© 2011 South-Western | Cengage Learning Legal Agreements Around the World International Legal Systems and Liability Property And Contracts Resolving Legal Differences CHAPTER 8

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 2 8 LESSON 8-1 International Legal Systems and Liability GOALS Identify and describe the legal systems upon which international law is based. Explain product liability.

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 3 8 Legal Systems Civil law Common law Statutory law

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 4 8 Lawmaking Bodies of the Ten Most Populous Countries RankCountryLawmaking Body 1ChinaNational People's Congress 2IndiaParliament 3United StatesCongress 4IndonesiaHouse of Representatives 5BrazilNational Congress 6PakistanParliament 7BangladeshNational Parliament 8NigeriaNational Assembly 9RussiaFederal Assembly 10JapanDiet Source: CIA World Factbook

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 5 8 Liability Liability is a broad legal term referring to almost every kind of responsibility, duty, or obligation. Liability for debt, loss, and injury Product liability Negligence Strict liability

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 6 8 LESSON 8-2 Property And Contracts GOALS Explain laws and international trade agreements that protect property rights. Describe when an agreement has all of the components of a contract.

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 7 8 Property Rights and Responsibilities Property law Intellectual property Patents Trademarks Copyrights

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 8 8 Components of a Contract Capacity Mutual agreement Consideration Legal purpose

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 9 8 Contract Law A contract is a legally enforceable agreement between two or more persons either to do or not to do a certain thing or things. An implied contract is one that is not explicitly agreed to by the parties but is inferred either from the parties’ conduct or from the law. An express contract is one whose terms are openly declared, either orally or in writing.

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 10 8 Treaties and Trade Agreements World Trade Organization (WTO) European Union (EU) North American Free Trade Agreement (NAFTA)

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 11 8 LESSON 8-3 Resolving Legal Differences GOALS Identify several different ways to resolve international legal disputes. Explain the litigation process. Describe the role of the International Court of Justice in international business.

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 12 8 Resolving Legal Differences Without Court Action Mediation Arbitration Using Court Action Litigation

INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 13 8 The International Court of Justice Established by the UN Charter in 1946 Sits in The Hague Settles disputes between nations Advises UN on matters of international law