed decisions are protected by the
business judgment rule.
5.
A proxy contest is a struggle for control of a public corporation. In
a typical proxy contest, a nonmanagement group vies with manage-
ment to gain enough proxy votes to elect a majority of the board and
to gain control of the corporation. A proxy contest may be a part of a
takeover attempt.
Management holds most of the cards in such disputes: It has the
current list of shareholders; shareholders normally are biased in its fa-
28
CORPORATE LAW
vor; and the nonmanagement group must finance its part of the proxy
contest, but if management acts in good faith, it can use corporate
money for its solicitation of proxy votes. In proxy contests over large,
publicly held corporations, federal regulations prohibit, among other
things, false or misleading statements in solicitations for proxy votes.
6.
Federal, and often state, laws prohibit a corporate insider from us-
ing nonpublic information to buy or sell stock. Most cases involving
violations of these laws are brought before federal courts because the
federal law governing this conduct is extensive. The federal law, which
is essentially an antiffaud statute, states that anyone who knowingly
or recklessly misrepresents, omits, or fails to correct a material or im-
portant fact that causes reliance in a sale or purchase, is liable to the
buyer or seller. Those with inside information must either disclose the
information or abstain from buying or selling.
West's encyclopedia of American law
29. Do the following puzzle.
Across
1) the termination, cessation, or winding up of a legal entity such
as a corporation or partnership;
2) the addition, deletion, correction, or other changes proposed or
made to a document;
3) any property or right that is owned by a person or entity and has
monetary value;
4) any proceeding brought by one or more parties against another
one or more parties in a court of law;
5) someone who is an accepted member of a group and who there-
fore has special or secret knowledge or influence;
6) to stay away from someone or something, or prevent something
from happening or not allow yourself to do something;
Down
7) to compete with other people to achieve or obtain something;
8) a request or petition intended to obtain something;
9) to forbid (something), esp. by law, or to prevent (a particular
activity) by making it impossible;
10) the acquisition of one company by another, and their combina-
tion into a single legal entity;
29
A B
1) poison a) knight
2) statutory b) fees
3) cash tender c) proof
4) parent d) pill
5) white e) merger
6) controlling f) assets
7) attorney’s g) vote
8) corporate h) corporation
9) sufficient i) shareholder
10) proxy j) offer
30
CORPORATE LAW
31
A В
1) private corporation а голосующая акция
2) transnational corporation b “ядовитая пилюля”,
“отравленная таблетка”
3) voting share с корпорация закрытого типа
4) quasi-public corporation d миноритарный акционер
5) controlling shareholder/ е капитал, помещенный в
majority shareholder труднореализуемые активы
32
А В
6) hostile takeover f годовой дивиденд
7) poison pill g юридически не оформленная
корпорация
8) minority shareholder h держатель контрольного пакета
акций
9) equity financing i выпускать акции
10) bull market j двойное налогообложение
11) closely held corporation k частная корпорация
12) lock-up l ограниченная ответственность
13) bear market m враждебное поглощение
14) block [line] of shares n “белый рыцарь”
15) black knight о квазигосударственная
корпорация
16) to issue shares р неголосующая акция
17) public corporation q пакет акций
18) mergers and acquisitions r “рынок быков”
(M&As)
19) insider trading s транснациональная корпорация
20) annual dividend t слияния и поглощения
21) de facto corporation u покупка (акций) осведомленным
лицом
22) white knight v акционерное [долевое]
финансирование
23) non-voting share w “черный рыцарь”
24) limited liability х “рынок медведей”
25) double taxation y акционерное общество
открытого типа
33
UNIT 1
34
CORPORATE LAW
TEST
I. Fill in the missing words.
1) The directors may ... shares only for an authorised purpose and
in the best interests of the company.
2) While companies are owned by their members (i.e. sharehold-
ers), they are managed by a ... of directors.
3) The federal administrative agency established by the Securities
... Act of 1934, in order to supervise and regulate the issuing and trad-
ing of securities and to eliminate fraudulent or unfair practices.
35
UNIT 1
36
INTERNATIONAL INVESTMENT
37
UNIT 2
INTERNATIONAL INVESTMENTm
International rules related to investment issues have a long history.
They are multifaceted and span the bilateral, regional and multilateral
levels. They can take the form of binding or voluntary instruments set-
ting out different types of commitments, which often overlap.
BILATERAL RULES
FRIENDSHIP; COMMERCE AND NAVIGATION TREATIES
Friendship, Commerce and Navigation (FCN) Treaties were com-
mon instruments throughout the 19th century and the beginning of the
20th century, primarily concerned with the trade and shipping rights
of individuals. One important feature, sometimes regulated in separate
treaties on establishment, was the reciprocal granting to citizens (but
generally not to corporations) of the other party of rights to entry,
commercial establishment, protection of property, access to courts and
recognition of foreign legal personality. A series of treaties negotiated
before World War II also gave corporations legal status and access to
foreign courts. However, as corporate involvement in international
38
INTERNATIONAL INVESTMENT
40
А В
1) legal status a) investment
2) portfolio investment b) assets
3) movable property c) interest
4) minority interest d) conscience
5) place of incorporation e) country
6) intangible assets f) personality
7) legal personality g) treaty
8) exporting country h) status
9) commercial treaty i) incorporation
10) freedom of conscience j) property
4. In the above text find the English equivalents for the follow-
ing words and phrases.
Отдельный док
41
CUSTOM FULFIL
INVEST FACILITATE
ESTABLISH DISSEMINATE
CONSOLIDATION
42
INTERNATIONAL INVESTMENT
43
UNIT 2
44
A В
1) dispute b a) defence
2) lawful b) conflict
3) current c) foreign
4) compensation d) modem
5) protection e) obligation
6) general f) redress
7) alien g) legal
8) commitment h) common
45
UNIT 2
TRANSFER OF FUNDS
The provisions on the transfer of 1) ... are quite important as
they concern a key aspect on which the interests of the host coun-
try and the foreign investor may differ. Host countries often prefer
that profit be reinvested or otherwise used in the domestic economy.
Furthermore, 2) ... countries often incur balance-of-payments 3) ...
that the sudden repatriation of large profits or the proceeds from sale
or liquidation can worsen. As a result they generally seek some form
of flexibility. However, foreign investors regard the timely transfer of
income, capital and other payments as an indispensable 4) ... to op-
erate and benefit from their investment projects, and to meet their
obligations vis-a-vis shareholders, 5) ..., creditors or licensors. Virtu-
ally every bilateral investment treaty has a provision on the transfer of
payments, but there are important differences among them in terms
of specific wording. With regard to the categories of transfers covered,
bilateral investment treaties generally address the repatriation of the
capital invested, the transfer of returns generated by an investment
and dividends to the investor’s shareholders, current payments made
in relation to an investment (i.e. amounts that may be needed to pay
current expenses, the interest and principal on loans, or other 6) ...
incurred by the investor, such as royalties), and proceeds from the sale
of all or part of the investment.
Two main approaches are 7) ... practice. The first is to guarantee
the free transfer of all payments related to, or in connection with, an
investment, accompanied by an illustrative list of covered payments.
The second approach is simply to include an 8) ... list of the types of
payments covered by the transfer provisions. Bilateral investment trea-
ties, with a variety of solutions, guarantee to investors the possibility
of transferring payments in a freely 9) ... currency, without delay and
at a specified exchange rate (the official rate, the market rate or some
other rate). Exceptions generally allow for a limited delay in cases of
emergencies, such as in instances of 10) ... foreign currency reserves.
However, exceptions are to be administered on a non-discriminatory
basis. In some instances, transfer guarantees are limited by the explicit
application of the exchange control laws of the host country.
10. Read the text and give opposites for the underlined words.
DISPUTE RESOLUTION
Investment disputes under bilateral investment treaties may involve
disputes between one State and investors of the other State, or between
46
INTERNATIONAL INVESTMENT
the two States parties to the treaty. They are addressed in different
provisions. Disputes between purely private parties are normally re-
solved through recourse to the courts of the State that has jurisdiction,
or to commercial arbitration. With regard to disputes between one
party, generally the host country, and investors of the other party, cur-
rent BIT's practice provides for recourse to agreed third party dispute
settlement mechanisms: consultation and negotiation but above all ar-
bitration. This allows investors to avoid submitting the disputes to the
courts of the host State (which could be biased or perceived as such)
or to ask for the diplomatic protection of its home State.
Only a few bilateral investment treaties require that the investor
exhaust local remedies before resorting to arbitration. The advantage
of arbitration is that the dispute is handled in an international legal
forum, generally removed from political interference and able to de-
liver a speedy resolution. The methods for resolving disputes between
States parties to bilateral investment treaties involving the application
or interpretation of the treaty are also typically spelled out in a number
of provisions in bilateral investment treaties.
While the provisions regarding State-to-State disputes are generally
rather short, calling for ad hoc arbitration in case consultations fail,
most bilateral investment treaties contain rather elaborate provisions
on the settlement of disputes between an investor and the host country
(so-called investor—State disputes), regarding the composition of the
arbitration panel, timeframes, the scope of arbitrable disputes, and
procedural rules.
While current practice features several variations, the general trend
is to give investors a choice of arbitral mechanisms through institutions
such as the World Bank’s International Centre for the Settlement of
Investment Disputes (ICSID) and its affiliated Additional Facility for
host countries which are not party to the Washington Convention, the
International Chamber of Commerce or the various regional arbitra-
tion centres, or through reference to other arbitral rules, such as those
established by the United Nations Commission on International Trade
Law (UNCITRAL).
The inclusion in bilateral investment treaties of various institutional
options to conduct arbitration is generally regarded as an expression of
consent to arbitration on the side of the host state. Such consent is ex-
pressly stated in some cases, such as in the US practice. Investors have
to provide their own written consent to arbitration. Arbitration awards
are then binding on the parties. Arbitration proceedings are generally
confidential, and awards are sometimes published. Participation of
47
d j t a r b i t r a t i о n t r o
о u r t a e k e o к p e b i t u e
r r e a t s e t t l e m e n t d i
e i p c e o h e s a b e t t o u n
h s o o p r o v i s i o n e r n v
k d a n a e t h k o p n a r a d e
e i h s w r t l p o y t e f c e s
a c l e h w a s o p e m k e e l t
n t i n f г i n g e t u a r t o m
p i p t a г e h u i г e m e d y e
t o v e n о p y t a c o l u t e n
s n e g o t i a t i o n e t u t t
48
INTERNATIONAL INVESTMENT
11. Give Russian equivalents for the following words and expres-
sions from the text and use them in the sentences of your own.
1) negotiation; 2) consultation; 3) dispute settlement; 4) with re-
gard to; 5) commercial arbitration; 6) investment disputes; 7) diplo-
matic protection; 8) arbitration award; 9) on the basis of; 10) pro-
vision; 11) exhaust local remedies; 12) resort to; 13) application or
interpretation of a treaty; 14) ad hoc arbitration; 15) arbitration pan-
el; 16) International Centre for the Settlement of Investment Disputes
(ICSID); 17) International Chamber of Commerce; 18) United Na-
tions Commission on International Trade Law (UNCITRAL).
12. Are the following statements true or false?
1. The prohibition of arbitrary and discriminatory measures refers
to the prohibition of actions against foreign investors in general or
specific groups of foreign investors.
2. Arbitration awards aren’t binding on the parties.
3. In the 1960s many developing countries initiated bilateral invest-
ment treaties as a way to protect their investments abroad against the
growing risks of expropriation and nationalization.
4. Compensation isn’t due if a direct expropriation takes place.
5. Bilateral investment treaties don’t guarantee to investors the pos-
sibility of transferring payments in a freely convertible currency, with-
out delay and at a specified exchange rate.
6. Investment disputes under bilateral investment treaties may in-
volve disputes only between one State and investors of the other State.
7. Disputes between purely private parties are normally resolved
through recourse to the courts of the State that has jurisdiction, or to
commercial arbitration.
8. Only a few bilateral investment treaties require that the investor
exhaust local remedies before resorting to arbitration.
9. The advantage of arbitration is that the dispute is handled in an
international legal forum, generally removed from political interfer-
ence and able to deliver a speedy resolution.
10. .Arbitration proceedings are rarely confidential, and awards are
never published.
13. Read the texts and choose the most suitable sentence from
the list (A — E) for each gap. There is one extra sentence which
you do not need to use. There is an example in the beginning.
A) Under this charter, investment protection was dependent on the
good-
will of the host State and the principle of national sovereignty was
49
UNIT 2
50
INTERNATIONAL INVESTMENT
51
A В
1) binding e a) showing strong dislike; unfriendly
2) stringent b) to gather or become gathered into a group
c) requiring strict attention to rules, procedure,
3) transparency detail, etc.
4) deliberation d) a schedule or list of items to be attended to
5) hostile e) imposing an obligation or duty
6) protect f) is a lack of success in doing something
7) club g) formal discussion and debate, as of a
committee, jury, etc.
h) an obligation, promise, etc. that restricts one’s
8) failure freedom of action;
9) agenda i) the characteristic of being easy to see through
10) commitment j) to keep (someone or something) safe from
injury, damage or loss
52
INTERNATIONAL INVESTMENT
53
UNIT 2
55
VERB NOUN NOUN ADJECTIVE
(person) (abstract)
include
prohibition
eliminate
notifiable
exporter
import
56
INTERNATIONAL INVESTMENT
58
A B
1) foreign a) compulsory
2) beneficial b) domestic
3) proponent c) unpredictable
4) predictable d) simple
5) increase e) opponent
6) complex f) reduction
7) voluntary g) detrimental
A В
1) transition a) investment
2) direct b) power
3) host c) sector
4) service
27. Match the words in columnd) evidence
A with the words in column В
5)and make up sentences using them.e) care
bargaining
6) domestic f) responsibility
7) empirical g) period
8) social i) law
9) investment j) rule
10) great k) country
59
A В
1) scope for investment а) Международный центр по урегу-
лированию инвестиционных споров
(МЦУИС)
2) International Centre for b) вложения в основной капитал
Settlement of Investment
Disputes (ICSID)
3) phasing of investment с) частные инвестиции
4) to encourage productive d) рассмотрение заявок на осуще-
investments ствление иностранных инвестиций
5) effectiveness / efficiency е) режим иностранных инвестиций
of capital
6) direct investment abroad f) государственные капи-
таловложения
7) fixed investment g) инвестиции в жилищное строи-
тельство
8) foreign investment h) долгосрочные инвестиции
60
А B
9) Code of Conduct on i) эффективность капитало-
Transnational Corporations вложений
10) foreign investment j) прямые частные инвестиции
screening
11) receptiveness to foreign k) налоги на иностранные инвести-
investment ции
12) private investment l) возможности для капиталовло-
жений
13) tax penalties on foreign m) экономическая оценка инвести-
investments ций
14) nonresidential investment n) инвестиционный потенциал
15) treatment of foreign in- о) прямые инвестиции за рубежом
vestment
16) government investment р) план капиталовложений
17) investment appraisal q) планирование капиталовложений
18) investment plan r) капиталовложение, не подлежа-
щее обложению налогом
19) investment potential s) Международный кодекс поведе-
ния ТНК
20) investment programming t) поощрять капиталовложения в
производство
21) tax-sheltered investment u) инвестиции в нежилые здания и
сооружения
22) long-range/long-term v) правительственные инвестиции
investment
23) direct private investment w) поэтапное распределение
капиталовложений
24) public investment х) заграничные капиталовложения
МЕЖДУНАРОДНО-ПРАВОВОЕ РЕГУЛИРОВАНИЕ
ИНОСТРАННЫХ ИНВЕСТИЦИЙ
Отчетливой тенденцией в общественном развитии современ-
ной эпохи выступает интернационализация хозяйственного обо-
61
UNIT 2
62
INTERNATIONAL INVESTMENT
63
UNIT 2
UNIT 3 CONTRACTS
65
UNIT 3
66
A В
1) remedy a) an arrangement or promise to do something,
made by two or more people or organizations
2) performance of b) discussion to reach agreement about something,
contract for example trade, levels of pay etc
3) agreement c) a belief, opinion, or dogma
4) trade d) something indispensable; necessity
5) tenet e) any of the methods available at law for the
enforcement, protection, or recovery of rights or for
obtaining redress for their infringement
6) requisite f) a legal or moral duty to do something
7) bargaining g) the activity of buying, selling, or exchanging goods
within a country or between countries
8) obligation h) the carrying out of obligations under a contract
67
UNIT 3
68
noun verb noun verb
offer offer terminate
acceptance bargain
deal communicate
notification oblige
forbearance exchange
benefit sue
69
UNIT 3
DEFENSES
In its most basic form, a contract exists where there is an offer, an
ac-
ceptance of the offer, and consideration to support the contract. Despite
the existence of these three elements, enforcement of a contract may be
denied if a sufficient defense to the formation of contracts is present.
In order for an individual to enter into a contract, that person must
have the legal capacity to do so. At common law, minors, individuals
who are mentally ill, persons under the influence of alcohol or drugs,
and those under a legal guardianship lack legal capacity to contract.
The rule as to minors is that a contract of a minor is voidable, not
void. That is, a minor has the option to make a contract valid or not.
[1 — В]. In addition to capacity, an individual must have the le-
gal competency to enter a contract. Competency is generally defined
as the mental ability of a party to contract. In other words, a legally
competent person is one who possesses the ability to recognize and
understand the contractual obligations that will result. Courts will as-
sume that capacity and competency exist until it is proved otherwise.
If the parties to a contract make a mutual mistake with regard to
that contract, such as a mutual misunderstanding, there is no mutual
assent and therefore no contract. Clerical errors, known as scrivener’s
errors, will generally be corrected by a court. [2___].
A contract that is based on a fraudulent misrepresentation of a ma-
terial term is unenforceable. A fraudulent misrepresentation is material
if the maker intended for the misrepresentation to induce the other
party to enter the contract and if the misrepresentation would likely
induce a reasonable person to so enter the contract.
Duress may make a contract unenforceable. Physical duress, or
forcing a person to accept an offer, invalidates the contract, while the
threat of physical harm makes the contract voidable at the election of
the victim. Courts are divided on whether economic duress is sufficient
to deny the enforceability of a contract.
A contract that is entered into under undue influence is also void-
able at the election of the victim. [3___]. Examples are the influence
that an adult child may have over an elderly parent who is dependent
on the child for care, or the reliance of an unsophisticated individual
on a sophisticated adviser, where the adviser is aware of the reliance.
As a general rule, an illegal bargain is void as a matter of law and
may not be enforced. Therefore, a contract to commit murder, to rob
a bank, or to steal a car is void as a matter of law.
A contract may be void because enforcement of the contract would
be unconscionable. [4___]. Unconscionability may be found only
71
UNIT 3
73
A В
5) contractual e) capacity
6) mentally f) matter
7) legal g) obligation
8) to enter into h) assent
9) subject i) evidence
10) parol j) error
74
CONTRACTS
76
CONTRACTS
12. The threat of physical harm makes the contract void at the
election of the victim.
13. A contract that is entered into under undue influence is also
voidable at the election of the victim.
14. Punitive damages are often described as conferring the benefit
of the bargain upon the nonbreaching party.
15. Compensatory damages are intended to compensate the nonb-
reaching party for the actual damages suffered.
17. Give a brief summary of the above texts.
18. Read the following text and give synonyms for the under-
lined words.
TYPES OF CONTRACTS
PARTI
CONTRACTS UNDER SEAL
Traditionally, a contract was an enforceable legal document only
if it was stamped with a seal. The seal represented that the parties in-
tended the agreement to entail legal consequences. No legal benefit or
detriment to any party was required, as the seal was a symbol of the
solemn acceptance of the legal effect and consequences of the agree-
ment. In the past, all contracts were required to be under seal in order
to be valid, but the seal has lost some or all of its effect by statute in
many jurisdictions. Recognition by the courts of informal contracts,
such as implied contracts, has also diminished the importance and
employment of formal contracts under seal.
EXPRESS CONTRACTS
In an express contract, the parties state the terms, either orally or
in writing, at the time of its formation. There is a definite written or
oral offer that is accepted by the offeree in a manner that explicitly
demonstrates consent to its terms.
IMPLIED CONTRACTS
Although contracts that are implied in fact and contracts implied in
law are both called implied contracts, a true implied contract consists of
obligations arising from a mutual agreement and intent to promise,
which
have not been expressed in words. It is misleading to label as an implied
contract one that is implied in law because a contract implied in law
lacks
77
UNIT 3
78
CONTRACTS
79
UNIT 3
9. The net effect of trade, then, depends ... the ratio of a country’s
global share of production to its global share of consumption of im-
perfectly competitive goods.
10. The remaining obligations imposed ... the SPS Agreement that
are discussed below relate only to measures that do not conform to
international standards.
20. In the above text find the English equivalents for the follow-
ing words and word combinations. Then choose any five phrases
and make up sentences using them.
1) юридический документ; 2) правовые, юридические послед-
ствия; 3) скрепленный печатью; 4) неоформленный договор; 5) под-
разумеваемый договор; 6) оформленный договор; формальный до-
говор; 7) положительно выраженный договор; 8) подразумеваемый
договор; 9) квазидоговор; 10) взаимное согласие; 11) обычная прак-
тика ведения деловых операций; 12) подразумеваемая обязанность;
13) договорные отношения; 14) договор с исполнением в момент
заключения; 15) договор с исполнением в будущем; 16) в известной
степени; 17) двухсторонний контракт; 18) односторонняя сделка;
19) юридически обязанный; 20) адресат оферты.
21. Read the following text and explain the words and phrases in
bold.
TYPES OF CONTRACTS
PART II
UNCONSCIONABLE CONTRACTS
An unconscionable contract is one that is unjust or unduly one-sided
in favor of the party who has the superior bargaining power. The adjec-
tive unconscionable implies an affront to fairness and decency. An un-
conscionable contract is one that no mentally competent person would
accept and that no fair and honest person would enter into. Courts find
that unconscionable contracts usually result from the exploitation of
consumers who are poorly educated, impoverished, and unable to shop
around for the best price available in the competitive marketplace.
The majority of unconscionable contracts occur in consumer
transac-
tions. Contractual provisions that indicate gross one-sidedness in favor
of
the seller include limiting damages or the rights of the purchaser to seek
court relief against the seller, or disclaiming a warranty (i.e., a statement
of fact concerning the nature or caliber of goods sold the seller, given in
80
CONTRACTS
81
UNIT 3
82
VERB NOUN NOUN ADJECTIVE ADVERB
(person) (abstract)
void
compete
impoverishment
consumer
enforceable
negotiation
execute
manifest
avoidance
83
UNIT 3
26. Choose the words from the group below to complete the text. It
may be necessary to change the form of the given words.
consideration, exchange, respect, promise, consist, refrain (2),
essen-
tial, distinguish, deem, fulfill, accept (2), conclude, comply,
circumstance,
jurisdiction, dispute, reciprocity, apply
BILATERAL CONTRACT
An agreement formed by an exchange of a promise in which the
promise
of one party is consideration supporting the promise of the other party.
A bilateral contract is distinguishable from a unilateral contract, a
promise made by one party in 1) ... for the performance of some act by
the other party. The party to a unilateral contract whose performance is
sought is not obligated to act, but if he or she does, the party that made
the promise is bound to 2) ... with the terms of the agreement. In a bi-
lateral contract both parties are bound by their exchange of 3) ....
Both parties to a bilateral contract make promises. With 4) ... to
the promise in issue, the party making the promise is the promisor
and the other party is the promisee. The legal detriment incurred by
the promisee 5) ... of a different promise by him or her to do some-
thing or 6) ... from doing something that he or she was not previously
legally obligated to do or to 7) ... from doing. This legal detriment
constitutes consideration, the cause, motive, or benefit that induces
one to enter into a contract. Consideration is an 8) ... component of
a contract.
Traditionally, courts have 9) ... between unilateral and bilateral
contracts by determining whether one or both parties provided con-
sideration and at what point they provided the consideration. Bilat-
eral contracts were said to bind both parties the minute the parties
exchange promises, as each promise is 10) ... sufficient consideration
in itself. Unilateral contracts are said to bind only the promisor and
do not bind the promisee unless the promise accepts by performing
the obligations specified in the promisor’s offer. Until the promisee
performs, he or she has provided no 11) ... under the law.
For example, if someone offered to drive you to work on Mon-
days and Tuesdays in exchange for your promise to return the favor
on Wednesdays and Thursdays, a bilateral contract would be formed
binding both of you once you provided consideration by 12) ... those
terms. But if that same person offered to pay you $10 each day you
drove him to work, a unilateral contract would be formed, binding
only upon the promisor until you provided consideration by driving
84
CONTRACTS
86
A Б
1) заранее оцененные убытки a) counter offer
2) договорное обязательство b) monetary damages
3) оспоримый договор c) liquidated damages
4) отклонить предложение d) offer for sale
5) подразумеваемый договор e) contract of insurance
6) встречная оферта f) recover damages
7) денежные убытки g) withdraw/ revoke an offer
8) договор о продаже в рассрочку h) valuable consideration
9) договор, страхующий людей от i) pay damages
случайных событий
10) получить компенсацию за j) by way of damages
убытки
11) не имеющий юридической k) void contract
силы, ничтожный договор
12) выставлять на продажу 1) repair the damages
13) нести ответственность за ущерб m) turnkey contract
14) принимать предложение n) punitive damages
15) надлежащее встречное o) amount in damages
удовлетворение
16) договор страхования p) implied contract
17) отказываться от предложения q) award payment of damages
18) возмещение убытков в тройном r) compensatory damages
размере
19) в порядке возмещения убытков s) accept an offer
87
UNIT 3
88
CONTRACTS
89
UNIT 3
90
COMMERCIAL PAPER
COMMERCIAL PAPER
Commercial Paper is a written instrument or document such as a
check, draft, promissory note, or a certificate of deposit, that manifests
the
pledge or duty of one individual to pay money to another.
Commercial paper is ordinarily used in business transactions, since
it is a rehable and expedient means of dealing with large sums of
money and minimizes the risks inherent in using cash, such as the
increased possibility of theft.
One of the most significant aspects of commercial paper is that it is
negotiable, which means that it can be freely transferred from one party
to another, either through endorsement or delivery. The terms commer-
cial paper and negotiable instrument can be used interchangeably.
91
UNIT 4
value when redeemed at a later time. If such bonds are cashed in before
maturity, the holder receives less than the face value.
A draft, also known as a bill of exchange, is a three-party paper
ordering the payment of money. The drawer is the individual issuing
the order to pay, while the drawee is the party to whom the order to
pay is given. As in the case of a promissory note, the payee is either
a specified individual or the bearer of the draft who is to receive pay-
ment according to its terms. The draft is made payable on demand or
on a certain date. A common example of a draft is a cashier’s check.
A draft is often used in business to obtain payment for items that
must
be shipped over long distances. Drafts are often the preferred method of
payment for purchasers who want to examine goods prior to payment or
who do not have the necessary funds available at the time of sale. The
vendor might have reservations concerning the buyer’s credit and desire
payment as soon as possible. The procedure ordinarily followed in such
instances is that upon shipment of the goods, the seller receives a bill of
lading from the carrier. The bill of lading also serves as a certificate of
title to the goods, which is ordinarily in the seller’s name.
Upon shipment, the seller draws a draft against the buyer-drawee,
who is required to pay the draft. The seller’s bank is named as the
payee. The seller endorses the bill of lading to the payee and attaches
the bill to the draft. The seller can either negotiate these instruments
to the payee at a discount or use them as security for a loan. Subse-
quently, the papers are endorsed by the seller’s bank and dehvered to a
correspondent bank in the community where the buyer is located. The
correspondent bank seeks payment of the draft from the buyer and when
payment is made, the bank transfers ownership of the goods from seller
to buyer by endorsing the bill of lading to the buyer. The buyer can then
obtain the goods from the carrier upon presentation of the bill of lading,
which demonstrates his or her title to the shipped goods.
A check is a specific kind of draft, which is drawn on a bank and
payable on demand to a particular individual or to the bearer, in which
case it can be written payable to “cash.”
An individual who opens a checking account is engaged in a con-
tractual relationship with a bank. The individual agrees to deposit
money therein, while the bank agrees that it is indebted to the deposi-
tor for the amount in the account, in addition to promising to honor
checks written for payment against the account when there are suf-
ficient funds on hand to do so.
A certificate of deposit, frequently referred to as a CD, is a writ-
ten recognition by a bank of the acquisition of a sum of money from
a depositor for a designated period of time at a specified interest rate,
93
UNIT 4
coupled with a promise of repayment. The bank is both the maker and
the drawee, and the individual making the deposit is the payee.
Ordinarily, certificates of deposit come in specific denominations
that vary according to the length of the term that the bank wifi hold the
funds and are available only for large sums of money. They are used
mainly by corporations and individuals as savings devices since they
generally bear higher interest rates than ordinary savings accounts. They
must, however, be left on deposit for the designated time period.
Ordinarily, a CD can be cashed in prior to the date of maturity,
but some interest will be forfeited. Depending upon the provisions of
the CD, however, a bank may have the legal right to refuse to close an
account before the expiration of the designated date of maturity.
West’s encyclopedia of American law
3. In this exercise, the first part of each word is already m the sen-
tence. Complete it with the second part, which you will find in the box.
• mercial • sited • able • missory • ods • ficates • ing • an • ck
• ment • ange • yee • rer • row
1. The staff of Lloyds Bank refused to return the pro... notes and
advised the police of their existence and uncertain origin.
2. The judgment of the Hoge Raad in The Alnati concerned a con-
tract for carriage of potatoes by a Dutch carrier from Antwerp to Rio
de Janeiro, under a bill of lad... stipulating that Dutch law was to be
applicable to the contract.
3. He charged the property as security for a lo... without the re-
quisite consent.
4. It was agreed that the first two payments would be made in Ster-
ling and depo... in Mark’s bank account in London, and the third in
US dollars, to be entered into Mark’s account in Essexia.
5. Philippine National Bank said it would issue $125 million worth
of floating rate certi... of deposit with a maturity of three years.
6. After a minute, she wrote out the che... and placed it on the table.
7. The company recently refinanced from intermediate bonds to
short-term com... paper.
8. The Eurocheque is free of charge to its pa... .
9. The firm became suspicious about the bonds and asked the bea...
for confirmation.
10. Sanders’ donation was $450,000, pay... over three years.
11. Nowhere else in Europe can home-buyers bor... 100% of the
purchase price.
94
1
2
3
4
5
6
7
8
9
10
95
UNIT 4
5. In the above text find the English equivalents for the following
words and word combinations and make your own sentences using
them.
1) коносамент; 2) простой вексель, соло-вексель; 3) письмен-
ный документ; 4) текущий (чековый) счет; 5) тратта; 6) выкуп-
ная цена; 7) депозитный сертификат; 8) законное право; 9) ком-
мерческая бумага; 10) вознаграждение; 11) трассант; 12) деловая
операция; 13) индоссамент; 14) оборотный документ; 15) Единый
торговый кодекс; 16) чек; 17) векселедатель; 18) предъявитель
(лицо, предъявляющее к оплате вексель или иной долговой до-
кумент; владелец ценной бумаги на предъявителя); 19) движимое
имущество; 20) срочный вексель; 21) получить платеж; 22) до-
говор о ссуде; 23) индоссант, жирант; 24) вкладчик, депозитор,
депонент; 25) сберегательная облигация; 26) потребительский
кредит; 27) срок, число, когда наступает срок; 28) номинальная
стоимость; 29) получать деньги (по чеку, по векселю); 30) индос-
сировать; 31) процентная ставка; 32) трассат (лицо, на которое
выставлена тратта); 33) документ на предъявителя; 34) банков-
ский чек; 35) сертификат собственности; 36) поручительство по
займу; 37) банк-корреспондент; 38) отгруженный товар; 39) до-
говорные отношения; 40) класть деньги на депозит.
6. Translate the sentences into English.
1. Облигации были выпущены в предъявительской форме.
2. Для того чтобы растаможить товары, импортер должен за-
полнить предписанную форму и представить коносамент от ино-
странного экспортера.
3. Произвести оплату можно в любой кассе приема платежей
наличными или чеком.
4. Если обращающийся документ предъявлен к оплате, но не
оплачен, говорят, что по нему отказали в платеже.
5. Тратта вначале должна быть предъявлена к акцепту — пла-
тельщик становится “акцептантом”, а на лицевой стороне трат-
ты должны быть проставлены дата и место платежа.
6. Налоги на личное имущество становятся очень обремени-
тельными.
7. Текущий контроль и управление гарантиями осуществля-
ется вместе с кредитованием или инвестированием, проводимых
ассоциированным банком.
8. Платежи задержаны более чем на 24 месяца.
96
COMMERCIAL PAPER
97
1) dishonor g a) to write something, esp. your signature, on the
back of (esp. a cheque), in order to make it payable
to someone else
2) accept b) a moral or legal requirement; duty
3) funds c) to agree to pay (a bill, draft, shipping document,
etc.), esp by signing
4) endorse d) the act, system, or business of providing financial
protection for property, life, health, etc., against
specified contingencies, such as death, loss, or
damage, and involving payment of regular premiums
in return for a policy guaranteeing such protection
98
5) obligation e) money that is readily available
6) insurance f) something that is owed, such as money, goods, or
services
7) debt g) refusal or failure to accept or pay a commercial paper
99
UNIT 4
prevailing. An 11) ... is secondarily liable for seven days following his
or her endorsement. When presentation does not 12) ... within these
time periods, either the drawer or the endorser may 13) ... liability.
Individuals who are secondarily Uable must receive notice of the
dishonor of a commercial paper in order to be 14) ... liable for its
payment. Such notice must be given by a bank prior to midnight on
the date following the dishonor. Notice can be 15) ... or in writing, as
long as the language identifies the paper and indicates that it has been
dishonored. If more than one person is 16) ... to obtain payment, only
one of them need 17) ...those parties who are secondarily Uable.
13. Read the following text and explain the words and phrases
in bold.
HOLDERS
A holder is an individual who is in possession of an instrument that
is either payable to him or her as the payee, endorsed to him or her, or
payable to the bearer. Those who obtain instruments after the payee are
holders if such instrument is either payable to the bearer or endorsed
properly to their order. The party in possession is not considered to be
the holder in a case in which a necessary endorsement has been foiged.
According to law, a holder may either be an ordinary holder or a
holder in due course, who has preemptive rights to payment. An ordi-
nary holder becomes a holder in due course upon taking an instrument
subject to the reasonable beUef that it will be paid and that there are
no legal reasons why payment wiU not occur.
In more technical terms, to be a holder in due course, the party
must take the paper for value, in good faith, and absent the notice that
it is overdue, has been dishonored, or is subject to an adverse claim.
Such notice of problems affecting the validity of the instrument exists
if the party either is specifically informed about something or other-
wise has reason to beUeve in the existence of a problem.
A holder takes a paper for value when the holder has imparted
something of value, such as property or services, in exchange for the
value of the paper, as evidenced by its terms. In such a case, the indi-
vidual becomes the holder for value.
If a paper is used in satisfaction of or as security for the repayment
of a debt, even though the debt might not be due when the paper is
taken, the instrument is taken for value. In addition, value is given
when one commercial paper is traded for another.
A person who receives a check or other type of negotiable instru-
ment as a gift is an ordinary holder as opposed to a holder in due
100
A в
1) preemptive d a) funds
2) negotiable b) course
3) insufficient c) faith
4) holder in due d) right
5) in good e) date
6) due f) instrument
7) holder for g) value
101
UNIT 4
102
COMMERCIAL PAPER
104
1. Historically within contract law, a claim that a) FRAUD
a contract was voidable for duress could only be
successful if a threat to the person (i.e. physical
duress) had induced the contract e)
2. A contract obtained by........is voidable on the b) INTOXICATION
grounds of fraudulent misrepresentation.
3.......have a limited capacity to contract. c) ALTERATION
4....... is not a defence if a person deliberately e) DURESS
drinks or takes drugs in order to give himself
Dutch courage to commit a crime.
5. A person who is........at the time of his trial, t) NEGLIGENCE
in the sense that he does not understand the
charge and cannot properly instruct his lawyers,
may be found unfit to plead.
6. if, however, a material ............ is made to a g) INFANTS
deed after execution without the consent of the
parties, the deed may become void in part.
7.......in the sense of carelessness does not give h) INSANE
rise to civil liability unless the defendant’s failure
to conform to the standards of the reasonable
man was a breach of a duty of care owed to the
claimant, which has caused damage to him.
noun verb noun verb
defence UK
defend dishono(u)r
defense US
suit threaten
payment issue
20. Complete
the table.
105
noun verb noun verb
validity induce
alteration delete
exclusion change
endorsement enforce
transaction entitle
nullification avoid
intoxication protect
106
A В
1) by negligence а) индоссамент
2) defense of insanity b) владелец банковского счета
3) endorsement с) сберегательная облигация
4) promissory note d) коносамент
5) defense of minority е) существенное изменение
6) drawee f) простой векселедержатель
7) holder of a bank account g) защита ссылкой на
несовершеннолетие
8) valid defense h) иметь индоссамент
(о векселе и т. д.)
9) savings bond i) оплата опротестованного векселя
10) holder for value j) трассат
11) error facti defense к) законный держатель
12) bill of lading 1) первоначальный [основной]
должник
13) endorser/ endorsee т) защита ссылкой на
невменяемость
14) material alteration п) трассант
15) holder in due course о) предъявитель
16) to bear an endorsement р) по небрежности
17) primary debtor q) простой вексель
18) payment for honour г) защита ссылкой на фактическую
ошибку
19) mere holder/ ordinary s) юридически обоснованное
holder возражение
20) bill of exchange/ draft t) индоссант, жирант
21) drawer и) держатель на возмездных началах
22) bearer v) переводной вексель/тратта
ENDORSEMENTS
An endorsement is the process of signing the back of a paper,
thereby imparting the rights that the signer had in the paper to another
person. The number of times an instrument may be endorsed is unlim-
ited. There is no requirement that the word “order” be embodied in
the endorsement. Four principal kinds of endorsements exist: special,
blank, restrictive, and qualified.
An endorsement that clearly indicates the individual to whom the
instrument is payable is a special endorsement.
107
UNIT 4
108
COMMERCIAL PAPER
109
UNIT 4
110
COMMERCIAL PAPER
111
UNIT 5
INTRODUCTION
Technology has always played a significant role in economic
development and the shifting fortunes of nations. Yet when the GATT
was established in 1947, very limited attention was paid to 'intellectual
property’. This is largely explained by the evolution of an international
system for the regulation of intellectual property (IP) under the auspices
of what today is known as the World Intellectual Property Organization
(WIPO). As a subject of international regulation, intellectual property
had not been overlooked. In fact, it was perhaps the first element
of world trade subject to truly multilateral discipline with the Paris
Convention for the Protection of Industrial Property of 1883 and the
Berne Convention for the Protection of Literary and Artistic Work of
1886. IP is regulated at the multilateral, regional, bilateral, national
and sub-national levels.
112
INTELLECTUAL PROPERTY
A В
1) patent d) a) activity
2) policy b) investmen
3) industrial t
c)
d) prices
term
4) inventive
5) competitive e) expression
6) technological f) subsidy
7) creative g) instrument
8) government h) functions
9) encourage i) applicatio
10) social n
j) innovatio
114
INTELLECTUAL PROPERTY
5. In the above text find the English equivalents for the following
words and word combinations and make your own sentences using
them.
1) срок действия патента; 2) конкурентная цена; 3) товарный
знак; 4) общественные затраты; 5) Бернская конвенция по охра-
не литературных и художественных произведений; 6) патентные
права; 7) государственная дотация; 8) промышленное примене-
ние; 9) Генеральное соглашение по тарифам и торговле; 10) под
покровительством (при содействии); 11) Всемирная организа-
ция интеллектуальной собственности (ВОИС); 12) изобретатель;
13) Парижская конвенция по охране промышленной собствен-
ности; 14) новая технология; 15) копирайт, авторское право;
16) интеллектуальное произведение; 17) цифровые технические
средства; 18) патентообладатель; 19) изобретательская деятель-
ность; 20) повышать цену.
6. Complete the sentences using the required information from
the above texts.
1. After some years, generic producers are allowed to copy the drug
and enter the market providing.........
2. Intellectual property comprises an interrelated set of legal
regimes
protecting economic and in some contexts personal interests in.........
3. The patent is intended to perform three functions:.........
4. The minimum term of a patent under the TRIPS Agreement is....
5. The 'patent’ is a set of rights granted to the inventor of a product
or process which is........
7. Read the texts and explain the words and phrases in bold.
COPYRIGHT LAW
Copyright law promotes creativity in literature and the arts by af-
fording authors and artists lengthy terms of protection (life of the au-
thor plus 70 years) against copying. Copyright law protects the expres-
sive elements of a broad range of works — including books, graphical
works, dramatic works, choreography, musical compositions, sound
recordings, films, sculpture, architectural works, and computer pro-
grams — but does not extend to facts, ideas, or utilitarian aspects of
such works. Copyright protection inheres upon the creation of origi-
nal works of authorship fixed in a tangible medium of expression. By
contrast with patent protection, copyright law employs a relatively
low threshold for protection and substantially longer duration, but the
115
UNIT 5
116
INTELLECTUAL PROPERTY
owner of a famous mark can enjoin and obtain damages for the dilu-
tion, blurring, or tarnishment of the owner’s mark. Trademark law does
not protect functional aspects of a product and allows others to use
a mark fairly, such as for comparative advertising or other descriptive
purposes, so long as such use does not confuse consumers.
Trademarks are territorial in nature. Unless registered, trademarks
are
protected only in those geographic regions in which the marked products
are sold or advertised. National registration affords nationwide
protection
of trademarks and the opportunity to obtain foreign registration. Because
the USA has not joined the Madrid Agreement Concerning the Preven-
tion of False or Deceptive Indications of Source, the main international
trademark convention, US trademark owners must prosecute trademark
applications in each country where they seek protection.
Menell P.S. “Intellectual Property: Legal Aspects"
8. Do the following crossword puzzle.
Across
1) the origin or originator of a written work, plan, etc.;
2) items for sale, or movable possessions;
3) a government grant to an inventor assuring him the sole right to
make, use, and sell his invention for a limited period;
4) chiefly regulating or opposing trusts, monopolies, cartels, or
similar organizations, esp. in order to prevent unfair competition;
5) the name or other symbol used to identify the goods produced
by a particular manufacturer or distributed by a particular dealer and
to distinguish them from products associated with competing manu-
facturers or dealers;
6) the unauthorized use or appropriation of patented or copyright-
ed material, ideas, etc.
Down
7) the length of time that something lasts or continues;
8) the activity embracing all forms of the purchase and sale of
goods and services;
9) an official document which gives you permission to own, do or
use something, usually after you have paid money and/or taken a test;
10) to require (a person) to do or refrain from doing (some act),
esp. by issuing an injunction;
11) an imitation or reproduction of an original.
117
UNIT 5
118
INTELLECTUAL PROPERTY
119
UNIT 5
120
INTELLECTUAL PROPERTY
121
UNIT 5
123
UNIT 5
125
A В
1) лицензионное a) void patent
вознагражде ние
126
2) владелец авторского b) to renew a licence
права
3) подавать заявку на с) patent infringement
патент
4) патентовладелец d) under licence
5) патент на e) licencing fee
промышленный образец
6) получать лицензию f) to issue (sb) a licence / to grant a
licence
7) нарушение патента, g) copyright work
нарушение патентного
права
8) лицензиат, получатель h) patentee
лицензии, владелец
лицензии
9) патентная заявка i) patent application
10) по лицензии j) patent assignment
11) лицензиар k) copyright offence
12) предоставить 1) patent for a design
лицензию
13) произведение, n) to disclose an invention
охраняемое авторским
правом
14) передача патента o) licensee
15) нарушение авторского p) to apply for a patent, to file a patent
права application
16) обновлять лицензию q) patent in force
17) действующий патент r) to get/obtain a licence
18) раскрывать s) copyright holder
изобретение
19) утративший силу t) licensor
патент
20) подтвержденный u) confirmation patent
патент
ИНТЕЛЛЕКТУАЛЬНАЯ СОБСТВЕННОСТЬ
Понятие “интеллектуальная собственность” было впервые
введено в международные правовые документы в 1967г. Сток-
гольмской конвенцией, учредившей ВОИС — Всемирную орга-
127
UNIT 5
128
INTELLECTUAL PROPERTY
8) The USA has not joined ... the Madrid Agreement Concerning
the Prevention of False or Deceptive Indications ... Source.
9) United Nations Conference ... Trade and Development.
10) ... the standpoint ... other multilateral organizations the con-
trol ... IPRs issues exercised by the WTO raises concern.
III. Translate the sentences from English into Russian.
Rights Conferred
The owner of a registered trademark shall have the exclusive right to
prevent all third parties not having the owner’s consent from using in
the course of trade identical or similar signs for goods or services which
are identical or similar to those in respect of which the trademark is reg-
istered where such use would result in a likelihood of confusion. In case
of the use of an identical sign for identical goods or services, a
likelihood
of confusion shall be presumed. The rights described above shall not
prejudice any existing prior rights, nor shall they affect the possibility of
Members making rights available on the basis of use.
(TRIPS Agreement Article 16)
IV. Translate the sentences from Russian into English.
Требования, предъявляемые к заявителям на выдачу
патента
1. Члены предъявляют к заявителю на выдачу патента требо-
вание достаточно ясного и полного раскрытия изобретения, что-
бы оно могло быть реализовано специалистом в данной области,
и могут требовать, чтобы заявитель указывал лучший способ реа-
лизации изобретения, известный изобретателю на дату подачи
заявки, или, если испрашивается приоритет, — на дату приори-
тета заявки.
2. Члены могут требовать от заявителя на выдачу патента пре-
доставить информацию о поданных за границей заявках и по-
лученных им в других странах патентах.
131
UNIT 6
133
A В
i) pecuniary a) wrongdoing
2) offence b) culpable
3) negligent c) accused
4) reprehensible d) law
5) defamation e) fraud
6) defendant f) monetary
7) enactment g) slander
8) deception h) careless
noun verb
trespass
prosecute
fine
kill
defamation
6.noun
Complete verb
injurythe tables.
assault
imprison
fraud
vindication
135
UNIT 6
136
TORT LAW
137
1) hazardous m) a) fault
2) legal b) relationship
3) common c) risk
4) human d) injury
5) to inflict e) conduct
6) strict f) actions
7) act of g) substances
138
8) to assume h) harm
9) public i) wrongdoing
10) contractual j) Cod
11) dangerous k) consumption
12) to cause 1) care
13) degree of m) material
14) intentional n) liability
15) negligence o) sense
139
UNIT 6
CAUSATION
Causation is an element common to all three branches of torts:
1) ... liability, negligence, and 2) ... wrongs. Causation has two
prongs. First, a tort must be the cause in fact of a particular injury,
which means that a specific 3) ... must actually have resulted in injury
to another. In its simplest form, cause in fact is established by 4) ...
that shows that a tortfeasor’s act or 5) ... was a necessary antecedent to
the plaintiff’s injury. Courts analyze this issue by determining whether
the plaintiff’s injury would have occurred “but for” the defendant’s
6) ... If an injury would have occurred independent of the defendant’s
conduct, cause in fact has not been estabhshed, and no 7) ... has been
committed. When multiple factors have led to a particular injury, the
8) ... must demonstrate that the tortfeasor’s action played a 9) ... role
in causing the injury.
Second, plaintiffs must 10) ... that a particular tort was the proxi-
mate cause of an injury before liability will be imposed. The term
proximate cause is somewhat misleading because it has little to do with
proximity or 11) .... Proximate cause 12) ... the scope of liability to
those injuries that bear some reasonable relationship to the risk created
by the 13) ... . Proximate cause is evaluated in terms of foreseeability.
If the defendant should have foreseen the 14) ... injury, he or she will
be held Uable for the resulting 15) .... If a given risk could not have
been reasonably anticipated, proximate cause has not been estabhshed,
and liability will not be 16) ... .
When duty, breach, and proximate cause have been estabhshed in a
tort action, the plaintiff may 17) ... damages for the pecuniary losses
sustained. The measure of 18) ... is determined by the nature of the
tort committed and the type of injury suffered. Damages for tortious
acts generahy fah into one of four categories: damages for injury to
person, damages for injury to personal 19) ... , damages for injury to
real property, and 20) ... damages.
16. Make a report covering the information acquired.
17. Read the texts and choose the most suitable sentence from
the list (A-G) for each gap. There is one extra sentence which you
do not need to use. There is an example in the beginning.
A) In tort law, operations that produce recurring injuries like
these are called nuisances.
B) Charities and other philanthropic organizations have been
given qualified immunity from tort liability as well.
C) Advocates no longer enjoy immunity from law suits for negli-
gence in relation to civil or criminal htigation.
140
TORT LAW
141
UNIT 6
IMMUNITY
Certain individuals and entities are granted immunity from both
damage awards and assessments of liability in tort. An immunity is a
defense to a legal action where public policy demands special protec-
tion for an entity or a class of persons participating in a particular field
or activity. [4 ].
Government immunity, also known as sovereign immunity, insu-
lates federal, state, and local governments from liability for torts that
an employee commits within the scope of his or her official duties.
Public policy, as reflected by legislation, common-law precedent, and
popular opinion, has required courts to protect the government from
unnecessary disruptions that invariably result from civil Utigation. Sim-
ilarly, educational institutions generally have been immunized from
tort actions to protect students and faculty from distraction.
In a number of states, tortfeasors have been given immunity from
liability if they are related to the victim as husband or wife, or parent
or child. These states concluded that family harmony should not be
traumatized by the adversarial nature of tort Utigation. [5 ]. This
immunity is based on the fear that donors would stop giving money to
charities if the funds were used to pay tort claims.
Over the last quarter century, nearly every jurisdiction has curtailed
tort immunity in some fashion. [6 ]. The movement to restrict tort
immunity has been based in part on the rule of law, which requires ah
persons, organizations, and government officials to be treated equaUy
under the law. Despite the efforts of this movement, tort immunity
persists in various forms at the federal, state, and local levels.
West's encyclopedia of American law
18. Give synonyms for the underlined words.
142
noun verb adjective
evidence evidence evident
recover
disruption
damaging , damaged
immunity
harm
deprive
litigation
143
A В
1) affirmative а) временный, предварительный судебный
defence запрет
2) provisional b) основная ответственность, первичное
remedy обязательство
3) mandatory с) заявление о фактах, опровергающих иск
injunction или обвинение
4) permanent d) устранимый вред или источник вреда
injunction =
perpetual iniunction
5) preliminary е) предварительное средство судебной
injunction защиты (в порядке обеспечения иска)
6) joint and several f) предполагаемые убытки
liability
7) joint liability g) источник опасности или неудобства для
всех окружающих
144
A в
8) secondary liability h) обязывающее решение суда, обязываю-
щий судебный приказ
9) primary liability i) виндикация по нормам общего права
10) strict liability j) бессрочный судебный запрет
11) vicarious liability к) закон места совершения преступления
(лат.)
12) lex loci delicti 1) нападение при отягчающих обстоятель-
commissi ствах
13) lex fori т) взыскание убытков
14) abatable п) солидарная [совместная и индивидуаль-
nuisance ная] ответственность
15) attractive nuisance о) нападение с нанесением удара (побоев)
16) private nuisance р) заранее оцененные убытки; оценочная
неустойка; ликвидные убытки (определяе-
мые посредством арифметического подсчета)
17) public nuisance q) совместная ответственность
18) actual damages г) обязанность граждан возмещать ущерб,
причиненный в результате какого-либо не-
доразумения другим лицам
19) consequential s) взыскание убытков, превышающих раз-
damages мер ущерба
20) liquidated t) закон места рассмотрения дела, закон
damages суда (лат.)
21) nominal и) штрафные убытки, убытки, присуждае-
damages мые в порядке наказания
22) punitive damages v) номинальные убытки, номинальное воз-
= punitory damages мещение, имеющее символическое значе-
exemplary damages ние
23) speculative w) акцессорная ответственность; субсидиар-
damages ная ответственность
24) treble damages х) ответственность за действия других лиц;
субсидиарная ответственность
25) aggravated у) мошенническое присвоение имущества,
assault обманное присвоение имущества
26) assault and z) привлекающий (напр. детей) источник
battery опасности
27) fraudulent аа) возмещение убытков в тройном размере
conversion
28) common bb) реальные, фактические убытки
recovery
145
A В
29) double recovery cc) источник опасности или неудобства для
какого-л. лица или группы лиц
30) recovery of dd) косвенные убытки
(civil) damages
146
TORT LAW
lex fori should be applied reflects a feeling that domestic courts can-
not be expected to give a remedy when this is not available in wholly
domestic cases. This is not thought to be the case, however, in other
areas of the law such as contract, and it is not in itself an insuperable
obstacle to the application of the lex loci. Moreover, except for some
family law matters, the lex fori does not govern substantive issues in
the conflict of laws.
In revulsion from the unfortunate decision of the Scottish Court
of Session in McElroy v. McAllister, J. H. C. Morris put forward a
third choice of law rule as the most appropriate. This is the 'proper
law’ of the tort, adopted by way of analogy with the proper law of the
contract. The proper law is that with which the event has its closest
and most real connection. Something like this or variants of it have
been taken up in the United States by courts and writers since 1962.
However, this doctrine need not detain us further at this point, since
one of the few things which are clear from the leading English case,
Chaplin v. Boys, is that it is not the common law choice of law rule.
Discussion of theory is now somewhat redundant. The English com-
mon law rule still applies, but only to defamation actions. Otherwise,
legislation in the form of the Private International Law (Miscellaneous
Provisions) Act 1995, Part III governs all other actions in tort.
West's encyclopedia of American law
25, Render the following text into English,
ЗАКОНОДАТЕЛЬСТВО, РЕГУЛИРУЮЩЕЕ
ОБЯЗАТЕЛЬСТВА ВСЛЕДСТВИЕ ПРИЧИНЕНИЯ
ВРЕДА ЗА РУБЕЖОМ
Во многих странах обязательства из причинения вреда пред-
ставляют собой один из важнейших институтов гражданского
права.
По общему правилу необходимыми условиями возникнове-
ния обязательств из причинения вреда являются:
а) противоправное действие (бездействие);
б) наличие вреда;
в) причинная связь между противоправным действием
(бездействием) и наступившим вредом;
г) вина причинителя вреда.
Рассмотрим действующую систему возмещения вреда по пра-
ву отдельных стран.
Согласно Гражданскому кодексу Франции, какое бы то ни
было действие, причиняющее ущерб другому лицу, обязывает
147
UNIT 6
148
TORT LAW
2) The plaintiff suffered a fractured skull and was left with a minor
permanent .......
3) Any person who infringes the above in relation to this publica-
tion may be Uable to criminal......and civil claims for damages.
4) ............. includes compensating loss of earning capacity and
expenses such as medical treatment.
5) At......law, public nuisance is a crime.
5) The current trend in Australia is not to replace tort ............ with
legislative schemes, but rather to supplement the common law.
6) Battery and .... are crimes as weft as torts, thus, victims may
receive compensation under legislative criminal injuries compensation
schemes.
7) There are three types of tort which make up the tort of trespass
to the person: assault, battery and false............
8) A child is personally ...... for the consequences of his wrongful
acts.
9) A claimant may claim for damages alone or for damages to-
gether with.......relief.
10) An example of economic loss is where a claimant is injured in
a car accident and thereby suffers a loss of.......capacity.
11) Courts will generally be far less willing to give a....injunction
than a prohibitory injunction.
12) Joint participation means ............. for the resulting harm, re-
gardless of who actually did the tort.
13) .......... are awarded where a claimant may establish their ac-
tion but, in the opinion of the jury, the action should never have been
brought.
14) Comprehensive principles to regulate the ....... of damages for
economic loss have not yet been formulated by the courts.
//. Fill in the prepositions.
1) courts typically rely ... expert testimony;
2) to recover damages ... false imprisonment;
3) ... addition ... damages for past tortious conduct;
4) immunity ... punishment or recrimination;
5) to proceed ... difficulties;
6) to be responsible ... an offence or misdeed;
7) liability ... negligence;
8) to protect ... accidents;
9) gratuitous interference ... private rights;
10) freedom ... taxation
149
UNIT 7
III. Translate the article from the Convention on the Law Ap-
plicable to Traffic Accidents into Russian.
Article 5
1) The law applicable under Articles 3 and 4 to liability towards a
passenger who is a victim governs liability for damage to goods carried
in the vehicle and which either belong to the passenger or have been
entrusted to his care.
2) The law applicable under Articles 3 and 4 to liability towards the
owner of the vehicle governs liability for damage to goods carried in
the vehicle other than goods covered in the preceding paragraph.
3) Liability for damage to goods outside the vehicle or vehicles is
governed by the internal law of the State where the accident occurred.
4) However the liability for damage to the personal belongings of
the victim outside the vehicle or vehicles is governed by the internal
law of the State of registration when that law would be applicable to
the liability towards the victim according to Article 4.
IV. Translate the article from the Convention on the Law Ap-
plicable to Traffic Accidents into English.
Статья 7
1) В отношении транспортных средств, которые не зарегистри-
рованы или зарегистрированы в нескольких государствах, наци-
ональное право государства, в котором они обычно пребывают,
заменяет право государства регистрации. Такое же правило при-
меняется, если ни собственник, ни владелец, ни водитель транс-
портного средства постоянно не проживают в государстве реги-
страции на момент происшествия.
2) Какое бы право не применялось, при определении от-
ветственности во внимание принимаются нормы, касающиеся
контроля и безопасности дорожного движения, находившиеся в
силе в месте происшествия и на его момент.
150
FAMILY LAW
151
noun verb adjective
1) legislation, legislator legislate legislative
2) divorced
3) marriage
4) support
5) inherit
152
noun verb adjective ||
6) judicial, judicatory |
7) prove ................ 1
8) presumptive |
9) fault ................ 1
10) dispute
MARRIAGE
Marriage is a legally sanctioned contract between a man and a
woman. Entering into a marriage contract changes the legal status of
both parties, giving husband and wife new rights and obligations.
Individuals who seek to alter marital rights and duties are permitted
to do so only within legally prescribed limits. Antenuptial agreements
are entered into before marriage, in contemplation of the marriage
relationship. Typically these agreements involve property rights and
the terms that will be in force if a couple’s marriage ends in divorce.
Separation agreements are entered into during the marriage prior to
the commencement of an action for a separation or divorce. These
agreements are concerned with child support, visitation, and tempo-
rary maintenance of a spouse. The laws governing these agreements
153
UNIT 7
are generally concerned with protecting every marriage for social rea-
sons, whether the parties desire it or not.
The U.S. Supreme Court has held that states are permitted to
reasonably regulate marriage by prescribing who can marry and the
manner in which marriage can be dissolved. States may grant an an-
nulment or divorce on terms that they conclude are proper, because
no one has the constitutional right to remain married. There is a
right to marry, however, that cannot be casually denied. States are
proscribed from absolutely prohibiting marriage in the absence of a
valid reason.
All states limit people to one living husband or wife at a time and
will not issue marriage Ucenses to anyone who has a living spouse.
Once
someone is married, the person must be legally released from his or her
spouse by death, divorce, or annulment before he or she may legally
remarry. Persons who enter into a second marriage without legally dis-
solving a first marriage may be charged with the crime of bigamy.
Each state has its own individual requirements concerning the peo-
ple who may marry. Before a state will issue a marriage license, a man
and a woman must meet certain criteria. Some states prohibit marriage
for those judged to be mentally ill or mentally retarded. In other states,
however, a judge may grant permission to mentally retarded persons
to marry.
Every state proscribes marriage between close relatives. The pro-
hibited degree of relationship is fixed by state law. Every state forbids
marriage to a child or grandchild, parent or grandparent, uncle or
aunt, and niece or nephew, including illegitimate relatives and rela-
tives of half blood, such as a half brother who has the same father
but a different mother. A number of states also prohibit marriage to
a first cousin, and some forbid marriage to a more distant relative,
in-law, stepparent, or stepchild.
Age is an additional requirement. Modern statutes ordinarily pro-
vide that females may marry at age 16 and males at age 18. Some-
times a lower age is permitted with the written consent of the par-
ents. A number of states allow for marriage below the minimum age
if the female is pregnant and a judge grants permission.
Every couple who wishes to marry must comply with a state’s
formal requirements. Many states require a blood test or a blood
test and physical examination before marriage, to show whether one
party is infected with a venereal disease. In some states, for example,
the clerk is forbidden to issue a marriage license until the parties
present the results of the blood test.
154
FAMILY LAW
155
A В
1) antenuptial a) a formal invalidation, as of a marriage,
marriage contract e judicial proceeding, etc;
2) spouse b) a written agreement between husband and
wife in contemplation of divorce detailing
how their property is to divided, how alimony
or child support is to be paid and in what
amount by whom to the other, and custodial
arrangements for children;
3) annulment c) voluntary sexual intercourse during the
subsistence of a marriage between one spouse
and a person of the opposite sex who is not the
other spouse;
4) bigamy d) the termination of a marriage by court order;
the state of having terminated a marriage;
5) visitation rights e) a contract made between a man and a woman
before they marry, agreeing on the distribution of
their assets in the event of divorce;
6) separation f) the crime of marrying a person while one is
agreement still legally married to someone else;
7) divorce g) a person’s husband or wife;
8) adultery h) the right of the non-custodial parent, granted
by the divorce or family court, to visit with the
child on some sort of scheduled or regular basis.
156
FAMILY LAW
2. The obligor is the parent that is required to pay the child s______
______to the other parent.
3. In most legal systems, m___________is accepted and treated as
a contract, but it is one the incidents of which the parties cannot vary.
4. If a spouse reasonably believes that the other is committing a___
________, the former is entitled to withdraw from cohabitation.
5. She symbolically removed her w__________ring and, from that
time, their family life together ended.
6. It was intended that the civil ceremony would be followed by a
r______________ceremony.
7. Following b______tests, a report was made, stating that there
was an 88% probability that H was the father.
8. Following a s_______________agreement, H and W had sepa-
rated, but H had no wish for the separation to be permanent.
9. M was given p______________to visit England.
10. The j______awarded the wife alimony.
12. Complete the following sentences using the required infor-
mation from the above text
1. Separation agreements are concerned with ....
2. Antenuptial agreements involve property rights and the terms
that will be ... .
3. In covenant marriages, parties mutually agree to reject ....
4. Today, the names of applicants for marriage licenses are pub-
lished ....
5. Many states require a blood test or a blood test and physical
examination before marriage, to show ....
6. The U.S. Supreme Court has held that states are permitted to
reasonably regulate marriage by prescribing who can ....
7. Once someone is married, the person must be legally released
from ... .
8. Every state proscribes marriage between ....
9. Persons who enter into a second marriage without legally dis-
solving a first marriage may be charged with ....
10. Modem statutes ordinarily provide that females may marry at
age ... .
13. Choose the words from the group below to complete the
text. It may be necessary to change the form of the given words.
pass; sex; extend(2); revive; scrutiny; settle; level; license; county;
legal; prohibit
157
UNIT 7
SAME-SEX MARRIAGE
Despite court challenges, marriage can occur only between persons
of the opposite 1) ... . In Baker v. Nelson the Minnesota Supreme Court
sustained a clerk’s denial of a marriage 2) ... to a homosexual couple.
The possibility of homosexual marriage was 3) ... by the 1993 de-
cision of the Hawaii Supreme Court in Baehr v. Lewin. In Baehr,
the court held that a state law restricting 4) ... marriage to parties of
the opposite sex establishes a sex-based classification, which is sub-
ject to strict constitutional 5) ... when challenged on equal protection
grounds. Although the court did not recognize a constitutional right to
same-sex marriage, it indicated that if the state 6) ... such marriages, it
would have a difficult time proving that gay and lesbian couples were
not being denied equal protection of the laws. The debate over homo-
sexual marriage continues at both the federal and state 7) ....
Although gay and lesbian partners have been unable to persuade
states to recognize their unions as “marriage” in the traditional sense,
an increasing number of states have 8) ... laws allowing unmarried
couples, including homosexual and heterosexual couples, to register
as “domestic partners.” A registry identifying these partners has been
established in dozens of American cities, and other cities and states
now 9) ... certain benefits to domestic partners even if the city or state
does not provide a registry. The ordinances and statutes also provide
certain procedures for property 10) ... and resolution of other issues if
the partners separate.
The movement has been most popular in cities in the state of
California, where many municipalities and 11) ... provide benefits to
domestic partners, domestic partner registries, or both. Although sev-
eral of the cities across the United States that have 12) ... these rights
to same-sex couples are larger, urban areas, some smaller counties and
cities have also extended such rights.
14. Give a brief summary of the above texts.
15. Read the text and give synonyms for the underlined words.
DIVORCE
Beginning in the 1960s, advocates of divorce reform called for the
legal recognition of no fault divorce. Under this concept, a divorce
may be granted on grounds such as incompatibility, irreconcilable dif-
ferences, or an irretrievable breakdown of the marriage relationship.
The court examines the condition of the marriage rather than the
158
FAMILY LAW
159
A В
1) property e) a) addiction
2) spousal b) maintenance
3) monetary c) distribution
4) drug d) divorce
5) community e) assets
6) divorce f) skills
160
7) equitable g) recognition
8) no-fault h) proceedings
9) legal i) contribution
10) marketable j) property
d m a i n t e n a n c e P
u 16.t Do1 the following
u h puzzle.
n о r d a t e m
1) adultery — voluntary sexual intercourse between a married man
r g c t e r s n u h w a о
or woman and a partner other than the legal spouse;
n 2)о the dissolution
о a cof a marriage
r u bye judgment
1 tof a court
У or
1 by uac-
cepted custom;
h
3) z deliberate
h b t e n a a r i n
t
infliction of pain or suffering;
g 4) Pa condition
о к in which
a adependence
s s on alcohol
e t harmss am person’s
h
health, social functioning, or family life;
n 5) a the condition
1 m ofj being a abnormally
s r dependent
r о ong some о habit,
r
esp.
u compulsive
d i dependency
V о r on narcotic
c e drugs;
У e f n e
6) a provision ordered to be made by way of periodical payments
ora a lump
к sum,s asd afteri a divorce
c t a espouse;
for 1 P a У о
h 7) P an allowance
m f paid
h under
u na court
a order
0 byt one fspouse a to another
n
18
when
к they
h are
a separated
a d but dnot divorced;
i c t i о n g
8) any property owned by a person or firm.
1 a r u 0 P z d r i m 1 о
161
UNIT 7
2. Upon divorce, each party keeps his or her own permanent prop-
erty, as well as half of the community property.
3. The statutes that govern property division vary by state, but they
generally can be grouped into two types: equitable distribution and
community property.
4. No-fault divorce has become an expensive means of ending a
marriage, especially when a couple has no children and moderate
property assets.
5. Alimony, or spousal maintenance, can be only permanent.
6. If one party made a greater contribution, the court may grant
that party a greater share of the joint assets.
7. Some equitable-distribution states look to the conduct of the par-
ties and permit findings of marital fault to affect property distribution.
8. Maintenance is most often used to provide permanent support to a
spouse who was financially dependent on the other during the marriage.
19. Study the text below and give the English equivalents for
the words and phrases in bold.
PREMARITAL AGREEMENT
A premarital agreement, also known as a prenuptial or antenuptial
agreement, is a 1) договор between two persons who intend to marry,
concerning 2) прав собственности upon divorce. A 3) договор
между
мужем и женой, заключенный после бракосочетания is a contract
entered into by divorcing parties before they reach court. Tradition-
ally, antenuptial agreements were discouraged by state legislatures and
courts as being contrary to the 4) государственная политика in favor
of lifetime marriage. An antenuptial agreement is made 5) исходя из
предположения that the 6) брак may not last forever, which suggests
that it facilitates divorce. No state expressly 7) запрещать antenuptial
agreements, but, as in any contract case, courts reserve the right to 8)
аннулировать any that it finds unconscionable or to have been made
9) под принуждением. State statutes that authorize antenuptial and
postnuptial agreements usually require that the 10) стороны fulfill
certain conditions. In Delaware, for example, a man and a woman
may execute an antenuptial agreement in the presence of two 11)
свидетелей at least ten days before their marriage. Such an agreement,
if notarized, may be filed as a deed with the office of the recorder in
any county of the state. Both antenuptial and postnuptial contracts
concerning 12) недвижимого имущества must be recorded in the reg-
istry of deeds where the land is situated.
162
FAMILY LAW
163
UNIT 7
21. Read the texts below and define which of the terms in bold
match the following definitions.
1) the act of keeping safe or guarding, esp the right of guardian-
ship of a minor;
2) maltreatment of a person; injury;
3) a formal application in writing made to a court asking for some
specific judicial action;
4) law (formerly) an allowance paid under a court order by one
spouse to another when they are separated but not divorced;
5) a right to retain possession of another’s property pending dis-
charge of a debt;
6) the way in which someone is treated and educated when they are
young, esp. by their parents, particularly in relation to the effect which
this has on how they behave and make moral decisions;
7) a person, usually young, who behaves in a way that is illegal or
unacceptable to most people;
CHILD CUSTODY
During a marriage, all custodial rights are exercised by both parents.
These include decision making power over all aspects of upbringing,
religion, and education, as long as the parental decisions and conduct
stay clear of the neglect, abuse, and dependency laws. Upon divorce,
that power traditionally went solely to one parent who obtained custo-
dy. Traditionally, the visitation rights given to the noncustodial parent
constituted Uttle more than a possessory interest. This made the custody
decision upon divorce a significant one: the relationship between the
noncustodial parent and her or his children would change, as the parent
would lose the ability to shape decisions affecting the children.
In the United States, since the nineteenth century, mothers tra-
ditionally gained custody of children. In the late twentieth century,
changes in marital and social roles have led to fathers assuming duties
once thought to be the exclusive province of mothers. This in turn has
led to fathers showing more interest in claiming custody and to courts
granting fathers custody. Yet the vast majority of custody dispositions
still go to the mother.
From a dissatisfaction with custody decisions has emerged the con-
cept of joint custody. Under joint custody, legal custody (the decision-
making power over the child’s conduct of life) remains with both
parents, and physical custody goes to one or the other or is shared.
The concept has met with mixed reactions. If both parents are reason-
164
FAMILY LAW
able, both may be able to participate fully in decisions that would have
been denied one of them. On the other hand, joint custody is likely to
be harmful if the parents play out any lingering animosity, or confuse
the child with conflicting directions, or are simply unwilling to agree
on basic issues involving the child’s welfare.
Beginning in 1980, the laws governing custody disputes have been
guided by federal statutes. A 1980 amendment to the Judiciary Act
authorized federal rules that control the enforcement and modifica-
tion of custody decrees. When in conflict, these rules supersede state
statutes, including the Uniform Child Custody Jurisdiction Act (UC-
CJA), which all states have enacted in some version. The UCCJA was
created to deal with interstate custody disputes. Before it was passed,
a divorced parent who was unhappy with one state’s custody decision
could sometimes obtain a more favorable ruling from another state.
This led to divorced parents’ kidnapping their children and moving to
another state in order to petition for custody.
Despite the enactment of the original UCCJA, the problem per-
sisted. In 1980, Congress passed the Parental Kidnapping Prevention
Act, which aids enforcement and promotes finality in child custody
decisions, by providing that a valid custody decree must be given full
legal effect in other states. In an international context, in 1986, the
United States adopted the 1980 Hague Convention on the Civil As-
pects of International Child Abduction. The convention was designed
to facilitate the return of abducted children and the exercise of visita-
tion rights across international boundaries.
With the growing number of disputes among parents regarding cus-
tody and visitation of children to the marriage, states have recognized
that grandparents often play an important role in the Uves of their
grandchildren. Surveys by the American Association of Retired Persons
(AARP) suggest that more than 80 percent of grandparents responding
said that they had seen their grandchildren within the previous month.
Each of the 50 states has adopted provisions in their family laws allow-
ing visitation for grandparents under certain circumstances.
CHILD SUPPORT
In most cases, a divorce decree will require the noncustodial par-
ent, usually the father, to pay child support. The failure of parents to
pay child support has significant consequences. Lack of support may
force the custodial parent to apply for welfare, which in turn affects
government budgets and ultimately taxes. This problem has resulted in
increasingly more aggressive collection efforts by the government.
165
7. The dispute over ... custody of the children is likely a) support
to make it a complicated divorce case, e
2. The new ... would force companies to adopt b) joint
energy-saving measures.
3. The court ordered that she only be allowed c) deadbeat
supervised . . ..
4. Under an affiliation order, a man who is not e) custody
married to the mother of his child is ordered by a law
court to pay money to the mother to ... his child.
5. These organizations have fought very hard for the f) animosity
rights and ... of immigrants.
6. In court, the parents were awarded ... custody of g) survey
their son.
7. Many countries have now ratified the UN ... on h) tax
the rights of the child.
8. The ... between the rival candidates was obvious to i) convention
the voters.
166
9. Such a step only reinforces Argentina’s reputation j) welfare
as the ultimate ... country.
10. A ... of modem marriage carried out by a k) visitation
magazine found that over 50% of marriages end in
divorce.
167
A В
1) separation agreement а. решение суда об установлении ста-
туса раздельного жительства супругов
2) divorce decree Ъ. несовместимость
3) defending spouse с. бракоразводный процесс
4) divorce a mensa et thoro d. наркомания
5) alimony pendente lite е. соглашение по имущественным во-
просам брака, брачный договор (ре-
гулирующий будущие имущественные
отношения супругов)
6) divorce suit f. общая сумма (присужденных) али-
ментов
7) parental custody g. судопроизводство при наличии
одной стороны (а не по спору между
сторонами)
8) no-fault divorce h. соглашение между супругами о раз-
дельном проживании
9) incompatibility i. брак по доверенности, заключение
брака по доверенности
10) alimony in gross j. временное содержание
168
11) adultery к. бигамия, двоебрачие
12) drug addiction 1. (присужденная) сумма алиментов,
подлежащих регулярной выплате
13) bigamous marriage т. адюльтер, прелюбодеяние
14) marriage articles п. супруг-истец
15) ad interim alimony о. супруг-ответчик
16) alimony in general р. родительское попечение
17) ex parte proceeding q. предбрачный договор (об имуще-
ственных отношениях будущих супру-
гов)
18) claiming spouse = г. развод “без чьей-либо вины”
complaining spouse
19) marriage by proxy s. судебное решение о разводе
20) antenuptial agreement t. содержание (мужем жены) на пери-
од судебного процесса о разводе
169
UNIT 7
parent, meaning that the custodial parent must inform and consult with
the noncustodial parent about the child’s education, health care, and
other concerns.
10. In such situations, courts may order ..., sometimes called tem-
porary custody, between the child and the noncustodial parent.
11. Fill in the prepositions where necessary.
1) Once someone is married, the person must be legally released ...
his or her spouse ... death, divorce, or annulment ... he or she may
legally remarry.
2) Every state proscribes marriage ... close relatives
3) Sometimes a lower age is permitted ... the written consent ...
the parents.
4) The names ... applicants for marriage licenses are published ...
local newspapers.
5) State laws must provide ... the imposition ... hens ... the prop-
erty ... those who owe support.
6) Every state forbids marriage ... a child or grandchild
7) The UCCJA was created ... deal ... interstate custody disputes.
8) Despite ... court challenges, marriage can occur only ... per-
sons ... the opposite sex.
9) Persons who enter ... a second marriage without legally dissolv-
ing a first marriage may be charged ... the crime ... bigamy.
10) State laws now must require employers to withhold child sup-
port ... the paychecks ... parents who are delinquent ... one month.
III. Translate the sentences from English into Russian.
Article 3. The removal or the retention of a child is to be consid-
ered wrongful where —
a) it is in breach of rights of custody attributed to a person, an
institution or any other body, either jointly or alone, under the law of
the State in which the child was habitually resident immediately before
the removal or retention; and
b) at the time of removal or retention those rights were actually
exercised, either jointly or alone, or would have been so exercised but
for the removal or retention.
The rights of custody mentioned in sub-paragraph a) above, may
arise in particular by operation of law or by reason of a judicial or ad-
ministrative decision, or by reason of an agreement having legal effect
under the law of that State.
Convention on the Civil Aspects of International Child Abduction
170
ARBITRATION
UNIT 8 ARBITRATION
1. What do you know about Arbitration? Choose the right answer.
1. The UNCITRAL Model Law on International Commercial Ar-
bitration was adopted in ....
a) 1985; b) 1981; c) 1963
2. ... was adopted in 1958.
a) European Convention on International Commercial Arbitration
b) Inter-American Convention on International Commercial Ar-
bitration
c) United Nations Convention on Recognition and Enforcement
of Foreign Arbitral Awards
3. In an effort to overcome the uncertainty arising from the differ-
ent standards employed in the various legal systems, the International
Bar Association adopted in ... the IBA Guidelines on Conflicts of
Interest in International Arbitration.
a) 2004; b) 2009; c) 1998
4. ... is characterized by the fact that the parties have submitted
their dispute to the rules of a particular arbitration institution which
provides the necessary administrative support, in particular concerning
the constitution of the tribunal.
a) Institutional arbitration b) Ad hoc arbitration
171
UNIT 8
172
ARBITRATION
173
noun verb noun verb
arbitration arbitrate determine
requirement invest
dispute scrutinize
mediation submit
award intervene
application legislate
5. In the above text find the English equivalents for the follow-
ing words and word combinations and make your own sentences
using them.
1) арбитражный процесс; 2) коммерческий, торговый арби-
траж; 3) торговый спор; 4) государство пребывания; 5) государ-
ственный арбитраж; 6) посредничество; 7) альтернативное уре-
гулирование споров; 8) Международная торговая палата (МТП);
9) ситуационный арбитраж; 10) Конвенция о признании и при-
ведении в исполнение иностранных арбитражных решений;
11) Типовой закон ЮНСИТРАЛ о международном коммерче-
ском арбитраже; 12) Комиссия ООН по праву международной
торговли (ЮНСИТРАЛ); 13) Прецедентное право по текстам
ЮНСИТРАЛ (ППТЮ); 14) вместо чего-либо.
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ARBITRATION
6. Choose the words from the group below to complete the text.
It may be necessary to change the form of the given words.
award, expertise, language, resolution, transaction (2), enforce,
arbitrator, home, bind, judicial, oblige
USE AND ADVANTAGES OF ARBITRATION
Arbitration is frequently the chosen mechanism for dispute 1) .... in
situations where there is either no court that has 2)... jurisdiction over
the parties, as is often the case in arbitrations between sovereign states,
or the parties want to avoid actual or perceived disadvantages of the
relevant 3) ... system. In particular for international commercial 4) ...
today dispute resolution by arbitration is the rule and not the excep-
tion. The main advantage of arbitration in these international 5) ... is
that it provides a level playing field for the parties involved. Neither
party must submit to the courts in the other party’s 6) ... country, and
the arbitral tribunal may be composed of 7) ... reflecting the parties’
different cultural and legal backgrounds. Furthermore the arbitrators
may be chosen for their 8) ... in the particular areas of business and
law involved in the dispute. The proceedings may be shaped in such
away as to take account of the international character of a dispute, for
example by allowing submissions in different 9) ..., letting witnesses
testify in their mother tongue, or facilitating service of documents.
Another major advantage of arbitration in international cases is that
arbitration awards can be 10) ... worldwide. More than 130 countries
are party to the New York Convention, Art. Ill of which 11)... the
courts of these Contracting States to enforce foreign awards unless one
of a very few bases to resist enforcement enumerated in Art. V exists.
Additional factors which may induce parties to submit a domestic or
international dispute to arbitration are the finality of 12) ... and the
reductions in time and costs that flow from the lack of a second (ap-
peals) instance, the perceived greater potential for settlement, and the
confidentiality of the proceedings.
7. Complete the sentences using the required information from
the above texts.
1. Depending on the parties and the nature of the dispute, one can
distinguish different types of arbitration, each of which have particular
features despite their common basic structure: ....
2. In commercial arbitration a distinction must be made between ....
3. Arbitration is a process in which the parties agree to refer their
disputes to ... .
175
UNIT 8
... the one hand and the nationalists ... the other.
2.Advocates no longer enjoy immunity ... law suits for neghgence
... relation ... civil or criminal litigation.
3. Mensrea, ... the sense of knowledge of the facts that make the
action criminal, is required by ... least two of the conspirators, even if
the crime agreed ... is one of strict liability.
178
ARBITRATION
179
UNIT 8
180
ARBITRATION
181
---------------------S в
1) arbitration c) a) country
2) statutory b) compromissoire
182
3) host c) agreement
4) investment d) tribunal
5) national e) law
6) commercial f) claim
7) clause g) provision
8) arbitral h) letters
9) damage i) case
10) exchange of letters j) arbitration
1
/7. Do the following
2 puzzle•
1. legally acceptable 3
2. to grant or bestow
3. to refer
4 (something to someone) for judgment or consideration
4. the right or power to administer justice and to apply laws
55. a contract or document containing such a settlement
6. to keep from happening, esp by taking precautionary action
6
7. a rule or set of rules, enforceable by the courts, regulating the
7
government of a state, the relationship between the organs of govern-
ment and the subjects of the state, and the relationship or conduct of
subjects towards each other 8
8. to insist (on) as
9 a term of an agreement
9. to take part, be or become actively involved, or share (in)
10. to break, disregard, or10infringe (a law, agreement, etc.)
11. something demanded or imposed as an obligation
11
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UNIT 8
17. Read the following text and give synonyms for the under-
lined words.
20. In the above texts find the English equivalents for the
following words and word combinations and make your own sen-
tences using them.
1) единоличный арбитр; 2) четное число; 3) третейский судья;
4) императивная норма; 5) Международная ассоциация юристов;
6) арбитражное соглашение; 7) необходимое условие; 8) законо-
положение, предписание закона, статута; 9) арбитражная ого-
ворка; 10) предоставлять юрисдикцию; И) иск о возмещении
убытков; 12) государство пребывания; 13) отнести к своей юрис-
дикции; 14) обмен письмами; 15) договорное обязательство. 21
185
UNIT 8
186
ARBITRATION
25. Read the text and give opposites for the underlined words.
THE AWARD
The majority of arbitrations settle long before the parties have made
their final submissions. Under many modem arbitration laws these
188
ARBITRATION
189
SUPPORT COMPLY
PROCEDURE ADMISSIBILITY
ENFORCE DETERMINE
ARBITRATE
190
A В
1) arbitrable а) арбитражный орган
2) arbitral authority / body b) арбитражный процесс
3) arbitrament с) разрешать спор третейским судом
4) cost of arbitration d) заявить отвод арбитру
5) arbitral procedure е) арбитражная оговорка
6) request for arbitration f) заявить о неправоспособности
арбитра
7) treaty of arbitration g) арбитражное соглашение
8) through arbitration h) многосторонний валютный
арбитраж
9) to recourse/ to resort i) подсудность (дела, спора) арбитражу
to arbitration
10) to settle by arbitration j) арбитражные издержки
191
11) to submit a dispute to k) подлежащий арбитражу
arbitration
12) arbitration agreement 1) арбитражное решение
13) arbitration award/ m) подчиниться решению арбитров/
arbitral award третейских судей
14) arbitration clause п) назначить арбитров / третейских
судей
15) international commer- о) в арбитражном порядке, через
cial arbitration третейский суд
16) compound arbitration р) отвод арбитра
of exchange
17) disqualification of an q) передать спор на арбитраж
arbitrator
18) to challenge an г) государственный арбитраж
arbitrator
19) to propose the s) просьба об арбитраже
disqualification of an
arbitrator
20) challenge of an t) арбитраж
arbitrator
21) arbitrability и) обратиться в арбитраж/ к
третейскому суду
22) res judicata v) международный коммерческий
арбитраж
23) to submit to the w) решение третейского суда,
decision of the arbiters арбитража
24) arbitral tribunal х) договор об арбитраже
25) to appoint arbiters у) неправоспособность арбитра
26) state arbitration z) принцип недопустимости
повторного рассмотрения, однажды
решенного дела
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ARBITRATION
193
UNIT 8
2. The agreement endorses, inter ..., the right to free and fair elec-
tions.
3. Arbitrators are appointed by the parties in accordance with the
terms of the arbitration ... or in default by a court.
4. The ... Law is written in a user-friendly way and covers all stages
of the arbitral process.
5. An ... is bound to apply the law accurately.
6. Consent to arbitration by a state can be given by inclusion of a
special arbitration ... in a treaty.
7. The group met ... hoc, whenever the need arose.
8. The governing ... arbitration law in international cases generally
depends on the place of arbitration.
9. The place of arbitration is a legal concept which is independent
of the place of the hearings or the ... of the parties or the arbitrators.
10. In commercial arbitration a distinction must be made between
national or ... cases and international cases.
IL Fill in the prepositions where necessary.
1. Decisions were often made ... the basis ... incorrect informa-
tion.
2. The basic reason ... obeying conventions is to ensure that the
machinery ... government should function smoothly
3. The government is to impose stringent restrictions ... the number
...immigrants to be allowed ... the country.
4. There is an enforceable right... compensation ... unlawful deten-
tion.
5. The company’s results are ... line ... stock market expectations.
6. The Sex Discrimination Act 1972 provides a range of control ...
discrimination based ... sex.
7. It is important ... relation ... what the company can and cannot
do both as regard ... the world and ... relation ... its shareholders.
8. Judges in Florida, ... example, possess authority to submit most
types ... cases to mediation or arbitration ... Ueu ... litigation.
Ill. Translate the article from The UNCITRAL Model Law on
International Commercial Arbitration into Russian.
Article 7 Definition and form of arbitration agreement
(1) “Arbitration agreement” is an agreement by the parties to sub-
mit to arbitration all or certain disputes which have arisen or which
may arise between them in respect of a defined legal relationship,
whether contractual or not. An arbitration agreement may be in the
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ARBITRATION
195
PART II ADDITIONAL TEXTS
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just act; and (3) the control and harm directly caused the plaintiff’s
injury or unjust loss.
The alter ego doctrine allows courts to pierce the corporate veil
when two factors exist: (1) the shareholder or shareholders disregard
the separate corporate entity and use the corporation as a tool for per-
sonal business, merging their separate entities with that of the corpora-
tion and making the corporation merely their alter ego; and (2) recog-
nizing the corporation and shareholders as separate entities would give
court approval to fraud or cause an unfair result.
West's encyclopedia of American law
PARTNERSHIP
The formation of a partnership requires a voluntary “association”
of persons who “coown” the business and intend to conduct the busi-
ness for profit. Persons can form a partnership by written or oral
agreement, and a partnership agreement often governs the partners’
relations to each other and to the partnership. The term person gen-
erally includes individuals, corporations, and other partnerships and
business associations. Accordingly, some partnerships may contain in-
dividuals as well as large corporations. Family members may also form
and operate a partnership, but courts generally look closely at the
structure of a family business before recognizing it as a partnership for
the benefit of the firm’s creditors.
Certain conduct may lead to the creation of an implied partner-
ship. Generally, if a person receives a portion of the profits from a
business enterprise, the receipt of the profits is evidence of a partner-
ship. If, however, a person receives a share of profits as repayment of
a debt, wages, rent, or an annuity, such transactions are considered
“protected relationships” and do not lead to a legal inference that a
partnership exists.
Each partner has a right to share in the profits of the partnership.
Unless the partnership agreement states otherwise, partners share prof-
its equally. Moreover, partners must contribute equally to partnership
losses unless a partnership agreement provides for another arrange-
ment. In some jurisdictions a partner is entitled to the return of her or
his capital contributions.
In addition to sharing in the profits, each partner also has a right to
participate equally in the management of the partnership. In many part-
nerships a majority vote resolves disputes relating to management of the
partnership. Nevertheless, some decisions, such as admitting a new part-
ner or expelling a partner, require the partners’ unanimous consent.
197
ADDITIONAL TEXTS
LIMITED PARTNERSHIPS
A limited partnership is similar in many respects to a general part-
nership, with one essential difference. Unlike a general partnership, a
limited partnership has one or more partners who cannot participate in
the management and control of the partnership’s business. A partner
who has such limited participation is considered a “limited partner”
and does not generally incur personal liability for the partnership’s
obligations. Generally, the extent of liability for a limited partner is
the limited partner’s capital contributions to the partnership. For this
reason, limited partnerships are often used to provide capital to a
partnership through the capital contributions of its limited partners.
Limited partnerships are frequently used in real estate and entertain-
ment-related transactions.
The limited partnership did not exist at common law. Like a gen-
eral partnership, however, a limited partnership may govern its affairs
according to a limited partnership agreement. Such an agreement,
however, will be subject to applicable state law. States have for the
most part rehed on the Uniform Limited Partnership Act in adopting
their limited partnership legislation. The Uniform Limited Partner-
ship Act was revised in 1976 and 1985. Accordingly, a few states have
retained the old uniform act, and other states have rehed on either
revision to the uniform act or on both revisions to the uniform act.
A limited partnership must have one or more general partners who
manage the business and who are personally Uable for partnership
debts. Although one partner may be both a limited and a general
partner, at all times there must be at least two different partners in
a limited partnership. A limited partner may lose protection against
personal liability if she or he participates in the management and con-
198
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199
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200
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201
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202
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203
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204
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The effect of this trend is that all nations with even partially con-
vertible currencies are exposed to the fluctuations in the currency mar-
kets. A rise in the value of the local currency due to these daily flows
vis-a-vis other currencies makes exports more expensive (at least in the
short run) and can add to the trade deficit or reduce the trade surplus.
A rising currency value will also deter foreign investment in the coun-
try and encourage outflow of investment.
It may also encourage a decrease in the interest rates in the country
if the central bank of that country wants to maintain the currency ex-
change rate and a decrease in the interest rate would spur local invest-
ment. An interesting example is the Mexican meltdown in early 1995
and the massive devaluation of the peso, which was exacerbated by the
withdrawal of money by foreign investors. The massive depreciation of
many Asian currencies in the 1997 to 1999 period, known as the Asian
financial crisis, is also an instance of the influence of these short-term
movements of money. Today, the influence of these short-term money
flows is a far more powerful determinant of exchange rates than an
investment by a Japanese or German automaker.
Despite its economic size, the United States continues to be rela-
tively more insulated from the global economy than other nations.
Most of what Americans consume is produced in the United States —
which implies that, in the absence of a chain reaction from abroad, the
United States is relatively more insulated from external shocks than,
say, Germany and China.
Masaaki Kotabe “Encyclopedia of Business And Finance ”
INTERNATIONAL INVESTMENT
International business is not a new phenomenon; it extends back
into history beyond the Phoenicians around 1200 B.C.E.. Products
have been traded across borders throughout recorded civilization, ex-
tending back beyond the Silk Road that once connected East with
West from Xian to Rome. The Silk Road was probably the most in-
fluential international trade route of the last two millennia, literally
shaping the world as it is known today. For example, pasta, cheese,
and ice cream, as well as the compass and explosives, were brought to
the Western world from China via the Silk Road.
What is relatively new — beginning first with large U.S. compa-
nies in the 1950s and 1960s, second with European and Japanese
companies in the 1970s and 1980s, and third with companies from
emerging economies in Asia and Latin America in particular — is the
large number of companies engaged in international investment with
206
ADDITIONAL TEXTS
INVESTMENTS
There was a time when many individuals thought that investing
was for the rich and that very few people could afford to take on the
risk that investments appeared to require. But, of course, times have
changed; many Americans do invest. They realize that their long-term
financial security does not look promising if it is based only on Social
Security and company-provided pension plans. Both the numbers of
207
ADDITIONAL TEXTS
ИНВЕСТИЦИОННАЯ ДЕЯТЕЛЬНОСТЬ
Инвестиционная деятельность — вложение инвестиций
(денежных средств, целевых банковских вкладов, пая, акций,
технологий, машин, оборудования, кредитов, имущественных
прав, интеллектуальных ценностей) или инвестирование, а так-
же совокупность практических действий по реализации инве-
стиций.
Субъекты И. Д.: 1) инвесторы; 2) заказчики; 3) исполнители
работ; 4) пользователи объектов инвестиционной деятельности;
5) поставщики; 6) банковские, страховые и посреднические ор-
ганизации, инвестиционные биржи; 7) физические и юридиче-
ские лица, в том числе иностранные; 8) государства и междуна-
родные организации.
Инвесторы могут выступать в роли вкладчиков, заказчиков,
кре-
диторов, покупателей, а также выполнять функции любого другого
участника инвестиционной деятельности на равных правах.
Субъекты инвестиционной деятельности обязаны: 1) соблю-
дать нормы и стандарты; 2) выполнять требования государствен-
ных органов и должностных лиц, которые предъявляются в пре-
делах их компетенции.
Инвестиционная деятельность осуществляется за счет: 1) соб-
ственных финансовых ресурсов; 2) заемных финансовых средств
инвесторов; 3) привлеченных финансовых средств инвестора; 4) де-
нежных средств, которые централизуются объединениями пред-
приятий в установленном порядке; 5) инвестиционных ассигнова-
ний из государственных бюджетов; 6) иностранных инвестиций.
Объектами И. Д. являются: 1) основные фонды и оборот-
ные средства; 2) ценные бумаги, целевые денежные вклады;
3) научно-техническая продукция и другие объекты собствен-
ности; 4) имущественные права; 5) права на интеллектуальную
собственность.
Инвестор самостоятельно определяет объемы, направления,
размеры и эффективность инвестиций, привлекает на договор-
ной основе физических и юридических лиц, необходимых для
реализации инвестиций. Инвестор имеет право владеть, поль-
зоваться, распоряжаться объектами и результатами инвестиций,
осуществлять торговые операции.
Прекращение или приостановление инвестиционной деятель-
ности производится в установленном законодательством поряд-
ке. При этом инвесторы возмещают другим участникам инве-
стиционной деятельности убытки, упущенную выгоду, которые
209
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210
ADDITIONAL TEXTS
211
ADDITIONAL TEXTS
UNIT 3 CONTRACTS
212
ADDITIONAL TEXTS
213
ADDITIONAL TEXTS
214
ADDITIONAL TEXTS
the promisor refuses to pay the creditor $500, then the creditor may
sue the promisor and prevail. Although the creditor is not a party
to their contract, both the debtor and the promisor intend that the
creditor should be the beneficiary of the contract and have enforceable
rights against the promisor, since he or she is to pay the creditor. The
debtor or the creditor may sue to enforce the promisor’s promise to
pay. The creditor’s right to enforce the contract between the debtor
and the promisor is effective only when he or she learns of, and assents
to, the contract. The creditor may also sue the debtor for the $500, as
the debtor had a legal duty to pay this loan. The debtor then may sue
the promisor for breach of contract for refusing to pay the creditor.
A donee beneficiary of the contract is a nonparty who benefits
from a promise that is made for the purpose of making a gift to him
or her. A donor wishes to give a donee $200 as an anniversary present.
The donor plans to sell a television set for $200 to a purchaser, who
promises to pay the donee the $200 directly. The donee is a donee
beneficiary of the purchaser’s promise to pay the money and may en-
force this claim against the purchaser. The donee has no claim against
the donor, the promisee, as the donor has no legal duty to the donee
but is merely giv- ing the donee a gift. However, the donor will be able
to sue the purchaser for refusal to pay the donee, because it would be
a breach of the terms of their contract of sale.
The difference between a creditor beneficiary and a donee benefici-
ary becomes significant when the parties to a contract attempt to alter
the rights of the third-party beneficiary. The promisor and the prom-
isee have no right or power to alter the accrued rights of the done ben-
eficiary without consent unless this power was expressly reserved in the
contract, regardless of whether the donee knows about the contract. A
donee beneficiary’s rights become effective when the contract is made
for his or her benefit, regardless of whether he or she knows about the
contract. In contrast, a creditor beneficiary’s rights vest only when the
creditor beneficiary learns of, and assents to, the contract.
West's encyclopedia of American law
MINORS’ CONTRACTS
Those who have not reached the age of 18 are regarded in English
law as ‘minors’ and as such have limited capacity to enter into contracts.
The choice of age for this purpose is inevitably somewhat arbitrary, but
follows the general law as to the age at which a person attains ‘major-
ity’ for many purposes of the law. It indicates that the object of the
rules is largely paternalistic — that is, it is intended to protect minors
215
ADDITIONAL TEXTS
АГЕНТСКИЙ ДОГОВОР
Агентский договор — договор, в силу которого одна сторона
(агент) обязуется за вознаграждение совершать по поручению
другой стороны (принципала) юридические и иные действия от
своего имени, но за счет принципала либо от имени и за счет
принципала.
Агентский договор является разновидностью договора услуг.
В большинстве случаев агентский договор используется в сфе-
ре предпринимательской деятельности. Однако он допустим и
в иных гражданско-правовых отношениях, например в сфере
творческой деятельности агентский договор может быть связан с
приобретением, передачей или использованием исключительных
прав (авторов или патентообладателей).
216
ADDITIONAL TEXTS
ДОГОВОР
Договор — соглашение двух или нескольких лиц об установ-
лении, изменении или прекращении гражданских прав и обязан-
ностей.
Договор — наиболее распространенный вид сделок. К до-
говору применяют правила о двусторонних и многосторонних
сделках. В Гражданском Кодексе закреплен принцип свободы
договора, который выражается в предоставлении гражданам и
юридическим лицам возможности самостоятельно по своему
усмотрению решать вопросы о необходимости заключения до-
говора при наличии в этом интереса.
Содержание договора — совокупность условий, на которых
он заключен. Все условия подразделяются на: существенные;
обычные; случайные.
217
ADDITIONAL TEXTS
ДОГОВОР ПОСТАВКИ
Договор поставки — договор, по которому поставщик, осущест-
вляющий предпринимательскую деятельность, обязуется передать
в обусловленный срок или сроки производимые или закупаемые
им товары покупателю для использования в предпринимательской
деятельности или в иных целях, не связанных с личным, семей-
ным, домашним и иным подобным использованием.
Сторонами в договоре являются поставщик и покупатель.
В качестве поставщика может быть гражданин или коммер-
ческая организация. Поставщик либо сам производит постав-
ляемую продукцию, либо приобретает ее. Покупателем могут
быть любые лица, кроме граждан, которые приобретают товар
для нужд, направленных на удовлетворение личных потребно-
стей.
Предмет договора поставки — это любые вещи и предметы,
находящиеся в гражданском обороте и не изъятые из него. Пред-
метом поставки должен быть именно тот товар, который постав-
щик либо производит, либо продает. Цель покупки товара — ис-
пользование в предпринимательской или иной деятельности, не
связанной с личным использованием. Существенным условием
поставки является срок передачи товаров, так как заключение и
передача, как правило, не совпадают. Цена договора не относит-
ся к существенным условиям договора, и она определяется по
соглашению сторон.
Форма договора поставки — письменная.
Обязанности поставщика: 1) передать покупателю товар,
предусмотренный договором поставки; 2) одновременно с пере-
дачей вещи передать покупателю ее принадлежности; 3) пере-
дать относящиеся к товару документы; 4) передать покупателю
товар свободным от любых прав третьих лиц; 5) продавец обя-
зан передать товар в количестве, предусмотренном по договору;
6) передать товар в ассортименте, т.е. по видам, цветам; 7) пере-
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note is discounted, the interest is taken off the principal amount at the
beginning of the loan. The borrower pays back the entire amount, even
though he only received the principal minus the interest. This practice is
not very common because it is a higher effective rate of interest than the
stated rate for the borrower. A compensating balance is usually required
for large loans or lines of credit. It requires that the borrower maintain
an account with a specified minimum level account balance at the lend-
ing institution (usually a bank). This account balance earns little or no
interest and also raises the effective interest rate of the loan. Default
terms (what happens if a payment is missed or the loan is note paid off
by its due date) should also be spelled out in the promissory note.
When signing a promissory note, both the lender and the person
receiving the loan should be fully aware of the note’s language. One
obvious way to do this is to read the promissory note carefully and in
its entirety before committing a signature to it. If there are any ques-
tions or confusion regarding the contents of the promissory note, a
certified public accountant (CPA) or lawyer should be called on to
make sure everything is understandable. When a casual promissory
note is drawn up between two individuals, the IRS has a required in-
terest rate. A CPA can help determine if the interest rate stated in the
promissory note is too low and if it wifi result in penalties or automati-
cally be raised. If the loan is interest free, the IRS may consider it a
gift and require that a gift tax be paid on it.
Another point that businesses may want to consider when drafting a
promissory note is what to do in case the business does not succeed. If
the business is a corporation or limited liability company, it should be
determined if the corporate shareholders or limited liability members
will personally guarantee the loan. If this is not the case, they have no
personal legal obligation to repay the loan in a worst case scenario.
Kevin Hillstrom, Laurie Collier Hillstrom
UNIFORM COMMERCIAL CODE
A general and inclusive group of laws adopted, at least partially,
by all the states to further uniformity and fair dealing in business and
commercial transactions.
The Uniform Commercial Code (UCC) is a set of suggested laws
relating to commercial transactions. The UCC was one of many uniform
codes that grew out of a late nineteenth century movement toward
uniformity among state laws. In 1890 the American Bar Association,
an association of lawyers, proposed that states identify areas of law that
could be made uniform throughout the nation, prepare fists of such
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ВЕКСЕЛЬ
Вексель — один из видов ценных бумаг, является объектом
гражданского правоотношения. Он используется как средство
платежа и кредитования. Предметом вексельного обязательства
являются только деньги.
Вексель бывает простым и переводным. В правоотношении,
которое порождается простым векселем, участвуют два лица:
векселедатель и векселедержатель (кредитор). Обязательства,
которые вытекают из переводного векселя, связывают как ми-
нимум трех лиц, а именно: векселедателя, плательщика и вексе-
ледержателя. Переводной вексель — ценная бумага, содержащая
ничем не обусловленное предложение векселедателя (трассанта)
плательщику (трассату) уплатить в определенный срок векселе-
держателю (ремитенту) или его приказу установленную в векселе
денежную сумму.
Вексель может быть передан посредством индоссамента (пе-
редаточной надписи), который бывает полным (переносящим
все права по векселю); инкассовым (не переносящим всех прав);
залоговым (служит целям обеспечения тех имущественных тре-
бований, которые может иметь векселедержатель к своему пред-
шественнику).
Сроки платежа по векселю могут быть такими: на
определенный
день; по предъявлении; во столько-то времени от предъявления; во
столько-то времени от составления. Другие способы обозначения
срока платежа по векселю влекут его недействительность.
Место платежа — место жительства трассата либо место жи-
тельства векселедателя, если иное не установлено в самом век-
селе (например, место жительства третьего лица, оплачивающего
вексель за плательщика).
Дата составления в векселе обычно обозначается рядом с
местом его составления. Подпись векселедателя завершает до-
кумент и придает ему вексельную силу.
Способом обеспечения платежа по векселю выступает аваль,
который может быть дан третьим лицом или всяким подписав-
шим вексель.
Ответственность всех обязанных по векселю лиц перед вексе-
ледержателем является солидарной. Вексельному кредитору при-
надлежит право предъявить иск ко всем обязанным лицам или к
каждому в отдельности. Лицо, оплатившее вексель, приобретает
право требования к оставшимся вексельным должникам, заме-
щая собой векселедержателя.
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the same type of bond and, infrequently, the same name will be applied
to two quite different bonds. Standard types include the following:
• Mortgage bonds are secured by the pledge of specific property. If
default occurs, the bondholders are entitled to sell the pledged prop-
erty to satisfy their claims. If the sale proceeds are insufficient to cover
their claims, they have an unsecured claim on the corporation’s other
assets.
• Debentures are unsecured general obligations of the issuing cor-
poration. The indenture will regularly limit issuance of additional se-
cured and unsecured debt.
• Collateral trust bonds are backed by other securities (typically
held by a trustee). Such bonds are frequently issued by a parent cor-
poration pledging securities owned by a subsidiary.
• Equipment obligations (or equipment trust certificates) are
backed by specific pieces of equipment (for example, railroad rolling
stock or aircraft).
• Subordinated debentures have a lower priority in bankruptcy
than unsubordinated debentures; junior claims are generally paid only
after senior claims have been satisfied.
• Convertible bonds give the owner the option either to be repaid
in cash or to exchange the bonds for a specified number of shares in
the corporation.
Corporate bonds have differing degrees of risk. Bond rating agen-
cies (for example, Moody’s) provide an indication of the relative de-
fault risk of bonds with ratings that range from Aaa (the best quahty)
to C (the lowest). Bonds rated Baa and above are typically referred to
as “investment grade”. Below-investment-grade bonds are sometimes
referred to as “junk bonds”. Junk bonds can carry promised yields that
are 3 to 6 percent (300 to 600 basis points) higher than Aaa bonds
Clifford W. Smith «Bonds»
DESIGN PROTECTION
Designs are covered by various forms of IPR, including design pat-
ent, copyright, trademark and trade dress, and sui generis registration
systems. The protection of non-utilitarian designs has long been a prob-
lematic area for intellectual property law. The traditional 'utility patent’
is granted with respect to a useful or functional invention. It is not suited
to nonfunctional aesthetic design. In a number of jurisdictions, this led
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at WIPO, and have entered into force. Among other things, negotiations
on substantive patent law harmonization continue at WIPO, although
the pace of these negotiations is slow due to continuing differences in
national perceptions concerning the appropriate standards of protec-
tion. WIPO is cooperating with the governing body of the Convention
on Biological Diversity in the development of rules on the relationship
between intellectual property rights and genetic resources, as well as
traditional knowledge. Third, WIPO is increasingly assuming a role as
forum for alternative dispute resolution with respect to intellectual prop-
erty rights, including those that protect domain names on the Internet.
The most controversial of the ongoing WIPO negotiations con-
cerns substantive patent law harmonization. Recall that the earhest
efforts to negotiate the Paris Convention included proposals to create
harmonized international patent law. Why is this subject matter so
controversial? First, there is a substantial disparity in the capacity of
countries to develop new technologies and commercialize them. The
vast preponderance of patents is owned by enterprises in the industri-
alized countries. Developing countries are, on the whole, substantial
‘net payers’ for technology. While it may seem like a good idea from
the standpoint of someone in the United States or Germany to have
harmonized worldwide patent standards which would be based on the
rules estabhshed in the highly industrialized countries, which rules
would pave the way for a system in which multinational companies
ultimately could apply for a single patent and obtain worldwide mo-
nopolies for their new products, this idea is looked at differently from
the standpoint of people in countries who mainly pay higher prices for
patented products, that is, the net payers. Under the TRIPS Agree-
ment, countries currently have substantial discretion in the way they
define the criteria of patentability. This gives them the ability to con-
trol how easy or difficult it is to obtain patents. A country which is a
net payer for technology may wish to make it more difficult to obtain
patents, for example, by imposing a strict standard for inventive step.
Also, there is concern among some developing countries that issues of
importance to them, such as the protection of biodiverse resources, will
not be given enough attention in these negotiations. Finally, but not
exhaustively, even among the most highly developed countries like the
United States and the EU there remain some significant differences in
the way that the patent systems function and on which there is yet to
be agreement on harmonization. For all these reasons, the substantive
patent law harmonization negotiations at WIPO are contentious.
Frederick M. Abbott “Intellectual property rights in world trade ”
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TYPES OF TRADEMARKS
The term trademark is commonly used to describe many different
types of devices that label, identify and distinguish products or services
in the marketplace. The basic purpose of all these devices is to inform
potential customers of the origin and quahty of the underlying prod-
ucts or services.
A trademark is a distinctive word, phrase, logo, graphic symbol,
slogan or other device that is used to identify the source of a prod-
uct and to distinguish a manufacturer’s or merchant’s products from
others. Some examples are Nike sports apparel, Gatorade beverages
and Microsoft software. In the trademark context, “distinctive” means
unique enough to help customers recognize a particular product in the
marketplace. A mark may either be inherently distinctive (the mark is
unusual in and of itself, such as Milky Way candy bars) or may become
distinctive over time because customers come to associate the mark
with the product or service (for example, Beef & Brew restaurants).
Consumers often make their purchasing choices on the basis of
recognizable trademarks. For this reason, the main thrust of trademark
law is to make sure that trademarks don’t overlap in a manner that
causes customers to become confused about the source of a product.
However, in the case of trademarks that have become famous — for
example, McDonald’s — the courts are willing to prohibit a wider
range of uses of the trademark (or anything close to it) by anyone
other than the famous mark’s owner. For instance, McDonald’s was
able to prevent the use of the mark McSleep by a motel chain because
McSleep traded on the McDonald’s mark reputation for a particular
type of service (quick, inexpensive, standardized). This type of sweep-
ing protection is authorized by federal and state statutes (referred to
as antidilution laws) designed to prevent the weakening of a famous
mark’s reputation for quahty.
Nolo’s Encyclopedia of Everyday Law
COPYRIGHTS
It has long been recognized that everyone benefits when creative
people are encouraged to develop new intellectual and artistic works.
When the United States Constitution was written in 1787, the framers
took care to include a copyright clause (Article I, Section 8) giving
Congress the power to “promote the Progress of Science and useful
Arts” by passing laws that give creative people exclusive rights in their
own artistic works for a limited period of time.
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NEGLIGENCE
Conduct that falls below the standards of behavior established by
law for the protection of others against unreasonable risk of harm. A
person has acted neghgently if he or she has departed from the con-
duct expected of a reasonably prudent person acting under similar
circumstances.
In order to establish negligence as a cause of action under the law
of torts, a plaintiff must prove that the defendant had a duty to the
plaintiff, the defendant breached that duty by failing to conform to the
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DEFAMATION
Any intentional false communication, either written or spoken,
that harms a person’s reputation; decreases the respect, regard, or
confidence in which a person is held; or induces disparaging, hostile,
or disagreeable opinions or feelings against a person.
Defamation may be a criminal or civil chaige. It encompasses both
written statements, known as libel, and spoken statements, called
slander.
The probability that a plaintiff will recover damages in a defama-
tion suit depends largely on whether the plaintiff is a public or private
figure in the eyes of the law. The public figure law of defamation was
first delineated in New York Times v. Sullivan. In Sullivan, the plain-
tiff, a police official, claimed that false allegations about him appeared
in the New York Times, and sued the newspaper for Ubel. The Su-
preme Court balanced the plaintiff’s interest in preserving his reputa-
tion against the public’s interest in freedom of expression in the area of
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political debate. It held that a public official alleging Ubel must prove
actual malice in order to recover damages. The Court declared that the
first amendment protects open and robust debate on public issues even
when such debate includes “vehement, caustic, unpleasantly sharp at-
tacks on government and public officials.” A public official or other
plaintiff who has voluntarily assumed a position in the public eye must
prove that defamatory statements were made with knowledge that they
were false or with reckless disregard of whether they were false.
Where the plaintiff in a defamation action is a private citizen who
is not in the public eye, the law extends a lesser degree of constitu-
tional protection to defamatory statements. Public figures voluntarily
place themselves in a position that invites close scrutiny, whereas pri-
vate citizens who have not entered public life do not relinquish their
interest in protecting their reputation. In addition, public figures have
greater access to the means to publicly counteract false statements
about them. For these reasons, a private citizen’s reputation and pri-
vacy interests tend to outweigh free speech considerations and deserve
greater protection from the courts.
Distinguishing between public and private figures for the purposes
of defamation law is sometimes difficult. For an individual to be con-
sidered a public figure in all situations, the person’s name must be so
familiar as to be a household word — for example, Michael Jordan.
Because most people do not fit into that category of notoriety, the
Court recognized the limited- purpose public figure, who is voluntar-
ily injected into a public controversy and becomes a public figure for
a limited range of issues. Limited- purpose public figures, like public
figures, have at least temporary access to the means to counteract false
statements about them. They also voluntarily place themselves in the
public eye and consequently relinquish some of their privacy rights.
For these reasons, false statements about limited-purpose public fig-
ures that relate to the public controversies in which those figures are
involved are not considered defamatory unless they meet the actual-
malice test set forth in Sullivan.
Determining who is a limited-purpose public figure can also be
prob-
lematic. In Time, Inc. v. Firestone, the Court held that the plaintiff, a
prominent sociahte involved in a scandalous divorce, was not a public
figure because her divorce was not a public controversy and because she
had not voluntarily involved herself in a public controversy. The Court
recognized that the divorce was newsworthy, but drew a distinction
between matters of public interest and matters of public controversy. In
Hutchinson v. Proxmire, the Court determined that a scientist whose
federahy supported research was ridiculed as wasteful by Senator
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THEORIES OF LIABILITY
In most jurisdictions, a plaintiff’s cause of action may be based on
one or more of four different theories: neghgence, breach of warranty,
misreprsentation, and strict tort liability.
Negligence refers to the absence of, or failure to exercise, proper or
ordinary care. It means that an individual who had a legal obligation
either omitted to do what should have been done or did something
that should not have been done.
A manufacturer can be held liable for neghgence if lack of reason-
able care in the production, design, or assembly of the manufacturer’s
product caused harm. For example, a manufacturing company might
be found neghgent if its employees did not perform their work prop-
erly or if management sanctioned improper procedures and an unsafe
product was made.
Breach of warranty refers to the failure of a seller to fulfill the terms
of a promise, claim, or representation made concerning the quahty or
type of the product. The law assumes that a seller gives certain war-
ranties concerning goods that are sold and that he or she must stand
behind these assertions. Misrepresentation in the advertising and sales
promotion of a product refers to the process of giving consumers false
security about the safety of a particular product, ordinarily by draw-
ing attention away from the hazards of its use. An action Ues in the
intentional concealment of potential hazards or in neghgent misrep-
resentation.
The key to recovery on the basis of misrepresentation is the plain-
tiff ’s ability to prove that he rehed upon the representations that
were made. Misrepresentation can be argued under a theory of breach
of express warranty or a theory of strict tort liability. Strict liability
involves extending the responsibility of the vendor or manufacturer
to ah individuals who might be injured by the product, even in the
absence of fault. Injured guests, bystanders, or others with no direct
relationship to the product may sue for damages caused by the prod-
uct. An injured party must prove that the item was defective, the defect
proximately caused the injury, and the defect rendered the product
unreasonably dangerous.
West’s Encyclopedia of American Law
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НЕОСТОРОЖНОСТЬ
Неосторожность — самостоятельная форма вины. Преступле-
нием, совершенным по неосторожности, признается деяние, со-
вершенное по легкомыслию или небрежности.
Неосторожная вина возможна при совершении преступлений
с материальным составом.
Преступление признается совершенным по легкомыслию,
если лицо предвидело возможность наступления обществен-
но опасных последствий своих действий (бездействия), но без
достаточных к тому оснований самонадеянно рассчитывало на
предотвращение этих последствий.
Преступление признается совершенным по небрежности,
если лицо не предвидело возможности наступления обществен-
но опасных последствий своих действий (бездействия), хотя при
необходимой внимательности и предусмотрительности должно
было и могло предвидеть эти последствия.
При совершении преступления по легкомыслию субъект,
как и при косвенном умысле, предвидит возможность наступле-
ния общественно опасных последствий. Однако при косвенном
умысле он, не желая их наступления, допускает их или относится
к их наступлению с безразличием, а при легкомысленной вине
лицо рассчитывает самонадеянно на их предотвращение.
В волевом моменте небрежности выделяются два критерия:
объективный и субъективный.
К объективному критерию небрежности относится то, что
лицо при внимательности и предусмотрительности должно было
предвидеть возможность наступления последствий. Данная обя-
занность может основываться на законе, должностном статусе,
профессиональных функциях. Необходимо также установить,
имело ли лицо в данном случае реальную возможность предви-
деть наступление последствий, что определяется особенностями
ситуации, в которой совершается преступление, индивидуаль-
ными качествами данного лица. Объективный критерий может
обусловливаться родом деятельности человека, его опытом, зна-
ниями.
Субъективный критерий выражается в том, что лицо при
необходимой внимательности может предвидеть общественно
опасное последствие и предотвратить его. Способность предви-
деть последствия у людей неодинакова и определяется уровнем
образования, особенностями психики, наличием жизненного
опыта, состоянием здоровья.
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1) вину потерпевшего;
2) имущественное положение причинителя;
3) что действия причинителя не носили умышленного
характера.
Увеличение размера возмещение вреда жизни или здоровью
предусматривается законом или договором.
Большая юридическая энциклопедия
ДЕЛИКТ
Деликт (правонарушение) — антиобщественное деяние, при-
чиняющее вред обществу и караемое по закону, за него законом
предусматривается гражданская, административная, дисципли-
нарная и уголовная ответственность.
Подразделяются деликты на:
1) гражданские. Установленные нормами гражданского права
юридические последствия неисполнения или ненадлежащего ис-
полнения лицом своих обязанностей, связанных с нарушением
субъективных гражданских прав другого лица. Ответственность
заключается в применении к правонарушителю в интересах дру-
гого лица установленных законом или договором мер воздей-
ствия, влекущих для должника экономически невыгодные по-
следствия имущественного характера (возмещение вреда, уплату
неустойки), или может выражаться и в применении к наруши-
телю неимущественных санкций (например, требования опро-
вергнуть распространявшиеся им сведения, порочащие честь и
достоинство граждан и организаций);
2) административные. К административной ответственности
виновные привлекаются на основании законодательства, дей-
ствующего во время и по месту совершения правонарушения;
3) дисциплинарные проступки (прогул и т.п.). Ответствен-
ность заключается в наложении дисциплинарного взыскания.
При наложении взыскания учитываются объяснения нарушите-
ля, тяжесть совершенного проступка, обстоятельства, при кото-
рых он совершен, предшествующая работа и поведение.
Дисциплинарные взыскания: а) замечание; б) выговор;
в) строгий выговор; г) увольнение с работы; 4) уголовные.
Наиболее опасный вид — преступление. Правовое последствие
совершения преступления заключается в применении к виновно-
му государственного принуждения в форме наказания. Привле-
чение к ответственности означает возбуждение уголовного дела,
последующее расследование и судебное разбирательство. У совер-
шившего преступление возникает, с одной стороны, обязанность
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HISTORICAL BACKGROUND
Most of the changes made in family law in the late twentieth century
have been based on overturning concepts of marriage, family, and gen-
der that go back to European feudalism, canon (church) law, and cus-
tom. During Anglo- Saxon times in England, marriage and divorce were
private matters. Following the Norman conquest in 1066, however, the
legal status of a married woman was fixed by common law, and canon
law prescribed various rights and duties. The result was that the identity
of the wife was merged into that of the husband; he was a legal person
but she was not. Upon marriage, the husband received all the wife’s per-
sonal property and managed all the property owned by her. In return,
the husband was obliged to support the wife and their children.
This legal definition of marriage continued in the United States un-
til the middle of the nineteenth century, when states enacted married
women’s property acts. These acts conferred legal status upon wives and
permitted them to own and transfer property in their own right, to sue
and be sued, and to enter into contracts. Although these acts were sig-
nificant advances, they dealt only with property a woman inherited. The
husband, by placing title in his name, could control most of the assets
acquired during marriage, thus forcing the wife to rely on his bounty.
Divorce law has also changed over time. In colonial America,
divorce
was extremely rare. This was partly because obtaining a divorce decree
required legislative action, a process that was time-consuming and
costly.
Massachusetts in 1780 was the first state to allow judicial divorce. By
1900, every state except South Carolina provided for judicial divorce.
Even with availability, divorce remained a highly conflicted area of
law. The CathoUc Church labeled divorce a sin, and Protestant denomi-
nations saw it as a mark of moral degeneration. The adversarial proc-
ess presented another roadblock to divorce. In the nineteenth century,
consensual divorce was not known. For a couple to obtain a divorce,
one party to the marriage had to prove that the other had committed a
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wrong of such weight that the marriage must be ended. The need to find
fault was a legacy of family law that was not changed until the 1970s.
Finally, the issue of divorce raised the topic of child custody. Tra-
ditionally, fathers retained custody of their children. This tradition
weakened in the nineteenth century, as judges fashioned two doctrines
governing child custody. The “best-interests-of-the-child” doctrine
balanced a new right of the mother to custody of the child against
the assessment of the needs of the child. The “tender years” doctrine
arose after the Civil War, giving mothers a presumptive right to their
young children.
James J. Ponzetti, Jr. International Encyclopedia of Marriage and Family
REQUIREMENTS OF GETTING MARRIED
The requirements of getting married are simple, although they vary
from state to state. In general, a man and woman wishing to marry must
obtain a license in the state in which they wish to be married, usually
from a county clerk or a clerk of court. The fee usually is low.
Many states require the man and woman to have blood tests for
venereal disease-but generally not for AIDS-before the Ucense is is-
sued. Some states do not require this test if the two already have been
living together. If the test shows that a would-be spouse has a venereal
disease, certain states will not issue a Ucense. Other states wiU aUow
the marriage as long as the couple knows the disease is present.
In some states, the couple must show proof of immunity or vac-
cination for certain diseases. A few states demand a general physical
examination.
If one or both of the parties have been married before, the earher
marriage must have been ended by death, divorce, or annulment (al-
though in some states, if a marriage was never vaUd, a legal action for
annulment may not be necessary).
Parties who wish to marry must have the capacity to do so. That
means the man and woman must understand that they are being mar-
ried and what it means to be married. If because of drunkenness, men-
tal illness, or some other problem, one of the parties lacks capacity,
the marriage will not be vaUd.
Close blood relatives cannot marry, although in some states, first
cous-
ins can marry. Of the states that aUow first cousins to marry, a few also
require that one of the cousins no longer be able to conceive children.
Most, but not aU, states require a waiting period, generaUy one to
five days, between the time the Ucense is issued and the time of the
marriage ceremony. The purpose of the waiting period is to give a
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short time to cool off during which the parties can change their minds
if they wish. The waiting period can be waived for good reason. For
example, if the groom is arriving in the bride’s town only one day
before the wedding, but the state has a three-day waiting period, the
waiting period probably can be waived by a judge or clerk of court.
In almost all states, a man or woman may marry at age eighteen
without parental consent. Most states also allow persons age sixteen
and seventeen to marry with consent of their parents or a judge.
A marriage that is valid in the state or country where it was per-
formed generally will be considered valid in a state or country to which
the couple later moves, unless the marriage is considered to violate a
fundamental policy of the state to which the couple has moved.
http://public.fmdlaw.com/bookshelf-mdf/mdf-2-2.html
REASONS FOR PREMARITAL AGREEMENTS
People intending to marry use premarital agreements for several rea-
sons, some of which may be interrelated. Premarital agreements help
clarify the parties’ expectations and rights for the future. The agreements
may avoid uncertainties and fears about how a divorce court might di-
vide property and decide spousal support if the marriage fails.
A man or woman who wants a future spouse to sign a premarital
agreement often has something he or she wants to protect, usually
money. One or both partners may want to avoid the risk of a major
loss of assets, income, or a family business in the event of a divorce.
People marrying for a second or third time also might desire to make
sure that certain assets or personal belongings are passed on to the chil-
dren or grandchildren of prior marriages rather than to a current spouse.
The less wealthy spouse generally is giving something up by signing
a premarital agreement. That spouse (as well as the other spouse) is
agreeing to have his or her property rights determined by the agree-
ment rather than by the usual rules of law that a court would apply
on divorce or death. As will be discussed later (see chapter 10), courts
have rules for dividing property when a couple divorces. In some states
(such as California), courts automatically divide equally the property
acquired by the husband and wife during the marriage. In most states,
courts divide property as the court considers fair, and the result is less
predictable. The spht could be fifty-fifty or something else.
If one spouse dies, courts normally follow the instructions of that
person’s will, but under state laws the surviving spouse usually is en-
titled to one-third to one-half of the estate regardless of what the
deceased spouse’s will says. If the husband and wife have signed a
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with the other biological parent may not terminate completely even
though a legal relationship with the adoptive parent is established. This
approach is often followed in the United States. Thus, the adoptee
may be entitled to support from both the biological parents and the
adoptive parent. Similarly, the adoptee may be entitled to inherit from
both the adoptive parent and perhaps his or her relatives, as well as
from the biological parents and their relatives.
Islamic jurisprudence generally does not permit formal adoption.
However, some Islamic countries such as Somaha and Tunisia per-
mit adoption. Adoption is also possible in some circumstances among
Muslims in South Asia.
In some countries, the applicable family law rules may be deter-
mined by factors such as the individual’s citizenship, clan member-
ship, or religion. Accordingly, in a given country, adoption rules may
vary with the individuals involved, and indeed, may not be available
to some individuals at all. Thus, in India, the availability of adop-
tion is controlled by an individual’s rehgion. Statute permits adop-
tion among a broadly defined group of Hindus. The law, however,
does not apply to those who are Muslim, Christian, Parsi, or Jew by
rehgion. Ordinarily, these individuals cannot formally adopt a child,
although some of the objectives of adoption can be achieved using
the laws of guardianship or the rules regulating the distribution of
property by will.
James J. Ponzetti, Jr. “International Encyclopedia
of Marriage and Family "
БРАЧНЫЙ ДОГОВОР
Брачный договор — соглашение лиц, вступающих в брак, или
соглашение супругов, определяющее имущественные права и обя-
занности супругов в браке и (или) в случае его расторжения.
Появление в семейном законодательстве брачного договора
не означает, что все лица при вступлении в брак или в период
брака обязаны заключать такой договор. Закон лишь предостав-
ляет будущим супругам и супругам право самостоятельно опреде-
лять в брачном договоре свои имущественные взаимоотношения
в браке, но не обязывает их к этому.
Заключение брачного договора позволит супругам избежать
споров, которые часто возникают после прекращения брака.
Брачный договор может быть заключен как до государствен-
ной регистрации заключения брака, так и в любое время в пе-
риод брака.
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ОТВЕТСТВЕННОСТЬ СУПРУГОВ
ПО ОБЯЗАТЕЛЬСТВАМ
Ответственность по своим личным обязательствам супруги не-
сут как имуществом каждого из них, так и общим имуществом.
Законодательством, регулирующим семейные правоотношения,
установлено, что по обязательствам одного из супругов взыскание
может быть наложено лишь на имущество этого супруга, однако
в случае недостаточности этого имущества кредитор может тре-
бовать выдела доли супруга-должника, которая причиталась бы
супругу-должнику при разделе общего имущества супругов, для
обращения на нее взыскания. Если же обязательство супруга воз-
никло или связано с его долгом до вступления в брак или принято
им на себя хоть и во время брака, но в целях удовлетворения толь-
ко своих интересов или имеет целью покрыть расходы, необходи-
мые для сохранения или улучшения лишь ему принадлежащего
имущества — по таким обязательствам супруг отвечает только
принадлежащим ему имуществом. В случае, если будет установ-
лено, что полученное по обязательствам имущество было исполь-
зовано на нужды семьи, взыскание обращается на имущество,
находящееся в общей собственности супругов. Обязательствами
лишь одного, а не обоих супругов являются и те, которые непо-
средственно связаны с его личностью. По таким обязательствам
другой супруг не несет никакой ответственности.
Супруг обязан уведомлять своих кредиторов о заключении,
изменении или расторжении брачного договора, в свою очередь
кредиторы супруга-должника могут требовать изменения усло-
вий или расторжения заключенного между ними договора в свя-
зи с существенно изменившимися обстоятельствами.
Взыскание может быть обращено на общее имущество супру-
гов или его часть в случаях, когда установлено судом, что общее
имущество супругов было приобретено или увеличено за счет
средств, полученных одним из супругов преступным путем. Раз-
личают два случая:
1) взыскание имущества в возмещение ущерба, причиненного
преступлением одного супруга, за счет их имущества, находяще-
гося в их общей собственности;
2) конфискацию имущества супруга в виде наказания за со-
вершенное преступление. Конфискация может распространяться
на долю супруга в общем имуществе, однако она не распростра-
няется на долю другого супруга в общей собственности.
Большая юридическая энциклопедия
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UNIT 8 ARBITRATION
INTERNATIONAL ARBITRATION
International arbitration can refer to practices involving either com-
mercial disputes or disputes between states. The practice for states,
exemplified by disputes about borders, are ad hoc and infrequently
invoked. Of much more practical relevance at the beginning of the
twenty-first century is the system of private justice created to resolve
international business disputes, which has become the standard system
for international transactions. When two businesses with headquarters
in different countries enter into a contractual arrangement, the contract
wifi generally provide that any disputes relating to the contract will be
resolved through private arbitration. It is the default arrangement. In-
ternational commercial arbitration involves hundreds of international
commercial arbitration centers competing to have the most prominent
rosters of arbitrators and the largest number of high stakes international
cases. However, the number of international commercial arbitrations
is impossible to determine precisely since many of the arbitrations are
not administered by any formal organization, and there is no clear line
between domestic and international. International commercial arbitra-
tion may be institutional, under the auspices of one of the institutions
competing for the business of international commercial arbitration, or
it may be ad hoc, handled solely by the parties and their counsel. It is
especially difficult to count the ad hoc arbitrations.
International commercial arbitration — as arbitration generally —
involves a process whereby a third party issues an opinion that is
formally binding on the parties. Unlike domestic arbitration as it has
traditionally been practiced in the USA, international commercial ar-
bitrators typically write formal opinions. These formal opinions are
typically not published nor even made public informally. They belong
to the parties, who must therefore consent to any publication. The
awards made by the arbitrators are binding and very difficult to chal-
lenge or appeal. The New York Convention of 1958, which has been
adopted by well over 100 states, make an arbitral award in practice
more easily enforced within a contracting state than would be a judg-
ment obtained through litigation. In addition the procedures of inter-
national commercial arbitration have been converging around a set
of rules that tend to detach arbitration from its site and to emphasize
party autonomy. The UNCITRAL (United Nations Commission on
International Trade Law) model law has been the major model for this
convergence.
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lex mercatoria, but also tended to encourage the parties to find a way
to settle the dispute. The lex mercatoria could be used by the arbitra-
tors to find a solution that fit the business relationship and left the
parties satisfied with the result. Consistent with the general orientation
of the leading arbitrators and lawyers associated with the pioneers of
international commercial arbitration, the process was not very adver-
sarial, was relatively inexpensive except for the arbitrators, did not
tend to produce extensive documentary evidence, and did not contem-
plate such US practices as cross-examination of witnesses. The model
was quite consistent with Continental practices, even for others who
participated in the processes.
When the arbitration business began to take off in the 1970s and
1980s, it coincided with the rise to prominence of business litigation
in the USA. The US law firms in Paris, France, were long involved in
international commercial arbitration, but they tended to play accord-
ing to the Continental rules. As the practice of international commer-
cial arbitration grew and expanded outside of a relatively small circle
of people, US businesses became increasingly involved in arbitration,
and developing countries found it to be in their interests to hire US
law firms as well. The enhanced presence of US Utigators had im-
portant consequences. They naturally sought to use the techniques of
discovery, intensive production of documents, cross-examination of
witnesses, and more generally the kind of aggressive adversarial behav-
ior that was beginning to characterize litigation in the USA. They also
sought to retain arbitrators who would permit the lawyers to use the
techniques that they had developed. The result was that the processes
of international commercial arbitration changed substantially. They
did not become identical with US litigation, but they moved much
closer to US adversarialism.
Litigation in the USA had also been transformed, and that transfor-
mation had produced the beginnings of the alternative dispute resolu-
tion movement in that country. New organizations such as the Center
for Public Resources had begun to encourage corporations to practice
more mediation as a way to avoid the high costs and adversarial nature
of business litigation. The movement became quite influential in the
USA and some of the individuals associated with it began to suggest
that it would also be useful for international commercial arbitration.
As international commercial arbitration became more like US liti-
gation, however, the US-promoted alternative began to gain more
adherents within the international arbitration community. By the end
of the twentieth century, the menu of US alternatives — including
mediation but a range of others as well — had become much more
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common. This gradual transformation illustrates the way that the for-
mal categories of dispute resolution — litigation, arbitration, and even
mediation — can disguise profound transformations in the way that
the underlying practices proceed. The center of gravity of internation-
al commercial arbitration moved much closer to US-style litigation,
which was itself a relatively new invention, and the shift also helped to
bring the US-antidote, alternative dispute resolution.
B. Garth “International Encyclopedia of the Social & Behavioral
Sciences ”
BECOMING AN ARBITRATOR
The international commercial arbitration community is relatively
closed, often termed a ‘mafia’ even by insiders. One reason for this
'club’ is simply that for high stakes arbitration, the parties typically
want to select arbitrators who are known quantities. Untested arbi-
trators are very risky from the point of view of the parties. It is also
deemed important to select arbitrators who are known for their ability
to 'speak the language’ and be taken seriously within an arbitral tribu-
nal. Since arbitrators often serve as counsel because of their familiar-
ity with the processes and people, it is common for people from the
relatively closed arbitral community to nominate others from the com-
munity. The key to success in the arbitration proceeding is selecting
an arbitrator who will be impartial enough to persuade the chair of the
tribunal but will also be able to understand and put forward the case
of the party that appointed him or her. The selection of established
names also serves a protective function in case the decision does not
favor the selecting party. It is easier to avoid blame for a safe selec-
tion than for a novel one. For many reasons, including the fact that a
relatively small supply serves the economic interests of the arbitrators,
it is not easy to gain entrance into this community.
The easiest way to gain entrance for at least some small cases that
may provide a basis to build a practice is to conform to the character-
istics of those already in the field. The individuals who set the norms
emphasized scholarly accomplishments, which put an emphasis on
publications, cosmopolitanism, and linguistic ability. Those who seek
to enter must probably also attend a number of the major conferences
in order to display the appropriate characteristics and be judged more
personally. However, the general point is that invitations to enter the
community tend to be issued most easily to those who can offer some-
thing to the existing community — most obviously persons of high
status who reflect that status back on the arbitral community, persons
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from areas that are not yet committed to the legitimacy of interna-
tional commercial arbitration (which means they offer both credibility
and a potential new caseload), or sometimes disciples of those already
in the arbitral community. This process helps to explain why individu-
als without high status may study, write, and attend conferences, but
lacking a prestigious platform, they cannot gain entry. On the other
hand, individuals from developing countries who serve as judges on
the World Court do typically gain entry. The process also helps ex-
plain why there are so many arbitration centers despite the fact that
the caseloads are concentrated in a relatively few places. Those who
create new centers gain the attention of the ehte of the arbitral com-
munity and also help to provide new domains where businesses will
contemplate arbitration and courts will respect the awards. As a result,
the new center may promote the local leader into a position closer to
the core of the arbitral community. There tends to be relatively few of
these peripheral arbitrators in each relevant site.
B. Garth “International Encyclopedia of the Social & Behavioral
Sciences”
ПОНЯТИЕ АРБИТРАЖНОГО РАЗБИРАТЕЛЬСТВА
И ВИДЫ ТРЕТЕЙСКИХ СУДОВ
В условиях интернационализации хозяйственного оборота
организации и фирмы различных государств в случаях возник-
новения споров стали часто обращаться к международным ком-
мерческим арбитражным судам, а не к государственным судам
страны ответчика. В подавляющем большинстве контрактов, за-
ключаемых российскими юридическими лицами с фирмами дру-
гих стран, предусматривается, что споры будут рассматриваться
в порядке арбитража (в третейских судах). Под арбитражным
разбирательством в международном частном праве понимается
рассмотрение споров в третейских судах, избираемых или специ-
ально создаваемых сторонами внешнеэкономических контрактов
для рассмотрения возникающих между ними споров. Из этого
следует, что международный коммерческий арбитражный суд —
это орган, предназначенный для разрешения споров с участием
иностранных фирм и организаций. По своей юридической при-
роде — это третейский суд, т.е. суд, избираемый или создавае-
мый самими сторонами и исключительно по их усмотрению.
В международной практике известны два вида третейских су-
дов: так называемые изолированные и постоянно действующие
(институционные). Изолированный третейский суд создается
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263
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264
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265
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266
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МЕЖДУНАРОДНЫЙ КОММЕРЧЕСКИЙ
АРБИТРАЖНЫЙ СУД^
ПРИ ТОРГОВО-ПРОМЫШЛЕННОЙ ПАЛАТЕ РФ
Международный коммерческий арбитражный суд при
торгово-промышленной палате РФ — в России один из посто-
янно действующих третейских судов. Он действует в соответ-
ствии с Законом РФ «О международном коммерческом арби-
траже», а также с Положением о Международном коммерческом
арбитражном суде при Торгово-промышленной палате РФ. Оба
акта утверждены Верховным Советом РФ 7 июля 1993 г. Между-
народный коммерческий арбитражный суд — самостоятельное,
постоянно действующее арбитражное учреждение. В его ком-
петенцию входит рассмотрение споров по поводу договорных
и иных гражданско-правовых отношений, которые возникают
при осуществлении международных экономических связей, если
коммерческое предприятие хотя бы одной из сторон спора нахо-
дится за границей. Этот же суд разрешает и споры предприятий
с иностранными инвестициями, международных объединений и
организаций, созданных на территории РФ, между собой, между
их участниками, а также споры с другими субъектами права РФ.
В Положении содержится примерный перечень видов споров,
разрешаемых указанным судом. Этот перечень охватывает от-
ношения по купле-продаже товаров, выполнению работ, оказа-
нию услуг, обмену товарами и (или) услугами, перевозке грузов
и пассажиров, торговому представительству и посредничеству,
аренде (лизингу), научно-техническому обмену, обмену др. ре-
зультатами творческой деятельности, сооружению промышлен-
ных и иных объектов, лицензионным операциям, инвестициям,
кредитно-расчетным отношениям, а также др, формы промыш-
ленной и предпринимательской кооперации. Основанием для
рассмотрения спора в указанном суде также служит арбитраж-
ное соглашение, которое может быть либо отдельным, либо
принимать форму «арбитражной оговорки», которую включают
в основной договор. Процедура назначения судей определяется
сторонами, а при отсутствии между ними согласия применяется
предусмотренный Законом порядок. Он состоит в том, что каж-
дая из сторон назначает по одному судье. Оба судьи, избранные
таким образом, выбирают третьего. Решение по делу выносится
большинством голосов. Если в ходе разбирательства спор ока-
жется урегулированным самими сторонами, достигнутое ими со-
глашение фиксируется в виде арбитражного решения. В случаях,
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KEYS
municipal corporations
quasi-public corporations
7. 1) contract — a formal agreement between two or more parties;
269
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270
VERB NOUN NOUN ADJECTIVE ADVERB
(person! (abstract!
share shareholder share shared —
13.
1) quorum — a minimum number of members in an assembly, society,
board of directors, etc., required to be present before any valid business can
be transacted;
2) shareholder — a person who owns some of the equal parts into which
the ownership of a company is divided;
3) proxy — a person authorized to act on behalf of someone else; agent;
4) share - one of the equal parts into which the ownership of a com-
pany is divided and which can be bought by members of the public;
5) consent — acquiescence to or acceptance of something done or
planned by another; permission;
6) officer — someone who has an important position in an organization;
7) director — a member of the governing board of a business concern
who may or may not have an executive function;
8) investor — a person or organization that invests money in order to
make a profit;
271
d 0 t a f P a r e a k P e q 1 a m
0 f s h a r e h 0 i d e r u 0 P e
r f d i m 0 g h e о Z t a 0 n d r
e i t a k X w s h a Г e b г s i t
h c i c h Уо n 0 f f r c u e г i
k e r 0 u t s i d e r e e m n e u
e r 0 n j 0 о mi t a k X w e c 1
a s 1 s n 1 m e e t i n g 0 t t e
n j V e p r a b h s r m e t i 0 1
P q i n V e s t 0 r a s 1 0 r r a
t о t t p a t a k X w j V r о i b
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272
KEYS
274
KEYS
275
KEYS
6. Actions raised in the Court of Session had to pass the signet and hence
members of the society were involved in the early stages of litigation.
7. The management board has set out its goals for the coming year.
8. Partners in a firm are jointly and severally liable for any breach of
trust committed by one partner, in which they were implicated.
9. When this is done, the property thenceforward belongs to the creditor
but is subject to a right of redemption in 10 years, known as the legal.
10. The alleged offender has the option to proceed to refuse and be
charged with the offence.
23. 1. What is the governing body of a corporation? The governing body
of a corporation is the board of directors.
2. Do directors often delegate to corporate officers their authority to
formulate policy and to manage the business? Yes.
3. Directors’ fiduciary duties fall under two broad categories, don’t
they? No, directors ’fiduciary duties fall under three broad categories: the duty
of care, the duty of loyalty, and duties imposed by statute.
4. May directors hold special board meetings? Yes, directors may hold spe-
cial board meetings, which are any meetings other than regular board meetings.
5. Who establishes corporate policy and hires officers? Directors estab-
lish corporate policy and hire officers, to whom they usually delegate their
obligations to administer and manage the corporation's affairs.
6. Where do shareholders exercise their voting rights? Shareholders typi-
cally exercise their voting rights at annual or special meetings.
7. Do shareholders elect directors twice a year at the annual meeting?
No, shareholders elect directors each year at the annual meeting.
8. Do statutes require that a quorum exists at any corporation meeting?
Yes, statutes require that a quorum exist at any corporation meeting.
9. What must a corporation prepare before each meeting? Before each
meeting, a corporation must prepare a list of shareholders who are eligible
to vote, and each shareholder has an unqualified right to inspect this voting
list.
10. Can a beneficial owner vote? A shareholder who does not receive a
new certificate is called the beneficial owner and cannot vote, but the benefi-
cial owner is the real owner and can compel the record owner to act as the
beneficial owner desires.
11. Do shareholders typically have two ways of voting? Yes, shareholders
typically have two ways of voting: straight voting or cumulative voting.
12. What does straight voting mean? Under straight voting, a shareholder
may vote his or her shares once for each position on the board. For example,
if a shareholder owns 50 shares and there are three director positions, the
shareholder may cast 50 votes for each position.
13. May shareholders vote as a group or block? Shareholders may vote
as a group or block.
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4. The company’s accounts are considered and the directors’ and audi-
tor’s reports are put before the shareholders.
5. He recommended that the company be dissolved and its net assets
distributed to shareholders.
6. Currently denominated at 500 yen par value, the shares will be
changed to 50 yen.
7. Corporations issued a record $56 billion of common stock.
8. If there are no available profits there can be no payment of a dividend.
9. Under the Companies Act 1985, that person is personally liable on
the contract.
10. Dividends must be declared by the annual general meeting on the
recommendation of the directors or by the directors themselves between
such meetings.
28. 1. Amendments
2. Mergers and Acquisitions
3. Dissolution
4. Derivative Suits
5. Proxy Contests
6. Insider Trading
29. Across: 1) dissolution 2) amendment 3) asset 4) suit 5) insider
6) avoid. Down: 7) vie 8) solicitation 9) prohibit 10) merger 11) bond
12)takeover
30. I — d poison pill; 2 — e statutory merger; 3 — j cash tender offer;
4 — h parent corporation; 5 — a white knight; 6 — i controlling shareholder;
7 — b attorney’s fees; 8 — f corporate assets; 9 — c sufficient proof; 10 — g
proxy vote.
31. 1) to pay in cash; 2) an amendment to the contract; 3) to sell off
some of the subsidiaries; 4) to vie with smb; 5) to abstain from entering into
contract; 6) to engage in business; 7) to take over a firm; 8) to be merged
into smth; 9) to take an interest in property; 10) to put up a defense.
32. 1) Federal, and often state, laws don’t prohibit a corporate insider
from using nonpublic information to buy or sell stock. False. Federaland
often state, laws prohibit a corporate insider from using nonpublic information
to buy or sell stock.
2) Mergers only can involve subsidiaries. False. Mergers also can involve
parent corporations and their subsidiaries.
3) A proxy contest is a struggle for control of a public corporation. True.
4) Aggressor corporations never use the cash tender offer in a takeover.
False. Aggressor corporations primarily use the cash tender offer in a takeover.
5) Corporations can employ defensive tactics to fend off a takeover. True.
6) In takeovers of registered or large, publicly held corporations, federal
law requires the disclosure of certain information, such as the source of the
money in the tender offer. True.
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TEST
1. 1) The directors may issue shares only for an authorised purpose and
in the best interests of the company.
2) While companies are owned by their members (i.e. shareholders),
they are managed by a board of directors.
3) The federal administrative agency established by the Securities Ex-
change Act of 1934, in order to supervise and regulate the issuing and trad-
ing of securities and to eliminate fraudulent or unfair practices.
4) The use of poison pills raises the cost of acquisition.
5) A statutory merger occurs when Company A acquires Company В
and dissolves Company B.
6) The potential buyer, to overcome the reluctance of the target com-
pany, may make a tender offer, which is to advertise its interest in buying
the target company stock from current stockholders at an attractive price.
7) For certain types of mergers or acquisitions, the shareholders have
the right to cast a vote to support or reject the bid.
8) Within legal guidelines, corporations may issue stock, declare divi-
dends, and provide owners with limited liability.
9) Holders of common stock are invited to attend annual meetings of
stockholders and they have the right to vote on matters of corporate policy
on the basis of one vote per share held.
10) When corporations are formed, they draw up the Articles of Incor-
poration, usually for approval by shareholders.
II. 1) to abstain from force
2) to be charged with smth
3) to be liable for smb’s debts
4) to be involved in payment
5) to share in profits
6) to enter into an agreement
7) to be merged into smth
8) to pay in cash
9) to be engaged in export
10) interest in partnership
III. 1. Акции достигли высшей отметки 13 июня 1990 года, когда
они могли продаваться по 600 долларов.
2. Акционеры должны иметь право беспрепятственного доступа к
реестру директоров и секретарей.
3. Когда инвестор владеет от 20% до 50% голосующих обыкновенных
акций инвестируемого предприятия, обычно считается, что данный
инвестор оказывает значительное влияние на операционную и
финансовую политику инвестируемого предприятия.
4. Компания заявила, что мистер Уайт получает директорское
вознаграждение и посещает заседания совета директоров.
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2 — g lawful legal
3 — d current modern
4 — f compensation redress
5 — a protection defence
6 — h general common
7 — c alien foreign
8 — e commitment obligation
10. 1. The Board has the authority to grant authorization to carry out a
restrictive trade practice.
2. The bank thus undertakes to the payee of the cheque that the cheque will
be honoured regardless of the state of the customer’s account with the bank.
3. The system of law regulating the interrelationship of sovereign states
and their rights and duties with regard to one another.
4. The financial system refers to the complex of markets and institutions
which help move capital (or cash) from suppliers of capital to demanders
of capital.
5. Under the Trustee Investments Act 1961 trustees could invest not
more than half the trust fund in shares in certain companies.
6. The charterparty may provide for the payment of dispatch money
when the charterer saves days in loading or discharging the cargo.
7. He collects the assets, pays debts, and distributes any surplus to com-
pany members in accordance with their rights.
11. 1) режим наибольшего благоприятствования — most favoured
nation treatment; 2) национальный режим — national treatment;
3) собственность иностранцев — alien property; 4) налагать условия
— to impose conditions; 5) выплата возмещения — payment of compen-
sation; 6) безопасность — security.
12. Transfer of funds
The provisions on the transfer of 1) payments are quite important as
they concern a key aspect on which the interests of the host country and
the foreign investor may differ. Host countries often prefer that profit be
reinvested or otherwise used in the domestic economy. Furthermore, 2)
developing countries often incur balance-of-payments 3) difficulties that the
sudden repatriation of large profits or the proceeds from sale or liquida-
tion can worsen. As a result they generally seek some form of flexibility.
However, foreign investors regard the timely transfer of income, capital
and other payments as an indispensable 4) requirement to operate and ben-
efit from their investment projects, and to meet their obligations vis-a-vis
shareholders, 5) contractors, creditors or licensors. Virtually every bilateral
investment treaty has a provision on the transfer of payments, but there
are important differences among them in terms of specific wording. With
regard to the categories of transfers covered, bilateral investment treaties
284
d j t a г b i t г a t i 0 n t г 0
о u r t a e к e 0 к P e b i t u e
г г e a t s e t t i e m e n t d i
е i P c e 0 h e s a b e t t 0 u n
h s 0 0 P г 0 V i s i 0 n e r n V
к d a n a e t h к 0 P n a г a d e
е i h s w r t 1 P 0 У t e f c e s
а c 1 e h w a s 0 p e m к e e 1 t
п t i n f г i n g e t u a г t 0 m
Р i P t a r e h u i r e m e d У e
t 0 V e n 0 P У t a c 0 1 u t e n
S n e g 0 t i a t i 0 n e t u t t
10. Arbitration proceedings are rarely confidential, and awards are nev-
er published. False. Arbitration proceedings are generally confidentialand
awards are sometimes published.
17. 1-B, 2 - C, 3 - A, 4 - E, 5 - D.
18. 1 — e binding — imposing an obligation or duty
2 — c stringent — requiring strict attention to rules, procedure, detail, etc.
3 — i transparency — the characteristic of being easy to see through
4 — g deliberation — formal discussion and debate, as of a committee,
jury, etc.
5 — a hostile — showing strong dislike; unfriendly
6 — j protect — to keep (someone or something) safe from injury, dam-
age or loss
7 — b club — to gather or become gathered into a group
8 — f failure — is a lack of success in doing something
9 — d agenda — a schedule or list of items to be attended to
10 — h commitment — an obligation, promise, etc. that restricts one's
freedom of action
19. 1) ASEAN Association of South-East Asia Nations — АСЕАН
Ассоциация государств Юго-Восточной Азии;
2) COMESA Common Market for Eastern and Southern Africa —
КОМЕСА Общий [единый] рынок (государств) Восточной и Южной
Африки;
3) NAFTA North American Free Trade Agreement — НАФТА
Североамериканское соглашение о свободе торговли
4) ITO International Trade Organization — МОТ Международной
организации труда
5) GATT General Agreement on Tariffs and Trade — ГАТТ Генеральное
соглашение о тарифах и торговле
6) TRIPs Agreement on Trade-Related Aspects of Intellectual Property
Rights — Соглашение no торговым аспектам прав интеллектуальной
собственности ТРИПС
7) OECD Organization for Economic Cooperation and Development —
ОЭСР Организация экономического сотрудничества и развития
8) WTO World Trade Organization — ВТО Всемирная торговая
организация
9) Agreement on TRIMs Agreement on Trade-Related Investment Measures
—
ТРИМС Соглашение no связанным с торговлей инвестиционным мерам
10) AS CM Agreement on Subsidies and Countervailing Measures — Со-
глашение no субсидиям и компенсационным мерам
22. 1 — е. The sanctions will involve a ban on all military, economic,
cultural and sporting links.
2 — c. This part of the law is only applicable to companies employing
more than five people.
287
VERB NOUN NOUN ADJECTIVE
(person) (abstract)
include — inclusion included, inclusive
—
prohibit prohibition prohibitive
eliminate eliminator elimination —
notify —
notification notifiable
export exporter export, exportable
exportation
import importer import, —
importation
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III. Статья II
(a) Капиталовложениям будет предоставляться справедливый и
равноправный режим, они будут пользоваться полной защитой и
безопасностью, и ни в коем случает им не должен предоставляться
режим, не совместимый с принципами и нормами международного
права.
(b) Ни одна из Сторон не будет никоим образом препятствовать
путем принятия произвольных или дискриминационных мер управ-
лению, функционированию, содержанию, пользованию, обладанию,
приобретению, расширению или распоряжению капиталовложения-
ми. Для целей разрешения споров в соответствии со ст. VI и VII
принятая мера может быть признана произвольной или дискримина-
ционной несмотря на то, что сторона в споре имела либо восполь-
зовалась возможностью рассмотреть такую меру в судах или админи-
стративных органах Стороны.
(Договор между Российской Федерацией и Соединенными
Штатами Америки о поощрении и взаимной защите
капиталовложений)
IV. Article III (3).
Nationals or companies of either Party whose investments suffer losses
in the territory of the other Party owing to war or other armed conflict,
revolution, state of national emergency, insurrection, civil disturbance, or
other similar situations shall be accorded nondiscriminatory
UNIT 3 CONTRACTS
1. 1 — b The requirements for a contract in Anglo-American law are
that there be an offer, acceptance and consideration.
2 — c Compensatory damages are intended to compensate the non-
breaching party for the actual damages suffered.
3 — c A void contract imposes no legal rights or obligations upon the
parties and is not enforceable by a court.
293
noun verb noun verb
offer offer termination terminate
acceptance accept bargain bargain
deal deal communication communicate
notification notify obligation oblige
forbearance forbear exchange exchange
benefit benefit suit sue
295
lc 0 n s i d e r 8a t 9i 0 n
c n 4v i c t i m
2w r i t i n g c V
3o f f e r a 5m u r d e r
15 13f P 1 10m
b
a 14t r 12a t i i
11
r h a s a d m s
g r u s n a i t
a e d e c t n a
i a n e e 0 к
6c 0 n s t r u c t i 0 n 7d u r e s s
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25. 1. What did the seal represent? The seal represented that the parties
intended the agreement to entail legal consequences.
2.Has the seal lost all of its effect by statute in many jurisdictions? In
the past, all contracts were required to be under seal in order to be valid, but
the seal has lost some or all of its effect by statute in many jurisdictions.
3. What do the parties state in an express contract? In an express con-
tract, the parties state the terms, either orally or in writing, at the time of its
formation.
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5d г a w e r
6d i s c о u n t
7p a У m e n t
8c h e c k
91 0 a n
lO n t e г e s t
i
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first for acceptance - the drawee becomes the “acceptor” and the date and
place of payment must be written on the face of the draft.
5. Налоги наличное имущество становятся очень обременительными.
—
The taxes on personal property are getting heavy.
6. Текущий контроль и управление гарантиями осуществляется
вместе с кредитованием или инвестированием, проводимых
ассоциированным банком. — Monitoring and administration of guar-
antees are carried out in conjunction with the associated Bank loan or
investment.
7. Платежи задержаны более чем на 24 месяца. — Payments are in
arrears by over 24 months.
5. 1. Commercial Paper is a written instrument or document such as
a check, draft, promissory note, or a certificate of deposit, that manifests the
pledge or duty of one individual to pay money to another.
2. The ordinary purpose of a promissory note is to borrow money.
3. A draft, also known as a bill of exchange, is a three-party paper order-
ing the payment of money.
4. A check is a specific kind of draft, which is drawn on a bank and
payable on demand to a particular individual or to the bearer, in which case
it can be written payable to “cash ”.
5. A promissory note serves as documentary evidence of a debt.
6. The drawer is the individual issuing the order to pay, while the drawee
is the party to whom the order to pay is given.
7. A certificate of deposit is a written recognition by a bank of the ac-
quisition of a sum of money from a depositor for a designated period of time
at a specified interest rate, coupled with a promise of repayment.
8. A draft is often used in business to obtain payment for items that must
be shipped over long distances.
9. The most fundamental type of commercial paper is a promissory
note, a written pledge to pay money.
10. An individual who opens a checking account is engaged in a con-
tractual relationship with a bank.
10. 1) g; 2) c; 3) e; 4) a; 5) b; 6) d; 7) f
dishonor — refusal or failure to accept or pay a commercial paper
accept — to agree to pay (a bill, draft, shipping document, etc.), esp
by signing
funds — money that is readily available
endorse — to write something, esp. your signature, on the back of (esp.
a cheque), in order to make it payable to someone else
obligation — a moral or legal requirement; duty
insurance — the act, system, or business of providing financial protec-
tion for property, life, health, etc., against specified contingencies, such
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307
noun verb noun verb
defence UK
defense US defend dishono(u)r dishono(u)r
suit sue threat threaten
payment pay issue issue
validity validate inducement induce
alteration alter deletion delete
exclusion exclude change change
endorsement endorse enforcement enforce
transaction transact entitlement entitle
nullification nullify avoidance avoid
308
noun verb noun verb
intoxication intoxicate protection protect
22. 1. Are real defenses valid against ordinary holders as well as hold-
ers in due course? Yes. Certain defenses, known as real defenses, are valid
against ordinary holders as well as holders in due course.
2. Are personal defenses valid against holders in due course? No. Per-
sonal defenses are only valid against ordinary holders.
3. The most common way to be discharged from liability on a com-
mercial paper is through payment, isn’t it? Yes.
4. May the holder also discharge an individual from liability for pay-
ment through renunciation? Yes.
5. Is intoxication a valid defense? No. Intoxication is not a valid defense
to dishonor of a commercial paper.
6. What are the basic types of fraud? The basic types of fraud are: fraud
in the essence and fraud in the inducement.
7. What is a material alteration? A material alteration is an addition or
deletion of the language of an instrument, which changes the obligations
of any
party to it.
8. Is fraud in the inducement only valid against a holder in due course?
No. Fraud in the inducement is only valid against an ordinary holder,
not a
holder in due course.
23. 1 p by negligence — по небрежности;
2 m defense of insanity — защита ссылкой на невменяемость
3 a endorsement — индоссамент
4 q promissory note — простой вексель
5 g defense of minority — защита ссылкой на несовершеннолетие
6 j drawee — трассат
7 b holder of a bank account — владелец банковского счета
8 s valid defense — юридически обоснованное возражение
9 c savings bond — сберегательная облигация
10 u holder for value — держатель на возмездных началах
11 г error facti defense — защита ссылкой на фактическую ошибку
12 d bill of lading — коносамент
13 t endorser/ endorsee — индоссант, жирант
14 e material alteration существенное изменение
15 k holder in due course — законный держатель
16 h to bear an endorsement — иметь индоссамент (о векселе и т. д.)
17 1 primary debtor — первоначальный [основной] должник
18 i payment for honour — оплата опротестованного векселя
19 f mere holder/ ordinary holder — простой векселедержатель
20 v bill of exchange/ draft — переводной вексель/тратта
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22 о bearer — предъявитель
TEST
1. 1. A draft may involve three parties: the drawer, who writes or cre-
ates it, the drawee, who has custody of the funds to be paid (for example,
a bank), and the payee, who will receive the funds.
2. The use of commercial paper is generally governed by the Uniform
Commercial Code.
3. A promissory note differs from a bill of exchange in that the maker
stands in the place of both the drawer and the acceptor.
4. However, where a bill has been materially altered but the alteration
is not apparent and the bill is in the hands of a holder in due course, such
a holder may treat the bill as if it had not been altered and may enforce
payment of it according to its original tenor.
5. Promissory note are one species of negotiable instrument.
6. If, however, a material alteration is made to a deed after execution
without the consent of the parties, the deed may become void in part.
7. A bill of lading is also issued by a shipowner to a charterer who is
using the ship for the carriage of his own goods.
8. When value (which includes a past debt or liability) has at any time
been given for a bill, the holder is a holder for value, as regards the acceptor
and all who were parties to the bill before value was given.
9. For example, under English conflict rules, if a person dies intestate,
the succession to his personal property is governed by the law of the coun-
try in which he is domiciled.
10. Since 1925, a trustee may delegate any business of the trust to an
agent provided that he does so in good faith.
11. 1. The mortgagor has a right to redeem the goods on repayment
of the debt and usually remains in possession of them.
2. Compensation orders may be made in addition to other sentences.
3. Since a cheque is payable on demand it need not be presented to the
drawee bank for acceptance.
4. A factory outlet sells goods at a discount.
5. An occupier of land or buildings is not liable for a fire that begins
there accidentally.
6. They must take their own decision according to their own legal advice.
7. On the face of the document the transaction appears to be an outright
gift, and the existence of a trust is not apparent.
8. An interest in property created as a form of security for a loan or
payment of a debt and terminated on payment of the loan or debt.
9. A holder may sue on the bill in his own name.
10. Ignorance of the law is no excuse, i.e. no defence against criminal
or other proceedings arising from its breach.
III. Если индоссамент совершен представителем, не имеющим пол-
номочий или поручения обязывать представляемого в данном вопросе,
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to license — licence (n) — to distribute — distribution (n) —
licensee (n) — licensor (n) — distributor (n) —distributional (adj) —
licensed (adj) distributive (adj)
to pirate — piracy (n) — pirate to alter — alteration (n)
(n) — piratical (adj) — pirated
(adj)
to copy — copy (n) — copier (n) to dilute — dilution (n) — diluted
— copious (adj); (adj)
to confuse — confusion (n) to perpetuate — perpetuation (n) —
confusing (adj) — confused (adj) perpetuity (n) — perpetually (adv) —
perpetual (adj)
to circumvent — circumvention to own — own (n) - ownership (n) —
(n) owner (n) — own (adj)
10. 1) What does Copyright law protect? Copyright law protects the
expressive elements of a broad range of works — including books, graphical
works, dramatic works, choreography, musical compositions, sound recordings,
films, sculpture, architectural works, and computer programs — but does not
extend to facts, ideas, or utilitarian aspects of such works.
2) Do copyright owners have the exclusive right to make copies, prepare
derivative works? Yes, for most categories of works, copyright owners have the
exclusive right to make copies, prepare derivative works, and distribute, per-
form, and display their works during the term of protection.
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3) What and why does the WIPO Copyright Treaty require signatory
nations to provide? In response to the increased vulnerability of digital works
to widespread piracy, the WIPO Copyright Treaty requires signatory nations to
provide adequate legal protection against the circumvention of copy protection
systems and the removal or alteration of copyright management information
conveyed along with a copyrighted work.
4) Does copyright law provide for compulsory licensing of musical
compositions and television signals for cable distribution under particular
circumstances? Yes, Copyright law also provides for compulsory licensing of
musical compositions and television signals for cable distribution under par-
ticular circumstances.
5) What does trademark law facilitate and enhance? Trademark law
facilitates and enhances consumer decisions and encourages firms to supply
quality products and services by protecting names, logos, words, phrases, sym-
bols, sounds, trade dress, product configuration and other means of designating
the source of commercial products or sendees.
6) Why do US trademark owners prosecute trademark applications in
each country where they seek protection? Because the USA has not joined
the Madrid Agreement Concerning the Prevention of False or Deceptive Indi-
cations of Source, the main international trademark convention, US trademark
owners must prosecute trademark applications in each country where they seek
protection.
7) Do trademark owners have the right to prevent others from using
their marks? Yes, trademark owners have the right to prevent others from using
their marks or otherwise confusing consumers as to the source of a product.
8) Can the owner of a famous mark enjoin and obtain damages for
the dilution, blurring, or tamishment of the owner’s mark? Yes, in some
jurisdictions, and now under federal law in the USA, the owner of a famous
mark can enjoin and obtain damages for the dilution, blurring, or tarnishment
of the owner's mark.
9) What does national registration afford? National registration affords
nationwide protection of trademarks and the opportunity to obtain foreign reg-
istration.
10) Trademark law protects functional aspects of a product, doesn’t it?
No, trademark law does not protect functional aspects of a product and al-
lows others to use a mark fairly, such as for comparative advertising or other
descriptive purposes, so long as such use does not confuse consumers.
11. A trade secret is 1) information that derives independent eco-
nomic value from not being generally known or readily ascertainable
and is the subject of reasonable efforts to maintain 2) secrecy. Unlike
3) patent law, information need not be 4) novel in order to qualify for
trade secret protection. Most nations protect trade secrets through 5)
national or regional regimes. Trade secret protection 6) lasts until the
information becomes publicly known. By contrast with patent protection,
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trade secret law does not protect against independent discovery or re-
verse engineering by 7) competitors. Those who violate trade secret law
are liable for damages and in some cases 8) injunctions against use or
further disclosure.
12. Suggested answers
1) unfair competition; 2) appropriation; 3) intellectual property law; 4)
right of publicity; 5) new technologies; 6) adopted; 7) databases.
14. 1 - B; 2 - E; 3 - A; 4 - D
17. 1) subsidy; 2) responsibility; 3) product; 4) imbalance; 5) innova-
tion; 6) negotiation; 7) quota; 8) brand name; 9) recourse; 10) export; 11)
remedy; 12) sanctions
18. 1) GATT (General Agreement on Tariffs and Trade) - Генеральное
соглашение по таможенным тарифам и торговле;
2) ICJ (International Court of Justice) - Международный суд
(ООН);
3) WTO (World Trade Organization) - ВТО, Всемирная торговая
организация;
4) WIPO (World Intellectual Property Organization) - ВОИС,
Всемирная организация по охране интеллектуальной собственности;
5) TRIPS (The Agreement on Trade-Related Aspects of Intellectual
Property Rights) - ТРИПС, Соглашение по торговым аспектам прав
интеллектуальной собственности;
6) IPR (Intellectual Property Rights) - права на интеллектуальную
собственность;
7) UNCTAD (United Nations Conference on Trade and Develop-
ment) - ЮНКТАД, Конференция ООН по торговле и развитию;
8) NIEO (New International Economic Order) - НМЭП, Новый
международный экономический порядок.
19. 1) with; 2) in, of; 3) with; 4) over; 5) on; 6) on, of.
20. 1) по сравнению c — as compared with = as compared to; 2) уре-
гулирование разногласий — dispute settlement; 3) многосторонний —
multilateral; 4) активы в виде интеллектуальной собственности — in-
tellectual property assets; 5) применять санкции (к, против) — impose
sanctions (on); 6) Уругвайский раунд — Uruguay Round; 7) зависеть
(от) - depend (on); 8) предоставление принудительной лицензии,
выдача принудительной лицензии — compulsory licensing; 9) развитые
страны — developed countries; 10) столкновение/противоречие инте-
ресов — clash of interests; 11) подход “кнута и пряника” — a carrot and
stick approach; 12) развивающиеся страны — developing countries; 13) в
пользу — in favor of; 14) иерархия — hierarchy; 15) беспокоиться о
чем-л., из-за чего-л. — to be anxious about smth.
315
KEYS
316
KEYS
TEST
I 1. indications; 2. license; 3. rights; 4. World Trade Organization;
5. trademark; 6. innovation; 7. subsidy; 8. inventor; 9. holder; 10. patent;
11. Copyright; 12. TRIPS Agreement; 13. Paris Convention; 14. auspices;
13. term.
II. 1) with; 2) of; from; for; 3) for; 4) in; 5) of; under; 6) for; 7) unless;
7) -; of; 9) on; 10) from; of; over.
III. Предоставляемые права
Владелец зарегистрированного товарного знака имеет
исключительное право не разрешать третьим лицам без его
согласия использовать в ходе торговли идентичные или подобные
обозначения для товаров или услуг, которые идентичны или подобны
тем, в отношении которых зарегистрирован товарный знак, когда
такое использование могло бы привести к появлению вероятности
смешения. В случае использования идентичного обозначения для
идентичных товаров или услуг вероятность смешения считается
существующей. Права, описанные выше, не наносят ущерба каким-
либо существующим правам, возникшим ранее, и не влияют на
возможность членов ставить существование прав в зависимость от их
использования.
(ТРИПС Статья 16)
IV. Conditions on Patent Applicants
1. Members shall require that an applicant for a patent shall disclose
the invention in a manner sufficiently clear and complete for the invention
to be carried out by a person skilled in the art and may require the ap-
plicant to indicate the best mode for carrying out the invention known to
the inventor at the filing date or, where priority is claimed, at the priority
date of the application.
2. Members may require an applicant for a patent to provide informa-
tion concerning the applicant’s corresponding foreign applications and
grants.
(TRIPS Agreement Article 29)
317
noun verb noun verb
injury injure trespass trespass
assault assault prosecution prosecute
imprisonment imprison fine fine
fraud defraud kill kill
vindication vindicate defamation defame
318
8d 1n u i 10 s a n c e
2t 0 r 7t f e a s 0 r 1
0 f 9P a
г 3n e g 1 i g e n c e
4a s s a u 1 t n a d
i d i 6i i b e 1
0 a n г
u n t
s t i
f
5f г a u d
320
noun verb adjective
evidence evidence evident
recovery recover recoverable
disruption disrupt disruptive
damage damage damaging, damaged
immunity immunize immune
harm harm harmful, harmed
deprivation deprive deprived
litigation litigate litigable, litigatory, litigious
321
KEYS
323
KEYS
TEST
I. 1) torts 2) disability 3) prosecution 4) Pecuniary loss 5) common 6)
actions 7) assault 8) imprisonment 9) liable 10) injunctive 11) earning 12)
mandatory 13) joint liability 14) Contemptuous damages 15) recovery
II. 1) courts typically rely on expert testimony; 2) to recover damages
for false imprisonment; 3) in addition to damages for past tortious conduct;
4) immunity from punishment or recrimination; 5) to proceed despite dif-
ficulties; 6) to be responsible for an offence or misdeed 7) liability for neg-
ligence; 8) to protect from accidents; 9) gratuitous interference with private
rights; 10) freedom from taxation
III. Статья 5
1) Право, применимое в соответствии со статьями 3 и 4 к ответс-
твенности перед пострадавшим пассажиром, регулирует ответствен-
ность за вред причиненный вещам, перевозимым в транспортном
средстве и принадлежащим или вверенным пассажиру.
2) Право, применимое в соответствии со статьями 3 и 4 к ответ-
ственности перед собственником транспортного средства, регулиру-
ет ответственность за вред, причиненный вещам, перевозимым в
транспортном средстве, иным, чем вещи, указанные в предыдущей
части.
3) Ответственность за вред, причиненный вещам вне транспорт-
ного средства или транспортных средств, регулируется националь-
ным правом государства, в котором имело место происшествие.
4) Однако ответственность за вред, причиненный личным вещам
пострадавшего вне транспортного средства или транспортных
средств, регулируется национальным правом государства регистра-
ции, если такое право применимо к ответственности по отношению
к пострадавшему согласно статье 4.
IV. Article 7
1) In the case of vehicles which have no registration or which are
registered in several States the internal law of the State in which they are
habitually stationed shall replace the law of the State of registration. The
same shall be true if neither the owner nor the person in possession or
control nor the driver of the vehicle has his habitual residence in the State
of registration at the time of the accident.
2) Whatever may be the applicable law, in determining liability account
shall be taken of rules relating to the control and safety of traffic which
were in force at the place and time of the accident.
324
noun verb adjective
1) legislation, legislator legislate legislative
2) divorce, divorce, divorcee divorce divorced
3) marriage marry married
4) support, supporter support supportive
5) inheritance inherit inheritable, inherited
6) judicatory, judge judge judicial, judicatory
7) prove proof provable
8) presume presumption presumptive
9) fault fault faultless, faulty
10) dispute dispute disputed, disputable
18. 1. False. By 1987, all fifty states had adopted no-fault divorce,
exclusively or as an option to traditional fault-grounded divorce. 2. True.
3. True. 4. False. No-fault divorce has become an inexpensive means of
ending a marriage, especially when a couple has no children and moderate
property assets. 5. False. Alimony, or spousal maintenance, can be either
temporary or permanent. 6. True. 7. True. 8. False. Maintenance is most
often used to provide temporary support to a spouse who was financially
dependent on the other during the marriage.
19. 1) договор — contract; 2) прав собственности — proper-
ty rights; 3) договор между мужем и женой, заключенный после
бракосочетания — postnuptial agreement; 4) государственная
политика — public policy; 5) исходя из предположения — under the
assumption; 6) брак — marriage; 7) запрещать — prohibits; 8) void —
аннулировать; 9) под принуждением — under duress; 10) стороны —
parties; 11) свидетелей — witnesses; 12) недвижимого имущества — real
estate.
20. 1) custody — the act of keeping safe or guarding, esp the right of
guardianship of a minor; 2) abuse — maltreatment of a person; injury; 3)
petition — a formal application in writing made to a court asking for some
specific judicial action; 4) alimony — law (formerly) an allowance paid
under a court order by one spouse to another when they are separated but
not divorced; 5) lien — a right to retain possession of another’s property
327
KEYS
13. Must state laws require employers to withhold child support from
the paychecks of parents who are delinquent for one month or for three
months? State laws now must require employers to withhold child
support from
the paychecks of parents who are delinquent for one month.
14. State laws must provide for the imposition of liens against the prop-
erty of those who owe support, mustn’t they? Yes, state laws must provide
for
the imposition of liens against the property of those who owe support.
15. Who gained custody of children since the nineteenth century? In
the United States, since the nineteenth century, mothers traditionally
gained
custody of children.
25. 1 — h; 2 — s; 3 — o; 4 — a; 5 — t; 6 — c; 7 — p; 8 — r; 9 — b; 10 —f;
11 - m; 12 - d; 13 - k; 14 - e; 15-j;16 - I; 17 - g; 18 - n;19 -i; 20 - q
1. separation agreement — соглашение между супругами о
раздельном проживании
2. divorce decree — судебное решение о разводе
3. defending spouse — супруг-ответчик
4. divorce a mensa et thoro — решение суда об установлении
статуса раздельного жительства супругов
5. alimony pendente lite — содержание (мужем жены) на период
судебного процесса о разводе
6. divorce suit — бракоразводный процесс
7. parental custody - родительское попечение
8. no-fault divorce — развод “без чьей-либо вины”
9. incompatibility — несовместимость
10. alimony in gross — общая сумма (присужденных) алиментов;
11. adultery — адюльтер, прелюбодеяние
12. drug addiction — наркомания
13. bigamous marriage — бигамия, двоебрачие
14. marriage articles — соглашение по имущественным вопросам
брака, брачный договор (регулирующий будущие имущественные
отношения супругов)
15. ad interim alimony — временное содержание
16. alimony in general — (присужденная) сумма алиментов,
подлежащих регулярной выплате;
17. ex parte proceeding — судопроизводство при наличии одной
стороны (а не по спору между сторонами)
18. claiming spouse = complaining spouse — супруг-истец
19. marriage by proxy — брак по доверенности, заключение брака
по доверенности;
329
KEYS
TEST
I. 1) No-fault 2) blood 3) close 4) agreement 5) custody 6) joint, joint 7)
common; 8) marriage; 9) noncustodial; 10) visitation
II. 1) Once someone is married, the person must be legally released from
his or her spouse by death, divorce, or annulment before he or she may legally
remarry.
2) Every state proscribes marriage between close relatives.
3) Sometimes a lower age is permitted with the written consent of the
parents.
4) The names of applicants for marriage licenses are published in local
newspapers.
5) State laws must provide for the imposition of liens against the property
of those who owe support.
6) Every state forbids marriage to a child or grandchild
7) The UCCJA was created to deal with interstate custody disputes.
8) Despite court challenges, marriage can occur only between persons of
the opposite sex.
9) Persons who enter into a second marriage without legally dissolving a
first marriage may be charged with the crime of bigamy.
10) State laws now must require employers to withhold child support from
the paychecks of parents who are delinquent for one month.
III. Статья 3. Перемещение или захват ребенка рассматриваются
как незаконные, если:
a) при этом нарушаются права попечительства над ребенком,
принадлежащие какому-либо лицу, учреждению или иному
органу, коллективному или индивидуальному, в соответствии с
законодательством государства, в котором ребенок постоянно
проживал до его перемещения или захвата; и
b) в момент перемещения или захвата эти права эффективно
осуществлялись, коллективно или индивидуально, или
осуществлялись
бы, если бы не перемещение и захват.
Права попечительства, упомянутые в п. а), могут возникнуть, в
частности, в соответствии с каким-либо правовым актом, либо в
силу
решения судебных и административных властей, либо вследствие
соглашения, влекущего юридические последствия по
законодательству
этого государства.
Конвенция о гражданско-правовых аспектах
международного похищения детей
IV. Article 1
1. No marriage shall be legally entered into without the full and free
consent of both parties, such consent to be expressed by them in person
330
noun verb noun verb
arbitration arbitrate determination determine
requirement require investment invest
dispute dispute scrutiny scrutinize
mediation mediate submission submit
award award intervention intervene
application apply legislation legislate
2. 1. Depending on the parties and the nature of the dispute, one can
distinguish different types of arbitration, each of which have particular
features despite their common basic structure: state arbitration, investment
arbitration between a host state and an investor, consumer arbitration involv-
ing at least one party which is a consumer, and statutory arbitration, where the
jurisdiction of the tribunal is not based on an agreement between the parties
but on statute.
2. In commercial arbitration a distinction must be made between na-
tional or domestic cases and international cases.
3. Arbitration is a process in which the parties agree to refer their
dis-
putes to one or more neutral persons (arbitrators) in lieu of the court system
for judicial determination with a binding effect.
4. The binding and judgment-like nature of the final arbitral award
dis-
tinguishes arbitration from other forms of alternative dispute resolution, such
as mediation and all types of expert determination.
5. Institutional arbitration is characterized by the fact that the
parties
have submitted their dispute to the rules of a particular arbitration institution
which provides the necessary administrative support, in particular concerning
the constitution of the tribunal.
6. In general, the provisions regulating international arbitration give
greater room for party autonomy and allow for less court intervention dur-
ing the arbitration proceedings and the post award stage than is found in the
domestic context.
7. In ad hoc arbitrations, by contrast, it is generally left to the
parties
to draft their own arbitration rules or to provide for application of one of the
existing sets of arbitration rules for ad hoc arbitration, such as the UNCITRAL
Arbitration Rules.
8. Modem national arbitration laws usually leave it to the local
courts
to provide any necessary procedural support in these cases.
9. In the early 1970s, the national arbitration laws in various
countries
differed considerably as to the extent of court intervention and supervision.
10. In countries with a long tradition in arbitration, such as
England,
the law allowed considerable court intervention culminating in the 'case stated
procedure’ by which a party could ask the tribunal to refer any question of law
to the English courts.
11.Since the 1970s, many countries have enacted new arbitration
laws,
332
1. Since self-help was regarded at international
law as a legal remedy, the results secured by it
were recognized by the international community a) MANDATORY
as a final settlement of the case, e
2. In exceptional circumstances the judge may
choose not to impose the mandatory sentence b)
on such an offender but must provide a full ENFORCEMENT
explanation as to why this has not been done, a
3. Strictly, any enforcement action can only be
justified under Article 42 of the Charter, which
c) DOMICILE
requires agreement by member states to place
their armed forces at the disposal of the UN. b
4. The conduct of elections is regulated by the e) LEGAL
Representation of the People Acts 1983 and 1985.
5. A domicile of choice is acquired by making
a home in a country with the intention that it f) BOUND
should be a permanent base, c
6. Regulations are of general application, binding
in their entirety, and directly applicable in all
g) APPLICABLE
member states without the need for individual
member states to enact these domestically, g
7. The Cabinet is bound by the convention of
h) REGULATED
collective responsibility. f
5. Usually the protected state allows the protector full control over
its
external affairs but retains control over its internal affairs.
6. A fixed-term contract cannot be terminated by notice unless the
contract expressly provides for this.
7. Decisions were often made on the basis of incorrect information.
8. The company’s results are in line with stock market expectations.
13. 1. Arbitration is regulated by a complex interplay of different
legal
sources of statutory or contractual origin. True.
2. Arbitration practice comes into play only as a separate legal
source.
False. Arbitration practice comes into play at all stages, not only as a separate
legal source but also to interpret the provisions of the applicable arbitration
laws and the arbitration agreement as well as the chosen rules.
3. The place of arbitration is a legal concept which is independent of
the
place of the hearings or the domicile of the parties or the arbitrators. True.
4. In practice the contractual sources are of greater importance, since
most modern arbitration laws now clearly embrace the principle of party
autonomy. True.
5. In commercial arbitration the trend in recent decades has been to
diminish the scope of arbitration and enlarge the number of disputes
which
are not arbitrable. False. In commercial arbitration the trend in recent dec-
ades has been to enlarge the scope of arbitration and diminish the number of
disputes which are not arbitrable.
6. The role of party autonomy receives protection only by domestic
law.
False. The role of party autonomy receives protection by the international and
regional conventions. where they apply.
7. Under most modem arbitration laws the parties don’t freely deter-
mine the place of arbitration. False. Under most modern arbitration laws the
parties may freely determine the place of arbitration.
8. Contracts form part of the applicable law and aim to ensure that
arbitration agreements and awards are enforced. False. The international
conventions form part of the applicable law and aim to ensure that arbitration
agreements and awards are enforced.
9. In arbitration the applicable national arbitration law has a double
function, which is reflected by the separation into mandatory and
nonman-
datory provisions. True.
10. The governing national arbitration law in international cases
generally
depends on the New York Convention. False. The governing national
334
KEYS
10. If the parties have not settled the composition of the tribunal
either
directly in their arbitration agreement or by reference to a set of
arbitration
rules, the national arbitration laws contain fall-back provisions.
11. Under the fail-back provisions contained in the national
arbitration
laws, the appointment of a sole arbitrator usually requires an agreement
by
the parties, while each party appoints one arbitrator to a three-member tribu-
nal, and those two arbitrators then select the chairman.
12. Under the Model Law, the right to challenge an arbitrator before
a court is one of the few mandatory provisions from which the parties cannot
derogate.
21. 1) outset — a start; beginning;
2) guideline — a principle put forward to set standards or determine
a
course of action;
3) evidence — matter produced before a court of law in an attempt to
prove or disprove a point in issue, such as the statements of witnesses,
documents, material objects, etc.
4) opportunity — a favourable, appropriate, or advantageous
combina-
tion of circumstances;
5) power — an official or legal right to do something;
6) jurisdiction — the authority of an official organization to make
and
deal with (esp. legal) decisions;
7) exclude — to keep out or omit (something or someone);
8) freedom — the condition or right of being able or allowed to do,
say,
think, etc. whatever you want to, without being controlled or limited;
22. 1. Arbitrators are appointed by the parties in accordance with the
terms of the arbitration agreement or in default by a court.
2. This doctrine is thus part and parcel of the notion of the
supremacy
of Community law over national law.
3. The lawful authorities now have this power in many legal
systems.
4. In civil matters the judge hears cases without a jury and can
award
compensation of up to J30,000 and deal with issues relating to land
where
the rateable value of the land does not exceed J200.
5. An unenforceable contract made with a minor can become
337
KEYS
7. What are the grounds for resisting enforcement under the New
York
Convention? The grounds for resisting enforcement under the New York Con-
vention include the lack of the tribunal's jurisdiction, the violation of a party's
right to a fair trial or its right to be heard, an incorrectly constituted arbitral
tribunal or proceedings which were not in line with what the parties agreed, and
where enforcement of the award would be contrary to the forum's public policy.
8. Explain the term “res judicata”. “Res judicata" is the principle that
when a matter has been finally adjudicated upon by a court of competent ju-
risdiction it may not be reopened or challenged by the original parties or their
successors in interest.
9. May proceedings challenge the award only be based on
procedural
irregularities or a violation of public policy? Yes. Under the majority of
arbitration laws, proceedings to challenge the award may only be based on
procedural irregularities or a violation of public policy.
10. Are the bases for challenging an award virtually identical to the
grounds to resist enforcement? Yes.
12. Do national arbitration laws usually impose an obligation on the
courts to declare awards enforceable and thus turn them into a title upon
which execution can be based? Yes. National arbitration laws usually impose
an obligation on the courts to declare awards enforceable and thus turn them
into a title upon which execution can be based.
13. What does the English Arbitration Act 1996 contain? The English
Arbitration Act 1996 contains a comparable procedure, and also allows the
parties to submit a question of law to the courts for determination or to apply
for an extension of time limits.
14. Does the arbitral tribunal have the power to order interim relief?
Yes. Under the Model Law and most modern arbitration laws, the arbitral
tribunal has the power to order interim relief necessary to ensure the pres-
ervation of evidence or to protect the parties' position during the arbitration
proceedings.
15.Explain the doctrine “Kompetenz-Kompetenz”. The Model Law as
well as most other new arbitration laws recognize the power of the arbitral tri-
bunal to decide on its own jurisdiction, which doctrine is known as Kompetenz-
Kompetenz-
16. What and why did the International Bar Association prepare in
1999?
In an effort to harmonize the different approaches found in the various legal
systems, the International Bar Association prepared in 1999 Rules on the Tak-
ing of Evidence in International Commercial Arbitration, which may be used by
tribunals as a guideline or may be expressly agreed upon by the parties.
17. Is the tribunal free to conduct the proceedings in a manner it
consid-
339
KEYS
342
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