Case in Intl Business Law
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...... To protect EnergyTechs profit-sharing, the agreement would have to require the company to submit to International Accounting Standards, and to allow EnergyTech to hire an accountant to audit the books on a regular basis.[2] This would prevent Sonaventure from creative accounting practices that would demonstrate no profit, thus depriving EnergyTech of its benefit of the bargain
Choice of law and choice of forum provisions will be crucial parts of the contract, because of the involvement of so many different companies in so many different companies. Because choice of law and choice of forum customs would not normally suggest the application of U.S. law in a contract dispute, it is essential that a U.S. choice of law clause be made a part of the parties agreement. However, because of the diverse interests involved, it is possible that such a clause will not be honored. Moreover, it is highly unlikely that such a clause would apply in the case of a tort dispute, because the likely plaintiffs in a tort lawsuit would be people who were injured by a misuse of the Technology, rather than any party involved in the contract negotiations. When there is no choice of law provision, the
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