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International – Your consulting experts for international contracts, M&A and international dispute resolution
Summary
- International business : What are the key considerations in cross-border contracts, international transactions and disputes with foreign business partners ?
- How can legal optimization potential be leveraged in a targeted manner in international business operations ?
- How can you conduct your international business activities in a legally compliant manner and with minimal risk ?
- Which clauses should definitely be included in international contracts ?
- How can legal problems be avoided in import and export transactions ?
- How can logistics and formalities in import and export transactions be organized in a legally compliant manner ?
- Which sales channel is best suited for selling products internationally ?
- What legal requirements apply to international employee mobility ?
- Which financing instruments are suitable for international business activities – and how can they be legally secured ?
- How to carry out a company acquisition or restructuring abroad without unnecessary risks ?
- What applies if a company is affected by a breach of non-contractual obligations ?
- How can foreign data protection requirements be complied with in a legally compliant manner ?
- How to avoid violations of competition law in international business relationships ?
- How to deal with the insolvency of an international business partner or affiliated company ?
- How to organize the transfer of assets (gift/inheritance) in an international context ?
- What should be considered in a legal dispute with a foreign business partner before state courts and in arbitration proceedings ?
International business : What are the key considerations in cross-border contracts, international transactions and disputes with foreign business partners ?
The international expansion of a company or group opens up a wide range of economic, financial, and strategic opportunities. However, what is less well known is that the cross-border legal framework, which is often more flexible, pragmatic, and liberal than national regulations, makes it possible to secure certain legal aspects of international contracts, cross-border transactions, and disputes with foreign business partners.
Although there is an opportunity to legally optimize every form of international business activity, the cross-border context undoubtedly entails numerous legal risks. These risks include the application of foreign legal provisions, cross-border debt collection and enforcement, disputes with foreign courts and administrative authorities, international insolvency proceedings, language barriers, misinterpretation of local customs, currency fluctuations, local financial or political crises, uncertainties in international tax and social security regulations, and cultural differences in contract negotiations, court proceedings, and arbitration.
For a company or group of companies to operate internationally, a dual legal strategy is essential. First, it is important to optimize the legal framework for cross-border operations. On the other hand, forward-looking and preventive legal measures must effectively avoid the numerous pitfalls, risks, and uncertainties of any international business activity.
Our lawyers specializing in international, commercial and trade law help companies implement this dual legal strategy in France, Germany, and other countries. We efficiently and successfully collaborate with our foreign colleagues from our a-Global partner network in all areas of cross-border commercial law.
We are your reliable partner for international legal optimization – both within and outside of contract management with foreign business partners :
International legal optimization in the context of contract management with foreign business partners
- Import / Export : Supply chain management, drafting specific export and import terms and conditions for international trade, correctly applying Incoterms, sales tax and customs formalities
- Cross-border distribution : Optimize distribution channels through cross-border distributor, franchise, and commercial agency agreements
- International contracts : Negotiation and drafting of contracts with foreign business partners, legal optimization of contracts through the use of specific international trade clauses, strategic advice on choice of law and drafting of alternative dispute resolution clauses (e.g., mediation, arbitration), determination of competent state courts
- Employee mobility : Cross-border employment contracts, cross-border exercise of bilateral or multilateral employment relationships with regard to the implications under labor, tax, and social security law, secondment abroad, legal, tax, and social security framework for cross-border commuters, expatriation procedures, cross-border temporary work, and international temporary employment
- Financing and collateral : Drafting contracts for corporate financing, international factoring, use of standard bank financing agreements and guarantees
- Company acquisitions and cross-border mergers (M&A) : Legal structuring and optimization of cross-border transactions, support for international company acquisitions and mergers in the form of share deals and asset deals, international relocation of registered seats
International legal optimization outside of contract management with foreign business partners
- Liability outside contractual relationships : Legal protection for products and services, prevention strategies for defective products and cybercrime
- Compliance in an international context : Data protection, foreign compliance requirements, and international standards for combating corruption and money laundering, etc.
- Competition and antitrust law : National and European antitrust regulations, unlawful restrictions on competition and anti-competitive agreements
- Litigation and arbitration : Court proceedings before German, French, and foreign courts, alternative dispute resolution (mediation), international arbitration (institutional and ad hoc), cross-border debt collection, European order for payment procedures, and enforcement
- Insolvency : Securing and filing claims in foreign insolvency proceedings, legal preparation and implementation of a business closure, support in filing for insolvency proceedings in the event of insolvency or over-indebtedness of a foreign subsidiary
- Inheritance cases in an international context : Structuring and forward planning of cross-border inheritance law issues
How can legal optimization potential be leveraged in a targeted manner in international business operations ?
In many respects, the cross-border context provides a more flexible, pragmatic, and liberal legal framework than comparable national regulations. The availability of international agreements and European regulations for substantive legal harmonization, as well as the option of alternative dispute resolution procedures such as international arbitration (institutional and ad hoc), makes legal protection and optimization of all forms of international business activity possible.
Our lawyers specializing in international, commercial and trade law provide comprehensive advice in all areas of corporate law. They ensure that your company takes full advantage of the legal protections offered by international contracts and cross-border transactions. They also help you design internal structures in a legally efficient manner, implement international growth strategies with legal certainty, and avoid or effectively resolve legal conflicts through mediation and international arbitration.
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How can international agreements contribute to the legal security of contracts ?
Expand contentA number of international agreements aim to harmonize substantive law. One example is the Vienna Convention on the International Sale of Goods of April 11, 1980 (CISG), which provides a globally applicable, “harmonized” legal framework. These agreements generally eliminate the need for contracting parties from different countries to agree on a national legal system. In practice, using such an agreement is particularly worthwhile when entering into and conducting contract negotiations because it allows contracting parties to create a “tailor-made” legal framework independent of national regulations.
Our lawyers specializing in international, commercial and trade law will thoroughly explain how you can and should leverage the optimization potential of international agreements for the legal protection of cross-border contracts. We will help you select suitable legal instruments and formulate specific contractual clauses tailored to your needs. This allows you to structure and secure your contractual relationships optimally from a legal perspective. Additionally, we develop optimized contract concepts for your company in accordance with German, French, or foreign law to legally secure your business relationships with foreign partners. We work closely with our colleagues from our a-Global partner network to accomplish this.
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How can legally compliant corporate structures and growth strategies be designed in an international environment ?
Expand contentEuropean law is becoming increasingly important in all areas of commercial law. It enables you to establish consistent structures and processes for your national companies, including foreign subsidiaries, in accordance with EU law. This legal harmonization is essential for structuring your foreign subsidiaries and European sales units uniformly and efficiently, particularly when dealing with business partners outside the EU.
Our lawyers specializing in European law will support you in legally harmonizing your internal processes and designing group-wide corporate policies, guidelines, and sales strategies that comply with EU legal requirements. We verify that all units of your corporate group correctly implement the specific requirements of European legislation and case law. We support you in France, Germany, and other countries in close cooperation with our colleagues from our a-Global partner network.
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How can international arbitration be used specifically to resolve disputes with foreign business partners ?
Expand contentIn practice, it is often difficult for business partners to agree that only the national courts of one contracting party should have jurisdiction over a legal dispute. Understandably, each party prefers to litigate only before the courts of its own country, often due to concerns about being disadvantaged before a foreign court. There are also practical hurdles, such as hiring a foreign lawyer, attending court hearings abroad, and translating all trial documents into the language of the competent national court.
However, the situation is much simpler and more neutral if the parties have agreed to international arbitration. The arbitral tribunal is internationally oriented and often multilingual. It offers the parties maximum flexibility and freedom of procedure. Additionally, compared to a state court judgment, an arbitral award is usually much easier to recognize and enforce abroad, particularly outside the EU.
Our lawyers specializing in international, commercial and trade law, as well as arbitration law will advise you on selecting the appropriate form of arbitration – whether institutional or ad hoc – and recommend the arbitration institution best suited to your needs. We will accompany you throughout the entire proceedings before the arbitral tribunal, whether in France, Germany, or a third country, in close cooperation with our foreign colleagues from our a-Global partner network. This allows us to help you identify procedural risks early on, develop effective defense strategies, and design legally secure solutions for your international projects.
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How can you conduct your international business activities in a legally compliant manner and with minimal risk ?
Anyone doing business internationally should protect its interests early on and anticipate potential disputes. Since legal requirements and procedures vary from country to country, conflicts in a cross-border context can quickly become complex and unpredictable. Therefore, it is crucial to carefully prepare international contracts to avoid legal pitfalls and protect your company’s business interests in the long term.
Our lawyers specializing in international commercial and trade law assist you in securing your international business activities from a legal perspective. They help you identify and avoid legal risks abroad early on, whether you are doing business in France, Germany, or a third country. To accomplish this, we collaborate closely with our foreign colleagues from our a-Global partner network.
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How do you determine the competent jurisdiction in disputes with foreign customers or suppliers ?
Expand contentIn international conflicts, it is crucial to clarify in advance which court has jurisdiction in the event of a dispute. Without a clear and legally effective jurisdiction clause, there is a risk of having to turn to a foreign court with different rules of procedure, higher procedural costs, and additional linguistic and cultural barriers. This can make litigation considerably more difficult and expensive. Our lawyers specializing in international commercial and trade law, as well as litigation law, can support you in formulating suitable jurisdiction clauses. They can also help you determine the most favorable national courts for your interests, whether in France, Germany, or a third country. They work closely with our foreign colleagues from our a-Global partner network.
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Which law applies to an international contract ?
Expand contentWhen entering into a contract with a foreign business partner, it is crucial to specify which law should apply in the event of a dispute. This avoids legal uncertainty from the outset. Without an explicit choice of law, applicable law is determined according to objective criteria based on international conflict of laws rules. For example, it is determined according to the EU Regulation “Rome I” on contractual obligations. This can lead to unpleasant and unexpected results. Our lawyers specializing in international, commercial and trade law can help you select a suitable legal system to legally secure your contracts and prevent potential disputes, whether in France, Germany, or another country. In close coordination with our foreign colleagues from our a-Global partner network, we ensure that every contract contains a clear and effective choice of law clause, thus avoiding the unexpected application of foreign law.
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How can disputes in international trade be avoided from the outset ?
Expand contentThe most effective way to avoid disputes in international trade starts with negotiating and drafting contracts. Contracts should meet the strategic objectives of your business operations and ensure maximum legal certainty. This includes proactively addressing all possible situations that may arise during contract execution, clearly defining the obligations of both parties, and including essential clauses for international trade, such as hardship and force majeure clauses, as well as provisions for alternative dispute resolution, such as international arbitration or mediation.
It is better to prevent conflicts than to engage in unpredictable legal proceedings before a foreign court. Our lawyers specializing in international contract law work closely with our foreign colleagues from our a-Global partner network to develop and draft legally sound and technically coherent contracts that best secure your international transactions in France, Germany, and third countries.
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Which clauses should definitely be included in international contracts ?
International transactions are often complicated and risky. To effectively protect yourself, it is crucial to carefully draft contracts based on national standards and specifically use contractual clauses for risk minimization, legal protection, and legal optimization, regardless of the country in which you operate.
To draft international contracts in a legally compliant and optimized manner, it is necessary to be familiar with the following types of clauses and know how to use them appropriately :
- Arbitration clause
- Confidentiality clause / Non-disclosure clause
- Currency clause
- Force majeure clause
- General Terms and Conditions (GTC) Acceptance Clause
- Governing law clause
- Hardship clause
- Hold harmless clause
- Intellectual property clause
- Jurisdiction clause
- Liability clause
- Non-compete clause
- Termination clause
Our lawyers specializing in international, commercial and trade law help companies use types of clauses tailored to each contract in order to legally optimize them and maximize the security of any international contractual relationships with foreign business partners.
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Why should an Arbitration clause be included in international contracts ?
Expand contentArbitration proceedings allow disputes to be resolved outside of national courts by an international arbitral tribunal, which can consist of one or several arbitrators (usually three). International arbitration has many advantages, especially in an international context. It is generally faster and more flexible, and the proceedings are more confidential. Arbitrators appointed by the parties are highly experienced and knowledgeable, which makes arbitration often more efficient.
Our lawyers specializing in international, commercial and trade law will support you in negotiating and formulating an arbitration clause tailored to your specific situation – whether it be a contractual arbitration clause or an arbitration agreement after a dispute has arisen – in a legally secure manner, taking into account all relevant legal and economic conditions.Our lawyers specializing in international, commercial and trade law will support you in negotiating and formulating an arbitration clause tailored to your specific situation – whether it be a contractual arbitration clause or an arbitration agreement after a dispute has arisen – in a legally secure manner, taking into account all relevant legal and economic conditions.
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Why should a Confidentiality clause (Non-Disclosure clause) be included in international contracts ?
Expand contentA confidentiality clause protects sensitive information, such as trade secrets, customer data, and other confidential content, from unauthorized disclosure or use by the other party to the contract. This type of clause is essential for cross-border research and development contracts and international company acquisitions, as it ensures your company’s long-term competitiveness.
Our lawyers specializing in international, commercial and trade law help formulate clear and effective confidentiality clauses to ensure the reliable protection of sensitive data in all international transactions.
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Why should Currency clauses be included in international contracts ?
Expand contentSpecifying the contract currency reduces uncertainties associated with exchange rates and establishes secure payments with foreign business partners. A currency clause helps identify financial risks due to currency fluctuations early on and manage them effectively.
Our lawyers specializing in international, commercial and trade law can assist you in negotiating and formulating appropriate currency clauses, regardless of the contract’s currency.
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Why should international contracts include a Force Majeure clause ?
Expand contentA force majeure clause protects against liability if an unforeseeable external event, such as a natural disaster, strike, or health crisis, makes it impossible to fulfill the contract. In such cases, contractual obligations can be temporarily suspended, or the contract can be terminated without fear of penalties, such as fines.
For example: If a supplier’s production facility is destroyed by fire, the force majeure clause allows to temporarily suspend one’s performance obligations toward the foreign business partner without triggering penalties or claims for damages.
Our lawyers specializing in international, commercial and trade law can help you draft a customized force majeure clause to protect you against unforeseeable and uncontrollable events.
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Why should international contracts include a General Terms and Conditions (GTC) Acceptance clause ?
Expand contentIn international business transactions, it is important to clearly state in the contract that both parties accept the applicable general terms and conditions (GTC). International GTCs often contain special clauses regarding the choice of law, dispute resolution through arbitration or jurisdiction, and indemnification or limitation of liability. An explicit GTC acceptance clause helps avoid misunderstandings, especially when the contracting parties come from different legal systems. This clause enhances legal clarity and reduces the risk of subsequent disputes. Our lawyers specializing in international, commercial and trade law can help you draft a GTC acceptance clause that complies with national regulations in France, Germany, and other countries. We collaborate closely with our foreign colleagues from our a-Global partner network to accomplish this.
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Why should international contracts include a Governing Law clause ?
Expand contentChoosing the applicable law is one of the most important aspects of drafting international contracts. In the event of a dispute, the chosen law determines which legal provisions are used to interpret and resolve the contract. Selecting a suitable legal system helps keep legal risks under control and avoid unexpected legal consequences. Our lawyers specializing in international, commercial and trade law will support you and your company in selecting the appropriate legal system for each contract and enforcing it with your business partner. This provides legal certainty for your contracts, whether in France, Germany, or a third country. In close cooperation with our foreign colleagues from our a-Global partner network, we ensure the chosen legal system is included in the contract as part of an effective choice-of-law clause.
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Why should Hardship clauses be included in international contracts ?
Expand contentA hardship clause allows the terms of a contract to be adjusted if unforeseen circumstances make it unreasonable or economically infeasible for one of the parties to fulfill the contract. It enables the parties to find a mutually acceptable solution without terminating or rescinding the contract, which is particularly advantageous in long-term business relationships. For instance, if a supplier’s production costs rise significantly due to increased raw material prices, the clause enables price negotiations without terminating the contract. Our lawyers specializing in international, commercial and trade law can help you negotiate and draft a balanced hardship clause that considers the interests of both parties and complies with the applicable law.
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Why should a Hold Harmless clause be included in international contracts ?
Expand contentA hold harmless clause in a contract can protect you against legitimate claims by third parties. In the event of a third-party claim, the clause stipulates that your contractual partner, not you, is liable for any claims, costs, or damages asserted by the third party. While the clause does not directly shield you from third-party claims, it shifts the responsibility and financial consequences to your contractual partner.
For example: If a company is sued by a third party because a subcontractor, who is contractually bound to the company, has made a mistake, the hold harmless clause in the subcontractor agreement may stipulate that the subcontractor, not the company, must pay compensation to the third party. Such clauses are particularly common in international subcontracting and cross-border service contracts, as well as in international distribution agreements.
Our lawyers specializing in international, commercial and trade law will help you adapt the hold harmless clause to the project’s specific risks and requirements in a legally compliant manner, taking into account applicable laws in France, Germany, and other countries. We collaborate closely with our foreign colleagues from our a-Global partner network. -
Why should international contracts include an Intellectual Property clause ?
Expand contentWhen working with foreign business partners, you often grant them access to protected content, such as logos, technical documents, trademarks, and know-how. Without clearly defined contractual limitations on this use, there is a risk that your business partner will use these rights outside the scope of your agreement and without your consent with regard to third parties.
A specific intellectual property clause allows you to define exactly how your foreign business partner can use your company’s trademarks, patents, designs, logos, and confidential information. This protects your company’s assets and maintains control over sensitive intangible rights.
Our lawyers specializing in international, commercial and trade law will help you structure the use of intellectual property in international contracts in a legally secure and effective manner, tailored to the national laws of France, Germany, or a third country. We work closely with our foreign colleagues from our a-Global partner network to achieve this. -
Why should a Jurisdiction clause be included in international contracts ?
Expand contentA jurisdiction clause specifies which court is responsible for resolving any disputes that may arise. You can choose a court in your own country, in the country of the contractual partner, or a neutral court. This allows you to clearly determine in advance which court will hear any potential disputes.
Example: If you enter into a contract with a foreign business partner and agree to the jurisdiction of the German courts, then all disputes must be heard before a German court.
Our lawyers specializing in international, commercial and trade law can advise you on choosing the appropriate place of jurisdiction and help you draft a legally secure and effective jurisdiction clause. -
Why should a Liability clause be included in international contracts ?
Expand contentA limitation of liability clause allows you to reduce or eliminate the financial consequences of contract breaches, either partially or entirely. This type of clause may exclude certain breaches of duty, limit possible claims for damages, or exclude certain types of damages, such as lost profits or business interruption. It may also precisely define cases in which a contracting party is not obligated to pay compensation.
For instance, if a supplier delivers late, the clause may stipulate that only direct damages will be compensated, not loss of revenue or consequential damages.
This clause is particularly relevant in import-export contracts subject to the Vienna Convention on the International Sale of Goods (CISG) of April 11, 1980. This uniform international contract law allows for a high degree of contractual freedom, enabling far-reaching provisions on limitation of liability that would not be permissible under German or French law.
Our lawyers specializing in international, commercial and trade law will help you draft clauses that will precisely and effectively secure your contracts. We ensure that international contractual relationships include an explicit general terms and conditions (GTC) acceptance clause in addition to the limitation of liability clause usually contained in the GTC.
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Why should a Non-Compete clause be included in international contracts ?
Expand contentA non-compete clause prevents the other party to the contract, such as a distribution or co-development partner, from competing directly with your company during or after the term of the contract. This protects your trade secrets, strategic projects, and customer relationships from unfair competition.
For instance, if you develop innovative technology with a foreign business partner, the non-compete clause can prevent them from using the acquired knowledge to establish a competing company.
Our lawyers specializing in international, commercial and trade law will help you draft legally compliant, balanced non-competition clauses tailored to your needs to effectively protect your strategic projects and investments. -
Pourquoi prévoir une clause de résiliation dans vos contrats internationaux (termination clause) ?
Expand contentCette clause définit les conditions dans lesquelles vous pouvez mettre fin au contrat sans encourir de pénalités. Elle permet de résilier le contrat de manière ordonnée si l’autre partie ne respecte pas ses engagements. Cela vous évite de rester bloqué dans une relation commerciale non rentable. Par exemple, si un fournisseur ne respecte pas les délais de livraison ou la qualité des produits, une « clause de résiliation » vous permet de mettre fin au contrat sans devoir payer des pénalités ou indemnités, ce qui vous permettra de trouver rapidement un nouveau partenaire plus fiable. Nos avocats en droit international vous aident à rédiger des clauses de résiliation qui protègent vos intérêts en cas de non-exécution du contrat en France, en Allemagne ou dans un pays tiers, en étroite coopération avec nos confrères et partenaires étrangers du réseau international a-Global.
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How can legal problems be avoided in import and export transactions ?
Although cross-border trade offers significant growth opportunities, it also entails legal risks. Depending on the case, those importing or exporting products must comply not only with the supplier’s or customer’s country’s national regulations, but also with international trade, tax, and customs regulations. Without legal support, disputes with suppliers or carriers may arise, as well as problems with product conformity, delays at customs, or blockages in the flow of goods. For example, this could occur due to incomplete or incorrect contract or delivery documents.
To avoid these risks and leverage the legal options offered by international contract law, do not simply use General Terms and Conditions (GTC) designed for domestic business relationships. It is advisable to have specific GTCs for foreign purchase transactions (import GTCs) and GTCs for foreign sales transactions (export GTCs) that are tailored to your company, legally secure, and optimized based on the UN Convention on Contracts for the International Sale of Goods (Vienna Convention of April 11, 1980 (CISG)).
The CISG offers companies greater contractual freedom and legal flexibility, creating uniform rules for all foreign business partners. The CISG helps secure international obligations, avoid conflicts of interpretation between different legal systems, and standardize the legal situation for cross-border sales contracts, whether in France, Germany, or other countries. Our law firm works closely with foreign colleagues from our a-Global partner network.
Our lawyers specializing in international commercial and trade law assist you in structuring import and export transactions in a legally compliant manner, optimizing costs and avoiding pitfalls. We pay particular attention to ensuring that international sales contracts include clear provisions regarding delivery times, quality standards, and liability issues to maximize security and efficiency in global goods traffic.
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Is a company liable for the conduct of its foreign supplier ?
Expand contentIn certain cases, a company can be held responsible for its suppliers’ actions abroad. An increasing number of countries are now imposing transparency and due diligence requirements throughout the supply chain. This means that if a supplier violates human rights, uses forced labor, or causes environmental damage – even on the other side of the world – the commissioning company can be held liable. Such violations lead not only to legal sanctions and financial risks but also to reputational damage. Our lawyers specializing in international business and trade law can help you establish the appropriate contractual provisions, such as compliance, audit, and liability exemption clauses. They can also support you in complying with legal requirements for supply chain responsibility in France, Germany, or a third country, working closely with our foreign colleagues from our a-Global partner network.
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Can a company delegate its import and export business to a trustworthy partner ?
Expand contentA company can transfer the management of its international purchasing or sales processes to a local partner, for example, through a distribution or concession agreement. The partner acts in its own name, meaning the company does not need to establish a branch abroad.
This straightforward, cost-effective solution allows companies to tap into new markets and expand their international business activities while maintaining legal and financial control.
Our lawyers specializing in international commercial and trade law can help you draft distribution or concession agreements that comply with the law. Our goal is to protect your interests comprehensively and minimize legal and economic risks in France, Germany, and third countries. We work closely with our foreign colleagues from our a-Global partner network to achieve this.
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How can you legally protect your purchases abroad ?
Expand contentPurchasing from abroad often involves specific risks, such as delivery delays, defective goods, blocked deliveries, and unexpected additional costs. To avoid these issues, it is crucial to establish a legally binding contract that includes a detailed description of the purchased item, binding delivery deadlines, warranties or guarantees, and specific provisions for performance disruptions.
Without a solid contractual basis, it can be difficult or even impossible to enforce your claims against a foreign supplier in the event of a serious incident.
Our lawyers specializing in international commercial and trade law can support you in drafting and negotiating international sales contracts to protect your company at every stage of the materials procurement and management processes. This applies to purchasing transactions with suppliers in France, Germany, and other countries, in close cooperation with our foreign colleagues from our a-Global partner network.
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How can logistics and formalities in import and export transactions be organized in a legally compliant manner ?
Import and export transactions require an in-depth understanding of technical logistics regulations and administrative processes. This includes choosing a suitable Incoterms clause, understanding the sales tax treatment of cross-border deliveries and services, knowing when to use a fiscal representative for certain transactions in certain countries, and understanding customs formalities in France, Germany, and third countries. We work closely with our foreign colleagues from our a-Global partner network to provide this service.
Our lawyers specializing in international trade law will assist you with selecting Incoterms clauses that best protect your import-export transactions, developing tax optimization strategies, and optimizing transport and insurance costs from legal and economic perspectives. They will also help you minimize liability risks.
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How to apply Incoterms correctly ?
Expand contentIn import and export transactions, it is crucial to clearly define the rights and responsibilities of the contracting parties. Who pays for transportation? Who is responsible for loss or damage to the goods? Who is responsible for customs formalities? Incoterms are an effective tool that eliminates the need to negotiate these elements individually. These are standardized rules established by the International Chamber of Commerce (ICC) in Paris that clearly define the distribution of costs, risks, and obligations between the buyer and seller.
However, be careful: there is no Incoterms clause that is suitable for every situation. The right Incoterms clause must be selected based on the respective contract. There are eleven Incoterms in total, divided into four main groups. Some apply exclusively to sea or inland waterway transport, such as FOB or CIF, while others can be used regardless of the means of transport, such as EXW, DDP, or FCA. Each clause has specific implications for the transfer of risk and contractual obligations – some are more advantageous for the seller and others for the buyer.
Our lawyers specializing in international, commercial and trade law will help you identify the right Incoterms clause for your business, integrate it correctly into your contracts, and ensure that all involved parties – transport service providers, customers, and suppliers – have the same understanding of it. This applies to contractual relationships in France, Germany, and third countries. We work closely with our foreign colleagues from our a-Global partner network to ensure this. Our goal is to prevent misunderstandings or disputes regarding shipping, payment, or delivery of goods.
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How to optimize customs duties and taxes in international trade ?
Expand contentTo reduce costs in foreign trade, it is crucial to understand the available customs procedures thoroughly.
Our lawyers specializing in international, commercial and trade law will help you identify and implement the most economically viable solutions for your import and export transactions in France, Germany, or a third country in close cooperation with our foreign colleagues from our a-Global partner network. We advise you on the use of preferential trade agreements and special customs procedures, and we ensure that your company complies with the respective countries’ tax and customs requirements.
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Does a company have to appoint a tax representative (fiscal representative) abroad ?
Expand contentIn some countries, non-resident companies must appoint a tax representative to properly handle value-added (sales) tax and other applicable tax obligations. A tax representative helps avoid tax complications and ensures compliance with local regulations.
Our lawyers specializing in international, commercial and trade law help companies determine if a tax representative is necessary and assist them in finding and appointing one. We ensure that all local tax obligations are met to avoid sanctions or administrative hurdles in the export process in France, Germany, and third countries. We work closely with our foreign colleagues from our a-Global partner network to accomplish this.
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Which sales channel is best suited for selling products internationally ?
Selecting the appropriate distribution channel is crucial for the successful development of international business. Options include using a commercial agent, authorized dealer, or other distribution partners, but each has different legal, financial, and operational implications. There is no one-size-fits-all solution; the right distribution channel depends on your industry, goals, and desired level of control over product marketing.
Our lawyers specializing in international, commercial and trade law will assist you in selecting the most suitable distribution channel tailored to your industry, geographical presence, and growth strategy, whether in France, Germany, or a third country. In collaboration with our foreign colleagues from our a-Global partner network, we draft legally sound and balanced contracts that clearly define the rights and obligations of the contracting parties, as well as the targets, minimum purchase quantities, exclusivity rights, contract term, and termination modalities, all in the best interests of your company. Our goal is to provide legal security for your distribution partnerships and avoid disputes between partners.
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Authorized dealer or commercial agent – what is the difference ?
Expand contentA commercial agent promotes your products or services in a specific market on behalf of your company. They acquire potential customers who place orders directly with your company. For this reason, cross-border supply contracts are exclusively between your company and foreign customers, with no legal involvement of the commercial agent. Therefore, commercial agents do not act on your behalf or purchase your products or services to resell them to customers. They act solely as intermediaries and do not maintain any contractual relationships with customers themselves. Therefore, they cannot generate their own margin because they do not resell the products. Instead, they have a commercial agency agreement with your company and receive a commission on transactions they broker. Since they do not purchase any goods, they bear low financial risk.
On the other hand, an authorized dealer or distributor purchases your products or services and resells them in their own name and on their own account. Unlike a commercial agent, who receives a commission from the manufacturer, a distribution partner generates income through an agreed-upon trade margin. They also bear the storage costs and the full distribution risk. In return, they are often granted an exclusive distribution area.
Your strategic orientation will heavily influence your decision between a commercial agent and an authorized dealer. A commercial agent enables rapid market entry without large initial investments. An authorized dealer, on the other hand, requires an initial investment in its own sales and warehouse concept but often provides more intensive on-site support.
Unlike authorized dealers, commercial agents have no contractual relationship with customers. For this reason, they are generally entitled to compensation in the event of contract termination. For this reason, it is usually easier and less expensive to part ways with an authorized dealer or other distribution partner than with a commercial agent.
Our lawyers specializing in international, commercial and trade law will help you identify the right distribution concept for your business model abroad. They will also assist you in negotiating and drafting relevant contracts in a legally compliant manner.
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How can international distribution agreements be legally secured ?
Expand contentTo ensure that international distribution agreements are legally sound, it is important to precisely draft their content and clauses: This includes the precise definition of sales territories, exclusivity between the contracting parties (possibly mutual), the term of the contract, provisions governing termination and notice periods, specific performance targets and minimum purchase quantities, and responsibilities regarding payment obligations and conformity of goods.
A carefully worded contract reduces the risk of disputes and protects your interests in the event of a conflict.
Our lawyers specializing in international, commercial and trade law can support you in drafting distribution agreements tailored to your business requirements in France, Germany, or a third country. We collaborate closely with our foreign colleagues from our a-Global partner network to ensure compliance with national and international regulations.
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Why is it so important to have a well-thought-out international sales strategy ?
Expand contentWhile international sales can significantly increase your revenue, they also entail legal, tax, and strategic risks. Working with an unsuitable distribution partner or using an imprecisely worded contract that does not address your company’s specific requirements can lead to payment defaults, delivery delays, and uncertainty about the rights and obligations of the contracting parties. This can result in costly legal disputes and a high potential for conflict.
Thoroughly planning and structuring these aspects from the beginning establishes the basis for legally sound contracts and stable international growth.
Our lawyers specializing in international, commercial and trade law support you in optimizing your international sales strategy by drafting legally secure contracts and ensuring compliance with all relevant national and international regulations in France, Germany, and other countries through our a-Global partner network.
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What should you do in the event of an unlawful termination of the business relationship with a contractual partner ?
Expand contentIn France, terminating a contract with a business partner is considered an abuse of rights if done without good cause, without complying with the notice period stipulated in the contract or by law, or if done abruptly or under unreasonable circumstances. Such cases can have serious legal and financial consequences, particularly in the form of damage claims.
French law provides strong protection for business partners who have been victims of abusive or “brutal” contract termination. For this reason, foreign business partners should take specific contractual precautions to avoid the application of French law, and at the very least, the jurisdiction of French courts.
Given the potential for lengthy, costly, and legally uncertain disputes, it is advisable to invest early on in the legal optimization of distribution agreements to protect and sustainably secure business relationships.
Our lawyers specializing in commercial and international business law can assist you with the legal assessment of contract terminations, documentation of termination reasons, and careful preparation and legally sound implementation of terminations, including the necessary notifications.
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What legal requirements apply to international employee mobility ?
Cross-border posting, transfer, or expatriation of employees raises complex questions in labor, tax, and social security law. Different legal requirements apply, depending on the assignment’s duration (short-term or long-term) and the countries involved.
New forms of work organization, such as cross-border home offices, present employers with new challenges that must be addressed in accordance with existing legal frameworks.
Our lawyers specializing in international labor law can help ensure that your employees’ assignments abroad are legally compliant. We draft employment contracts tailored to your needs and take local specifics into account. We also review tax and social security issues and ensure that your global mobility strategy is implemented in compliance with the applicable laws. We ensure that European social security law requirements and relevant bilateral agreements on avoiding double taxation are correctly applied.
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What are the main forms of international employee mobility – secondment or expatriation ?
Expand contentSecondment and expatriation are two forms of international mobility with specific consequences regarding employment contracts and social security laws. In the case of secondment, an employee remains affiliated with the social security system of its home country due to European or bilateral regulations. For example, an employee working in Germany who is temporarily transferred to another EU member state (e.g., France) for less than 18 months remains subject to German social security regulations.
Expatriation, on the other hand, refers to situations where there are no special rules for temporarily maintaining social security obligations, so an employee’s assignment abroad usually leads to a locally concluded employment contract and integration into the local social security system.
Our lawyers specializing in international labor law will assist you in drafting legally compliant contracts and advise you on a mobility strategy tailored to your needs, whether you are in Germany, France, or a third country. We work closely with our foreign colleagues from our a-Global partner network to provide this service.
We support you in the legal analysis and drafting of relevant contracts and framework conditions, including the assignment’s duration, cost coverage, applicable social security law, the tax treatment of foreign assignments, the granting of additional benefits (such as foreign allowances, housing cost coverage, tax equalization payments, and additional health insurance), and the employee’s reintegration under labor law upon returning to their country of origin.
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How to draw up a legally compliant employment contract for international employee mobility ?
Expand contentIn the context of international mobility, an employment contract must be drafted with particular care. It must clearly specify which national labor law provisions apply if the employee works in several countries or is employed by several employers in different countries (e.g., an international group of companies).
Our lawyers specializing in international employment law can support you in drafting, negotiating, and legally optimizing such contracts. We ensure that your employment contracts comply with relevant national and international regulations in Germany, France, and other countries, collaborating closely with our foreign colleagues from our a-Global partner network.
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What social security and tax obligations apply to employees working internationally ?
Expand contentWhen an employee begins working abroad, it is essential to promptly determine which social security and tax laws apply to avoid double contributions to multiple national social security systems or double taxation. The applicable obligations are governed by relevant EU regulations (European social security law) and bilateral agreements (double taxation agreements, or DTAs).
For instance, an employee posted within the EU is typically covered by its home country’s social security system (as evidenced by Form A1), whereas an expatriate is generally subject to the host country’s social security system.
Our lawyers specializing in international labor law will help you review the applicable social security and tax laws early on and take them into account when drafting contracts. We ensure that all formalities, notifications, and certificates (e.g., social security forms and tax returns) are completed correctly and help minimize the social security and tax burden on employees working internationally.
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Is working from home while abroad legally permissible ?
Expand contentCross-border home office work raises various issues related to labor law, social security, tax law, and data protection. The legality of working from home abroad depends on European regulations, bilateral agreements on international social security obligations, double taxation agreements (e.g., the DTA between Germany and France), special labor laws of the country of residence, and GDPR provisions on data processing.
For example, in practice, it must be examined whether working from home abroad could lead to a change in the applicable employment law or cause the employee to lose their previous social security or tax status. This could result in significant financial disadvantages.
Our lawyers specializing in international labor law will help you design and draft cross-border home office regulations that comply with all relevant national regulations in Germany, France, or a third country. In close cooperation with our foreign colleagues from our a-Global partner network, we ensure comprehensive legal protection for cross-border home office arrangements in your company.
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How to organize an intra-group transfer abroad in a legally compliant manner ?
Expand contentWhen an employee is transferred within an international group of companies – for instance, from the group headquarters to a foreign subsidiary – several questions must be answered beforehand. Which law will apply to the employment relationship? Will the transfer affect the employee’s social security or tax status? Will the employer (group) be responsible for any financial consequences of the transfer?
Without adequate regulation, intra-group transfers can quickly lead to labor law conflicts, uncertainties about the distribution of roles between employers, and significant additional costs.
Our lawyers specializing in international labor law can support you in legally implementing such intra-group employee transfers. We draft tripartite agreements between the old and new employers and the employee that comply with national legal requirements in Germany, France, or a third country. We work closely with our foreign colleagues from our a-Global partner network to accomplish this.
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How does cross-border temporary employment function in an international context ?
Expand contentCross-border temporary agency work occurs when an employee is hired by a temporary employment agency in one country and then works temporarily for a client company in another country.
This model is subject to strict national and European regulations, particularly regarding remuneration structures, working conditions, and social security protection.
Our lawyers specializing in international labor law support the legally compliant implementation of cross-border temporary employment. We ensure that all contracts comply with international, European, and national regulations in Germany, France, and other countries, collaborating closely with our foreign colleagues from our a-Global partner network.
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Which financing instruments are suitable for international business activities – and how can they be legally secured ?
To successfully expand internationally, a company needs operationally suitable and, above all, legally secure financing options. There are several instruments available for financing and securing loans, including bank loans, leasing, guarantees, bank guarantees on first demand, standby letters of credit, letters of credit, and international factoring. Each instrument has specific advantages depending on the company’s objectives and business model. For example, a loan provides immediate liquidity, leasing enables investment without tying up capital, and sureties and bank guarantees facilitate lending by providing third-party security. A standby letter of credit or letter of credit acts as a secure payment instrument in international trade, and international factoring allows foreign receivables to be converted into liquidity quickly.
However, these instruments can involve considerable legal risks, particularly in a cross-border context, such as variable interest rates, early termination clauses, local collateral requirements, and the effectiveness of certain contractual clauses in foreign legal systems. Therefore, it is essential to conduct a thorough legal analysis before concluding such contracts.
Our lawyers specializing in international, commercial and trade law will help you select the right financing solutions for your business goals, whether they involve investment, expansion, or liquidity management, and structure your obligations in a legally secure manner. We review the content of banking agreements, negotiate collateral and guarantees, and protect you from unfavorable or unsuitable clauses for international legal transactions in France, Germany, and third countries. We always work closely with our foreign colleagues from our a-Global partner network.
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How can an international financing project be secured with a guarantee ?
Expand contentA guarantee occurs when a third party – usually a manager or another company within the same group – agrees to pay a debt if the originally obligated party is unable to do so.
However, in an international context, a guarantee poses additional challenges because each country has its own legal requirements regarding content and form. Therefore, it is essential to check in advance whether the guarantee is legally recognized and enforceable in the respective country.
Our lawyers specializing in international, commercial and trade law can help you draft contracts with the appropriate clauses, especially with regard to choice of law and agreement on jurisdiction. We support you in negotiating and legally structuring all financing instruments and securities in France, Germany, and third countries in close cooperation with our foreign colleagues from our a-Global partner network.
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Is leasing suitable for financing operating resources in an international context ?
Expand contentLeasing is an attractive financing option for capital goods because it allows you to avoid paying the entire purchase price up front. In international business, leasing allows you to spread payments out over a longer period. In certain countries, you can even take advantage of tax benefits.
However, it is crucial that leasing agreements abroad are precisely worded, especially regarding the purchase option at the end of the term, payment terms, and protection in the event of damage. Different tax and accounting regulations apply to leasing agreements in each country, which can significantly impact the financing structure.
Our lawyers specializing in international, commercial and trade law can support you in negotiating and drafting legally compliant leasing agreements in France, Germany, and other countries. In close cooperation with our foreign colleagues from our a-Global partner network, we ensure that the agreements comply with local regulations and advise you on the necessary collateral to avoid unexpected disadvantages, such as tax burdens.
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How to quickly finance international receivables ?
Expand contentFactoring, the sale of receivables to a specialized company, can be a sensible solution for quickly converting international outstanding receivables into liquidity. Selling unpaid invoices improves your cash flow because you don’t have to wait for customer payments. This reduces payment defaults and stabilizes your company’s cash flow.
However, it is crucial to carefully review the calculation of fees, contractual terms, and the legal framework in the country where the factor operates.
Our lawyers specializing in international, commercial and trade law will advise you on selecting a suitable factoring partner and support you in drafting legally compliant contracts to protect your receivables in France, Germany, or a third country. We work closely with our foreign colleagues from our a-Global partner network to provide this service. We ensure that assignments of claims are effective in countries affected by factoring and that all legal requirements are met.
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What legal risks do international financing agreements entail ?
Expand contentInternational financing agreements can entail considerable risks if their terms are not carefully negotiated. These risks include variable interest rates, termination clauses with high early repayment penalties if the bank terminates the agreement prematurely, and the choice of competent court in the event of a dispute. Since legal systems vary from country to country, certain clauses may be inapplicable or disadvantageous in a given country.
Jurisdiction and choice of law clauses are particularly critical because their invalidity can lead to significant legal and financial disadvantages. Therefore, it is essential to examine the legal implications of key contractual clauses in advance.
Our lawyers specializing in international, commercial and trade law can help you draft financing agreements that are legally compliant. We ensure that all essential clauses, particularly those relating to term, payment modalities, contractual penalties, and bank guarantees, align with your company’s interests and comply with the legal requirements of the country where the agreement will be executed.
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How to negotiate international banking agreements in a legally compliant and advantageous manner ?
Expand contentAs part of their standardized contracts, banks often use overly broad or opaque clauses. Certain clauses, such as those relating to jurisdiction, are sometimes legally ineffective and can be deemed invalid by courts during litigation. Without legal counsel, however, companies often fail to recognize critical clauses and unknowingly accept terms that are disadvantageous or unenforceable in the event of a dispute.
Our lawyers specializing in international, commercial and trade law carefully review international banking agreements, helping you identify non-transparent or surprising clauses. They can successfully challenge the legal validity of these clauses during contract negotiations or court proceedings and negotiate legally secure contract terms that are in your company’s best interests.
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How to carry out a company acquisition or restructuring abroad without unnecessary risks ?
When acquiring a company across borders or reorganizing an international group of companies, it is essential to observe country-specific regulations and procedural steps. Many countries have mandatory measures, such as obtaining approvals (e.g., foreign direct investment control), publishing the transaction, and informing employees or creditors. It is essential to carry out legal, tax, and financial due diligence to identify the target company’s strengths, weaknesses, and risks and take them into account in the contract.
Failure to prepare for these requirements precisely can result in legal blockages or downstream liability risks for the parties involved.
Our lawyers specializing in international commercial and trade law, as well as M&A law, will support you in structuring and executing the transaction in a legally compliant manner. They will ensure that all country-specific formalities are observed and that all documents and contracts are implemented in a legally compliant manner, whether in the case of company acquisitions in the form of asset or share deals, cross-border mergers, transfers of operations or assets, or restructuring processes, such as an international relocation of headquarters in Germany, France, or a third country. They will work closely with our colleagues from our a-Global partner network to ensure this.
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What are the key considerations in an international asset deal (sale of a company’s assets) ?
Expand contentWhen a company plans to sell assets or a business unit (usually in the form of a fonds de commerce in France) to a foreign buyer, the applicable legal framework becomes a key consideration. Since assets, such as real estate, business divisions, industrial property rights, and customer bases, are closely linked to their country of location, it is rare for a foreign buyer to fully integrate these assets into its own structure abroad.
Instead, the foreign buyer will typically first establish a subsidiary in the target company’s country, which then acquires the assets or business division.
Thus, an international asset deal is usually not a cross-border company purchase in the narrow sense, but rather a local transaction carried out as part of an international group development (i.e., establishment of the foreign subsidiary as the purchaser of the assets).
Our lawyers specializing in international commercial and trade law, as well as M&A law, provide comprehensive advice on the legally compliant structuring and execution of such cross-border transactions in Germany, France, and third countries. They work closely with our colleagues from our a-Global partner network. -
What needs to be considered in an international share deal (sale of company shares) ?
Expand contentWhen a group plans to sell a subsidiary as part of a share deal, the question arises as to which legal system applies to the share purchase agreement. In theory, buyers and sellers can choose the applicable legal system within the scope of their freedom of contract.
In practice, however, a share deal covers not only the contractual aspect of the purchase, but also the transfer of ownership of the shares. This transfer of ownership is subject to the law of the country in which the target company is based – the so-called “lex societatis”.
Therefore, it is essential for both the seller (transferor) and the buyer (transferee) to comply with the corporate law requirements of the target company’s country of incorporation. To avoid unnecessary complications, the same law should generally be chosen for the entire share purchase agreement – i.e., the law applicable at the registered office of the target company (lex societatis).
For international share deals, our lawyers specializing in international commercial and trade law, as well as M&A law, regularly recommend specifying the company law at the registered office of the target company as the uniform contract statute for reasons of practical feasibility and strategic efficiency. -
What preparations should be made before selling a company to a foreign buyer ?
Expand contentThorough preparation is always essential when acquiring a company, whether through an asset deal (sale of assets), a business unit/fonds de commerce, or a share deal (sale of shares or stock). This includes the conclusion of preliminary agreements, such as a confidentiality agreement (non-disclosure agreement/NDA) or a letter of intent (LOI), as well as legal, tax, and financial due diligence. This involves compiling all legally relevant documents, reviewing current contracts, and identifying and assessing potential risks, such as those related to legal, tax, labor law, or environmental issues. It is also necessary to determine if official approvals are required, such as in merger control or foreign investment control.
Thoroughly preparing these aspects provides planning security, accelerates the transaction process, and reduces the risk of subsequent delays or blockages.
Our lawyers specializing in international commercial and trade law, as well as M&A law, will support you in the targeted preparation of cross-border company acquisitions. We draft and review all necessary contractual documents and provide legally compliant support throughout all phases of the transaction in Germany, France, or a third country – from the preparatory phase and due diligence to contract negotiations and signing and closing (completion of the transaction through payment of the purchase price and transfer of assets or company shares). We coordinate closely with our colleagues from our a-Global partner network to provide our advice.
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What are the risks involved in purchasing a company abroad ?
Expand contentWhen acquiring a company abroad, unforeseen legal, tax, labor, or financial risks may arise. These risks can manifest as hidden defects, such as unknown liabilities or financial risks, pending legal proceedings, inadequately drafted contracts, or a general lack of legal compliance with local regulations on the part of the target company.
Differences in country-specific labor, tax, and competition laws can significantly impact the valuation of the acquired company and its economic or financial situation.
Our lawyers specializing in international commercial and trade law, as well as M&A law, will assist you in conducting comprehensive legal, tax, and financial due diligence. This will allow you to identify potential risks early on and consider them in your decision-making process before signing the company purchase agreement.
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Is it possible for two companies from different countries to merge ?
Expand contentIn principle, companies based in different countries can merge across borders. Within the European Union, EU directives on cross-border mergers, as well as the European Court of Justice’s case law, enable the cross-border merger of two companies from different member states into a single company.
However, such projects require compliance with specific legal requirements in each participating country. These requirements may include provisions regarding the information and participation of employees, the tax treatment of asset transfers, and the protection of creditors’ rights.
Our lawyers specializing in international commercial and trade law, as well as M&A law, will assist you with the legal planning and implementation of cross-border mergers in Germany, France, or a third country. They will work closely with our colleagues from our a-Global partner network.
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Can a company’s registered office be transferred to another EU member state ?
Expand contentAny company based in the European Union (EU) can transfer its registered office to another EU member state without first dissolving and liquidating in its country of origin (with taxation of hidden reserves) and reestablishing itself in the destination country.
For instance, a German GmbH can convert its registered office to a French SAS across borders. This type of transfer is made possible by the case law of the European Court of Justice and the relevant conversion directives, which allow for a transfer of registered office while maintaining the legal identity of the company.
Our lawyers specializing in international corporate law provide comprehensive advice and support in preparing for and implementing a cross-border change of registered office. This includes converting legal forms, such as changing from a GmbH to an SAS, and ensuring compliance with all legal requirements in Germany, France, or any other EU member state. We work closely with our colleagues from our a-Global partner network to provide this service.
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What applies if a company is affected by a breach of non-contractual obligations ?
A breach of a non-contractual obligations occurs when a company suffers damage caused by a third party with whom it has no contractual relationship. Examples include defective products, unfair competition, unlawful termination of contract negotiations, and Internet-based offenses.
In these situations, the injured company may file a tort claim to demand compensation for the damages incurred. Caution is advised in an international context because the relevant legal provisions vary considerably depending on the country in which the breach occurred, or the damage was suffered. Therefore, it is important to first determine which law applies to the matter and which national courts have jurisdiction over any legal dispute.
Our lawyers specializing in international, commercial and trade law will help you legally classify the facts, determine the applicable law and jurisdiction, and effectively enforce your claims, whether in France, Germany, or a third country. We work closely with our foreign colleagues from our a-Global partner network to provide this service.
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What types of non-contractual breaches of duty can affect a company internationally ?
Expand contentNon-contractual legal violations can affect many business situations, including product liability for defective goods that cause damage to customers or third parties, unfair competitive practices such as imitation, market displacement, or the unlawful use of trademarks or company logos, unlawful termination of contract negotiations, and internet-related offenses such as identity theft, defamation, and online reputation damage. Even outside of any contractual relationship, the affected company can hold the responsible third party liable. However, it is crucial to act quickly to secure evidence and comply with statutes of limitations. Our lawyers specializing in international, commercial and trade law can help you classify the specific legal violation, gather necessary evidence, and enforce your claims in the appropriate court.
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Which legal system applies when a company suffers damage caused by a third party ?
Expand contentThe European Union provides a uniform instrument applicable to all member states: the EU Regulation “Rome II” on the applicable law of non-contractual obligations. According to this regulation, the law of the country in which the breach of duty occurred, or the damage arose generally applies. This means that if a German company suffers damage abroad, the case may be subject to a foreign legal system with regulations that differ significantly from those in Germany, particularly with regard to limitation periods, liability requirements, presumptions of burden of proof, and compensation regulations.
The EU Rome II Regulation applies to many situations, including product liability and product safety liability, unfair competition, infringement of intellectual property rights, termination of contract negotiations, and digital offenses, such as cyberattacks, online defamation, and data protection violations.
Our lawyers specializing in international, commercial and trade law will assist you in determining the applicable legal system and represent your interests in court or arbitration proceedings in Germany, France, or a third country in close cooperation with our foreign colleagues from our a-Global partner network.
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Who is liable if a product causes damage due to a defective component from a supplier or subcontractor ?
Expand contentEven if your company did not manufacture a defective product – for example, if the defect is due to a faulty component from a supplier or subcontractor – you may still be liable as the product’s seller, distributor, or importer. This form of liability is common in international trade. If a defective product that you distribute causes damage, the customer or a third party can assert claims directly against you.
Our lawyers specializing in international, commercial and trade law can help you put appropriate contractual safeguards in place, particularly through hold harmless clauses in your contracts with suppliers and subcontractors.
Should an international dispute arise in product liability, our lawyers specializing in cross-border litigation will represent your company before state courts or arbitration tribunals in Germany, France, or a third country. In proceedings abroad, we collaborate closely with our foreign colleagues from our a-Global partner network to successfully defend your interests.
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Which legal system applies in cases of unfair competition or internet crimes against a company ?
Expand contentIn an international context, the applicable law is usually determined by where the damage occurs. This rule raises key questions, particularly in cases of unfair competition or digital offenses. Where exactly does the economic damage occur? In which market does the impairment arise?
The answer to these questions has a significant impact on the success of legal action. Our lawyers specializing in international, commercial and trade law carefully analyze which legal system and court are most favorable to your interests, thereby maximizing your chances of success. We support you in Germany, France, and third countries, working closely with our foreign colleagues from our a-Global partner network.
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Which legal system applies in the event of an abusive termination of international contract negotiations ?
Expand contentIn an international context, applicable law is typically determined by where the damage is suffered. This rule raises key questions, particularly in cases of unfair competition or digital offenses. Where exactly does the economic damage occur? In which market does the impairment arise?
The answers to these questions significantly impact the success of legal action. Our lawyers specializing in international, commercial and trade law carefully analyze which legal system and court are most favorable to your interests, thereby maximizing your chances of success. We support you in Germany, France, and other countries, collaborating closely with our foreign colleagues from our a-Global partner network.
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How can foreign data protection requirements be complied with in a legally compliant manner ?
Your company must comply with strict data protection regulations, such as the General Data Protection Regulation (GDPR) in Europe, as soon as it processes personal data from customers, employees, or suppliers in another country or works with a foreign service provider. Many other countries have their own data protection laws, such as the California Consumer Privacy Act (CCPA) in the U.S. and the Lei Geral de Proteção de Dados (LGPD) in Brazil.
Violating these regulations can result in heavy fines and civil lawsuits from affected individuals.
Our lawyers specializing in international commercial and IT law will verify that your data processing operations comply with applicable regulations. They will also help ensure that your collaboration with service providers and customers is legally compliant, whether in Germany, France, or a third country. In these cases, we work closely with our foreign colleagues from our a-Global partner network. We advise you on introducing internal data protection guidelines, necessary documentation, and drafting data protection-compliant contracts.
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Is the transfer of customer data abroad permitted ?
Expand contentIn general, the transfer of customer data abroad is permitted, but only under certain conditions. The General Data Protection Regulation (GDPR) imposes strict requirements for transferring personal data to third countries outside the EU. An adequate level of protection must either exist in the recipient country, according to the European Commission’s list, or appropriate safeguards must be put in place. These safeguards can include standardized contractual clauses, binding corporate rules, or other mechanisms recognized by the EU. Our lawyers specializing in data protection will support you in ensuring that such data transfers are legally compliant. We draft appropriate contractual clauses, verify the admissibility of data transfers under the GDPR, and ensure compliance with the recipient country’s national regulations.
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Who is liable if a foreign service provider violates data protection regulations ?
Expand contentAs a general rule, your company is liable as the data controller. Even if the breach is due to misconduct by your foreign processor, you are still the primary contact for supervisory authorities and data subjects.
Therefore, it is crucial to select your business partners carefully and secure your contractual relationships with them in a legally clear and effective manner.
Our international lawyers specializing in data protection can help you limit your liability risks effectively in Germany, France, and third countries by working closely with our foreign colleagues from our a-Global partner network.
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Must a GDPR representative be appointed in the European Union ?
Expand contentIf your company is based outside the European Union (EU) but processes the personal data of EU individuals, you are required to appoint a GDPR representative within the EU. This person or entity will serve as the central point of contact for data protection authorities and data subjects within the EU.
Our lawyers specializing in international data protection will support you every step of the way, from selecting a suitable representative, to drafting a legally compliant mandate, to implementing your cross-border GDPR obligations. We provide comprehensive advice in Germany, France, and third countries in close cooperation with our foreign colleagues from our a-Global partner network.
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How to avoid violations of competition law in international business relationships ?
Both Europe and many other countries have strict competition rules that prohibit practices which distort the market, such as price fixing, market sharing, quota agreements, and exclusion strategies against third parties. Violations of these regulations can result in significant administrative sanctions and particularly heavy fines.
Therefore, it is essential that your business decisions and cooperation models do not violate these competition law requirements.
Our European and lawyers specializing in international competition law will review your contracts and business practices to ensure compliance with relevant national and European regulations. We analyze price and exclusivity clauses in your agreements, evaluate cooperation structures, and advise you on antitrust exemptions, territorial and customer restrictions, and merger notification obligations. This allows us to help you effectively avoid competition law risks and sanctions.
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How to check whether contracts are compatible with competition law ?
Expand contentContracts must adhere to the fundamental principles of free and unrestricted competition. Therefore, it is essential to avoid clauses that could restrict competition in an impermissible manner, such as price fixing, excessive territorial restrictions, or quota regulations.
Our lawyers specializing in European and international competition law will review your contracts for any problematic provisions and ensure that your agreements comply with applicable competition law regulations in Germany, France, or a third country. They will work closely with our foreign colleagues from our a-Global partner network to accomplish this.
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Can international business practices with foreign partners become problematic under competition law ?
Expand contentCertain behaviors can be classified as anti-competitive, even if they seem like common business practices. For instance, the exchange of confidential price information and the division of markets between competitors are strictly prohibited under European and international competition law.
Particular care must be taken when working with foreign partners to ensure that no tacit agreements are made that could impair competition.
Our lawyers specializing in European and international competition law can advise you on internationally proven compliance standards and ensure that your cooperation agreements with domestic and foreign partners are legally compliant, whether in Germany, France, or a third country. We work closely with our foreign colleagues from our a-Global partner network to provide this service.
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How to conduct international mergers and acquisitions in compliance with competition law ?
Expand contentWhen planning mergers or acquisitions on an international scale, it is essential to determine in advance if the intended transaction could result in a dominant market position. In such cases, prior approval from national or European competition authorities (merger control) may be required to ensure that the transaction does not impair competition.
Our lawyers specializing in competition law analyze the implications of your planned corporate restructuring or acquisitions under competition law and support you in legally implementing all national and international (European) regulatory requirements in Germany, France, or a third country. We work closely with our foreign colleagues from our a-Global partner network to achieve this.
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How to deal with the insolvency of an international business partner or affiliated company ?
When an internationally active company or a company within a group with foreign connections files for insolvency, the first step is to determine the country in which the proceedings will be opened and the applicable law. Within the EU, the decisive factor is the “COMI” (center of main interests), i.e., the center of the debtor’s main interests.
If insolvency proceedings are opened abroad, you must examine how foreign insolvency law affects your company and existing contractual relationships. For example, consider the continuation, suspension, or termination of current contracts; the filing of claims; and the examination of filed claims.
Our lawyers specializing in international insolvency law will support you in handling such cases legally and protect your interests in Germany, France, or a third country. We collaborate closely with our colleagues from our a-Global partner network to advise you on matters such as examining rights of separation or exclusion (e.g., retention of title), asserting priority claims, and securing contractual claims in insolvency.
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How to determine the competent court in cross-border insolvency cases ?
Expand contentIn the event of insolvency within the European Union, the competent court is determined by the location of the “center of main interests” (COMI) of the insolvent company.
Depending on the economic focus of the debtor’s activities, whether in Germany, France, or a third country, our lawyers specializing in international insolvency law will assist you in determining the internationally competent insolvency court in close coordination with our colleagues from our a-Global partner network.
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What impact can the insolvency of a foreign business partner (supplier or customer) have on your own company ?
Expand contentThe insolvency of a foreign business partner – whether a supplier or customer – can significantly impact your contracts and deliveries. For example, if insolvency proceedings are opened against a foreign customer, there is a risk that outstanding claims will go unpaid.
Therefore, it is essential to carefully examine how foreign insolvency proceedings affect your contractual rights and obligations. Some countries have special regulations to protect foreign creditors, while others apply the same rules to both domestic and foreign parties.
Our lawyers specializing in international commercial and insolvency law can advise you on the best legal strategies to protect your interests and safeguard your claims in the event of the insolvency of a foreign business partner in Germany, France, or a third country, in close cooperation with our colleagues from our a-Global partner network.
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How to organize the transfer of assets (gift/inheritance) in an international context ?
The ownership of real estate – such as a vacation home or commercial property – or movable property abroad is subject to different national regulations in the event of a gift or inheritance.
Our lawyers specializing in international inheritance and property law will help you transfer assets legally and tax-efficiently in accordance with the legal situation in Germany, France, or a third country, with the help of our colleagues from our a-Global partner network.
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Can a property located abroad be transferred by gift or inheritance ?
Expand contentIn general, a property located abroad can be transferred by gift or inheritance, but the applicable local property law (lex rei sitae) must be observed. Before gifting or transferring real estate abroad, you must carefully examine the respective property rights, local formal requirements, and the recognition of German or French documents in the destination country.
Our lawyers specializing in international inheritance and property law will ensure that your gift or inheritance arrangements are legally valid in every relevant country. They will assist you with cross-border coordination with all the necessary authorities, such as notaries, courts, banks, and tax advisors, in Germany, France, or a third country. They will work closely with colleagues from our a-Global partner network.
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Which law applies to international inheritance involving foreign real estate ?
Expand contentAnyone who owns real estate abroad should be aware that inheritance of such assets is usually governed by the laws of the country where the property is located (lex rei sitae). However, under certain conditions, the European Succession Regulation (EU/VO 650/2012) allows you to choose the applicable inheritance law for your entire estate, such as the law of your home country.
Our lawyers specializing in international inheritance law provide comprehensive advice on choosing the applicable law and ensure that your estate planning arrangements align with your interests and can be implemented in a legal and secure manner – in Germany, France, or a third country – in close cooperation with our colleagues from our a-Global partner network.
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What are the tax consequences of a cross-border real estate transfer ?
Expand contentThe transfer of real estate by gift or inheritance may be subject to taxation in two places: the country where the property is located and the country of residence of the testator, donor, or acquirer. This taxation may take the form of inheritance or gift tax, as well as real estate transfer tax. This can lead to double taxation.
Our lawyers specializing in international inheritance and property law can review the relevant bilateral double taxation agreements and develop a customized, tax-optimized succession or transfer strategy for you. This could include gifts with usufruct rights, adjustments to the matrimonial property regime, or the establishment of a legally optimized asset structure, such as a family holding company.
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What should be considered in a legal dispute with a foreign business partner before state courts and in arbitration proceedings ?
Disputes can quickly arise in international business transactions with customers, suppliers, or partners abroad due to outstanding claims, delivery delays, or defective contract performance. Such conflicts are often more complex when several legal systems are involved. Therefore, it is crucial to ensure that effective contractual clauses stipulate that disputes will be settled before state courts in your own country or international arbitration tribunals before a conflict arises.
Our lawyers specializing in international litigation, arbitration, and commercial law support you in all phases of dispute avoidance and resolution, from negotiating and formulating appropriate and legally effective jurisdiction or arbitration clauses, to developing a tailored defense strategy, and supporting you in court or arbitration proceedings in Germany, France, or a third country. We collaborate closely with our colleagues from our a-Global partner network.
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How can you collect an unpaid bill in another EU country ?
Expand contentThe European Order for Payment procedure is a simple and efficient tool for enforcing outstanding claims against debtors in other EU member states (excluding Denmark) without having to appear in person.
This standardized procedure allows cross-border monetary claims to be enforced quickly and cost-effectively with full enforceability and automatic recognition in all EU countries.
Our lawyers specializing in international litigation will prepare the entire application for the European Order for Payment, submit it to the competent court, and guide you through all steps of the procedure.
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Which court has jurisdiction when a legal dispute has international implications ?
Expand contentJurisdiction, i.e., whether a dispute is heard before German, French, or foreign courts, depends on various factors. These factors include the existence of an exclusive jurisdiction clause, the role in the proceedings (plaintiff or defendant), the place where contractual obligations are performed (e.g., place of delivery), and the place where damage occurred in the case of non-contractual breaches of duty.
The Brussels Ia Regulation provides uniform rules on jurisdiction in all EU member states (except Denmark) and helps resolve conflicts of jurisdiction.
Our lawyers specializing in international procedural and contract law analyze your contracts and the specific facts of your case to determine and enforce the jurisdiction that best suits your interests in Germany, France, or a third country. We work closely with our colleagues from our a-Global partner network to achieve this.
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What to do if you are summoned to appear as a defendant before a foreign court ?
Expand contentIf a company is sued in a foreign court, swift and strategic action is essential. There are often short deadlines for responding to a lawsuit, such as raising a jurisdictional objection, defending the case on its merits, or initiating an out-of-court settlement.
Since each national code of civil procedure has its own rules, precise knowledge of the requirements is essential.
Our lawyers specializing in international litigation and commercial law analyze your specific circumstances. In close cooperation with our colleagues from our a-Global partner network, they develop a tailored defense strategy to protect your interests and minimize financial risks, whether in Germany, France, or a third country.
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What is international arbitration and what is its purpose ?
Expand contentLike international commercial mediation, international arbitration is one of the alternative dispute resolution (ADR) methods used in cross-border commercial transactions. It is an effective alternative to traditional state court proceedings because it allows international B2B disputes to be resolved without submitting to the jurisdiction of a foreign national court. Instead, disputes are resolved by a private, supranational arbitral tribunal consisting of one or several arbitrators, usually three.
International arbitration offers numerous advantages, including the neutrality of the arbitral tribunal with respect to the parties’ different nationalities, flexible proceedings, the speed with which final, enforceable decisions are rendered, highly specialized arbitrators (who are selected by the parties based on their technical or legal expertise), the option to conduct proceedings in English or another language, confidentiality, and the ease with which arbitral awards are recognized and enforced abroad. The higher administrative costs associated with arbitration can be offset by the proceedings’ specific efficiency and speed.
However, arbitration does not apply automatically. Rather, it requires the agreement of both parties, either through an arbitration clause in the original contract or a separate agreement after a dispute arises.
There are two forms of arbitration: institutional, in which an arbitration institution organizes the proceedings, and ad hoc, in which the parties organize the proceedings themselves with the assistance of their lawyer and under certain legislations (e.g. France) a supporting judge of a State Court.
Our lawyers specializing in international arbitration law can support you with drafting a legally compliant arbitration agreement and initiating institutional or ad hoc arbitration proceedings. They can also help you with the selection of the arbitration institution and the appointment of arbitrators, as well as the drafting and review of the arbitration mandate. They can assist you prepare pleadings and exhibits and represent you in arbitration proceedings. They can also support you with the legal interpretation of the arbitral tribunal’s decision and the recognition and enforcement of the arbitral award in France, Germany, or a third country. We work closely with our colleagues from our a-Global partner network.
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Which arbitration institutions come into consideration if the parties agree on institutional arbitration ?
Expand contentWhen parties opt for institutional arbitration in their contract, the question arises as to which institution is best suited to organize the proceedings. Globally recognized institutions specialize in conducting international arbitration proceedings. Notable institutions include the International Chamber of Commerce (ICC) in Paris, the London Court of International Arbitration (LCIA), the Singapore International Arbitration Centre (SIAC), and the Center for International Investment Arbitration (CIRDI) in Washington, which are particularly renowned for investment protection proceedings between states and investors. In France, in addition to the renowned Cour Internationale d’Arbitrage de la CCI (ICC) in Paris, there are other high-quality institutions, such as the Centre d’arbitrage et de médiation de Paris (CAMP), the Association française d’arbitrage (AFA) in Paris, and the Centre interprofessionnel de médiation et d’arbitrage (CIMA) in Lyon. These institutions specialize in national and international proceedings.
In Germany, institutional arbitration is less diverse and is primarily managed by the German Institution of Arbitration (Deutsche Institution für Schiedsgerichtsbarkeit – DIS).
The choice of the appropriate arbitration institution depends on various factors, including the field of business activity, the registered office and legal profile of the contractual partner, the economic significance of the case, and any industry-specific requirements. Our lawyers specializing in international arbitration law can help you select the most suitable institution and represent your interests throughout arbitration proceedings in France, Germany, or a third country, in close coordination with our colleagues from our a-Global partner network.
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How do you draft an effective arbitration agreement in a contract (arbitration clause) ?
Expand contentThe wording of an arbitration agreement must be precise. At a minimum, an arbitration clause should clearly and unambiguously specify the type of arbitration proceedings, whether institutional or ad hoc, the seat of the arbitral tribunal, the number of arbitrators, the language of the proceedings, and the applicable procedural law.
If institutional arbitration is chosen, the arbitration institution agreed upon by the parties must be clearly named. This institution is responsible for ensuring that the arbitration proceedings run smoothly. In practice, an arbitration clause is often supplemented by a mediation clause. According to this clause, mediation proceedings must be conducted first and fail to reach an amicable settlement before arbitration proceedings can be initiated.
Under certain circumstances, it may also be advisable to draft a “hybrid” clause, combining elements of a jurisdiction clause and an arbitration clause, in compliance with the relevant legal requirements.
Our lawyers specializing in international contract and arbitration law will negotiate and draft a legally secure and enforceable arbitration agreement tailored to your business needs that will best protect your interests in the event of a conflict in France, Germany, or a third country. We work closely with our colleagues from our a-Global partner network to achieve this.
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How do you enforce a foreign court decision or foreign arbitration award ?
Expand contentWhen a court or arbitration tribunal rules in your favor, you may wonder how the ruling can be recognized and enforced abroad. For example, you may want to know how to do this in the country where your company is based or where the debtor’s assets are located.
If the decision was made by a state court within the European Union, then enforcement in another member state is generally straightforward because current EU law does not require separate exequatur proceedings. The decision is immediately enforceable if certain formalities are met and does not require additional recognition by a national court.
The situation is different if the court decision was issued outside the EU or is to be enforced in a non-EU country. In such cases, an exequatur procedure is usually required. This is a secondary court procedure for recognizing and issuing an enforcement clause. It is carried out based on bilateral or multilateral agreements, if available.
Different rules apply to the enforcement of an arbitral award. Although an arbitral award must always be declared enforceable within the framework of exequatur proceedings in an international context, the worldwide enforceability of foreign arbitral awards is best guaranteed by the New York Convention of June 10, 1958, on the Recognition and Enforcement of Foreign Arbitral Awards. This is because the legal requirements for recognition and enforcement are comparatively low, and the convention applies in more than 160 countries worldwide.
Our lawyers specializing in international litigation and enforcement law provide comprehensive advice on the recognition and enforcement of foreign court or arbitral awards. They also represent clients in exequatur proceedings in Germany, France, and third countries, working closely with our colleagues from our a-Global partner network.
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