Your client Jessabelle, has two successful businesses. One as an exporter of timber and timber products internationally and the second as a ship owner who transports cargo internationally. Jessabelle has sought your advice on the following issues; Part A. Jessabelle believes she has negotiated a contract for the sale of a large amount of timber to a company in New Zealand managed by Tim. She shows you an e-mail chain containing the following conversation;

Hi Jessabelle have you got 200 tonnes of red cedar, high quality for exclusive furniture making, to be shipped immediately? Hi Tim, yes, we have high quality red cedar ready to be shipped Hi Jessabelle, great I have a large order and require the timber by 1 April, can you deliver? Hi Tim, yes, we have a ship leaving for New Zealand on 10 March, that would meet your time frame. Hi Jessabelle, what is the price, I should have asked earlier? Hi Tim, really reasonable price, $5,000 per ton. Hi Jessabelle, that is a bit high, would you accept $4,000 per ton and payment over six months. Hi Tim, would accept six months payment but not $4,000 per ton, with delayed payment need $5,000 per ton. Hi Jessabelle, we could do $4,500 per ton. Jessabelle's executive assistant typed out a letter and placed in in a post box at Martin Place on 10 March 2023 accepting the price of $4,500 per ton. Tim having no response to his final email, sources a timber supplier in Canada who is prepared to sell the timber at $4,000 per ton. Advise Jessabelle whether she has a contract for the sale of the timber with Tim, discuss only the International Convention for the Sale of Goods.

Part B. On 1 February 2023, Jessabelle entered into a contract of carriage with Emu Grains Pty Ltd to carry a large amount of wheat from the Port of Newcastle to Germany. The cargo was loaded onto the bulk grain carrier SS Golden Swan on 10 February 2023, due to the large amount of work available shipping grain internationally no due diligence was carried out on the SS Golden Swan between voyages. On 20 February when passing through the Strait of Hormuz the vessel was seized by the United Nations Peace Keeping Force. The United Nations alleged that the SS Golden Swan was breaching international sanctions by attempting to sail through the Strait of Hormuz. The United Nations Peace Keeping Force held the SS Golden Swan for ten days and then released it. By the time of the release the crew were tired and exhausted as the seizure of the vessel was very stressful. On 2 March, the vessel ran aground off the coast of Greece, a large hole was torn in the hull and the wheat was destroyed. An inquiry into the grounding found that the ship's master was asleep at the time and no other competent person was in charge of steering the vessel, further the vessel had been undermanned for the whole of the voyage. Emu Grains Pty Limited is suing Jessabelle for the loss of the cargo. Jessabelle does not feel she should be held responsible due to the wrongful seizure of the vessel. Advise her on her possible liability. Assume the following both Australia and New Zealand have domestic legislation giving effect to the Convention on the International Sale of Goods and thatt Australia and Germany have ratified The Hague -Visby Rules. If okay, please use IRAC method to discuss this practice question.

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Answer Part A Issue Whether Jessabelle has a contract for the sale of timber with Tim under the International Convention for the Sale of Goods CISG Ru... View the full answer