Business contracts are always complicated, and that's especially true when the parties are doing business across international lines. Without the assistance of an International Contact Lawyer, it is virtually impossible to successfully navigate the many complex issues that affect organizations that do business in foreign lands.
What Is an International Contract?
International contracts are made by and between organizations or individuals doing business with second parties that operate in a different country. Many of the components of an international contract are similar to contracts between parties that do business in the same country. There is the same agreement to exchange money for goods or services. Each party is bound by certain well defined obligations, and there may be serious legal and financial consequences if one of the parties fails to uphold their obligations.
However, international contracts are often made more complicated because they are governed by international law. On the other hand, the contract may stipulate that its terms will be governed by the laws of a foreign nation. Either way, it's extremely difficult for even an experienced businessperson to be fully aware of the ramifications of such an agreement without the assistance of an International Contract Law Firm.
No matter which laws may govern a particular contract each agreement is founded on the tenets of fair dealing and good faith. All parties have the genuine intention to fulfill their obligations, and everyone expects to reap the benefits from the relationship created by the contract.
The United Nations Convention on Contracts
In 1980, the UN held a convention in which a set of rules for international contracts was proposed and accepted. Under this system, no nation or citizens of a particular country receive favored treatment. All potential parties are considered equal.
The rules are a fair amalgamation of business laws from several countries. Thus, there is an element of familiarity to them for many people, while other standards and practices may seem unusual. When a disagreement arises over a contract, the standard of a reasonable person is utilized. Accordingly, nationality has no role in dispute settlement.
A Global Marketplace
Technological advancements in recent decades have made the world smaller. Even new business concerns with only a handful of employees may be able to take their product or service to an international level thanks to the ease of communication and advertisement via the Internet. Even though a businessperson may be well versed in the business laws and practices of their homeland, they are likely to discover that international business is a completely different matter.
It's not uncommon to make blunders when doing business with organizations in other countries. That is why an International Contract Law Firm is so essential for the company that's entering negotiations with a foreign organization for the first time. A knowledgeable attorney that is accustomed to advising clients about global business practices can save their client a great deal of time and money.
With such an attorney to do the work of drafting an international contract, the client can rest assured that they are shaping a fair deal with their foreign counterparts. Thanks in part to the experience of the attorney, it may be possible to create a longer term and more lucrative relationship.
Companies Large and Small
Even a larger corporation that already has business dealings in foreign lands may benefit from retaining an International Contact Lawyer. With the assistance from an attorney, it may be possible to gain a foothold in a new nation where it's possible to make an already large organization grow even faster.
An attorney may also make a difference when it's time to renegotiate a contract or settle a dispute. Their skills with negotiation, knowledge of international business law and history of helping other clients all prepare them to help an organization reach new levels of success.
Who Needs an International Contract Law Firm?
- Individuals Looking to Do Business Overseas
- Small-Business Owners Business Owners Who Have Foreign Clients
- Nationwide Corporations Looking to Expand their Foothold Overseas
- Large Organizations Hoping to Enter Into Better Contracts with Current Vendors
Growing on a Global Level
Entering the international market is exciting. Unfortunately, sometimes that excitement causes businesspeople to overlook the finer points of doing international business. In some instances, this may mean making a few minor missteps, but in other cases it can translate into disasters that affect the company's profitability and reputation for years to come.
Doing business on a global level often means striking a delicate balance. With the assistance of an International Contact Lawyer, it's possible for organizations of any size to maximize their profile and their profitability on a global level.
For legal representation for your international business agreements, please contact us today.