Domestic Contract on International Laws and Customs Essay
Essay Topic: Law
Paper type: Essay
Words: 413, Paragraphs: 5, Pages: 2
Sorry, but copying text is forbidden on this website!
Addressing International Legal and Ethical Issues Simulation Summary In January 2007, CadMex developed a technique for the quick manufacture of some medical agent. Gentura also developed a technique called ProPrez, which is an anti-diabetic agent. Gentura is located in Candore, which is a dictatorship. CadMex decided to go into business with Gentura that would give them global marketing right to ProPez. The contract needs to have measures in place to protect CadMex interest concerning property rights and potential dispute. There are issues that are involved in resolving legal actions against a foreign business.
One issue that is involved is the legal system. When dealing with a case, they may want to finish the case quickly rather than handling it with quality.
Doing so may lead to evidence not being analyzed. Another issue may be the different laws between the two countries. Not having any written documents may also be another issue if contracts are done over the phone. Some practical considerations of taking legal action against a foreign business based in another country are whether they have patent law and trademark laws.
Factors that could work against CadMex decision to grant sublicensing agreements would be the lack of patent rights and the fact that they did not go through the proper court process in Candore. When local customs and laws conflict with customs and laws of an organization, operating abroad the local law and customs should prevail because that is where the contract was based. The host country should have manufactures rights.
For example if the United States and China goes into a contract in regards to Chinese traditional attire and there is a dispute, the Chinese should win because it is a part of their tradition and the United States assumed the risk. The issues in the simulation compares to the issues discussed in week one in terms of law, ethics, and different ways to dispute, as well as litigations. Companies should resolve domestic and international issues differently by honoring domestic and international laws and customs. Before entering into contracts both parties must agree to all the terms and ensure that the country’s legal system support those terms. Domestic contracts should be written and be on an individual basis. International contracts need to be translated if necessary and should include patent laws where possible.
Contemporary Business Law 1. (2011). Retrieved from https://ecampus.phoenix.edu//aapd/vendors/tata/UBAMSims/business_law1/intl_legal_etical/business_law1_intl_legal_ethical_frame.html Melvin, S. P. (2011). The legal environment of business: A managerial approach: Theory to practice. New York, NY: McGraw-Hill/Irwin.