Essay About Legal Issues And First Question

Adressing Legal Issues in Foreign Transactions
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What are the issues involved in resolving legal disputes in international transactions?
The issues involved in legal disputes range from ethical dilemmas to changes in legislation. The first question will be what resolution process will be chosen, Litigation, arbitration, or an alternative option? Arbitration is the process that is commonly chosen because it offers a neutral position and tends to cost less and take less time than litigation. This makes it easier for both parties involved to not feel like the decision was in any way biased. When resolving legal issues both parties involved must consider the other countries laws and procedural regulations. Determining the choice of law is something to carefully be considered. The type of transaction whether it be information, services or goods would help narrow down which countries laws fit best. In the simulation CadMexs came upon a breach of contract issue. The country of Candora had a health crisis, causing them to require a large quantity of medicine. Gentura promises their government ViroBlax the medicine used for the virus epidemic at a subsidized price. Being that Gentura is the only licensed manufacturer of ViroBlax in Candora, CadMex is put in a difficult place. Taking legal action would jeopardize any future business relationship with the Candorean government and Gentura. The public and most others would see this as empathetic to the health crisis and damage CadMexs reputation. However, not taking any legal action would minimize the importance of a contract. The option to get shared marketing rights to other drugs made in Gentura is offered but considering the political climate would be too risky. The option to claim compensation fit best since it did not tie Gentura to another contract it could possibly not fulfill and CadMex would not lose out on profit.