A COMPARISON BETWEEN GUARANTEES STANDBY CREDITS A N D PERFORMANCE BONDS
Ann Johns
(Serial No. 35, 1987)
Faculty of Business Staff Papers
SWINBURNE INSTITUTE OF TECHNOLOGY A division of Swinburne Ltd
A COMPARISON BETWEEN GUARANTEES STANDBY CREDITS AND PERFORMANCE BONDS
by
Ann Johns
(Serial No. 35, 1987)
ISBN 0 85590 597 2
Thrs paper should no t be quoted o r reproduced in whole o r in p a r t wi thout t h e t onscnt of t h e au tho r , t o whom a l l c o m m e n t s and enqui r ies should b e d i rec ted .
@ johns, A., 1987
ABSTRACT
This paper compares guarantees, standby credi ts and
performance bonds as al ternat ive methods of security. I t is
written from the perspective of a business person rather
than a lawyer, therefore i t does not purport t o be a
disser tat ion on the 1 aw of security.
Wi th the increasing sophistication of the finance industry
accountants and others need t o be aware of the securi ty
a1 te rna t i ves avai 1 able and the i r 1 egal consequences.
INTRODUCTION
Many domestic inter bank and inter company loans today rely on ratings rather
than security, e.g. a firm with a AAA rating can get credit without supplying any additional security at all.
The concept of security has become very important in major international
commercial undertakings over the past twenty years. The parties to
international transactions have faced increased difficulties in obtaining adequate legal protection of their contractual rights if the other party does
not honour contractual obligations.
The legal instruments which are commonly used as security for these types of transactions are guarantees, standby letters of credit and performance bonds.
These instruments are all used in international transactions for similar purposes i .e. they have the same economic effect. However the legal forms of
the three instruments are different. Also each instrument can be identified
as being popular in different countries.
The objectives of this paper are to:
(i distinguish between these instruments;
(ii) look at why this distinction is necessary;
(i i i) consider the legal consequences of using these instruments.
GUARANTEES
The guarantee is a very ancient legal instrument found in all jurisdictions -
(usually under the name of ' suretyship').
It may be broadly described as the strict undertaking of a party to pay a
certain sum of money to an other party under certain conditions in order to cover the risk of that party. (1)
In other words it is an undertaking to answer for another person's default.
Thus it is a secondary obligation represented by an accessory contract.
A primary contract exists between a creditor and principal debtor whereby the
debtor owes the creditor an obligation (either money or service).
The accessory contract is between the guarantor and the creditor. The
guarantor is only liable on the guarantee if the principal debtor defaults in payment to the creditor. (2)
In comnon law jurisdictions, where the law based on the Statute of Frauds applies, a contract of guarantee must be evidenced in writing if it is to be
enforeceable by legal action.
'A promise to answer for the debts, default or miscarriage of another person' has been held to include a contract of guarantee but not a contract of indemnity.
It is necessary to distinguish a guarantee from an indemnity which is a contract involving a primary obligation to the creditor. If A says to B y "Supply goods to C and if he does not pay you I will", there is a contract of
guarantee. But if A says to B, "supply goods to C and I will see you are paid", there is a contract of indemnity (3)
(1 Horn, N. and Schnmitthoff, C.M., Ed., The Transnational Law of International Commercial Transactions, Vol . 2, p. 278.
(2 Allan, David E., Hiscock, Mary E., Masel, Leigh, Reobuck, Derck, Credit and Security in Australia, The Leqal Problems of Development linance, University ot Queensland Press, St Lucia, 1914, p. 13.
( 3 Goode, R.M., Corrmercial Law, Penguin, UK, 1982 p. 875.
I t i s interesting t o note t h a t i n certain situations over recent years l e t t e r s of comfort have become a popular alternative t o guarantees. These are
typically used by holding companies giving support t o a subsidiary company. HC L t d may s t a t e that i t i s convinced that SC L t d will meet i t s required
obligations promptly. ( 4 ) Normally a l e t t e r of comfort promises nothing, t h u s
no legal obligation i s created.
However par t ies entering in to arrangements involving l e t t e r s of comfort need
to be aware of the l e t t e r s ' legal efficacy. For example some ' l e t t e r s of comfort' may i n f ac t be legal ly binding warranties. (5) Therefore if i t is the finance d i rec tor ' s intention tha t a comfort l e t t e r i s not t o be legally binding then the l e t t e r should have a clause such as, ' T h i s l e t t e r does not
give r i s e t o any legal obligations on our par t ' . (6) A clause such as t h i s
clearly s t a t e s the intention of the writer.
The advantage of comfort l e t t e r s over guarantees from a comnercial view i s
that the ' 1 iabi l i t y ' can be kept off the Balance Sheet.
Contracts of guarantee are governed by the ordinary principles of contract
law. Unless i t i s under sea l , a contract of guarantee must be supported by consideration. Courts have he1 d tha t consideration can be time and/or credi t
given t o the debtor. Consideration is important from a commercial point of
view because i f i t i s found t o be absent then the guarantee may become void.
The nature of a particular guarantor's l i a b i l i t y depends on the terms of the guarantee. I t i s important from a lenders point of view t o make sure tha t the terms of the guarantee s u i t h i s requirements. He is l ike ly t o want prompt payment from the guarantor i n the event of the debtor's default.
(4) Allan, David E. e t a1 op. c i t , p. 15
(5) Lingard, J.R., 'Comfort l e t t e r s under English law', International Financial Law Review, January 1986, p. 36.
(6) loc. c i t
I t may be poss ib le t o get a 'guarantor ' who i s w i l l i n g t o be j o i n t l y and
severa l ly l i a b l e w i t h the P r i nc i pa l Debtor. I n t h i s case it i s no t a
guarantee i n the lega l sense because a primary ra the r than a secondary
ob l i ga t i on ex is ts . The c r e d i t o r can sue j o i n t l y the 'guarantor ' and the
P r i nc i pa l Debtor o r e i t h e r separately, i n the event of defau l t .
Delaume po in t s out a p o t e n t i a l problem f o r a lender who has a guarantee which
i s l i m i t e d t o a simple promise t o pay i f the borrower defaul ts . He suggests
t ha t lenders may have t o exhaust a l l t h e i r remedies against the borrower
before proceeding against t he guarantor. (7)
Further complicat ions a r i s e i f there i s more than one guarantor i n more than
one country. Questions o f whether the forum i s s ta ted i n t he guarantee
cont rac t and what i s t he proper law governing the guarantee become important.
I t i s beyond the scope o f t h i s paper t o look a t ' c o n f l i c t o f law' issues which
may apply t o guarantee contracts.
The f unc t i on o f the proper law of the guarantee i s extensive. Amongst other
things, i t determines t he v a l i d i t y o f the guarantee e.g. whether the pa r t i es
can enter i n t o the con t rac t and whether considerat ion i s necessary for the
contract t o be enforcea5le. As the cont rac t o f guarantee i s an accessory
cont rac t i t depends on the law regu la t ing the p r i n c i p a l t ransac t ion t o
determine when the guarantor 's l i a b i l i t y ar ises. However proper law o f the
cont rac t o f guarantee i s n o t necessar i ly the same as t h a t o f t he primary
ob l igat ion.
The guarantee discussed so f a r i s one where l i a b i l i t y i s cont ingent on defaul t
of the P r i n c i p a l Debtor. I n p rac t i ce i t i s necessary t o d i s t i ngu i sh between
t h i s type o f guarantee and 'bank guarantee'. A bank guarantee i s an
undertaking t o pay a s ta ted sum of money t o the beneficiary, if the cond i t ions
(7) Delaume, Geprge. R., Leqal Aspects o f I n t e rna t i ona l Lendinq and Economic Development Financinq, Oceana Pub1 i cat ions Inc., New York, 1967, p. 222.
for payment set out in the instrument are fulfilled. (8) The bank guarantee is a form of contract which has developed for the needs of international
trade. It does not fit into the accepted definition of guarantee. The obligation under this type of guarantee is independent of the transaction
between the principal and the beneficiary and therefore different to the obligation of a surety for which the term 'guarantee' is used in some places. An 'on-demand' or first demand guarantee is similar to a bank
guarantee.
With an 'on-demand' guarantee the debtor does not need to actually default
before the creditor can demand payment from the guarantor. The liability to
pay is autonomous and independent of the primary contract.
In this respect it is more like an indemnity than a guarantee. (Further discussion of this type of instrument is covered in the section on
performance bonds).
The Uniform Rules for Contract Guarantees require a written statement that the
Principal Debtor has not f ulf i 1 led the obl igation, before the undertaking to pay 'on-demand' has effect. But the Uniform Rules rules are of limited
value, because they only apply to contracts which expressly state that they are a subject to these rules.
(8) Chinkin. C . M . , Davidson. P.J. and Ricnuier, W.J.M., Ed., Current
(9) Uniform Rules for Contract Guarantees International Chamber of Commerce, Pub1 ication No. 325 (1978)
STANDBY LETTERS OF CREDIT
Since the mid 19th century American Banks have been prohibited from issuing
guarantees. These were considered t o be u l t ra vires i.e. outside banking ac t iv i t ies and therefore void. Standby l e t t e r s of credi t were t h u s developed in the United States as a way of avoiding the res t r ic t ion on guarantees. They
are widely used by American banks, both domestically and internat ional ly as a
surety by which an independent and primary obligation of the bank is establ ished towards the beneficiary t o make payment or accept a d ra f t on
presentation of certain documents. I t serves the function of a f i r s t demand
guarantee.
The Standby credi t acts as a surety i n a commercial transaction between the bank's customer (account party) and the beneficiary i n the case of non-
performance (or non-payment) by the customer. ( l o ) In contrast t o guarantees,
standby l e t t e r s of credi t create a primary obligation on the bank independent of the underlying commercial transaction. In t h i s manner they a re similar t o
an indemnity or a f i r s t demand guarantee.
Standby 1 e t t e r s of credi t , u n l ike documentary credi ts , are not mechani sms of
payment. Despite th i s , the Uniform Customs and Practice f o r Documentary Credits, where applicable extend t o standby l e t t e r s of c redi t (11)
A standby l e t t e r of c redi t is a 'hybrid' because i t i s l ike a guarantee, but
i t i s similar t o a documentary credi t i n tha t payment i s made on the presentation of certain documents without reference t o actual f ac t s .
Goode suggests that t h i s i s suff ic ient prima f a c i e t o prevent a standby
credit being legally c lass i f ied as a guarantee. ( I2 ) This i s par t icular ly
important i n the United States as many cases deal w i t h the dis t inct ion between
(11) Uniform Customs and Practice for Documentary Credits, 1983, Revision. ICC publication No. 400, Article 1.
standby credi t s and guarantees.
Recovery under guarantee is subject t o the primary obl igor' s non-performance ' i n f a c t ' of i t s guaranteed obligations. The guarantor i s therefore only
secondarily l i ab le with respect t o the same obligation of the primary
obligor. Recovery under a standby credi t requires only the presentation of the necessary documents (whether or not performance of obl igations under the underlying agreement has occurred) and the issuer is primarily l i ab le w i t h
respect t o i t s obligations under the l e t t e r of credit .
Standby credi t s have also been used in Australia. Ellinger suggests several
reasons fo r t h e i r use, par t icular ly by merchant banks: ( I3)
( i ) the banker does not need t o be concerned with the performance of the
contract between the beneficiary and the bank i s en t i t l ed t o be reimbursed by the account party even i f the documents are forged providing the bank has accepted them i n good fa i th ;
This can be compared t o business practice which regards guarantees as
seconbary obl igations where the guarantor has to be sa t i s f i ed with the va l id i ty of the beneficiary's claim before meeting his demand;
( i i ) problemswithguarantees a s a s e c u r i t y w h e r e t i m e o r v a r i a t i o n s i n
contract with the account party occur;
( i i i ) a request fo r a guarantee may cas t doubts on a par ty 's c redi t worthiness whereas a standby l e t t e r of c redi t may be less obvious;
( i v ) an increase in trade w i t h the United States has led t o an increase in
the use of standby l e t t e r s of credit .
The 1983 Revision of the Uniform Customs and Practice fo r Documentary Credits
which brought standby credi t s w i t h i n the definit ion of a documentary credi t ,
(13) Ell inger, E.P., 'Problems of Standby Credits in Australia' , Commercial Law Bulletin, Vol. 11, No. 5, Nov. 1979 (Sydney) p. 99.
has some practical effect . One instance i s a credi t which does not specify whether i t i s revocable or irrevocable. Where the Uniform Customs apply, such a standby credi t i s deemed revocable by Article 7c unless s ta ted irrevocable. If the same document was governed by common law, i t would be
considered irrevocable. ( I 4 ) Other a r t i c l e s of the Uniform Customs- which are relevant t o standby credi ts are those defining the bank's general l i a b i l i t i e s . i.e. Articles 15-21.
Parties t o a Commercial transaction should be aware when considering using standby credi t that , in r ea l i ty , such an instrument leaves the account party almost en t i re ly a t the beneficiary's mercy. In view of the autonomous nature
of the standby credi t , the bank i s obligated t o accept and t o pay a b i l l of
exchange accompanied by the c e r t i f i c a t e in which the beneficiary s t a t e s the account party's default. The banker i s neither obligated nor en t i t led t o
investigate the truthfulness of the beneficiary's claim. When such a
ce r t i f i ca t e claims a f ac t which t o the banker's knowledge is obviously f a l se , a court may grant an injunction precluding the issuing bank from accepting the b i l l . ( I5 ) Case law, however, suggests tha t t h i s "fraud rule" is applicable
only i n 'extreme cases i n which the beneficiary's claim i s patently without any possible basis in f ac t and i n which the fraud can be established without d i f f icu l ty ' . (16)
An account party who i s asked fo r a standby credi t should i n s i s t that the
ce r t i f i ca t e of default, against which payment i s t o be made by the issuing
bank under a standby credi t , be provided by an independent th i rd party. I t may be d i f f i cu l t t o provide fo r a ce r t i f i ca t e issued by an independent th i rd party i f the standby credi t i s issued in order t o secure a loan granted by the
(14) Ellinger, P , p. 104
(15) loc, c i t .
(16) Cases ci ted in Ellinger t o support this view: Dynamics Corporation of America v Citizens and Southern National Bank, 356, F . Supp. 991 (1973) - Intraworld Industries Inc. v Girard Trust Bank, 336 A. 2d316 (Pa.
a t an tngl ish court is l ikely t o take the same view i s fy{:!ira::d by Discount Records L t d v Barclays Bank Ltd (1975) 1 W.L.R. 315.
beneficiary t o the account party. B u t i t may be possible t o insist tha t a ce r t i f i ca t e at tes t ing default be signed by auditors or by a firm of accountants. An untruthful statement would usually confer on the account party a r ight of action fo r misrepresentation, deceit or negligence against
the third party who issued the ce r t i f i ca t e . The value of such a r ight would depend on tha t third par ty 's creditworthiness.
A standby credi t can create serious problems affecting a t l eas t two part ies t o the transaction. Whilst the beneficiary gains a ' f i r s t c lass ' security, the issuer of the standby credi t and the account party have t o consider the i r
position very carefully. The same applies with respect t o f i r s t demand
guarantees and performance bonds. However E l 1 inger claims tha t as Austral i an merchants are more familiar w i t h these than w i t h standby credi ts , i t may be
advisable t o s t ipula te e i ther a f i r s t demand guarantee or a performance bond rather than standby credi t . (17)
PERFORMANCE BONDS
Performance bonds appear t o be mainly used in the United States fo r both
domestic and international transactions, such as sales and construction contracts. The surety such as an insurance company, agrees with the customer or buyer t o 'guarantee' proper performance. I t could be used w i t h a s a l e or construction contract in case the supplier or contractor f a i l s t o perform.
Normally evidence of non performance is required.
Under English common law and international practice, the concept of a
performance bond i s often used i n a way similar t o a guarantee or an indemnity. Under English 1 aw, a bond i s ' an instrument under seal ' , usually
by deed pol 1, whereby one person binds himself t o another f o r the payment of a
specified sum of money e i ther immediately or a t a fixed fu ture date. ' (18)
Performance bonds, e i ther conditional or on demand are issued by Brit ish Banks
in international commercial transactions. Under a conditional bond the
guarantor becomes l iab le as a resu l t of the principal 's default (e.g. the builder or s e l l e r ) .
An unconditional or 'on-demand' performance bond i s one in which the guarantor becomes 1 iab le when a demand i s made on him by the owner. The significant
feature here is that there i s no necessity for the owner t o prove any default
by the principal i n performance of the principal contract. (19
The 1 egal form of a bond can be used for the same purposes as a standby l e t t e r of credi t . In such a case, l i a b i l i t y under the bond can be made subject only t o a statement of the beneficiary tha t the principal has not f u l f i l l e d his
(18) Halsbury's Laws of England (3rd ed., 1970) Vol. 3, pp. 329-330.
(19) Wood Hall L t d v The Pipeline Authority (1979) A.L.J.R. 487
contractual duties, or even t o a f i r s t demand without such a statement. In
the Edward Owen Enqineerinq L t d Case (20) i t was held tha t an unconditional
performance bond was enforceable against the bank even though the Libyan Government (obl igee) had broken a term of the principal contract.
From the s e l l e r s point of view if he i s committing say 10% of the purchase
price t o the ca l l of the beneficiary i t i s important t o t r y and minimise his
comnercial r isk. There are a number of ways t o attempt t o do this . F i r s t ly one can t r y t o establ ish the honesty (or c red ib i l i t y ) of the beneficiary
through credi t checks. Another poss ib i l i ty i s t o increase the contract price t o cover any ca l l on the bond. However, this s t rategy may not be commercially
feasible in a competitive market.
As with any other international transaction i t i s important t o establish the choice of law and jur isdict ion in case any problems ar i se in the future.
I t i s also c lear ly in the in t e res t of the principal t o ensure tha t the r ight
to make a demand on the bond i s not unconditional, b u t limited in some way.
If the bond i s unconditional, English authority indicates tha t the only
circumstance which j u s t i f i e s a bank not complying with the demand i s where the claimant i s found gui l ty of fraud. (21
Businessmen, par t icular ly exporters should be aware of the p i t f a l l s of these instruments. In Australia, the exporter may be able t o minimise his r isk by obtaining insurance cover against an arb i t ra ry demand by the beneficiary from the Australian Export Finance and Insurance Corporation (EFIC).
(20) Edward Owen Enqineerinq L t d v Barclay's Bank International L t d (1978) 1 QB 159.
(21) Cases ci ted i n O'Donovan op. c i t . p. 608 t o support this view: - . Edward Owen Enqineerinq ~ t d v arc lays Bank ~n te rna t iona l L td (1978) 1 Q.B. 159: Intracto L t d v Notts Shippinq Corporation (1981) 2 Lloyd's Rep. 256; R.D. Harvottle (Mercantile) Ltd v National Westminster Bank L t d (1978) 1 Q.B. 146. -
CONCLUSION
A dis t inct ion was made between guarantees, indemnities and jo in t obligations,
which are a l l comnon forms of security used i n Australia.
Standby 1 e t t e r s of credi t , on-demand guarantees and performance bonds were
identified as becoming more important with the increase i n international trans act i ons .
Except in the United States, where banks cannot issue guarantees, the choice
between guarantees, standby credi t s and performance bonds, appears t o depend
largely on custom, and the fami l ia r i ty of lawyers and bankers, w i t h the
al ternat ive instruments.
There is no uniform international law on guarantees, standby l e t t e r s of c redi t
or performance bonds. The International Chamber of Comnerce has formulated
uniform rules for contract guarantees. One of the objectives of these rules
i s the protection of the principal from unjustified claims under the
guarantee. This i s done by imposing an obligation on the beneficiary t o
provide evidence of default by the principal.
However, these rules only apply i f the par t ies agree t o incorporate them into
the contract of guarantee. Many foreign governments and part icular ly buyers w i t h substantial bargaining power i n s i s t that the principal enters into ' f i r s t demand' suret ies whereby the demand can be made without proof of default and without the necessity of any documentation. (22)
( 2 2 ) O'Donovan, James andPhi l l ips , JohnC. ,TheModernCont rac tof Guarantee, The Law Book Company Limited, Australia 1985, p. 613.
In the face of tough international competition, businessmen are obliged t o rely on the honesty of buyers and borrowers. They will continue t o agree t o comply w i t h these suret ies as they are aware tha t the majority of transactions
are executed without any serious problems.
Although there appears t o be no legal solution t o the problem of unconditional
sureties, i t i s in the in t e res t of international trade tha t businessmen be
aware of the potential problems and ways i n which they might be minimised.
They should real ize that the 1 aw enforces contracts that t h e par t ies have
chosen t o make themselves. I t i s important therefore tha t businessmen
consider the 1 ikely legal consequences of the securi ty involved i n the event
of default.
^
With international markets becoming more and more sophisticated i t i s apparent
t h a t further work in this area will have t o be developed by international
legal experts t o ensure the protection of a l l par t ies involved w i t h these types of transactions.
BIBLIOGRAPHY
Books - Allan, David E. , Hiscock, Mary E., Masel, Leigh, Roebuck, Derek, Credit
and Security in Austral i a, The Leqal Problems of Development Finance,
University of Queens1 and Press, S t Lucia 1974.
Chinkin, C.M., Davidson, P.J. and Ricquier, W.J.M., Ed., Current Problems
of International Trade Financing, Butterworth & Co., Singapore, 1983.
Del aume, Georges, R . , Legal Aspects of International Lendinq and Economic
Development Financinq, Oceana Publications Inc., New York, 1967.
Edwards, R . and Weston, R . , International Trade Finance, The Law Book Coy
L t d , NSW, 1986.
Ellinger, E.P., doc urn en tar.^ Letters of Credit, University of Singapore
Press, Singapore, 1970.
Goode, R.M., Commercial Law, Penguin, UK, 1982.
Horn, N . and Schnmitthoff, C.M., Ed, The Transnational Law of
International Commerci a1 Transactions, Vo1.2.
Kluwer Law and Taxation Pub1 ishers, The Netherlands, 1982.
H u n t , Ceci I , International Financial Law Lendinq Capital t ransfers and
ins t i tu t ions , 2nd ed., Vol. 11, Euromoney Publications, U K 1983.
Nevitt, Peter K., Project Financinq 4th ed., Euromoney Publications 1983.
O'Donovan, James an3 Phi l l ips , John C . , The Modern Contract of Guarantee,
The Law Book Company Limited, Australia 1985.
Rowe, Michael, Letters of Credit, Eurmoney Publications, Great Britain,
1985.
Wood, Philip, Law and Practice of International Finance, Sweet & Maxwell,
London 1980.
Articles
Abbot, A.J., 'Standby Credits and F i r s t Demand Guarantees', Recent
Developments in Bankinq Law, Lecture Series June-July 1983, Faculty of
Law, Monash University.
Arnold, Harry, J . J r . and Bransilver, Edward, 'The Standby Letter of
Credit - The Controvsky Continues', Uniform Comnercial Code Law Journal,
Vol. 10, 1977-78.
Battaile, John F , 'Guaranty Letters of Credit: Problems and
Poss ib i l i t i e s ' , Arizona Law Review, Vol. 16, 1974.
Becker, Joseph D., 'Standby Letters of Credits and the Iranian Cases:
Will the Independence of the Credit Survive?, Uniform Comnercial Code Law
Journal, Vol . 13, 1980-81.
Ell inger, E.P., 'Recent Developments in Let ters of Credit ' , Recent
Developments in Bankinq Law, Lecture se r i e s J6ne-July 1983, Faculty of
Law, Monash University.
Ell inger, E.P., 'Problems of Standby Credits in Australia' , Cmmerci a1 Law
Association Bulletin, Vol. 11, No. 5, Nov. 1979 (Sydney).
E l l inger, E.P., 'Standby Le t t e r s o f Cred i t ' , In te rna t iona l Business Lawyer
1978, Vol. 6, Great B r i t a i n .
E l l i nger , E.P., 'Th2 Uniform Customs - Thei r Nature and the 1983
Revision', Problems i n I n t e rna t i ona l Bankinq Law, Centre f o r Comnercial
Law and Appl ied Legal Research, Facu l t y o f Law, Monash Univers i ty , A p r i l
1986.
Lingard, J.R., 'Comfort l e t t e r s under Engl ish law', I n t e rna t i ona l
F inanc ia l Law Review, January 1986.
York, Richard, 'Performance Bonds: Standby Credits, Problems i n
I n t e rna t i ona l Bankinq Law, Centre f o r Comnerci a1 Law and Appl ied Legal
Research, Facu l ty o f Law, Monash Univers i ty , A p r i l 1986.
Uniform Rules and Customs
Uniform Customs and Pract ice f o r Documentary Credits,
I C C pub l i ca t ion No. 400, 1983, Revision.
Uniform Rules f o r Contract Guarantees,
I C C pub l i ca t ion No. 325 (1978).
No. 7 1981
No. 8 1981
No. 9 1981
No. 10 1981
No. 11 1982
No. 12 1984
No. 13 1984
No. 14 1984
No. 15 1984
No. 16 1984
No. 17 1984
No. 18 1984
Swinburne Institute of Technology
Faculty of Business
LIST OF STAFF PAPERS PUBLISHED TO DATE
'A Note on Customs Unions Theory: The Viner Controversy R.I.P.' by D.J. Thomas.
'Disequilibrium and the Expectations-Augmented Phillips Curve' by Max Grant.
'A View of Ideological Pressures in the Context of Managerial Power' by Max Brown.
'Short Term Prediction of Student Numbers in the Victorian Secondary Education System' by Miles G. Nicholls.
'The Legal ProtGction of Geographical Trade Names: Prognosis for a Case of Champagne' by Bruce Clarke.
'Corporate Planning Practice in Major American and Australian Manufacturing Companies' by Noel Capon, Chris Christodoulou, John U. Farley and James Hulbert.
'A Modified Markovian Direct Control Model in Fixed Time Incorporating a New Objective Function Specification' by Miles G. Nicholls.
'Government Intervention in the Labour Market - A Case Study of the Referral and Placement Activity of the Commonwealth Employment Service in a Major Metropolitan Area' by John B. Wielgosz . 'Big Business in the U.S. and Australia: A Comparative Study' by Noel Capon, Chris. Christodoulou, John U. Farley and James M. Hulbert.
'Modelling the Demand for Tertiary Education - An Exploratory Analysis Based on a Modified Human-Capital Approach' by Miles G. Nicholls.
'Formal Corporate Planning Practices of Major Australian Manufacturing Companies' by Chris Christodoulou.
'The Australian Short Run Demand for Money Function. Further Theoretical Considerations and Empirical Evidence Using Bayesian Techniques' by Edgar J. Wilson..
No. 19 1984
No. 20 1985
No. 21 1985
No. 22 1985
No. 23 1985
No. 24 1985
No. 25 1985
No. 26 1985
No. 27 1986
No. 28 1986
No. 29 1986
No. 30 1986
No. 31 1986
No. 32 1987
No. 33 1987
No. 34 1987
No. 35 1987
'Al t e rna t ive Job Search and Job Finding Methods: Their Influence on Duration of Job Search and Job S a t i s f a c t i o n ' by John B. Wielgosz and Susan Carpenter.
' A Comprehensive Study of S t r a t e g i c Planning i n Aust ra l ian Subsidiary and Non-Subsidiary Companies' by Chr is Christodoulou and Pe te r T. F i t z roy .
'Towards an Optimal Taxation S t r u c t u r e i n A u s t r a l i a ' by David J . Thomas.
' A Suggested Theore t ica l Bas is f o r the I n t e r p r e t a t i o n of the Ef fec t s of Income on the Demand f o r T e r t i a r y Education' by Miles G. Nicholls .
'Aust r ian Economics and Aust ra l ian Pa ten t s ' by Bruce Oakman.
'Ensuring a Future f o r your Organisat ion ' by Chr is Christodoulou.
'The Long Search: A Pursu i t of Organizat ional Understanding from t h e Perspect ive of "System" Thinkers' by Max Brown.
'Managing t h e In t roduct ion of N e w Technology' by John Newton.
' P o s i t i v e Economic Analysis and the Task of S t a t e Enterpr ise Eff ic iency and Control ' by P a t r i c k Xavier.
' P r o f i t a b i l i t y of Horizontal Takeovers i n t h e Aust ra l ian I n d u s t r i a l Equity Market: 1978 t o 1982' by M.A. Johns and N. A . S i n c l a i r . ' A Comparative Examination of Subsidiary and Non-Subsidiary S t r a t e g i e s ' by Chris Christodoulou.
'Solving Linear ly Constrained Nonlinear Programming Problems by Newton's Method' by Fatemeh Ghotb.
'An Economic Appraisal of Recent Reforms i n Pub l i c En te rp r i se P r i c i n g Pol icy i n Vic to r i a ' by P a t r i c k Xavier.
'Aust ra l ian Manufacturing Companies and Academic I n s t i t u t i o n s : A Comparative Analysis of S t r a t e g i c Planning' by Noel H. Kelly and Robin N. Shaw.
' C e n t r a l i s a t i o n of Information and Exchange with Specia l Reference t o The South Aust ra l ian Winegrape Indus t ry ' by C . Hunt, P. Tiernan, E. Wilson.
'The Impact of Home Off ice Cul ture on Subsid iary S t r a t e g i c Planning' by Chris Christodoulou.
' A Comparison Between Guarantees Standby C r e d i t s and Performance Bonds' by Ann Johns.
