Exam 10: The Legal Environment of International Trade

Parties to international ventures often agree to arbitrate their disputes in neutral countries.

The World Trade Organization (WTO) provides a Dispute Settlement Body (DSB) to enable member countries to resolve trade disputes rather than engage in unilateral trade sanctions or a trade war.

Which of the following is NOT a nontariff barrier?

You plan to enter the export market with a new product that you have just developed. You feel that the product has great promise, but you are confused over whether you are required to obtain an export license. Further, your brother-in-law says that he knows someone in the Japanese government who could greatly assist you in your endeavors for a very modest fee. Discuss this situation.

Under the act-of-state doctrine, the courts of one country will not sit in judgment of the acts of the government of another country conducted within its own territory.

The Foreign Corrupt Practices Act prohibits improper payments to influence foreign officials.

A 'choice-of-law' provision in an international contract set's forth whether the CISG will govern the contract.

The World Intellectual Property Organization administers the Berne Convention for international copyright protections.

Under the General Agreement on Tariffs and Trade (GATT), the principle of trade without discrimination is embodied in the most favored nation clause.

Legal restrictions of U.S. firms doing business abroad in regard to payments made to foreign officials for obtaining business are set forth in the:

Which of the following allows a domestic firm to maintain the greatest control over its foreign operations?

U.S. courts will assume jurisdiction and apply antitrust laws to conduct business outside the United States if the activities of the business firms outside the United States have a direct, substantial, and foreseeable impact on U.S. commerce. This is based on what principal?

The term dumping refers to the sale of damaged goods in a foreign market to cut the losses that would otherwise be caused by the damage.

Licensing involves the transfer of title of goods to a distributor who bears the financial and commercial risks for the subsequent sale of the goods.

The Securities and Exchange Commission (SEC) is not limited to litigation when a securities law enforcement investigation runs into secrecy or blocking laws.

A common barrier to the free movement of goods across borders is the tariff barrier.

In antidumping cases: