Ali manufacturers and supplies cloth from his factory in Arasia. In January he entered into a contract with Ben and Con, two clothes makers in Beloria, to supply them each with 1,000 metres of cloth. Ben’s order was for a very high quality cloth that had to be specially made. Con’s order was for Ali’s ordinary cloth that was produced on a mass basis. It was to be supplied by Ali’s agent from a larger run of 5,000 metres of the cloth that was being delivered to the agent in Beloria. As both orders were due on the same date Ali shipped them together in the same ship container. Unfortunately the ship ran into a severe storm and the container with the cloth inside was washed overboard and lost.Neither of the contracts made any specifi c provision as to the passage of risk and it can be assumed that the provisions of the UN Convention on Contracts for the International Sale of Goods (CISG) apply.Required:Advise Ali, Ben, and Con as to their rights and obligations under the UN Convention on Contracts for the International Sale of Goods in relation to the destroyed goods paying particular attention to the passage of risk in both instances. (10 marks)
