III m I\" Isl I5! Isl I54 IS! The following contract is entered into between Stig in Norway and Bond m in Nigeria: \"1000 tons of "grade A" dried cod. NOK 1.500.000. CIF Lagos INCOTERMS 1990. as per sample submitted. Payment to be by ir- revocable letter of credit conrmed by DnB Oslo opened by October 3rd 1991 for a period of 2 weeks. and to be made against documents evidencing the fullment of his CIF obligations. and a certicate of inspection stating the cod to be of grade A quality." The letter of credit facility is duly opened and the relevant documents being specied to DnB bank and Stig proceeds to perform his obligations under the contract. Bond in Nigeria hears rumours that the consignment shipped will not be grade A but grade C. and that the certicate of inspection presented will be a forgery. and instructs both banks not to pay against it. Stig presents DnB with the following documents: a received for shipment bill of lading for 1000 tons of grade A dried cod in apparent good order and condition: an invoice for the same goods: an insurance policy taken on Institute Cargo Clause C terms: and a certicate of inspection. DnB bank pays particular attention to the certicate of inspection but is unable to nd anything wrong with it as it appears to be in order and as described in their mandate (instructions for opening the credit). DnB pays Stig. During the voyage the ship is in a collision and part of her cargo is wet. whilst another portion is deliberately thrown overboard by the crew in order to reduce her weight. When the consignment arrives it is found to be 200 tons short (i.e. there are only 800 tons) and 100 tons of the consignment are damaged by water. and the consignment is found not to be up to sample and not of grade A quality. 1. Assume that Norwegian law is to apply to the sale of goods transaction. Answer the following: (a) In the situation described in the problem. what international conven- tions or uniform sets of rules apply or are likely to apply to the sale of goods transaction. their transport. the marine insurance policy and the let- ter of credit and explain why this is the case, and give a brief outline of what these do. (10%) [r