CHAPTER 1:

I/ TRADITIONAL MODE OF INTERNATIONAL TRADE

TRANSACTIONS
 Characteristics: Goodwill and Freedom (to do the business, decide the term, … to set up
the transaction) ; Parties: place of business (2 dn Việt mà kí thì là domestic, international
kí thì ms gọi là international, governed by international law); Goods transaction: through
country borders; Currency: foreign currencies
A. DIRECT TRANSACTIONS
- Carry out directly betwween the seller and buyer, include of rapport building,
negotiating; contract signing and implementing the signed contract.
- Formation of an international sale contract: Enquiry -> Offer -> Counter offer ->
Acceptance; Confirmation of an agreement ( cái thư offer hỏi hàng tự viết ở nhà học chứ
cô k chữa có thể có trong đề thi ạ)
(?) Write an enquiry asking for 1000 men T-shirt

1.1: ENQUIRY (cont)

- Defi: a proposal for establising the deal/ invitation to make offers. A request for trade in4 from
the buyer.
- Created by the buyer: no engagement of the buyer; no requirement on formation and
content.
- Application: new comers; seeking for in4
(?): Is it good to send many enquiries for collecting in4? Why?
 Its good to collect in4 from diff seller, choose the best to collect and avoid sending as
much as possible -> higher demand for that good and increse the price -> only send the
suitable one

1.2: OFFER (lời đề nghị kí hợp đồng)

- Defi: a proposal for concluding a contract addressed to one or more specific persons
constitutes an offer if it is sufficiently definite and indicates the intention of the offeror to be
bound in case of acceptance. It is sufficiently definite if it indicates the goods and expressively
or implicity fixes or makes provision for determiinig the quantity and the price. (đã có sự ràng
buộc, người mời gọi chào hàng đã tự ràng buộc, chỉ cần ng bán đồng ý là tự động ko khác j hợp
đồng). THỰC TIỄN THÌ CÓ 2 LOẠI LÀ FIRM OFFER vs FREE OFFER
- 2 cách hiểu: CISC (bên trên - tức là chỉ có firm offer, bounding themselves with the content of
the offer) – practice thực tiễn (firm offer: same và free offer, nếu ng mua đồng ý nd của đơn
chào thì hợp đồng k tự động thành và k bắt buộc thực hiện)
* Offer Classification
+ based on the offeror: offer and order/ selling and purchasing offer
+ based on implementing method: passive offer and active offer
+ based on level of the offeror’s commitment: free offer and firm offer
Free: the seller doént oblige himself w the Firm: the seller oblige himself w the content
 content of the offer of the offer
Application: the seller’s market, the seller Application: the buyer’s market, good rela
want to get market in4 with the buyer

(?): classify dựa trên title, the offeree, validity time, retained conditions and terms. Có tên cty
tên ng nhận thì là firm, k có chính là free
VD: We commit to the sale with the follơing conditions -> firm offer
We commit to sell to the first buyers with the following conditions -> free offer (chỉ ng đầu th,
t2 k có)
To whom it may concern -> Free offer
- Phân loại người đưa ra offer: chào bán (offeror), chào mua (order) – firm thì có cả 2
offer order, practice thì chào mua là order, chào bán là offer
(?) Write an offer to export 1000 men T-shirts/ 100 tons of coffee to EU
- Validity of an offer: điều kiện hiệu lực của offer
+ Good faith, goodwill and freedom
+ Fully reach the offeree
+ Legal: party, goods, format and content
+ Within the validation period of the offer
+ Havent been withdrawn/ revoked
(?) What is a legal offer? (ĐỌC TRƯỚC TRONG CISG)
 Under the CISG, a valid legal offer must meet the following characteristics:

- **Definiteness**: Specifies goods, quantity, and price (Article 14).

- **Intent to be Bound**: Shows intent to create legal obligations upon acceptance
(Article 14).
- **Communication**: Must reach the offeree to be effective (Article 15).
- **Duration**: Open for a stated or reasonable time for acceptance (Articles 18 & 20).
- **Acceptance**: Must be in line with the offer's terms (Article 18).
- **Irrevocability**: Generally revocable unless stated otherwise or relied upon (Article
16).

1.3: COUNTER OFFER

- Bargaining process of price and other contracting conditions and terms.

1.4: ACCEPTANCE
- Agree to all the conditions of the original offer -> Consent to the offer
- Express the offeree’S goodwill to conclude a contract: firm offer + acceptance = contract
- 2 class: ABSOLUTE acceptance (no limitation, no changing and/ or additions) ; PARTIAL
AGREEMENT (Acceptance with some changes and/ or addtions): dvide into 2 groups: Counter-
offer (primary content of the offer); LOẠI J ĐEO CÓ TÊN (an acceptance unless the offeror
rejects)
(?): - A silent response to the offer is not an acceptance.
 - In case the offeror rejects, the offeree should react: im lặng là đồng ý -> there is no new
offer, chỉ là nó đồng ý với các điều khoản mới. Có offer mới thì phải có acceptance mới
từ bên còn lại cơ .
 PHẢI NHỨO LÀ : VALIDITY OF AN ACCEPTANCE
- Legal acceptance
- Not depend on any conditions or terms
- Accepted by the last offeree
- Acceptance must reach to the offeror
- Accepting in the validity period of the offer
 Conclude an contract: Offer + Acceptance / Order + Confirmation
 REVOKE AN ACCEPTANCE: Notice of offer revocation reaches the offeree before or at
the same time the acceptance comes into effectiveness
1.5: CONFIRMATION OF AN AGREEMENT
(?): - It is necessary to confirm an agreement in writing.
- A counter offer will make a firm offer to be a free offer: t/f? why?

B. INTERMEDIARY TRANSACTION
a. Definition: transactions made by the seller and the buyer with connecting activities of
the third party. He is a commercial intermediary.
b. Characteristíc:
+ Based on authorizations: rela betwween the principal and the intermediary are based
on contract (Agency/ brokerage contract)
+ Dependent rela: the principal loose direct connections with the market/ customẻ. If
the intermediary fail to work effectively for the principal, the the principal’s business/
strategy might be inefffective.
+ Sharing profits: remuneration might be at high % that the pricipal have to share with
the intermediary
+ Linkages of the seller and the buyer/ the manufacturer and the consumer:
(?): defend this statement to gain more sustainable perspective toward the
intermediary’s remuneration?
(?): What are the advantages and disadvantages of the commercial intermediary
activities? And when a trader need an intermediary? – EMAIL THE GROUP WORK TO
EMAIL CÔ WHAT THE FUCK
- nÓ CHIA CÁI commercial intwrmediary activeities là activities carried out by a trader to
effect commercial transactions for one to serveral identified traders, includnig:
REPRESENTATION FOR TRADERS, COMMERCIAL BROKERAGE, GOODS SALE OR
PURCHASE ENTRUSTMENT, AND COMMERCIAL AGENCY.
c. Classification
1. COMMERCIAL BROKERAGE: a commercial activity whereby a trader acts as an
intermediary (referred to as broker) between parties selling and purcháing goods or
providing commercial services (referred to as principals) in the course of
 negotitaions and entering into contracts for sale and purchase of goods or provision
of servicé and shall be entitled to a remuneration under a brokerage contract.
- Characteristics: TỰ COI SLIDE HA MỆT VCL cô nói j đeo hiểu

2. AGENCY (kiểu đjai lsy uỷ thác)

- Agent is a trader who acts under the authorization of the principal. It is stipulated in the
the agency agreement.
- A person who acts on behalf of another person or group
- A persion who is paid to buy or sell products or provide a service for a company, but
who is not a regular employee
- Characteristics: Involve in the making and implementing the signed contract (MÔI GIỚI
KO, AGENT CÓ); aGENT IS A party in the agency contract (Môi giới ko, agent có) – bằng
tên của mình, danh nghĩa của mình và thực hiện công việc dc giao.
- Classification
+ Based on the rela the agent – principals: trong ảnh ý mở ra giùm ngày 16/10: đại lý
theo lệnh (chỉ nghe thằng sếp thôi, use principal name để làm task – VN KO CÓ HÌNH
THỨC NÀY VÌ KO HIWJP PHÁP), đại lý hoa hồng; đại lý kinh tiêu (kinh doanh và tiêu thụ)
+ Based on the power scope of the agent: đại lý tổng hợp, đặc biệt
 Hình thức
1. Opening: sẽ có optional in4 với compulsory in4 -> compulsory in4: contract
number(name, number,…), location and date of signing the contract, introduction;
reasons for signing the contract (tuỳ vào nd, nếu dựa trên lợi ích cả 2 bên thì
optional, các nd phía sau vẫn có hiệu lực – nhưng có trường hợp đặc biệt, kiểu vd vn
kí với phi líp pin xuất khẩu gọn chọn doanh nghiệp để sx thì buộc phải ghi vô), names
and addreses of the parties; name and position of the representative (compulsory),
definitions (domestic contract thì có cái tên nước kiểu chxhcnvn, nhma international
contract thì ko vì nó ko chỉ belong to vn) , tax number hay telephone chỉ là optional
in4 – 3 ttin cần có: thông tin ngày location, representative
Trong th người kí hợp đồng kp ceo thì phải check authorization document, check kĩ
thông tin representative bla bla
2. Effectiveness and Expiry Date
3. Agency Area: (vd: agent in vn, north of vn, south of vn)
4. Rights and Obligations of the agent: percentage of commission, fixed price,
5. Rights and Obligations of the principal
6. Price
7. Remuneration and cost
8. Conclusion and Termination of the contract
9. Signatures: number of legal copy, write down your name party place and time of
signature (8-9 NÓ LÀ PHẦN CLOSING). Nguyên tắc đóng dấu: đóng bên trắi chữ kí,
che 2/3: màu oke là dark blue, ko kí với dark one, never sign the contract by pencil
II/ COUNTERTRADE
1. Definigion
- A reciprocal trade in which goods or services are traded for other goofs or services
íntread of being traded for money (thường áp dụng giữa 1 nước developing và 1 nước
developed, tiềm lực lớn nên hay áp lực các điều khoản trong hợp động, suy ra niuwosc
yếu hơn có quyền từ chối ko cho giao dịch xảy ra)
2. Characteristics
- Exporter is importer in parallel
- Money is mean of calculation not payment
3. Hiểu là điều kiện của nó đi
- Focusing on the utilty/ usage of the goods not value of the goods
- Balance trading: total value, price, conditions of trấncctions, goods -> điều kiện để cân
bằng của countertrade: tổng hàng xuất đi phải bằng hàng nhập về, nó chín dc tính bằng
tỷ lệ trao đổi, ko phải exchange rate tỷ giá hối đoái nhé, nó phải cố định dù giá cao hay
giá thấp, kp nhìn vào giá mà nhìn vào tỷ lệ này, bởi tiền ko phải để thay toán- đk hàng
giao đi phải giống với đk hàng nhập về, FOB >< CIF ncl lúc đi dùng gì lúc về đùng nấy ,
dựa vào đặc trưng hàng hpas nữa: hàng thường đỏi hàng thường, hàng quý hiếm đổi
hàng quý hiếm.

(?): When do you participate in countertrade? BH nó đang bị kiểm soát chặt, hàng giá cao thì
thuế cao – nên cả xuất đi hay nhập nó đều dùng countertrade để trốn thuế

4. Classification
- Barter: hàng đổi hàng,
- Compensation
- Parallel Barter: contract may last for 3-5 years, the seller
- Counter purchase: mở 1 hd, vd 1 bên xuất gạo 1 bên nhà máy thép – trong 10 năm a cứ
xuất gạo cho đủ slg, vì giá trị khác nhau nên ko chỉ tgian ngắn là giá trị nó bằng nhau
- Offset: phổ biến nhất hiện nay, mua lấy hàng thường là hàng đặc biệt để đỏio lấy dịch vụ
đặc biệt, đổi priorities or services, thường for strategic partner
- Buyback: 1 ng có máy móc thiết bị cam kết mua lại cái sản phẩm mà máy móc thiết bị đó
làm ra – nước nghèo ko có tiền mua máy, kkhisch người mua hàng thì
- Switch trading: giao dịch 3 bên (ng chủ động, nh nhận động, ): khi giao hàng thì bên3
cam kết giao lại hàng cho bạn (bhtg countertrade A giao b và ngược lại; cnay thig A giao
b và B giao C vì C có thể là chủ nợ hoạc cty mẹ con)
5. Contract for Counter trade
- Lists of goods: sending and rêcipt
- Contract performance security: deposits (Đặt cọc), penalty (tiền phạt) and reciprocal L/C
(đối lưu đối ứng)
INCOTERMS
1. DEFINITION
- Short basic delievery terms used in foreign trade practice in order to assign between the
parties

+ obligations: The job to be fulfil by the Buyer and the Seller. Obligations divided between seller
and buyer, e.g. who organises carriage or insurance of the goods or who obtains shipping

documents and export or import licences;

+ cost and expense: Where and when the seller “delivers” the goods, in other words where risk

transfers from seller to buyer;

+ risk of damage to the contractual cômdities in the course of transit from the seller to the buyer:
Which party is responsible for the costs, for example transport, packaging, loading or unloading

costs, and

 Incoterms: set of uniform rules for interpretation of INternational COmmercial TERMS

2. Several interpretation of International Commercial Terms (coi slide ghi típ)

 International Law Association: Warsaw Rules 1928, Warsaw-Oxford Rules 1932

3. Scope of incoterms
- Matters relating to the right and ob;igation of the parties to the contract with respect to
the delievery of tangible goods sold

INCOTERMS 2020: The Incoterms® 2020 rules explain a set of eleven of the most commonly-
used three-letter trade terms, reflecting business-to-business practice in contracts for the sale
and purchase of goods (LKAAYS ẢNH TRONG PHONE CÁI BẢNG PÂN BIỆT 2 NHÓM INCOTERM)

- 11 terms are represented in 2 groups of suitable transportation and in order of

increasing responsibilities, costs and risks for the seller
- Each term is written in 3 letters, followed by named place of delivery

- Each term expresses respectively 10 obligations of the two parties

- Mẹo nhớ là: EM FAI CỐ ĐI
-

-
Last lesson của CHAPTER INCOTERM

- For each incoterm you have to understand the division of obligations between parties,
division of costs and expenses between parties, transfer of risk of or dâmage to the
goods and implications for uses of the term (C term has 4 divisions of cost and expenses)
- Focus on the different requiremnets in the incoterm and the contract (for ex the
incoterm doesnt require the seller to pay the loading charge but the contract does)
- FCA: common use for container
(?):

3) FAS: FREE ALONGSIDE SHIP (…named port of shipment) nhma cnay

k common o VN nen k can focus lam
- The seller must arrange the export clearance
- The seller delievers when the goods are placed alongside the vessel at the named port of
shipment.
The buyer bear all the cost and risk or lost of or damage to the goods since the goods are
delivered (quay:cầu cảng)
 Implications for uses: Marine transportation only; the seller finds difficult in collect
evident document of delivery; FAS is not popular in Vietnam

4) FOB: FREE ON BOARD (…named port of shipment)

- The seller delievers when the goods loaded on board at the named port of shipment.
- The buỷe bear all cost and risk of loss of or damage to the goods from that point.
- Seller delievers when the goods, cleared for expỏt, load the goods onboard at the named port
of shipment.
- If parties do not intend to deliever the goods onboard the ship, FCA should be used.
- VD: goods fall out, hit against the ship’s rail, break into 2 parts: one falls on boảd of the ship;
another falls into the sea -> the seller has to pay; even in good condition the seller hasnt fullfil
the obligation , belongs to the seller rrisk

 Implication for uses: (CIF, CFR and FOB – most common in VN), apply to maritime and
inland waterway transportations; clealy mention to FOB as per incoterms 2020, bcs
there r many other incoterms for FOB terms
 The seller must:
- Provide the goods in conformity with the sale contract: export clearance, pay loading
charge, deliever the goods and provide deliever evidence (ship/ dpck’s tally sheet: nhân
viên kiểm kiện, mate’s rêcipt, bill of lading), notice the buyer of shipment
 The buyer must:
- Book a vessel to carriage the goods and notice the seller of nominated vessel: lưu giữ
hàng hoá. CP là hợp đồng vận tải
- Take delivẻy of goods, bear the cost and risk of goods
- Pay the price
 - Import clearance
 FOB variants trong vở: 6/11

5) CFR: COST AND FREIGHT (CFR = FOB + F:A2 place of

delievery/A3/A45/A10)
- The seller charters a vessel or books shipping space
- The seller delievers when the goods onboard the ship at the named port of shipment
- After the goods are onboard, the seller pay the freight
- Âll the other charges and rísk to the goods will be born by the buyer.
- Đây alf thuật ngữ nơi đi, nơi ktra các thứ đều phải dc cáp ở nước xuất khẩu

6) CIF: COST INSURANCE AND FREIGHT (…named port of destinatino)

- The seller must pay the insurance premium