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28 Pace Int'l L. Rev. 1 (2016)

handle is hein.journals/pacinlwr28 and id is 1 raw text is: 



    GOOD FAITH- THE GORDIAN KNOT

    OF INTERNATIONAL COMMERCE


      Bruno Zeller & Camilla Baasch Andersen*

    INTRODUCTION

    Good faith has long been one of those issues in an inter-
national context: one of the issues which represent a perplexing
legal bee-hive of near unanswerable questions. The concept is
perceived as the desperate argument of the loosing lawyer in
one jurisdiction, and the firmament of an established principle
of fairness in another. Even within one jurisdiction it can rep-
resent a hotbed of uncertainty and unpredictability, and when
applied across borders in international commerce, this problem
is compounded.
    Across the legal jurisdictions of the world, the term (or its
multi-linguistic equivalences) has been debated at length and
has either been included into domestic laws, or has been simply
rejected as being too nebulous or not being able to be defined. It
found its way into a host of civil law jurisdictions in different
guises, and into the Uniform Commercial Code of the United
States, but has only found a very unstable foot hold in English
Common law, via European supranational legislation. In Aus-
tralia good faith is an implied term and hence-unless specifi-
cally excluded-is applicable in all contractual relationships
within the State legal systems, with no clarity on what this
means.1

* Dr. Bruno Zeller is a Professor of Transnational Law at the University of
Western Australia, Adjunct Professor, School of Law, Murdoch University -
Perth, Fellow of the Australian Institute for Commercial Arbitration, Panel of
Arbitrators - MLAANZ, Visiting Professor Stetson Law School, Florida and
Humboldt University Berlin; Dr. Camilla Baasch Andersen is Professor of In-
ternational Commercial Law at the University of Western Australia, Fellow
of the International Commercial Law Institute at University of Pace (New
York)
    1 Unfortunately, the Australian High Court has not yet delivered an au-
thoritative statement on the topic of good faith.

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