for promoting creative intellectual activity and for facilitating the transfer of technology related to industrial property to the developing countries in order to accelerate economic, social and cultural development, subject to the competence and responsibilities of the United Nations and its organs, particularly the United Nations Conference on Trade and Development, the United Nations Development Programme and the United Nations Industrial Development Organization, as well as of the United Nations Educational, Scientific and Cultural Organization and of other agencies within the United Nations system."
The law of patents is a legal framework that establishes a patent system which supports and encourages technological innovation and promotes economic development. In a challenging environment, where patent law is under increasing public attention, WIPO provides a platform for member States and intergovernmental and non-governmental organizations to coordinate efforts in discussing international norms, and it addresses various issues relating to the international aspects of the patent system, including current and emerging issues of patent law.
UN General Assembly-may resolve non-compulsory recommendations to states, or suggestions to the UNSC (not a Parliament)decides on the admission of new members, on proposal of the UNSCadopts the budgetelects the non-permanent members of the UNSC, all members of ECOSOC, on the proposal of the UNSC the UN Secretary General, and the 15 judges of the ICJ
International bussiness law
INTERNATIONAL BUSINESS LAWS
INTERNATIONAL BUSINESS LAWS
International business Law is the body of law that
governs international sale transactions. A transaction
will qualify to be international if elements of more than
one country are involved.
International Court of Justice (also known as the
World Court) - body of the United Nations that
disagreements between countries rather than
The three legal bodies in the United Nations are:
United Nations Commission on International Trade
Law (UNCITRAL), The International Commission,
and the Sixth Committee of the General Assembly.
WORLD TRADE ORGNIZATION
Provide a forum for negotiating trade-related issues;
and issues arising from the WTO Agreement.
Provide a dispute settlement mechanism pursuant to
the Understanding on Rules and Procedures Governing
the Settlement of Disputes (DSU).
Administer the Trade Policy Review Mechanism
(TPRM) which examines the trade policies of members.
Cooperate with the International Monetary Fund (IMF)
and the International Bank for Reconstruction and
WORLD TRADE ORGNIZATION
GATT 1994 is incorporated into the WTO
Agreement, and contains three important basic
principles in the context of international commercial
Most-favored nation principle (MFN): expresses
that any advantage to a product originating or
destined for another country shall be treated in
accordance with a like product originating in or
destined for the contracting country . Each GATT
member must treat all trading partners as well as its
most favored trading partner.
WORLD TRADE ORGNIZATION
'International Law''': prohibits discrimination
between imported and like domestic products, other
than through the imposition of tariffs. The WTO
panels consider tariff classifications, product nature,
intended use, commercial value, price and
Reciprocity principle: encourages negotiations
between contracting parties on a reciprocal and
mutually advantageous basis, directed towards the
reduction of tariffs and other charges on imports
The World Intellectual Property Organization
(WIPO) is one of the 17 specialized agencies of the
WIPO was created in 1967 "to encourage creative
activity, to promote the protection of intellectual
property throughout the world
currently has 186 member states,
administers 25 international treaties, and is
headquartered in Geneva, Switzerland.
WHAT IS INTELLECTUAL PROPERTY?
Intellectual property (IP) refers to creations of the
mind: inventions, literary and artistic works, and
symbols, names, images, and designs used in
IP is divided into two categories:
property, which includes inventions (patents),
trademarks, industrial designs, and geographic
indications of source; and Copyright, which includes
literary and artistic works such as novels, poems
and plays, films, musical works, artistic works such
sculptures, and architectural designs.
The law of patents is a legal framework that
establishes a patent system which supports and
encourages technological innovation and promotes
environment, where patent law is under increasing
public attention, WIPO provides a platform for
member States and intergovernmental and nongovernmental organizations to coordinate efforts in
discussing international norms
The United Nations is an international organization
whose stated aims include promoting and facilitating
cooperation in international law, international
liberties, political freedoms, democracy, and the
achievement of lasting world peace.
The United Nations' system is based on five
the General Assembly
the Security Council
the Economic and Social Council (ECOSOC)
the International Court of Justice.
ECONOMIC AND SOCIAL COUNCIL
The Economic and Social Council (ECOSOC)
assists the General Assembly in promoting
international economic and social cooperation and
UNITED NATIONS CONVENTION ON CONTRACTS
FOR THE INTERNATIONAL SALE OF GOODS
UN-sponsored convention that establishes uniformrules for drafting international sales contracts, and
sets the legal rights and obligations of the seller
and the buyer under such contracts. CISG rules
apply automatically to the sales contracts between
the countries who have ratified the convention
Double taxation occurs when tax is paid more than
once on the same taxable income or asset.
TYPES OF DOUBLE TAXATION
Types of double taxation:
Double taxation is juridical
when the same person is
taxed twice on the same
income by more than one
economic if more than one
person is taxed on the
JURIDICAL DOUBLE TAXATION ARISES
Where each Contracting State subjects the same person to tax
on his worldwide income or capital
Where a person is a resident of a Contracting State and derives
income from, or owns capital in, the other Contracting State and
both States impose tax on that income or capital
Where each Contracting State subjects the same person, not
being a resident of either Contracting State to tax on income
derived from, or capital owned in, a Contracting State; this may
result, for instance, in the case where a non-resident person has
a permanent establishment in one Contracting State through
which he derives income from, or owns capital in, the other
KEY STAGES IN A TYPICAL
TRANSACTION OF THE INTERNATIONAL
SALE OF GOODS
Negotiations between seller and buyer
Making the sales contract between parties
Shipment of the goods and carriage of the goods
PROBLEMS ASSOCIATED IN THE
INTERNATIONAL TRADE TRANSACTION
An international sale will usually involve a sea
Customs need to be cleared
Import and export licenses need to be obtained.
International sales raise conflict of laws problems
Fluctuations in currency
INCOTERMS OR INTERNATIONAL
International Chamber of Commerce (ICC) has
introduced quite a number of special trade terms in
use for international trade.
These terms have simplified the sale of goods
abroad. They are in universal use in trade
Two extremely useful trade terms, namely: FOB
FOB ( FREE ON BOARD)
In a FOB contract, the seller has to put the goods
on board a ship.
The price under an FOB contract includes the cost
of the goods and all expenses up to the board the
Once The delivery is completed then the property
and the risk pass to the buyer.
DUTIES OF THE F.O.B BUYER
To nominate the port of shipment, the vessel’s name
and procure the necessary shipping space
Nomination of a ship
To secure shipping space
To obtain the necessary import license
Pay any cost incidental to the shipment
Pay the seller for the goods in accordance with the
DUTIES OF THE FOB SELLER
To ship goods of contract description at the named
port of shipment
To ship goods on time
To obtain Export licenses
To deliver the necessary documents
CIF stands for cost, insurance, freight
The letter CIF represents the three contracts
The cost –the sale contract
Insurance-the contract of insurance
Freight- the contract of carriage.
‘SHIPPING DOCUMENTS’ INVOLVED IN
The commercial invoice,
A shipped bill of lading
Policy of insurance during the sea voyage, and
Certificate of quality
Certificate of inspection
Certificate of origin
DUTIES OF THE SELLER UNDER A CIF
To ship goods according to the contract description
To enter into a contract of carriage in order to deliver the
To ensure that the goods are properly insured under a
contract of insurance
To procure and prepare proper shipment documents.
DUTIES OF THE BUYER IN A CIF
Payment against documents
The buyer to name port of destination
Buyer to take delivery
CARRIAGE OF GOODS
A contract whereby a person or company agrees to
carry goods or people from one place to another for
a payment is called contract of carriage.
Carriage of goods can be
1. Carriage by land (including inland waterways),
2. Carriage by sea
3. Carriage by air
CLASSIFICATION OF CARRIERS
CARRIAGE OF GOODS BY SEA
A contract for the carriage of goods by sea is called
as a contract of affreightment.
The word affreightment means the hiring of a
vessel or ship.
A contract of affreightment may take either of the
a bill of lading
The Agreement on Trade Related Aspects of
Intellectual Property Rights (TRIPS) is an
international agreement administered by the World
Trade Organization (WTO)
TRIPS: MAIN FEATURES (1)
Coverage of TRIPS
Areas of intellectual property covered:
Copyright and related rights
Trademarks including service marks
Geographical indications including appellations of origin
Patents including the protection of new varieties of
The layout-designs of integrated circuits
Undisclosed information, including trade secrets and test
TRIPS: MAIN FEATURES (2)
General Principles applicable to IPRs
Specifies Procedures that must be available
Part of the integrated Dispute Settlement
System of the WTO
No unilateral action by Members allowed
CONTRACTS AS A WAY TO
Negotiate terms to fit specific transaction
Allocate risk - moving goods and money
Fix performance obligation and responsibilities
Fix price and quality
Make sure understanding is reflected in contract
WHERE IS THE THE RISK IN AN INTERNATIONAL
Documentary Sale: –Buyer is required to pay upon
presentation of NEGOTIABLE DOCUMENT OF TITLE
Document of title= evidences ownership e.g. dock
receipts, warehouse receipts and bills of lading
Ownership of goods passes with the documents
Negotiability= legally transferred from one to
another in return for value.
In the U.S. bills of lading governed by The Federal
Bills of Lading Act and the Uniform Commercial
In India, it is governed by India carriage of Goods
by Sea Act, 1925.
THE DOCUMENTARY SALE
CIF Japanese Port
Documents Against Payment
A. Sales contract calls for documentary sale
B. Documents prepared - export license obtained - goods delivered to carrier
C. Negotiable bill of lading, insurance policy, certificates of origin, invoice with
draft attached presented to remitting bank
D. Documents forwarded for collection through International banking system 39
E. Documents presented for negotiation on payment
F. Payment remitted and exporter’s account credited
G. Importer claims goods and makes entry
Responsibilities of buyer and seller need to be
Trade terms used as a short hand for assigned
responsibilities and allocating when the risk passes
from one party to another.
TRADE TERMS: E TERMS
– Ex works: The seller's only responsibility
is to make the goods available at the seller's
premises. The buyer bears full costs of moving the
goods from there to destination. Risk shifts to
buyer when goods made available by seller at
TRADE TERMS: F TERMS
FCA – Free carrier: The seller delivers the goods, cleared for export, to
the carrier selected by the buyer. The seller loads the goods if the carrier
pickup is at seller's premises. Buyer then bears costs of moving the
goods to destination. Risk shifts to buyer when goods delivered to
FAS – Free alongside ship: The seller delivers the goods to the ship in
origin port. Buyer then bears all transport costs. Risk shifts to buyer
when goods delivered alongside ship.
FOB – Free on board: The seller delivers the goods on board the ship
and clears the goods for export. Buyer then bears all transport costs.
Risk shifts to buyer when goods cross ship’s rail.
TRADE TERMS: C TERMS
CFR – Cost & freight: The seller clears the goods for export and pays
the costs of moving the goods to destination. Risk shifts to buyer when
goods cross ship’s rail.
CIF – Cost, insurance & freight: The seller clears the goods for export
and pays the costs of moving the goods to the port of destination. Risk
shifts to buyer when goods cross ship’s rail. Seller must purchase cargo
insurance; buyer can claim on policy.
CPT – Carriage paid to: The seller pays for moving the goods to
destination. Risk shifts to buyer when goods are transferred to the first
carrier. Buyer must procure own insurance.
CIP – Carriage & insurance paid to: The seller pays for moving the
goods to destination. Risk shifts to buyer when goods are transferred to
the first carrier. Seller must purchase cargo insurance; buyer can
claim on policy.
TRADE TERMS: D TERMS (#1)
DAF – Delivered at frontier: Seller transports goods to “frontier”
point in destination country. Buyer pays freight from frontier point. Risk
shifts when goods handed to buyer at frontier point.
DES – Delivered ex ship: Seller transports goods to destination
port. Buyer pays costs of unloading ship. Risk shifts to buyer when
goods ready for unloading by buyer.
DEQ – Delivered ex quay: Seller delivers the goods - not cleared
for import - to the buyer at the port of destination. Seller bears costs and
risks of moving the goods to port. Buyer clears goods for import and
pays customs clearance costs and duties. Risk shifts to buyer when
goods placed on dock.
TRADE TERMS: D TERMS (#2)
DDU – Delivered duty unpaid: Seller delivers goods not cleared for import - to buyer at destination. Seller
bears costs and risks of moving goods to destination. Risk
shifts to buyer when goods delivered at specified location.
DDP – Delivered duty paid: Seller delivers goods cleared for import - to buyer at destination. Seller bears
costs and risks of moving goods to destination, including
customs duties and taxes. Risk shifts to buyer when
goods delivered at specified location