Business Law

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Date Submitted: 06/11/2011 04:08 AM

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What’s the purpose of International Business Law, IBL?

- IBL devoted to “conflict of law”, meaning that in an international contract, 2 foreign firms will choose a specific legal system or a “unique” jurisdiction to settle a dispute.

- Negotiation instruments, mainly through ICC’s instruments (documentary credit, incoterms and arbitration) will also be developed through IBL.

- IBL devoted also to “Direct Investment Policy”, DIP, together with “Intellectual Property Rights”, IPR.

- Finally, IBL will take into account main trade elements such as free trade agreements [EU, NAFTA, MERCOSUR, AFTA (economic version of ASEAN), AU (African Union), CAFTA (central America), Caribbean Free Trade Agreement], together with restrictive elements such as quota periods reintroduced with the agreements of WTO to protect local economies such as Greece, Ireland, Portugal, and specific cases such as Japan.

Globally speaking, IBL can be summarized to 3 main points:

 Trade Policy

Exchange of goods and services, limits and controls introduced by the states and public authorities on chemical, pharmaceutical and fired-arm (weapons) products so as to protect public safety and health.

 Direct Investment Policy, DIP

Contracts often converted into permanent investments such as partnership, joint-venture, company, consortium, conglomerate or holding, and finally cooperative such as milk or paper products. Public authorities will also interfere into DIP through Corporation tax for example (IS≠IR).

 Intellectual Property Rights, IPR

Key elements to development of international business activities taking into account both commercial and legal elements. IPR usually include licensing, franchising: kind of contract between business actors to use intellectual property and to issue rights and