5. Match the following phrases from the text with their translation:

1. the strongest contract 2. the terms of the agreement 3. the involved parties 4. proper capacity 5. weaker contracts 6. verbal agreements 7. legally binding 8. “meeting of the minds” 9. legally enforceable

a) який має позовну юридичну силу b) усні угоди c) юридично обов'язковий d) зацікавлені сторони e) контракт, який має найбільшу силу f) контракти, які мають найслабшу силу g) «зустріч думок» h) умови угоди i) відповідна компетенція

6. Match the following terms with their definitions.

1. an oral contract 2. a written contract 3. an express contract 4. an implied contract 5. a transaction 6. an agreement 7. a contract

a) an agreement made on a printed document that has been signed by both the lender and the borrower b) a legally enforceable agreement between two or more parties with mutual obligations c) a contract duly executed and legally binding d) an agreement that was made verbally e) an agreement which is found to exist based on the circumstances when to deny a contract would be unfair and/or result in unjust enrichment to one of the parties f) a communicative action or activity involving two parties or things that reciprocally affect or influence each other g) a contract in which the agreement of the parties has been expressed in words, either in oral or written form

7. Answer the questions to the text.

1. What is a contract? What is its role in business? What are its forms?

2. What is the difference between the strongest and weaker contracts?

3. What is the most common type of contracts? Why?

4. What is the difference between implied and express contracts?

5. What is a fundamental part to a contract?

6. When is a contract enforceable by law?

7. What are the main clauses of the Contract?

8. Translate into English.

Кожен міжнародний контракт містить декілька обов’язкових розділів. Юридичні адреси сторін, які укладають угоду, є одним з таких. Загалом контракти складаються з багатьох розділів. Розділи контракту зазвичай нумеруються. Іноді одна зі сторін може вважати, що інша сторона не виконує умови контракту. В такому випадку пишуть рекламацію. Цей лист, як правило, містить вимогу про відшкодування збитків. Такі диспути вирішуються арбітражним судом третьої країни.

9. Read the dialogue “discussing prices and terms of payment”: Ukrimport was interested in buying pumps from Bond and Co. After Mr. Stanley and Mr. Petrenko had discussed the time of shipment, the terms of delivery and the number of pumps, they started discussing the price and terms of payment. Say what you have learned about the discussion of the price; the sellers' manner of payment.

Stanley: Good morning, Mr. Petrenko.

Petrenko: Good morning, Mr. Stanley.

Stanley: Happy to meet you again.

Petrenko: The pleasure is mine.

Stanley: Sunny morning, isn't it?

Petrenko: Yes, it's beautiful.

Stanley: The weather will keep fine, I hope.

Petrenko: I hope so too.

Stanley: Good weather is a good way to start business, isn't it?

Petrenko: That's right. Let's get down to business then. I'd like to start with the prices. Mr. Stanley, I'm sorry to say it is not acceptable to us. You have quoted a very high price.

Stanley: Oh, £ ... per unit is quite a reasonable price. As you know we have improved the model. And besides the price includes export packing.

Petrenko: Yes, we know that. But we also know that the prices on the world market for this type of pumps are lower than yours.

Stanley: But the quality of our pumps is higher and we've delivered a lot of pumps to different countries of the world at that price.

Petrenko: And still, Mr. Stanley, we find the price a bit high. I'd like to stress that it's our trial order with your company and if we are satisfied with our transaction you can expect repeat orders from us.

Stanley: Well, the only thing we can do is to give you a discount of 2% off the value of the contract.

Petrenko: Fine. That settles the price problem.

Stanley: And how about the manner of payment? I hope payment by a letter of credit against shipping documents suits you, doesn't it?

Petrenko: Yes, it does.

Stanley: Good. You are to open a L/C with the National Bank of Ukraine after our Notification of Readiness of the goods for shipment.

Petrenko: All right. One more thing, Mr.Stanley. Our people would like to visit your manufacturing plant, if possible.

Stanley: No problem. We can easily arrange it and I myself will take you here.

Petrenko: Thank you, Mr Stanley.

Stanley: Thank you, Mr Petrenko. We are looking forward to establishing good business relations with your company.