What legal aspects need to be considered when collaborating internationally with other companies?
May 14, 2022 | 50,00 EUR | answered by Alexander Voigt
Dear lawyer,
My name is Max Hentschel and I am the managing director of a medium-sized company in Germany that specializes in the distribution of technical products. In recent months, we have received an increasing number of inquiries from international companies interested in collaborating with us. This presents great potential for our company, but also entails some legal risks that I would like to better understand.
Our company has only worked with German companies so far, so I am not fully familiar with the legal aspects of international business relationships. I am concerned that contracts with foreign companies may not be adequately secure, and I want to ensure that we comply with all relevant laws and regulations.
My specific question for you is: What legal aspects should be considered when collaborating internationally with other companies? Are there any specific contract clauses or legal frameworks that we should definitely take into account to protect ourselves from potential risks?
I thank you in advance for your support and look forward to your professional advice on this matter.
Sincerely,
Max Hentschel
Dear Mr. Hentschel,
Thank you for your inquiry regarding the legal aspects of international cooperation with other companies. It is understandable that you are concerned about potential risks associated with such business relationships. It is important to understand the legal framework and take appropriate measures to protect your company from unwanted consequences.
When collaborating with foreign companies, there are various legal aspects to consider. First and foremost, you should ensure that you are informed about the applicable laws and regulations in the respective country. This includes not only commercial law, but also tax, labor law, and potentially cultural differences that need to be taken into account.
An important point in international business contracts are the contractual clauses. It is advisable to carefully review and, if necessary, adjust contracts with foreign companies. Special attention should, for example, be paid to the choice of law clause to ensure that, in the event of disputes, the law favorable to you is applied.
Furthermore, it is recommended to establish clear provisions in the contracts regarding delivery and payment terms as well as liability issues. An appropriate dispute resolution mechanism, such as arbitration, should also be established to efficiently resolve potential legal disputes.
It may also be beneficial to seek legal advice to ensure that all relevant aspects have been considered and to minimize risks. An experienced international law attorney can assist you in drafting and reviewing contracts and help you protect your legal interests.
I hope that this information is helpful to you and I am at your disposal if you have any further questions or need assistance.
Sincerely,
Alexander Voigt
