[title]Family quotes[/title] [description]Welcome to our family quotes section! Here you'll find some of the funniest (and wisest) quotes on the subject of family life![/description]
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Latest post Wed, Apr 26 2006 9:39 PM by Anonymous. 8 replies.
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Anna A  +  159509 Thu, 17 Nov 05 08:43 AM
In an Shareholders' agreement under the head "Governing law" is written:
This Agreement shall be construed in accordance with and be governed by the laws of Sweden
without reference to its conflicts of laws principles". What does the the read part mean?

Thanks!!!


Joined on Mon, Nov 3 2003
Ostersund, Sweden
New Member 13
Anna A  +  159517 Thu, 17 Nov 05 09:31 AM
I realise that you might think that I'm looking for a translation to Swedish..... What I need help with is to translate the meaning with the centence.....
Forbes  +  159787 Thu, 17 Nov 05 11:47 PM
In this context "conflict of laws" means "private international law" that is the rules that determine how to sort out a problem when the law of more than one country is involved. You may for example have a German and a Dane sign a contract in France about supplying goods to a factory in Spain they jointly own. If things go wrong which law do they apply? If they specify the law of one country they know where they are.What the contract is effectively saying is that it is to be interpreted without recourse to these rules. I would say the words in red are in fact unnecessary as the position is already covered by the words immediately preceding, because if the contact is to be governed by Swedish law the conflict of laws rules will not need to be referred to.
Joined on Thu, Jun 16 2005
Regular Member 895
Anna A, 4 yr 9 days ago
Thanks!!!
Lusia  +  159965 Fri, 18 Nov 05 11:59 AM
Many thanks from me, too, Forbes!!
I've also racked my brains on it many times.
If the governing law has been already determined by the parties in the contact, why do some still find it necessary to include that clause in it? :/ By the way, if it's a matter of cautiousness, why only the state's conflict of laws principles are excluded? What about the international treaties, e.g. the Vienna Convention on contracts for international sales of goods (1980) - as it's UN convention I assume most countries are parties to it, or others? Hard to find the reasoning for it......
greetings


Joined on Sat, Nov 5 2005
Polska/Poland
New Member 14
Forbes, 4 yr 4 days ago
It is not unknown for lawyers to use more words than strictly necessary.Wink [;)]
Anonymous, 3 yr 297 days ago
I have also argued ever since I first saw these words (in an American contract) that they are meaningless as it is not possible to contract out of the mandatory conflict of law rules of a jurisdiction.  The recently published Report of the Subcommittee on Legal Opinions for the International Bar Association agrees with this position.
Forbes  +  193207 Mon, 06 Feb 06 01:54 PM
Whilst agreeing that it is not possible to contract out of the conflict of laws rules, parties to a contract can of course agree which country's law should apply to the contract.
Anonymous, 3 yr 215 days ago

I am very familiar with this clause as I have translated it many times. What it means in practice (which I believe is what you are looking for) is that if a provision in Sweden law  might be interpreted such that a conflict which arises under the agreement should be tried in another country, or pursuant to that country's laws, the provision shall be disapplied. This means that no matter what the dispute will be tried under Swedish law!

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