Course 7: Export Legal Considerations
Module 2: International Contracts
Module 2 of 5
In this module we cover international contracts as a part of a larger course on export legal considerations. It includes the function of a contract, the fundamental principles of contract formation, contract conclusion, and the various contractual relationships in International Trade. Understanding the nuances of an international contract is vital for the integrity of your trade transactions. Furthermore, international contracts are an essential to solve trade disputes, as they stipulate the particulars of a deal between the parties involved. This covers risks, roles and responsibilities for each stage of the trade transaction. Click the icon below to begin your international legal environment training.
Businesses & Organisations
looking to understand the nuances of international contracts
that help facilitate or consult businesses on the International Legal Environment
Established export businesses
with export legal concerns for entering a new export market.
looking to further their understanding of international contracts and how the law is influences them.
Individuals & Students
who want to learn more about the export landscape, particularly in the Southern African region.
The module starts with a pre-assessment to help determine your baseline understanding of international contracts. Once the pre-assessment is completed the module provides context on the part contracts play in commercial transactions. This context is elaborated on by an explanation of the terms ‘right to contract’ or ‘capacity to contract’. This is followed by a breakdown of the differences between an offer, counter offer and the acceptance of an offer. Which is the first step in understanding how international contracts work.
The module continues with a summary on identifying what makes an international contract valid. This includes why a contract in its final form must be both ‘legal’ and ‘possible’. A concept that segway’s perfectly into identifying the additional country-specific conditions that are applicable in the formation of an international contract. This section is of particular importance because it provides an international context to trade contracts.
Understanding international contracts is also vital in reducing your organisation’s capacity for error and the associated risks involved. Inadequate contracts will always result in disputes and even legal action in some cases. A scenario you want to avoid at all cost, as the legal route usually results in unforeseen costs, which will negatively affect your cash flow as an export business.
The following section highlights the conclusion of an international contract, which includes the various ways in which a contract can be fulfilled or brought to an end. Once the conclusion of a contract is covered, the next step is to understand the various circumstances that result in a breach of contract, and how a potential breach of contract can be resolved.
The module rounds off with a breakdown of the various contractual relationships that apply to International Trade. These include the various parties involved in a typical trade transaction and the various contracts required to enter into the agreement with every party involved. These can vary from banks and insurers, to transport services and even government.
This free module is part of a comprehensive course covering the essentials of the International Legal Environment. A particularly complex part of international trade, which requires international legal proficiency from all parties involved. Understanding international contracts is also vital in reducing your organisation’s capacity for error and the associated risks involved. Inadequate contracts will always result in disputes and even legal action in some cases. A scenario you want to avoid at all cost, as the legal route usually results in unforeseen costs, which will negatively affect your cash flow as an export business. Assuming you have completed the export foundational training, this module serves to improve your knowledge and proficiency of international contracts within the international legal environment.
In the following modules we will be going into detail on the topics of a contract of sale or purchase, contracts of agency and distributorship, and contracts for the carriage of goods internationally. International Trade is a legal minefield when you consider all the countries and cultures involved in a typical export transaction. By completing these modules, your fundamental understanding of all aspects of export legal considerations will improve immensely. Empowering yourself and your business to take on the legal challenges posed by the International Environment.
Topic 1: The function of a contract
Topic 2: The general principles of contract formation
Topic 3: The termination of a contract and the contractual relationships in International Trade
This module is one in a series of modules to form a comprehensive course covering export legal considerations. Every course and subsequent module has been developed and curated by the International Trade Institute of Southern Africa and Trade Forward Southern Africa. The entire training course is free of charge and can be completed by individuals and organisations alike. This module and subsequent course lays an essential foundation for trade internationally. If you know anyone that would be interested, share this module with them using the link below. We would also love your feedback, so drop us a review once you have completed the module.