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CONTENTS
PART ¢ñ?The Environment of International Business 1
1. The Economic Environment of International Business 1
1.1 Brief History of International Business 1
1.2 Economic Theories Underlying International Business 2
2. The Political Environment of International Business 4
3. The Legal Environment of International Business 6
3.1 Comparison of World Legal Systems 6
3.2 International Law and International Organizations 9
4. The Cultural Environment of International Business 15
Chapter Summary 16
Exercises 17
PART ¢ò Fundamentals of International Business Law 24
1. Definition of International Business Law 24
2. History of International Business Law 26
3. Sources of International Business Law 27
3.1 International Treaties and Conventions 28
3.2 International Trade Customs and Usages 29
3.3 National Laws 29
3.4 Other Sources 30
Chapter Summary 31
Exercises 32
PART ¢ó Law of International Sale of Goods 36
Chapter 1 Law of the Contract for International Sale of Goods 36
1. Fundamentals of Contracts and International Sales Contracts 37
2. Rules Governing the Contract for International Sale of Goods 40
2.1 United Nations Convention on Contracts for the International Sale of Goods 40
2.2 National Sales Law 41
2.3 Principles of International Commercial Contracts 42
2.4 International Customs and Usages: Incoterms 44
3. The Applicability of the CISG 50
4. Formation of the Contract for International Sale of Goods 61
4.1 The Offer 61
4.2 The Acceptance 62
4.3 Battle of the Forms 64
5. Performance of the Contract for International Sale of Goods 66
5.1 Seller¡¯s Obligations 66
5.2 Buyer¡¯s Obligations 71
5.3 Excused Performance 73
6. Remedies for Breach of the Contract for International Sale of Goods 75
6.1 Suspension of Performance 75
6.2 Avoidance of the Contract 77
6.3 Damages 86
6.4 Specific Performance 91
6.5 Other Remedies Available under the CISG 93
Chapter Summary 94
Exercises 96
Chapter 2?Law of International Transport of Goods 101
1. Transportation of Goods by Sea 102
1.1 Bills of Lading 102
1.2 Charterparties 114
2. Transport of Goods by Air 115
2.1 The Warsaw Convention 1929 116
2.2 The Montreal Convention 1999 116
3. Transport of Goods by Rail and Road 118
3.1 Transport of Goods by Rail 118
3.2 Transport of Goods by Road 124
4. Multimodal Transport of Goods 126
5. Marine Cargo Insurance 128
5.1 Types of Losses 128
5.2 Types of Marine Insurance Policies 131
5.3 Types of Coverage 132
Chapter Summary 133
Exercises 134
Chapter 3 Law and Banking Practice of International Payment 145
1. Modes of International Payment 145
2. The Bill of Exchange 148
2.1 Negotiable Instruments 148
2.2 Laws Governing the Bill of Exchange 152
2.3 Formal Requirements of the Bill of Exchange 152
2.4 Negotiation of the Bill of Exchange 153
3. Documentary Letters of Credit 155
3.1 Use of the Docementary Letter of Credit 155
3.2 The Governing Rules: UCP 600 158
3.3 Basic Legal Principles 159
4. Standby Letters of Credit 168
Chapter Summary 169
Exercises 170
PART ¢ô Law of International Trade in Services 181
1. Introduction to International Trade in Services 182
2. International Protection of Intellectual Property 184
2.1 Fundamentals of Intellectual Property Rights 185
2.2 International Intellectual Property Organizations and Treaties 194
3. International Transfer of Intellectual Property 198
3.1 Typical Terms in International Licensing Agreements 199
3.2 Restrictive Business Practices in International Licensing 201
3.3 Rules Regulating the Anti-competitive Aspects of International Licensing 204
3.4 Compulsory Licenses 205
4. Regulation of International Franchising 206
Chapter Summary 209
Exercises 210
PART ¢õ Law of International Commercial Disputes Resolution 227
1. Methods of International Commercial Dispute Settlement 227
2. Settlement of International Commercial Disputes Through Arbitration 231
2.1 Advantages and Disadvantages of International Commercial Arbitration 231
2.2 Arbitration Clauses in International Commercial Arbitration 234
2.3 Arbitration Procedure in International Commercial Arbitration 239
2.4 Enforcement of Foreign Arbitral Awards: New York Convention 240
3. Settlement of International Commercial Disputes Through Litigation 243
3.1 Jurisdiction 244
3.2 Choosing the Governing Law 246
3.3 Proving Foreign Law 247
3.4 Recognizing and Enforcing Foreign Judgment 248
Chapter Summary 250
Exercises 251
List of Legal Terms 256
References 270