Addressing International Legal and Ethical Issues

In dealing with international legal disputes, many factors need consideration. In addition to understanding the law, one needs to be thoughtful of the country’s politics, its culture and its decision-making processes ("White And Williams Llp", n.d.). A business must create a legally enforceable contract that will cover them in any dispute cases with the foreign organization. An organization also has to decide the default guidelines required in the case of a dispute.

In considering legal action against a foreign business partner, one has to consider the laws in that country. Legal actions may inhibit or deny future business transactions with the particular organization. Considering the business relationship is also important. If a crisis arises, legal action may be detrimental whereas opting to not to take legal action and either take compensation or receiving a share of profits from the company may be best for both parties and maintain healthy business relations ("Sydney Mitchell Solicitors", n.d.).

In granting sublicensing, CadMex has increased their chances of potential lawsuits. Because CadMex is the only licensed manufacturer, sublicensed manufacturers may not have the same protocols or standards that could cause issues down the line if there are problems with the sublicensed medication. It is very important to create a highly detailed contract to avoid liability (Melvin, 2011.)

Jurisdiction is the deciding factor when encountering conflicts with foreign partners. The laws and customs of the country where the business is being run will take precedence. If the business operates in multiple countries, each one must be in compliance with the laws of that particular country.

Last week’s reading touched on foreign business; however, in week two, the reading materials delved deeply into the potential complications of international business transactions. Domestic business is far less multifaceted being that all parties are on the same page as far as laws and...