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Discussing Contract Terms




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Mr Blake studied the Buyer's contract terms and on Tuesday came to the Russian Trade Delegation to discuss them with Voronin.

Voronin:Good morning, Mr Blake.

Blake:Good morning, Mr Voronin. Sorry, I'm a bit late.

Voronin: Never mind. How are things?

Blake: Not too bad, thanks.

Voronin:Would you like a cigarette?

Blake: No, thank you, I don't smoke.

Voronin:May I offer you a cup of coffee?

Blake:Yes, thank you. Well, Mr Voronin. I think we can discuss business now. I'd like to clarifysome details with you. How many compressors would you like to buy?

Voronin:We can buy 40 compressors.

Blake: And when do you requirethe goods?

Voronin:As soon as possible, sayin December.

Blake: In December? Let me see. I'm afraid,that's impos­sible. Our compressors are selling very well, and we are heavywith orders. We can deliveronly 15 com­pressors in December.

Voronin: And what about the other 25 compressors?

Blake: We can deliver them only in six months.

Voronin: All right. And what about the terms of delivery? I hope they suityou.

Blake: Yes, we agree to sell the goods FOBEnglish port and we can accept payment for collection too.

Voronin:Fine. Now is the question of price. I must say that your price is not attractive to us. Can you give us a 10 % discount?

Blake: That's a bit difficult. The fact is our compressors are in great demand. However we can offer you a discount of 5 % as we've been good partners for a long time.

Voronin: I think we can agree to a 5% discount. Could we meet tomorrowat 10 to sign the contract, Mr Blake?

Blake: Yes, certainly. Mr Voronin, would you like to have dinner with me tonight?

Voronin: With pleasure.

Blake: I can pick you up at the Russian Trade Delegation at 6.30 if that's convenient to you.

Voronin:Yes, thank you.

4. Translate the dialogue into English, using key-words and expressions:

-Добрый день! Присаживайтесь, пожалуйста. Не хотите ли чашечку чая?



- Если можно, зеленого.

- Давайте проясним детали.

- Да, займемся делом. Мы бы хотели сделать пробный заказ на ваше оборудование, но ваши цены неприемлемы для нас.

- Вы знаете, что наше оборудование пользуется большим спросом в нашей стране, и мы загружены заказами.

- Но мы собираемся сделать большой заказ и хотели бы получить 7% скидку.

- Боюсь, что мы можем дать вам только 5%.

- Мы можем принять это, если цена будет включать установку оборудования и обучение штата.

- Хорошо. Давайте обсудим условия оплаты.

- Мы бы хотели оплатить аккредитивом. Вас это устраивает?

-Да. Отлично! Может, пообедаем?

Written follow up:

Make a short report on the results of your negotiation on the contract for your chief manager.

THE RESEARCH TRAINING

Choose the best response to complete each sentence looking for additional information if necessary:

 

1. Generally speaking, it's not wise to accept a contract on the __________________________. (= right away/ when you are shown the contract)

a) sport b) spat c) spot

2. I told him I'd get __________________________ with an answer the following day.

a) up b) back c) out

3. I'm not really happy with the __________________________ of this contract.

a) terminology b) terms c) termites

4. To do something that goes against the terms of a contract is known as "__________________________" the terms of a contract.

a) breaching b) bashing c) beating

5. We __________________________ a contract with them. = We signed a contract with them.

a) turned over b) came along c) entered into

6. "Small __________________________" refers to the fine details of a contract, many of which are typed in a smaller __________________________ than the rest of the contract, hence the name.

a) print b) printer c) printing

7. This contract can be __________________________ (= ended) by either party.

a) terminated b) stopped c) quit

8. Could you please confirm that __________________________?

a) by writing b) writing c) in writing

9. This is the __________________________ (= typical, normal) contract that we give to all our employees.

a) standing b) standard c) standards

10. I need to __________________________ before signing it.

a) have our legal expert look at this b) have a look from our legal expert c) our legal expert will look at this

11. Almost any part of a contract can become a __________________________ of negotiation. (= can be negotiated)

a) point b) thing c) success

12. The most successful negotiators are the ones who are __________________________ for a negotiation.

a) mostly prepared b) most prepared c) a lot of preparation

13. We just want to make sure that this is __________________________ to both of us.

a) advantage b) advantages c) advantageous

14. We have to __________________________ (= define) who is responsible for covering shipping costs.

a) stipulate b) stimulate c) simulate

15. Every business relationship requires a little __________________________.

a) take-and-give b) to-give-to-take c) give-and-take

16. Because of my limited work experience, I didn't have a lot of __________________________ power (= I couldn't ask for too much) during the salary negotiations.

a) bargain b) bargaining c) bartering

17. That is not something I'm __________________________ to negotiate.

a) willing b) wanting c) desiring

18. Let's __________________________ (= think of/ define) a figure that will be acceptable to both of us.

a) come out with b) come up with c) get in with

19. We have made a lot of __________________________ already. (= we have already accepted many of your terms)

a) consent b) concessions c) connections

20. To meet someone "__________________________" means to make a compromise with someone. ex. We're willing to meet you __________________________ on this point.

a) half-road b) half-heartedly c) half-way

21. I really believe that it is in our company's __________________________ (= it would be beneficial for our company) to sign this contract.

a) good interest b) best interest c) best practices

22. Negotiation frequently involves compromise. Too much __________________________, however, can be a bad thing.

a) fluctuation b) flexing c) flexibility

23. Many negotiators __________________________ (= develop) their own contracts before entering into negotiations.

a) write in b) write up c) write out

24. We need to __________________________ (= clearly define) this point - it's a little ambiguous.

a) clarify b) clarity c) clear

25. I'm not too __________________________ on what you mean by that. = I don't really understand what you mean by that.

a) clear b) clarity c) clarify

26. You will see that this contract __________________________ all the terms that we agreed upon during negotiations.

a) produces b) promotes c) includes

27. He came into negotiations with a __________________________ list of items. (= a list of items arranged by priority)

a) prioritized b) priority c) prior

28. Our estimate was based on the __________________________ for proposal (RFP) that we received from them on August 20th.

a) request b) requirement c) recourse

29. A "__________________________" is an important point (for one or more parties) that, if not agreed upon, will mean that the contract will not be signed.

a) deal-burrier b) deal-breaker c) contract-breaker

30. Would it be possible to __________________________ (= get rid of/ not include) these fees?

a) wave b) waif c) waive

CHECK YOURSELF USING ANSWERS:

1)c 2) b 3) b 4) a 5) c 6) a 7) a 8) c 9) b 10) a 11)a 12) b 13) c 14) a 15) c 16) b 17) a 18) b 19) b 20)c 21) b 22) c 23) b 24) a 25) a 26) c 27) a 28) a 29) b 30) c

Appendix 1




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