Chapter 9 International Business Contract Negotiation.ppt

9.4.3　Applicable law A contract, however well written, cannot cover everything. Problems not covered by the contract are handled by the applicable law. All aspects of the contract are subject to the applicable law: its formation—the target and background of the contract; its validity—the legal enforceability of the rights and duties provided in the contract; its interpretation—what exactly the contract means in case of disputes; and its application—what exactly the parties must do to fulfil their duties under the contract. International business contracts cross national boundaries. How can t