The European Commission

MULTIPLE CHOICE SECTION

  1. Most rules related to international carriage contain a limit in liability. Under exceptional circumstances that limit can be broken. What is not a ground for exceeding the standard limitation?
    a. Force Majeure
    b. Wilful misconduct
    c. Intentional act of the carrier
    d. Reckless cause of damage
  2. For which of the Incoterms below does the seller not conclude a contract of Carriage?
    a. EXW
    b. FOB
    c. DDP
    d. FAS
  3. If a carrier is successful in proving force majeure, the carrier:
    a. Is liable for all damages to the goods
    b. Is liable up to a limit
    c. Is not liable for any damages
    d. Has fulfilled its obligations under the contract of carriage
  4. The Incoterms are rules created by:
    a. No body, it’s a customary law in international trade
    b. The European Commission
    c. The United Nations
    d. International Chamber of Commerce
  5. Which of the following statements about mergers is true?
    a. The European Commission must be notified of all mergers in the European Union
    b. If a merger between two American companies were to happen, for example Facebook and Instagram, the European Commission would not have to be notified. The EC only deals with mergers between European companies
    c. The European Commission only gives permission for around 10% of the mergers notified to it
    d. If the European Commission is notified of a merger and it does not take a decision to allow or forbid the merger within a certain time frame the merger may go ahead
  6. Which article is not at all connected to the Free Movement of Goods?
    a. Article 110 TFEU
    b. Article 34 TFEU
    c. Article 56 TFEU
    d. Article 28 TFEU
  7. Which of the following is not an obligation on the buyer according to the CISG?
    a. To take delivery of the goods
    b. To pay the purchase price
    c. After taking delivery of the goods, to examine the goods within as short period of time as is practicable in the circumstances
    d. To provide the necessary documents
  8. Exclusionary and or exploitative practices fall within the scope of which article?
    a. Article 101 TFEU
    b. Article 107 TFEU
    c. Article 110 TFEU
    d. Article 102 TFEU
  9. Which of the following bodies/institutions is not competent to assess whether an agreement between undertakings is breaching article 101 TFEU:
    a. The European Commission
    b. General Court EU
    c. Council of the EU
    d. Court of Justice EU
  10. Tradex in Belgium imports and exports cheap mobile phones from China and exports these to various EU countries. Tradex pays an import tax upon entry of the phones on the EU single market of 30%. Could Bulgaria introduce an import tax of 8% under its national law?
    a. Yes, the Bulgarian national levy is permitted under current EU law
    b. Yes. Both of the levies are permitted under current EU law
    c. No. Free movement of goods implies none of the levies is permitted under current EU law
    d. No. Only the import levy for entering the EU market is permitted under EU law.
  11. A business active in a particular EU Member State, which is confronted with restrictions on import from another EU member state, which restriction is in clear conflict with EU law, should challenge this restriction at:
    a. The national courts of the member state imposing the restriction.
    b. The Court of Justice of the EU.
    c. The European Council for Trade Related Issues.
    d. Council of the EU.
  12. In what respect is the Free Movement of Capital (FMOC) different from the other Freedoms:
    a. The Public Policy exception is not applicable to FMOC
    b. FMOC is also applicable to capital movements from outside the European Union
    c. TFEU Rules regarding FMOC can be set aside by a joint decision of Council and Commission
    d. FMOC does also apply to State Aid Rules (107 TFEU)
  13. Free movement of persons does not apply to:
    a. Public Security Workers
    b. The Public Service
    c. Citizens who have been criminally convicted.
    d. Part-time workers, who work less than 12 hrs a week and receive social support
  14. In the Netherlands a special sales tax on all alcoholic beverages (Accijns) is uniformly applied. Such a tax is in full agreement with EU law because:
    a. It is equally applied to imports and national products
    b. The European Commission has given special permission to such taxation
    c. It is an indistinctly applicable Measure Having Equivalent Effect to a Quantitative Restriction
    d. The TFEU explicitly regulates sales taxes in art. 107 TFEU.
  15. Indicate whether the following statements are true or false:

I Mixed sales and services contracts are treated by the United Nations Convention on Contracts for the International Sale of Goods (CISG) as sales of goods, even in case the obligations of the seller mainly consists in the supply of services.

II In case the United Nations Convention on Contracts for the International Sale of Goods (CISG) is directly applicable to an international contract of sales, the contracting parties do not have the freedom to opt out of the CISG by choosing any domestic law to govern that contract.

a. I is true, II is false
b. I is false, II is true
c. Both statements are true
d. Both statements are false

  1. Which of the following options/remedies is not available to a seller under the rules of the CISG in case the buyer is breaching the contract of sales?
    a. Avoidance
    b. Damages
    c. Specific Performance
    d. Price Reduction
  2. In the Dassonville case the ECJ (now CJEU) described Measures Having an Equivalent Effect to a quantitative restriction as:
    a. All trading rules that are capable of harmonizing trade between Member States.
    b. All trading rules that are capable of hindering trade between Member States.
    c. All trading rules that are capable of measuring the effects of trade distortions between Member States.
    d. All trading rules that are capable of enforcing measures between Member States.
  3. Which of the following concepts below is the odd one out and does not belong:
    a. Block Exemption Regulation
    b. Concerted Practices
    c. Abuse of a dominant position
    d. Decisions of associations of undertakings
  4. The rights granted to persons under EU law do not include:
    a. The right to move to another EU member state to work in that EU member state.
    b. The right to move to another EU member state to work freelance in that EU member state.
    c. The right to move to another EU member state to look for employment.
    d. The right for someone who has become unemployed in an EU member state to enjoy an unemployment benefit under the same conditions as nationals of that state.
  5. A topic not regulated in the TFEU is:
    a. Human Rights in the EU
    b. Free Movement of Goods
    c. Competition
    d. State Aid
  6. Vertical agreements …
    a. Do not fall within the scope of article 101, but article 102 TFEU
    b. Do fall under the scope of art 101 TFEU in case they contain hard core restrictions
    c. Do only fall under the scope of the Merger Regulation
    d. Do not fall under EU competition law at all
  7. What does the Court of Justice EU not have the power to decide?
    a. a. Settling of legal disputes between businesses active in the EU
    b. b. Matters of interpretation of EU law.
    c. c. Appeals against decisions of the European Commission
    d. d. Legality of EU legislation
  8. In case an EU member state has not complied with its obligations under art.34 TFEU:
    a. Any national court in that particular EU member state can penalize that country
    b. The Council of Ministers can penalize that member state
    c. The European Commission may start infringement proceedings against that member state
    d. Any EU citizen can start a lawsuit against that member state in the Court of Justice EU
  9. Watersports International Inc. (“Watersports”)in Delaware, USA, sent an offer by mail to Bayerische Badehosen GmbH (“Bayerische”) in Munich, Germany on January 1. On January 10, Bayerische mailed back a rejection. On January 11, Bayerische changed its mind and sent an acceptance in the mail. On January 22, the acceptance was received by Watersports. On January 23 Watersports Inc. received the rejection. According to the United Nations Convention on Contracts for the International Sale of Goods (CISG), there was

a. No contract because the rejection was effective on its dispatch on January 10.
b. A contract because the acceptance was effective on its dispatch on January 11.
c. A contract because the acceptance was effective upon its receipt on January 22.
d. No contract because the rejection was effective upon its receipt on January 23.

  1. Indicate whether the following statements are true or false:

I Contracts governed by the United Nations Convention on Contracts for the International Sale of Goods (CISG) have to be in writing to be enforceable.
II A would-be acceptance that contains material differences from the offer is a counteroffer.

a. I is true, II is false
b. I is false, II is true
c. Both statements are true
d. Both statements are false

  1. According to the Hague-Visby Rules the carrier is not freed of liability for loss or damage of the goods in case of:
    a. Damage, which is the result of unseaworthiness of the vessel.
    b. Damage, which is the result of a fault of the master.
    c. Damage, which is the result of fire caused by a fault of the crew.
    d. Damage, which is the result of a fault of the carrier.
  2. Transportes Internacionales S.A. is a Spanish carrier, hired to transport a shipment of tomatoes, weighting 19.000 kgs in total, from the warehouse of Macon Fruits et Legumes in Macon , France to Poznan in Poland. After loading the truck departs for Poland. On the French motorway the refrigerator system of the truck and trailer break down, thus damaging the entire shipment of tomatoes: upon arrival the tomatoes are all rotten. The value of the cargo is € 95.000,-. The truck and associated equipment are all brand new. Which statement below is correct?
    a. Transportes Internacionales is liable up to the total value of the cargo, that is € 95.000,-.
    b. Transportes Internacionales is not liable because the damage is the result of a technical defect of the truck. CMR excludes such liability.
    c. Transportes Internacionales is not liable because it can claim Force Majeure: The truck and trailer are brand-new and this could not be foreseen nor avoided.
    d. Transportes Internacionales is liable for € 190.000,- because of the limit in liability in CMR
  3. INCOTERMS do not deal with:
    a. Division of responsibilities between buyers and sellers
    b. Place of delivery of the goods being sold
    c. Conditions of Payment
    d. Passing of Risk
  4. Hohenstauffen G.m.b.H. is a German carrier, hired by British Steel to transport 8.000 kgs steel from Sheffield, UK to Poznan in Poland. The truck is loaded by British Steel employees, who do not properly fix the steel to the truck. The driver does not notice this mistake. En route, somewhere in Germany, the cargo starts to slide, the trailer bends over and loses its cargo. The steel is totally distorted, and damaged beyond repair. Which statement is correct?
    a. Hohenstauffen is liable up to the total value of the cargo, that is € 190.000,-
    b. Hohenstauffen not liable because the damage is the result of a mistake of the sender
    c. Hohenstauffen is not liable because it can claim Force Majeure
    d. Hohenstauffen is liable up to approximately € 88.000,–
  5. According to the CISG an offer containing a definite deadline for acceptance is:
    a. A revocable offer
    b. An Irrevocable offer
    c. A withdrawable offer
    d. An unconditional offer

Sample Solution

ACED ESSAYS