Wine Law

380 WINE LAW Except for the limit (mandatory under Italian law, article 1229 of the Italian Civil Code) of fraud or gross negligence, the seller may also contractually exclude or limit its liability for damages. In the absence of the above clauses, the warranty conditions established by the Vienna Convention, which are inconvenient for the exporter, apply. Another relevant obligation of the Italian exporter is the delivery of the goods. The international sale normally implies the need to move the goods for long distances, possibly by different means, which involves costs, charges and risks because the goods could be damaged or stolen or delayed, causing problems to the buyer for which the seller could be called to answer. As to limit these risks, it is essential that the exporter contractually regulates the most relevant aspects concerning the transport of goods, that is, the place and time of delivery. In this sense, the practice of international trade has long since determined a valid response regarding the method of delivery, a practice subsequently codified in the International Commercial Terms (Incoterms) 15 . At the end of the relationship, the seller demands payment; however, despite the contractual precautions, the claim may remain, even partially, unpaid. In the European Union, the Italian exporter, for instance, can then provide in the contract that any disputes are resolved by the Italian judge, who is subsequently authorised to act on the goods and receivables that the EU debtor has in his country for the satisfaction of that credit. This will happen according to EC Regulation 44/2001, which allows the recognition and enforcement throughout the European Union of civil and commercial judgments issued in other EU countries. Unless otherwise provided for in the contract, the jurisdiction lies with the court of another EU country – that of the country of the defendant or of the court of the place within the Community territory, where the good’s delivery took or should have taken place. In addition to recourse to ordinary justice, arbitration is possible, if provided for by a specific clause. It is often the only way to resolve disputes with non-EU importers, as Italy has bilateral agreements for the mutual recognition of judgements with only very few countries. Arbitration awards can, instead, be enforced in the 144 countries that have ratified the 1958 New York Convention. 15 Internationally recognised standard trade terms used in sales contracts, Incoterms 2015 includes 13 items.