Question 1

Explain the advantages of commercial arbitration over litigation.

Accepted Answer

The first advantage is that commercial arbitration removes the risk of a biased hearing in the home country of a party.Further,it provides the parties an opportunity to select an arbitrator who is an expert in the area of dispute.Additionally,the proceedings are private and confidential,and finally,the costs of commercial arbitration are much lower than litigation costs and the decision is usually rendered much more quickly.

Question 2

The GATT and the WTO aim to reduce customs duties.

Accepted Answer

A) True 
 B)False  True

Question 3

Public international law is

Accepted Answer

A) law involving the relations between public officials of different countries. 
B) law involving the relations between public entities from different countries. 
C) law involving the relationships between states. 
D) law involving the relations between citizens of different countries as it concerns their private activities. 
E) law involving the relations between the citizens of different countries as it concerns their public activities. 
A) law involving the relations between public officials of different countries. 
B) law involving the relations between public entities from different countries. 
C) law involving the relationships between states. 
D) law involving the relations between citizens of different countries as it concerns their private activities. 
E) law involving the relations between the citizens of different countries as it concerns their public activities. C

Question 4

Foreign investment occurs when

Accepted Answer

A) a branch of a business enters into trade relations with a foreign country. 
B) the subsidiary of a business enters into trade relations with a foreign country. 
C) a business invests money in a foreign business. 
D) a business establishes a branch or subsidiary in a foreign country. 
E) a business invests money in a foreign country. 
A) a branch of a business enters into trade relations with a foreign country. 
B) the subsidiary of a business enters into trade relations with a foreign country. 
C) a business invests money in a foreign business. 
D) a business establishes a branch or subsidiary in a foreign country. 
E) a business invests money in a foreign country.

Question 5

Notwithstanding that an action at law between contracting parties in different countries is brought in one country,the court of that country may decline jurisdiction on the basis of forum non conveniens.

Accepted Answer

A) True 
 B)False

Question 6

International transactions result in a wide variety of legal relationships.Name some of the contractual relationships.

Accepted Answer

These contractual relationships include

Question 7

What is the proper law of an international contract?

Accepted Answer

The proper law is the law the parties in

Question 8

The invoice is of special importance in the international sale of goods.It not only provides information to the parties to the transaction,but also

Accepted Answer

A) provides information for the international electronic data exchange. 
B) operates as a document of title. 
C) facilitates the financing. 
D) provides information to the customs authorities in the country of importation. 
E) acknowledges that the goods have been picked up by the shipping company. 
A) provides information for the international electronic data exchange. 
B) operates as a document of title. 
C) facilitates the financing. 
D) provides information to the customs authorities in the country of importation. 
E) acknowledges that the goods have been picked up by the shipping company.

Question 9

Under Chapters 19 and 20 of NAFTA,in the event of a dispute,the Extraordinary Challenge Committee is the first body before which an arbitration is heard.

Accepted Answer

A) True 
 B)False

Question 10

In commercial arbitration,

Accepted Answer

A) the arbitration is presided over by an experienced arbitrator. 
B) the arbitrator's decision will bind the parties. 
C) the parties agree to resolve their dispute using this method. 
D) the arbitrator's decision can be easily enforced. 
E) all of the above 
A) the arbitration is presided over by an experienced arbitrator. 
B) the arbitrator's decision will bind the parties. 
C) the parties agree to resolve their dispute using this method. 
D) the arbitrator's decision can be easily enforced. 
E) all of the above

Question 11

Use this fact situation to answer the related questions that follow. A company in Canada has just entered into a contract for the sale of goods to a company in France;however,the contract is silent as to the law that will apply.
In this case,in the event of a dispute,a Canadian court will look at

Accepted Answer

A) where the negotiations for the contract were held. 
B) the intention of the parties. 
C) the type of goods being sold. 
D) where the offer was made. 
E) where the offer was accepted. 
A) where the negotiations for the contract were held. 
B) the intention of the parties. 
C) the type of goods being sold. 
D) where the offer was made. 
E) where the offer was accepted.

Question 12

Foreign direct investment to a Canadian investor

Accepted Answer

A) is where the investor's purpose is to have an effective voice in the management of the enterprise. 
B) would involve owning the stock in a Canadian holding company. 
C) is seldom obtained through the establishment of a foreign branch or subsidiary. 
D) can be obtained by owning shares in a mutual fund devoting itself to foreign investments. 
E) is where one owns stock listed on a foreign stock exchange. 
A) is where the investor's purpose is to have an effective voice in the management of the enterprise. 
B) would involve owning the stock in a Canadian holding company. 
C) is seldom obtained through the establishment of a foreign branch or subsidiary. 
D) can be obtained by owning shares in a mutual fund devoting itself to foreign investments. 
E) is where one owns stock listed on a foreign stock exchange.

Question 13

Explain the greatest fear of a foreign investor who invests in a developing country.

Accepted Answer

The fear is that the assets of

Question 14

Export Industries Ltd. ,a Canadian corporation with a factory in London,Ontario,agrees to sell a customer in Germany 2000 microwave ovens FOB Lufnaia Airlines,Toronto,Pearson Airport.Which of the following statements is correct?

Accepted Answer

A) Export is only liable if their employees damage the goods prior to their arriving in Toronto. 
B) Export is liable for the goods until they are loaded into Lufnaia Airlines. 
C) The customer's insurance covers the goods from the time they are separated out and loaded at the London,Ontario,factory. 
D) Export is liable until the goods leave Toronto on the airline. 
E) Title passes when the goods leave the London factory. 
A) Export is only liable if their employees damage the goods prior to their arriving in Toronto. 
B) Export is liable for the goods until they are loaded into Lufnaia Airlines. 
C) The customer's insurance covers the goods from the time they are separated out and loaded at the London,Ontario,factory. 
D) Export is liable until the goods leave Toronto on the airline. 
E) Title passes when the goods leave the London factory.

Question 15

What test does Investment Canada apply in order to authorize a foreign acquisition of a large Canadian business?

Accepted Answer

To be authorized,the

Question 16

Use the fact situation in Q12 to answer the related question that follows. The principle of law that allows a party to request a change of court of trial when it results in undue hardship is

Accepted Answer

A) forum non conveniens. 
B) sempre fidelis. 
C) caveat emptor. 
D) res ipsa loquitur. 
E) volenti non fit injuria. 
A) forum non conveniens. 
B) sempre fidelis. 
C) caveat emptor. 
D) res ipsa loquitur. 
E) volenti non fit injuria.

Question 17

Generally speaking,at least four documents are required for an export sale.Explain the most common documents.

Accepted Answer

The first document is the contract of sa

Question 18

Why is it sometimes important to determine the country of origin of a good imported into Canada?

Accepted Answer

This is important to determine if the go

Question 19

Aside from establishing a branch or subsidiary in a foreign country,an FDI is conducted by means of a partnership.

Accepted Answer

A) True 
 B)False

Question 20

Explain the risk that a Canadian plaintiff takes in suing a foreign defendant in Canadian courts.

Accepted Answer

The foreign defendant may have no assets

Exam 30: International Business Transactions

Explain the advantages of commercial arbitration over litigation.

The GATT and the WTO aim to reduce customs duties.

Public international law is

Foreign investment occurs when

Notwithstanding that an action at law between contracting parties in different countries is brought in one country,the court of that country may decline jurisdiction on the basis of forum non conveniens.

International transactions result in a wide variety of legal relationships.Name some of the contractual relationships.

What is the proper law of an international contract?

The invoice is of special importance in the international sale of goods.It not only provides information to the parties to the transaction,but also

Under Chapters 19 and 20 of NAFTA,in the event of a dispute,the Extraordinary Challenge Committee is the first body before which an arbitration is heard.

In commercial arbitration,

Use this fact situation to answer the related questions that follow. A company in Canada has just entered into a contract for the sale of goods to a company in France;however,the contract is silent as to the law that will apply. In this case,in the event of a dispute,a Canadian court will look at

Foreign direct investment to a Canadian investor

Explain the greatest fear of a foreign investor who invests in a developing country.

Export Industries Ltd. ,a Canadian corporation with a factory in London,Ontario,agrees to sell a customer in Germany 2000 microwave ovens FOB Lufnaia Airlines,Toronto,Pearson Airport.Which of the following statements is correct?

What test does Investment Canada apply in order to authorize a foreign acquisition of a large Canadian business?

Use the fact situation in Q12 to answer the related question that follows. The principle of law that allows a party to request a change of court of trial when it results in undue hardship is

Generally speaking,at least four documents are required for an export sale.Explain the most common documents.

Why is it sometimes important to determine the country of origin of a good imported into Canada?

Aside from establishing a branch or subsidiary in a foreign country,an FDI is conducted by means of a partnership.

Explain the risk that a Canadian plaintiff takes in suing a foreign defendant in Canadian courts.

Law, society, and Business

The Machinery of Justice

Government Regulation of Business

The Law of Torts

Professional Liability: the Legal Challenges

Formation of a Contract: Offer and Acceptance

Formation of a Contract: Consideration and Intention

Formation of a Contract: Capacity to Contract and Legality of Object

Grounds Upon Which a Contract May Be Set Aside: Mistake and Misrepresentation

Writing and Interpretation

Privity of Contract and the Assignment of Contractual Rights

The Discharge of Contracts

Breach of Contract and Its Remedies

Sale of Goods and Consumer Contracts

Bailment and Leasing

Insurance and Guarantee

Agency and Franchising

The Contract of Employment

Negotiable Instruments

Intellectual Property

Interests in Land and Their Transfer

Landlord and Tenant

Mortgages of Land and Real Estate Transactions

Sole Proprietorships and Partnerships

The Nature of a Corporation and Its Formation

Corporate Governance: the Internal Affairs of Corporations

Corporate Governance: External Responsibilities

Secured Transactions

Creditors Rights

Electronic Commerce

Privacy

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