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International Business Law Essay

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------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- INTERNATIONAL BUSINESS LAW ------------------------------------------------- BUSA 391 – SUMMER 2010 Prepared For: Professor Leslie Beck By: Gabriela Popescu ID: 260224311 June 17, 2010. Six months ago, Antiques R Us (a Canadian corporation) entered into a contract with Yankee Antiques (an American company) to purchase “a desk used by George Washington himself after his retirement from the Presidency”. The sum of $500,000 was to be paid to Yankee Antiques after 30 days of …show more content…

For each separate scenario identified, a suitable course of action has been constructed that best encompasses the strategy stated above. Preliminary Step The authenticity of the desk is the first issue that needs to be resolved: the validity of the contract is contingent upon this sole factor and any following measures to resell the desk cannot be made without proof of authenticity. However, before any tests can be conducted, Antiques R Us must, in good faith, fully disclose the situation and their thoughts on the matter to Yankee Antiques. In trying to maintain good relations with the valued supplier, a letter should be made in writing to Yankee Antiques outlining the doubts and concerns raised by the third party and ask them to provide proof of authenticity. This crucial preliminary step is justified by the following reasons: 1. Full disclosure acts as a letter of intent in this situation; it explains that Antiques R Us still has faith in Yankee Antiques, but that pursuant to the terms of our contract and the request of our client, we have no choice but to require proof of authenticity. In attempting to honour the contract, any delay in performing our obligations will not be made in bad faith. 2. If the situation is brought to court, Antiques R Us has proof that an attempt was made to inform Yankee Antiques about the authenticity issue. 3. If

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