UNIVERSIDAD AUTÓNOMA DE NUEVO LEÓN
FACULTAD DE CONTADURÍA PÚBLICA Y ADMINISTRACIÓN
INTERNATIONAL BUSINESS PROGRAM

International Trade Law: Investigation on Democratic Republic of Congo, Treaties with Mexico and Purchase Contract with a DRC vendor.

Student: I.D.:
Luz Amairany Garduño Gutiérrez 1580590

Group: 4Di
Semester: 4th
Classroom: 18
Student: I.D.:
Luz Amairany Garduño Gutiérrez 1580590

Group: 4Di
Semester: 4th
Classroom: 18
Professor: Victor Hugo Moreno

San Nicolas de los Garza, Ciudad Universitaria, May 17th 2015
INDEX
Introduction………………………………………………………………………….2
LESCANT……………………………………………………………………………3
Treaties………………………………………………………………………………9
Contract of Purchase………………………………………………………………10
Conclusion………………………………………………………………………….15
References………………………………………………………………………….16

Introduction

Since the beginning of time people have searched for communicate for others, for don’t being on their own. When communication started to fluctuate humans discovered that they had needs and in some cases they had to give in order to receive other thing.

Trade started and with the time society established rules and with that the trade law got born.
The main purpose of this project is to learn about the Democratic Republic of Congo and how it works with the issues of the actual world.

First in the LESCANT part the main aspects of culture and traditions of Congou would be discussed, then the agreements of Congo with Mexico would be searched and at the end we will show the example of a contract of purchase of diamonds in rough between a Mexican buyer and a Congolese purchaser

LESCANT
Language.
The Democratic Republic of the Congo is a multilingual country where an estimated total of 242 languages are spoken. Ethnologue lists 215 living languages. The official language, inherited from the colonial period, is French. Four indigenous languages have the status of national language: Kituba (called "Kikongo"), Lingala, Swahili and Tshiluba.

The geographical distribution of the four national languages in the Democratic Republic of the Congo.
The geographical distribution of the four national languages in the Democratic Republic of the Congo.
When the country was a Belgian colony, it had already instituted teaching and use of the four national languages in primary schools, making it one of the few African nations to have had literacy in local languages during the European colonial period. During the colonial period both Dutch and French were the official languages but French was by far the most important.
Knowledge of French language in the DRC in 2005 according to the OIF
Knowledge of French language in the DRC in 2005 according to the OIF

Environment.
In The Democratic Republic of Congo there are some characteristic areas and traditions. A legacy of the Belgian colonial period is the overwhelming preference for huge blobs of mayonnaise on almost everything -- meat, fish, fried plantains, manioc, peas and salad are just a few examples.
Many choose to mix it with the extremely potent local chili pepper sauce -- known as piri piri, or pepper pepper in Swahili. This tones down the fieriness of the pepper and adds flavor to the mayo -- a delicious combination.
Kinshasa, Lubumbashi, Goma and Bukavu all offer a variety of restaurants and international cuisine ranging from Congolese to Belgian. Kinshasa has the widest selection, with a large number of high-quality restaurants. Because the country has a large Lebanese population, there are excellent, well-priced Lebanese restaurants. The same goes for Indian.

The rare okapi is one of 1,500 animal species endemic to the Congo. It makes its home in the remote Ituri Forest in the northeastern part of the country. Built more like a deer with stripes similar to a zebra's, this forest giraffe measures 6 feet at the head and 5 feet at the shoulder. The okapi is an endangered animal, and the Okapi Wildlife Reserve was established in 1992 to protect the remaining animal population as well as the habitat of the Mbuti pygmies, one of the continent's last forest-dwelling peoples.
On the Epulu River, the reserve, about 1.5 times the size of Yellowstone National Park, is home to 5,000 Okapis, 4,000 elephants and 2,000 leopards as well as many other species. Successive civil wars have taken a heavy toll on the human and animal population, but for the past few years the reserve has been largely free of the armed groups that caused the insecurity. The Okapi Conservation Project manages the reserve and its tourism facilities, which have recently been rebuilt.

Films such as "Outbreak" and "Congo" have perpetuated the impression that it's as easy to catch the Ebola virus in the Congo as it is to catch a common cold in New York.
The country has been the scene of outbreaks -- the most notable being the 1995 outbreak in Kikwit that killed 200 people -- but more recent ones have been quickly contained and remain rare. Ebola is highly lethal and is transmitted from animals to humans when they eat infected meat. Bushmeat remains an important source of protein for many Congolese living outside urban areas, and public health campaigns are ongoing to educate the population about the dangers.

Sadly, these days the eastern part of the country is probably best known for its warlords, rebel groups and mineral conflicts. But before the 1990s, when it was largely stable, the region was a prime tourist destination. Both Goma and Bukavu, the provincial capitals of North and South Kivu, respectively, are on the banks of Lake Kivu. Surrounded by the Virunga Mountains, the area around Goma bears a beautiful resemblance to alpine lakes in Europe. Two national parks are nearby -- the Virunga National Park to the north and the Kahuzi-Biega National Park outside Bukavu. Both are UNESCO World Heritage Sites. The Virunga National Park encompasses numerous habitats, from lowland plains to the Rwenzori Mountains, which reach heights of 5,000 meters (more than 16,000 feet).
It's home to the world's largest concentration of hippos and also to the continent's most active volcanoes -- the Nyiragongo and the Nyamulagira. The Kahuzi Biega National Park is home to one of the last troops of eastern lowland gorillas, a subspecies indigenous to the country. Chronic instability, poaching and absence of funding have made park management difficult over the last two decades, but a dedicated group of Congolese rangers in both parks continue to do their best.

Social Organization.
People in Congo have a pretty new living situation. Social organization in most tribes and clans was based on an ancestral kinship tradition of authority. Land was secured that way for the large majority of farmers. This was weakened by Western oppression and favoritism exercised by colonially selected local leaders. After independence, with a great gap between social structures and governing structures and with only 17 university graduates left to run the country after independence, the country plunged into war and secession. When the strong neopatrimonialist Mobutu seized absolute power, he fragmented the society further and marginalized the rural population. A long-term lack of property rights and access to lands caused frustration, disputes and underemployment in rural areas; all of which contributed to escalation and sustenance of the conflict once it broke out.
This process tracing of the factors leading up to the civil war in the DRC shows how changes in social structures cause frictions and instability.

Context.
Despite an impressive economic growth rate and a reduction in the poverty rate from 71% in 2005 to 63% in 2012, the poverty rate remains high in the DRC. The country ranks second to last on the Human Development Index (186 out of 187 countries), and its per capita income, which stood at $220 in 2012, is among the lowest in the world. The United Nations estimates that there are some 2.3 million displaced persons and refugees in the country and 323,000 DRC nationals living in refugee camps outside the country. A humanitarian emergency persists in the more unstable parts of the DRC and sexual violence rates remain high.

Authority.
In the RDC there are three main authorities, as well as in Mexico, these are the legislative, the judicial and the administrative branches.
The Parliament of the third republic is also bicameral, with a National Assembly and a Senate. Members of the National Assembly, the lower - but the most powerful - house, are elected by direct suffrage. Senators are elected by the legislatures of the 26 provinces. The Congolese Judicial Branch Consists of a Supreme Court, which handles federal crimes. 25 provinces (provinces, singular - province) and city* (ville): Bas-Uele, Équateur, Haut-Lomami, Haut-Katanga, Haut-Uele, Ituri, Kasaï, Kasaï oriental, Kongo central, Kwango, Kwilu, Lomami, Lualaba, Lulua, Mai-Ndombe, Maniema, Mongala, North Kivu, Nord-Ubangi, Sankuru, South Kivu, Sud-Ubangi, Tanganyika, Tshopo, Tshuapa, Kinshasa*

Non-verbal.
Only 2.86% of the land is cultivated, and most of this is used for subsistence farming. People gather wild fruit, mushrooms, and honey, as well as hunt and fish. They will often sell these crops at markets or by the roadside. Cattle breeding and the development of large-scale agricultural businesses has been hindered by the recent war and the poor quality of the road system.

Congo's farmland is the source of a wide variety of crops. These include maize, rice, cassava (manioc), sweet potato, yam, taro, plantain, tomato, pumpkin and varieties of peas and nuts. These foods are eaten throughout the country, but there are also regional dishes. The most important crops for export are coffee and palm oil. Congolese musicians, like Le Grand Kallé, were extremely influential in pioneering the musical style of "African Rumba"', a blend of South American and traditional African musical styles, more often known as Soukous in the years leading up to the independence of the Belgian Congo. Congolese musicians were supported by the Mobutu regime in Zaire during the Cold War, and musicians like Pépé Kallé became incredible popular in the international francophone market into the 1990s.
In the years following independence, the nascent Congolese film industry was held up by many years of war. However, the first Congolese feature film (La Vie est Belle by the celebrated director Mwezé Ngangura) was released in 1987. In recent years, Congolese cinema has reached a wider audience, though the growth of the industry is restricted by the small profits which directors can make (owing to pirating) and rarity of credit.

The Congolese are known for their art. Traditional art includes masks, wooden statues, art of the Kuba Kingdom, textiles and woven arts. Notable contemporary artists are Chéri Samba or Bodys Isek Kingelez. The best known artists successful inside and outside the country are Lema Kusa (painting), Alfred Liyolo (sculpture), Roger Botembe (painting), Nshole (painting), Henri Kalama Akulez (painting), Mavinga (painting), Freddy Tsimba (sculpture), Claudy Khan (painting). Some are teaching at the Académie de Beaux-Arts de Kinshasa, which is the only arts academy of a university level in Central Africa.

Time.
The République démocratique du Congo (name in its official language) was established as an official Belgian colony in 1908, the then-Republic of the Congo gained its independence in 1960, but its early years were marred by political and social instability. Col. Joseph MOBUTU seized power and declared himself president in a November 1965 coup. He subsequently changed his name - to MOBUTU Sese Seko - as well as that of the country - to Zaire. MOBUTU retained his position for 32 years through several sham elections, as well as through brutal force. Ethnic strife and civil war, touched off by a massive inflow of refugees in 1994 from fighting in Rwanda and Burundi, led in May 1997 to the toppling of the MOBUTU regime by a rebellion backed by Rwanda and Uganda and fronted by Laurent KABILA. He renamed the country the Democratic Republic of the Congo (DRC), but in August 1998 his regime was itself challenged by a second insurrection again backed by Rwanda and Uganda. Troops from Angola, Chad, Namibia, Sudan, and Zimbabwe intervened to support KABILA's regime. In January 2001, KABILA was assassinated and his son, Joseph KABILA, was named head of state. In October 2002, the new president was successful in negotiating the withdrawal of Rwandan forces occupying the eastern DRC; two months later, the Pretoria Accord was signed by all remaining warring parties to end the fighting and establish a government of national unity.
A transitional government was set up in July 2003; it held a successful constitutional referendum in December 2005 and elections for the presidency, National Assembly, and provincial legislatures took place in 2006. In 2009, following a resurgence of conflict in the eastern DRC, the government signed a peace agreement with the National Congress for the Defense of the People (CNDP), a primarily Tutsi rebel group. An attempt to integrate CNDP members into the Congolese military failed, prompting their defection in 2012 and the formation of the M23 armed group - named after the 23 March 2009 peace agreements. Renewed conflict led to the displacement of large numbers of people and significant human rights abuses before the M23 was pushed out of DRC to Uganda in late 2013 by a joint DRC and UN offensive. In addition, the DRC continues to experience violence committed by other armed groups including the Democratic Forces for the Liberation of Rwanda, the Allied Democratic Forces, and assorted Mai Mai militias. In the most recent national elections, held in November 2011, disputed results allowed Joseph KABILA to be reelected to the presidency; the next presidential election is expected in 2016.

Treaties of DRC with Mexico.

In fact, Mexico doesn’t have direct treaties with DRC but have some treaties with the African Union of which Congo is part of.
In March 2007, Mexico reopened our Embassy in Ethiopia, headquarters of the African Union country. In addition, Mexico is accredited concurrently, for the first time, to the Governments of Angola, Djibouti, Madagascar, Malawi, Mauritius, Namibia, Democratic Republic of the Congo and Zambia, which will increase political contacts with different countries on the African continent and increase trade and cooperation opportunities. In addition, honorary consulates were established in Botswana and Sudan, important vehicles for the promotion of the interests of Mexico.
Besides this Mexico doesn’t have any connection with DRC and by then it has no preferences in making deals with Mexico.

Oasis Mineral Point, LLC. with its principal office B.P. 7479 Ville de Lubumbashi Katanga, 243, Democratic Republic of the Congo represented by Lucy Zimbarei, on the basis of Power of Attorney from May 10th of 2015 (hereinafter referred to as the „Seller“ on the first side) and L.A. Innerwear. LLC. having its principal office at Apodaca, NL, MX. Zip Code:acting by: Nicholas Jinkle, Chairman of the Board of Directors
(hereinafter referred to as the „Buyer“ on the second side)
(Seller and Buyer referred to also as the “Contracting Parties” or separately each the “Contracting Party”) have entered on the 10 of May 2015 as bellow, pursuant to the United Nations Convention on Contracts for the International Sale of Goods (hereinafter referred to as “Convention”), into the following

CONTRACT FOR SALE OF GOODS
I.
Subject-matter of the Contract

The Subject-matter of this Contract is particularly the obligation of the Seller to deliver goods specified in the Exhibit No. 1 hereto to the Buyer and to transfer the property in goods to the Buyer under the terms and conditions herein and the obligation of the Buyer to accept the delivered goods from the Seller and to pay the agreed purchase price.
II.
Sale of Goods
1. The Seller hereby agrees to deliver the Buyer goods (movables) specified in Exhibit No. 1 hereto (hereinafter referred to as the „Goods“) and in the time, quality and quantity specified in Exhibit No. 1 hereto. The Buyer shall collect the Goods and pay Seller for Goods the purchase price specified in the Article III. hereof.
2. The Seller fulfils his obligation to deliver the Goods when the Goods have been made available to the Buyer at the place of business of the Seller. The Parties have agreed that the Buyer shall arrange for carriage of the Goods from the place of business of the Seller through a carrier the name of which Buyer shall notify Seller. The Seller shall arrange the loading of Goods, and the Goods shall be packed in the manner set forth in Exhibit No. 2. Unless otherwise expressly provided herein, the Goods shall be packed in manner adequate to protect the Goods.
3. The Seller shall deliver the Goods to Buyer’s carrier on 23 September 2015 during regular working hours (08.00 to 16.00 hours). Seller shall notify Buyer regarding the delivery of Goods to carrier by fax message sent to phone No (52) 044 811 215 0900
4. The title in the Goods shall pass to Buyer immediately upon delivery of Goods to the Buyer’s carrier. Risk of damage to or loss of the Goods shall pass to the Buyer at the time of delivery.
5. The Buyer hereby declares he received all information regarding the Goods necessary to arrange insurance coverage.
6. Seller shall send the Buyer documents related to the Goods within 10 days after delivery of Goods and at the Buyer‘s address set out in herein.

III.
Purchase Price
1. The Buyer shall pay the Seller the purchase price of the goods amounting $128,000 DLS (hereinafter referred to as the „Purchase Price“).
2. The Purchase Price shall be due upon the invoice issued and sent by the Seller not later than 10 days from delivery and collection of Goods by the Buyer. The invoice shall be payable not later than 21 days from the issue of the invoice by Seller.
3. If the Buyer fails to pay the purchase price, the Seller shall have the right to default interest at the rate of 0,1 % of outstanding amount for each day of default without prejudice to any claims for damage pursuant to the Article 74 of the Convention.

IV.
Product Liability
1. The Seller shall be liable for any lack of conformity in Goods which exists at the time when the risk passes to the Buyer and which occurs within 24 months from the date of delivery of Goods by the Buyer’s carrier. The Seller declares that the Goods during a period of 24 months from the date of collection by the Buyer’s carrier will remain fit for the purposes for which the Goods would ordinarily be used or during this period will retain specified qualities (hereinafter referred to as the „Warranty Period“).
2. The Seller shall not be responsible for the defects arising out of the failure to follow operation instructions, for the defects caused by improper storage after the Goods were delivered or for the defects caused by circumstances that were beyond the reasonable control.
3. The Buyer shall, immediately upon delivery of the Goods by the carrier, duly examine the Goods and if the defects of Goods were apparent upon the collection of Goods, the Buyer shall promptly give notice on this to the Seller.
4. Should the Buyer discover any defects during the Warranty Period, the Buyer shall give written notice of the defect to the Seller and not later than within 15 days after such defect had been detected. In a written notice specifying the defects he shall have the following options: replace of defective Goods by delivery of non-defective Goods; demand to repair the defective Goods if the defects are repairable; demand appropriate Purchase Price reduction; or to withdraw from the Contract.
5. The Seller, upon receipt a notice from the Buyer stating the defect, promptly shall give a written statement and reply whether he accepts the claim for defects or not.

VI.
Exclusion of Liability
1. A party is not liable for a failure to perform any of his obligations if he proves that the failure was due to an impediment beyond his control and that he could reasonably be expected to have taken the impediment into account at the time of the conclusion of the Contract or to have avoided or overcome it or its consequences. The exemption provided by this Article has effect for the period during which the impediment exists.
2. The non-performing party shall give prompt written notice to the other party of the reason for its failure to perform and the extent and duration of its inability to perform.

VII.
Arbitration Clause

All the disputes resulting from this agreement or in conjunction with it, will be decided finally in the arbitration procedure before one arbitrator JOSÉ MARÍA ABASCAL ZAMORA, Delegate of Mexico for UNCITRAL.Litice and registered in the list of arbitrators of with Act No. 216/1994 coll. of Laws, on Arbitration Procedure and Execution of Arbitration Awards, and with the Proceeding Rules of Mexican Arbitration Centre announced at it´s website http://www.arbitrajecanaco.com.mx/. The parties authorize the arbitrator to settle the dispute based on the principles of natural equity. Compensation for arbitration costs (including the expenses of the contractual parties) will be awarded by the arbitrator based on the principle of success in the dispute.
VIII.
Final Provisions
1. This Contract shall enter into force and shall take effect on the day when it is executed.
2. The Contracting Parties hereby agree that entering into this Contract and performing duties under this Contract have been duly approved by the relevant company bodies of the Contracting Parties in a compliance with legal regulations, by-laws and other internal regulations of the Contracting Parties; and no other approval or consent shall be required.
3. The Contracting Parties agrees to respect the legitimate interests of the other Party, shall conduct in accordance with the purpose of this Contract and shall not counteract such purpose and they shall perform all legal and other actions that may prove necessary to reach the purpose of this Contract.
4. All documents in writing shall be mailed at the address of the Contracting Parties set forth in the heading of this Contract unless either of the Contracting Parties shall give a written notice to the other Party on changing its address. Whatever papers the delivery of which is required, assumed or is made available by this Contract and regardless of any other available way allowed by the legal regulations to prove such a delivery, shall be deemed to have been served if such had been delivered to the other Contracting Party at the address set forth in the heading of this Contract or at the address noticed in written form by either Contracting Party to the other Party.
5. Any changes and amendments to this Contract shall require a written form.
6. If any provision of this Contract is determined to be invalid or unenforceable, the validity or enforceability of the other provisions either of this Contract as neither a whole nor other provisions will be affected unless such an invalid or unenforceable provision is severable. Contracting Parties herby agrees to supersede such an invalid or unenforceable provision by a new valid and forceable provision that most closely matches the intent and the purpose of the original provision.
7. This Contract and the relations arising from shall be governed by the Law of the Mexican United States, particularly by the United Nations Convention on Contracts for the International Sale of Goods.
8. This Contract had been made in two duplicates whereby each Contracting Party shall retain one copy each.

Done in Mexico, May 10, 2015 Done in Prague on May 10, 2015

……………………………………….. ………………………………………..
Oasis Mineral Point, LLC. L.A. Innerwear. LLC.
Lucy Zimbarei Lic. Nicholas Jinkle

Exhibit No.1

Exhibit No. 2.

Conclusion
In conclusion I can say that thanks to this research I have learned about customs and traditions of the Democratic Republic of Congo, all the variety in the country is amusingly underestimated and the big wide variety of languages only show us the importance of the diversity and tolerance among people.

During this investigation I realized the fact that Mexico doesn’t have any trade agreement with Congo and I categorize that as a sad fact because, Mexico can find in Congo a great trade partner in the importing of important minerals such a diamonds or aliments like sugar.

Finally I could apply all the knowledge about contracts I acquired during the semester.

References
10 things to know before visiting Democratic Republic of Congo - CNN.com. (n.d.). Retrieved May 13, 2015, from http://edition.cnn.com/2013/06/06/travel/10-things-about-congo/
Camara de Diputados. (n.d.). Unión Africana. Retrieved May 13, 2015, from http://www.diputados.gob.mx/sedia/sia/spe/SPE-ISS-08-10.pdf
CIA. (n.d.). The World Factbook- Republic Democratic of Congo. Retrieved May 13, 2015, from https://www.cia.gov/library/publications/the-world-factbook/geos/cg.html
Espinoza, R. (n.d.). Posibilidades Comerciales entre México y África. Retrieved May 13, 2015, from http://codex.colmex.mx:8991/exlibris/aleph/a18_1/apache_media/RNHUH42ADTB9784
Mukenge, Tshilemalema. (2002) Culture and Customs of the Congo Greenwood Press. ISBN 0-313-31485-3. An academic view of Congolese culture.
My Business: Diamond deals in the Congo - BBC News. (n.d.). Retrieved May 13, 2015, from http://www.bbc.com/news/business-17990476
Nature and Culture in the Democratic Republic of Congo Royal Museum for Central Africa. ISBN 90-75894-67-8. Well illustrated volume covering a broad range of subjects.
The Breakdown of Societal Order in the Democratic Republic of Congo. (n.d.). Retrieved May 13, 2015, from http://www.e-ir.info/2013/12/08/the-breakdown-of-societal-order-in-the-democratic-republic-of-congo/