What legal steps can I take against breaches of contract abroad?
July 15, 2023 | 60,00 EUR | answered by Alexander Voigt
Dear International Law Attorney,
I am reaching out to you as I urgently need advice and support in a legal matter. My name is Katrin Götzinger and I work for a German company that has business relations with a foreign partner. Unfortunately, this partner has repeatedly breached contracts, resulting in financial losses and problems for our company.
The current situation is very challenging for us, as we find ourselves in a difficult position due to the foreign partner's contract breaches. We have already tried to resolve the matter diplomatically, but without success. Therefore, we are now considering what legal steps we can take against the contract breaches abroad in order to protect our rights and limit potential damages.
My concerns mainly lie in the fact that we are not sure about the legal options available to us in an international context and how we can effectively address the contract breaches. Therefore, it would be of great importance for us to receive professional advice from you and to learn what specific steps we can take to clarify the situation and represent our interests.
Could you please explain in detail what legal steps we can take against contract breaches abroad? What options do we have to assert our claims and demand compensation? Are there any specific procedures or laws that we need to consider in an international context?
Thank you in advance for your support. We are grateful for any assistance and hope for a quick and professional resolution to our problem.
Sincerely,
Katrin Götzinger
Dear Mrs. Götzinger,
Thank you for your inquiry and for trusting my expertise as an attorney specializing in International Law. I understand that the situation your company is facing due to the breaches of contract by the foreign partner is very stressful. It is important to take the right legal steps in such cases to protect your interests and limit potential damages.
In cases of contract breaches abroad, companies have various legal options to pursue. First and foremost, it is important to analyze the specific contract with the foreign partner to determine which obligations have been breached and what damages have resulted. Based on this information, appropriate legal steps can then be taken.
One option is to initiate arbitration proceedings. Many international contracts include arbitration clauses that provide for disputes to be resolved before an arbitration tribunal rather than a state court. Arbitration offers the advantage of being generally faster and more cost-effective than litigation, and allows the parties to select a neutral arbitrator knowledgeable in international law.
Another possible step is to file a lawsuit in the foreign partner's country court. It is important to consider the relevant international jurisdiction rules to ensure that the court is indeed competent to decide on the case. It may also be necessary to file the lawsuit in the court's national language and provide translations if needed.
Furthermore, you may try to reach an out-of-court settlement with the foreign partner, for example through negotiations or mediation. It is important to seek professional assistance to best represent your interests in this process.
In an international context, you must also consider the respective national laws and procedural rules of the country where the contract breach occurred. It may be wise to seek advice from a local attorney familiar with the local legal system who can assist you in enforcing your claims.
I hope this information helps you and provides an overview of possible legal steps against contract breaches abroad. If you have any further questions, please do not hesitate to contact me, and I will assist you in resolving your issue.
Best regards,
Alexander Voigt, Attorney specializing in International Law
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