Article 42 of the United Nations Convention on Contracts for the International Sale of Goods (1980) (CISG) provides that the seller is liable to the buyer for the infringement of industrial or other intellectual property rights of a third party. Such liability receives so far little attention from scholars in China. In conjunction with Article 42 paragraph of CISG, this article first defines the scope of the seller’ s liability for infringement of industrial or other intellectual property rights and articulates the conditions, under which such liability is due, which includes: (i) it involves a right or claim of a third party based on industrial property or other intellectual property; (ii) the right or claim alleged by a third party is valid in a particular state; and (iii) the awareness of the seller. The seller can be exempted from the liability for infringement of industrial or other intellectual property rights on the ground of“awareness on the side of the buyer”or“compliance to the buyer’ s instruction”. Chinese enterprises can effectively avoid intellectual property risks in international trade and business by adding a clause in the contract like “the buyer shall bear the responsibility of inquiring”.