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Summary International Business Law year 2 class material and book material
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- Haagse Hogeschool (HHS)
Summary International Business Law year 2 class material and book material
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Voorbeeld van de inhoud
International Business LawEvery case, ask yourself in which category it should be?
- Negotiation
- Contract
- Breach
- Transportation
Table of Contents
International Business Law.................................................................................................1
Lecture 1A introduction................................................................................................................4
What is law?....................................................................................................................................................4
What is the purpose of law?...........................................................................................................................4
What is law about?.........................................................................................................................................4
Persons in legal traffic.....................................................................................................................................4
When are they allowed to enter into legal traffic: e.g. to sign a contract?...................................................4
How come that a company can perform legal business, for example to sign a contract?............................4
Legal systems:.................................................................................................................................................4
What is contract?............................................................................................................................................4
International contract.....................................................................................................................................4
Why do entrepreneurs/managers need to know law?...................................................................................5
What is the purpose of a (e.g. sales) contract?..............................................................................................5
What is International Public Law?..................................................................................................................5
What is International Private law?.................................................................................................................5
European law..................................................................................................................................................6
Lecture 1B Business forms............................................................................................................7
The multinational enterprise..........................................................................................................................7
Meaning multinational enterprise..................................................................................................................7
Limited liability................................................................................................................................................7
Separate Legal Identity of Juridical Entities....................................................................................................7
What kind of consequences such separation have for the owners and company?.......................................7
Two (basic) types of business form:...............................................................................................................7
There are two basic kinds of civil law corporations:......................................................................................7
Civil law partnership.......................................................................................................................................7
Organisational structures...............................................................................................................................8
The Subordinate Structure (to parent company):..........................................................................................8
There are three types of operating/organisational structures (or forms) of parent companies:..................8
International regulation of multinational enterprises....................................................................................8
Dominant position:.........................................................................................................................................8
Unfair Competition & The Abuse of Dominant Position..............................................................................10
, When does dominance exist?.......................................................................................................................10
When does an undertaking abuse a dominant position?.............................................................................10
Lecture 2: CISG- negotiation.......................................................................................................11
CISG / Vienna Sales Convention....................................................................................................................11
CISG’s goal:....................................................................................................................................................11
CISG’s rules:..................................................................................................................................................11
International sale of goods:..........................................................................................................................11
CISG only deals with/regulates following issues:.........................................................................................11
Characteristics:.............................................................................................................................................11
the choice-of-law:.........................................................................................................................................11
Consequences of choice-of-law:...................................................................................................................12
Negotiations..................................................................................................................................................12
The GISG:......................................................................................................................................................12
reaching an agreement.................................................................................................................................13
legal aspects of negotiations........................................................................................................................15
Final agreement............................................................................................................................................15
breaking off negotiations: breach of contract or tort..................................................................................16
Lecture 3: CISG - obligations & remedies of buyers and sellers...................................................17
Seller’s obligations........................................................................................................................................17
Buyer’s obligations........................................................................................................................................18
General Standard Of Performance...............................................................................................................19
Buyer’s remedies..........................................................................................................................................19
Seller’s remedies...........................................................................................................................................20
Passing of risk................................................................................................................................................20
Lecture 4: Dispute settlement/ Brussels I regulation & Arbitration.............................................21
Dispute settlement.......................................................................................................................................21
Concepts.......................................................................................................................................................21
Application of Brussels 1...............................................................................................................................21
Relevant articles............................................................................................................................................21
Choice of court..............................................................................................................................................21
Choice of court- Special provisions...............................................................................................................22
Choice of court - Alternative jurisdiction......................................................................................................23
Choice of court – Rome I vs Brussels I..........................................................................................................24
What is arbitration........................................................................................................................................25
The legal framework of arbitration..............................................................................................................25
Contractual elements...................................................................................................................................25
Judicial elements...........................................................................................................................................25
Arbitration and litigation..............................................................................................................................25
The legal framework of arbitration..............................................................................................................26
Arbitrationn agreement (AA)........................................................................................................................26
International commercial arbitration...........................................................................................................26
Lecture 5: European regulation on the law applicable to contractual obligations 1980 Rome I. .27
Introduction Rome I......................................................................................................................................27
Conditions on Use of Rome I........................................................................................................................27
1. A choice of law made by contractual parties...........................................................................................28
2. Law applicable to consumer contracts.....................................................................................................29
3. Law applicable to individual employment contracts................................................................................29
4. Law applicable under certain circumstances............................................................................................30
5. Formal validity of contract........................................................................................................................30
Applicable law on international tort.............................................................................................................31
Lecture 6: Carriage – contract of carriage & trade rules – incoterms...........................................32
Incoterms......................................................................................................................................................32
Sea and Inland waterway transport.............................................................................................................33
Any other mode............................................................................................................................................35
, The contract of carriage................................................................................................................................37
Lecture 7: Carriage – Inland Carriage CMR & carriage of goods by the sea (The Hague Visby
rules)..........................................................................................................................................38
CMR consignment.........................................................................................................................................38
Art. 2 CMR.....................................................................................................................................................38
Art. 4 CMR.....................................................................................................................................................38
Art 5 CMR......................................................................................................................................................38
Art. 8 CMR.....................................................................................................................................................38
Art 17 CMR....................................................................................................................................................39
Application of the CMR to containers..........................................................................................................39
Carriage of goods by the sea........................................................................................................................40
Bill of lading..................................................................................................................................................40
Carrier’s liability & immunities.....................................................................................................................41
Carrier’s duties..............................................................................................................................................41
Carrier’s immunities......................................................................................................................................41
Charter parties..............................................................................................................................................41
, Lecture 1A introduction
What is law?
- system of rules (norms)
- hierarchical and logical system
- constitution
- legislation or act
- decisions of the court (or bureaucratic organisations/institutions)
- contracts
What is the purpose of law?
Law regulates the behavior of people (private) and juridical or legal persons (institutions,
companies and states)
What is law about?
Law is about rights and obligations.
Rights You may or may not do something
Obligations You must do or must not do something
Persons in legal traffic
Private person
Juridical person
When are they allowed to enter into legal traffic: e.g. to sign a
contract?
How come that a company can perform legal business, for
example to sign a contract?
Legal systems:
1. Civil law Romano/French-Germanic
2. Common law Anglo-American
3. Shari’a Islamic law
Customary law African tribal
What is contract?
An agreement between 2 or more parties (natural/legal/juridical persons) about what they
together and/or for each other mutual must/will do or must/will NOT do.
- produces legal consequences
International contract
A contract between two or more parties (private or juridical persons) which are established
in different states/countries.
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