International Business Management (Contract) -

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1-3 EVALUATION CRITERIA : Class attendance 10% Class participation 10% Quizzes 10% Assignment10% Mid term examination 20% End term examination 40%

International Trade Exporter (India) Importer (USA) Importer (India) Exporter (USA) Goods & services Money Goods & services Money

Contract ( Purchase/Sale) Exporter Importer Enquiry Offer /Quotation Purchase order Contract Confirmation

Contract ( Purchase/Sale) Exporter Importer Enquiry Offer /Quotation Purchase order Contract Confirmation

CONTRACT (Purchase/Sale) Main Elements of a contract: 1-Name and address of buyer & seller 2- Place and date of contract 3- Product, Standards and specifications 4-Quantity- No, Weight, Volume, unit (British/American/spanish) 5-Inspection of goods 6-Total Vale of contract ( Fig &words, Currency, country)

CONTRACT (Purchase/Sale) 7-Terms of delivery e.g.( FOB,CIF,C&F) 8- Taxes, duties and charges 9- Period of delivery & shipment Schedule (where,when, place &country-Promptly?)) 10-Partial shipment / transshipment 11-Packing,lebelling &marking- Language,colour,logo 12-Method and Terms of payment 13-Discounts & commissions

CONTRACT (Purchase/Sale) 14-Licences and permits 15-Insurance 16-Documents required (export,import,payment) 17-Gaurantees for quality etc. 18-Force Majeure clause (What it means?) 19-Juridiction and disputes resolution 20- Order Confirmation and amendments 21- Other clauses as agreed

Brief Specimen Contract

Use of arbitration Clause in Business Arbitration and Conciliation Act 1996 The Indian Council of Arbitration- a National Arbitration body set up by Govt. of India, FICCI,ASSOCHAM etc. International Chamber of Commerce, Paris- Arbitration process

Regulations Governing Contracts United Nations Commission on International trade Laws (UNCITRAL)- Vienna Sales Convention 1988; ratifies by 45 countries International Chamber of Commerce, Paris- INCOTERMS Set of standard terms of delivery

Reading References Export Manual and Documentation-by Nabhi- Chapter 15