Running head: INTERNATIONAL LEGAL AND ETHICAL ISSUES SIMULATION 1
AddressingInternational Legal and Ethical Issues simulation
Issuesinvolved when resolving legal disputes for international transactions
Internationallegal issues involved in the management of disputes entail thesigning of contracts by the involved parties as part of enhancingguiding principle in the dispute resolution. In addition, the forumto use in arbitration and to settle the dispute is another importantissue as well as the choice of guiding legal clause (Vanden, 2008).
Inresolving international disputes governments stand on the legalproceeding have great effect on the overall direction theinternational dispute arbitration take. Furthermore, the existinginternational laws, political situations and cultural issues have agreat influence in international dispute resolution (Slomanson,2011).
Practicalconsiderations when legal actions are taken against foreign businesspartner
Oneimportant consideration of taking legal action against a foreignbusiness partner is assessing future business interests among orbetween the parties involved countries or companies. Anotherpractical consideration involves the legal, economic and the ethicalissues associated with the dispute. For instance, foreign businesspartner may be benefiting more from one’s company or country thanthe other (Slomanson,2011).
Insome cases, the legal framework between the two countries could bedifferent and may not protect the interests of one party in thedispute as such, the contracts signed should be the guiding light insuch a situation. Furthermore, ethical consideration is importantwhen taking legal action against foreign business partner as theyhelp in assessing the future and current effect of the intended legalactions on the economy, culture, political and social aspect of oneor both parties involved in the dispute.
CadMex`sand sublicensing agreements
Variousfactors could affect the decision of granting sublicensing agreementone important factor is the financial and economic interests of theparty involved. International business agreement laws, prevailingnational customs and laws could also work against CadMex decisions togrant sublicensing agreements (Van den, 2008).
Conflictin local customs and laws with foreign customs and laws
Inthe case of conflict between a foreign organization customs and lawswith those of the host country, international law on a businesstransaction dictates that the laws and customs of the country wherethe business is conducted should prevail. In addition, the tradeagreement should operate as per the signed contract among or betweenthe parties involved.
Resolvingdomestic and international disputes
Ideally,companies that work at international level are faced with myriad oflegal challenges from the headquarter country to the host country.The issues must be addressed for business operations to runeffectively (Slomanson, 2011). As such, companies need to have alocal counsel in a foreign country to help in legal aspects,understanding host country laws, been due diligence and choosing theright mechanism of dispute resolution in case of contract breach ordisagreement. The overriding basis of resolving legal issues atdomestic and international level is understanding all procedures ofconducting business at domestic and international level, been wellversed with international legal and ethical issues of forginginternational business relationships (Van den, 2008).
Slomanson,W. (2011). FundamentalPerspectives on International Law.Boston, USA: Wadsworth Press.
Vanden B., P. (2008). TheLaw and Policy of the World Trade Organization – Text, Cases andMaterials.Maastricht Cambridge University Press