Essay About Conflict Of Interest And Legal Disputes

Simulation Summary
Simulation Summary
Simulation SummaryKonstantin BasmanovUniversity of PhoenixOne of the key issues involved in resolving legal disputes in international transactions are choosing the right forum, signing the contract which would satisfy all parties and selecting the right choice-of-law clause. When choosing the right forum for dispute resolution one should address issues about political stability of a country where the process would be held. Assessment should be made whether arbitration’s decision should be binding or non-binding. The contract should address instructions for potential problem resolution during the contract term. Some of the biggest problems include cultural differences and infringement of copyrights.The first step before taking legal action against a foreign business partner is to put yourself on his place and try to work out a compromise. Since, conflict of interest often includes more than two parties, as it was in the simulation, where it involved CadMex, Gentura and government of Candore. This situation was beyond companies’ control and a lawsuit would not bring any results for either parties. Furthermore, understanding an ethical dilemma and Gentura’s vulnerable position to policies of local government allowed companies to work out a lucrative compromise. Sublicensing may result in the reduction of product qualities manufactured under the CadMex’s license.  Moreover, it may take a long period of time for sublicense to bring about benefits of increased production. In this scenario sublicensing would not produce any benefits neither for victims of the disease, nor for CadMex and Gentura. In order to avoid such conflicts, contract should specifically define clauses, which conflict with local cultures and laws.  If conflict is unavoidable, then company should go with the rules defined under the local customs and laws. Since it is a company’s decision to operate in a foreign country, it is obliged to operate and respect local laws. Specific conflict requires a rule of a specific court. The first week introduced students to a very broad system of law which requires use of different laws for different cases. The same approach should be taken when resolving an international conflict.ResourceAddressing International Legal and Ethical Issues. (n.d.). Retrieved August 6,         2014, from