Weigh the risks and benefits of entering the international market with those of entering or doing business in the domestic market.


Answer the following two questions:

1. Weigh the risks and benefits of entering the international market with those of entering or doing business in the domestic market.

2. It has also been said that exporting is not an “elixir” for a company that is failing in its home market and is looking for sales elsewhere. Explain the accuracy of this statement.


A United States flagged cargo ship, carrying vital supplies for our military operations abroad, is en route from India to Texas when it is attacked by Al-Qeada operatives hell bent on revenge. The ship is in the South Atlantic just 5 miles off the coast of South Africa. The pirates kill 22 US citizens and 4 Mexican citizens before burning and sinking the ship. The suspected attackers are caught while fleeing by the South African Coast Guard.

Who has jurisdiction over the terrorist attackers and why? (Be specific using the appropriate vocabulary)

Since this is an international incident, can they be tried before the International Criminal Court or the International Court of Justice? Why/why not.


Company X, located in the United States, and Company Y, located in Brazil, are negotiating a new contract for the sale of widgets. They include a clause that stipulates that in the event of a dispute, the case will be tried in Switzerland and applying Swiss law, as both countries believe in the neutrality of the Swiss people. If this clause is later challenged by the parties will it be enforceable? Explain completely why or why not.


Widgets World Wide (WWW) and Acme, Inc. enter into a contract whereby Acme is purchasing $1,000,000 worth of WWW’s products for resale over the next year. During the course of the contract, a disagreement arises as to some performance aspects of the contract. Acme wants an additional document between the two parties to be utilized to help resolve the dispute.

What is the legal term for the additional document and does the CISG allow this? Explain.Also, one shipment arrives, but the widgets do not perform as expected. The contract says nothing about a warranty. Is Acme out of luck under the CISG? Explain.


As we now know, carriers do have limited liability under COGSA in most cases. What is that liability limitation and what steps should we take to make sure that our shipments are as protected as possible under the rules of COGSA? Explain citing class concepts.


Would the marine carrier be liable in each of the following scenarios applying COGSA? Briefly explain why/why not.

1. The failure of the ship to unload its cargo on time at the destination port due to a longshoreman’s strike.

2. The failure of the ship to unload its cargo on time at the destination port due to a route change necessitated by engine failure occurring after the ship left the port of shipment.

3. A lawsuit by a seller and a buyer against a carrier for damage to goods filed 18 months after their delivery.

4. The failure of the ship to unload its cargo on time at the destination port due to its overloading at the port of shipment.

5. A notice of damaged goods given by a buyer to the carrier 10 days after the buyer’s receipt.


With tensions high in the Middle East, the President negotiates with Turkey to allow unrestricted air access, as well as the ability to establish a base near the Turkish border to be able to respond quickly to escalating conditions. The president signed this agreement without prior consultation with or the receipt of authorization from the U.S. Congress. The president claimed that such consultation and approval were not necessary.

What type of agreement has the president negotiated with Turkey? What do such agreements provide? Utilizing concepts in Chapter 8 and the opinion in Dole v. Carter, would a judicial challenge to the agreement by a member of Congress be successful? Why or why not?


As a new seller in the international marketplace, transaction risk is a big issue for me. I have heard about a documentary transaction involving a Bill of Lading, but don’t know what that means. Please describe it to me.

Additionally, I want as little responsibility as possible when it comes to the delivering the goods to the buyer. How can I do this? Explain citing class concepts.


I’m a car dealer and purchase a Bill of Lading involving several custom luxury automobiles that are in route to the United States from an international auto dealer. A few days after my purchase, I receive a call from an international bank saying that the cars were not to be sold by the auto dealer due to some issues with the financing terms. Are my cars going to be subject to the claims of the international bank? Explain why or why not.

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