1. INTRODUCTION TO THE
LEGAL ASPECTS OF
INTERNATIONAL TRADE
IL&P, LEAP & WAKE TECH
William D. Harazin
www.harazinlaw.com
FEBRUARY 6, 2013
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

2. BIG MARKET
196 COUNTRIES
Afghanistan…
to
Zimbabwe
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

3. International Trade
is Different!
• Language
• Customs
• Culture
• Commercial Environment
• Legal System
• Distance
• Currency
• Political/Sovereign Risk
… AND THEY ALL CARRY RISK
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

4. INTERNATIONAL TRADE
DIFFERENT LAWS and CUSTOMS
US Laws
Foreign Laws
International laws
Culture & Customs
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

5. INTERNATIONAL TRADE
TREATIES
• WTO
• CISG
• GATT
• NAFTA
• CAFTA
• INCOTERMS
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

6. TRADE CHALLENGES
1. IP Infringement
2. Customs Procedures not Uniformly Applied
3. Lack of Competitive Bidding in Foreign
Countries
4. Foreign Subsidies to Domestic Suppliers
5. Burdensome Certification Requirements
6. Influence Peddling
7. Bribery, Corruption & Requests for Payoffs
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

7. INTERNATIONAL TRADE
LEGAL AREAS:
• Corporate Governance
• Tax
• Labor Laws
• Competition Laws
• Foreign Investment Laws
• Securities Laws
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

8. INTERNATIONAL TRADE
FOREIGN LAWS MAY GOVERN:
Sale, itself,
Ancillary Agreements to the Sale
Movement of Goods
Agent/Distributor Agreements
Tax Issues
Electronic Commerce
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

9. INTERNATIONAL TRADE
DOING BUSINESS
• DIRECT
• AGENT
• DISTRIBUTOR
• ENTITY
• FACILITY
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

10. INTERNATIONAL CONTRACTS
CONTRACT ISSUES
• CHOICE OF LAW
• CONTRACT FORMATION
• PROCEDURAL FORMALITIES
• CURRENCY ISSUES
• TERMINATION
• DISPUTE RESOLUTION
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

11. (c) 2013, William D. Harazin, PLLC
All Rights Reserved

12. INTERNATIONAL IPR
INTELLECTUAL PROPERTY’S
TYPICAL PROTECTIONS
• PATENTS: INVENTIONS
• TRADEMARKS: LOGOS/NAMES
• COPYRIGHTS: AUTHORSHIP
• TRADE SECRETS: SHHHHH!
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

13. ABCs of Export Control
BXA EAR
ITAR NRC
EAA OFAC
ODTC
BIS DOE
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

14. Exporting Licensing
• What Are You Exporting?
• Where Are You Exporting?
• Who Will Receive Your Export?
• What Will Your Export Be Used For?
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

15. Exporting Red Flags
• BIS Denied Person List-Similarity
• Reluctance To Offer Information
• Export Doesn’t Fit Buyer
• Abnormal Contract Terms
• Vague & Evasive Answers
• Terms Inconsistent with Destination
• And More ….
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

16. Export Traps
• Foreign Corrupt Practice Act (FCPA)
• Office of Foreign Assets Control (OFAC)
• Anti-Boycott Laws
• Anti-Diversion Laws
• Scams
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

17. LISTS TO CHECK
 DENIED PERSONS LIST
 UNVERIFIED LIST
 ENTITY LIST
 SDN LIST
 DEBARRED LIST
 NONPROLIFERATION SANCTIONS
LIST
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

18. “DEEMED EXPORT” RULE
EXPORT
DIRECT COUNTRY TO COUNTRY
DISCLOSURE TO FOREIGN NATIONAL IN US
(TECHNOLOGY OR SOURCE CODE)
TECHNOLOGY RELEASED
•VISUAL INSPECTION
•ORAL EXCHANGES
•SPECIAL SITUATIONS
SANCTIONS
3DSP CORPORATION
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

19. Finding Information
U.S. Department of Commerce
- Country Information www.export.gov
- IPR Information www.stopfakes.gov/
NC International Trade www.exportnc.com
Ex-Im Bank www.exim.gov
OPIC www.opic.gov
World Bank www.worldbank.gov
Small Business Administration www.sba.gov
Small Business Technology
& Development Center www.sbtdc.org
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

20. PROCEED!
BUT PROCEED
WITH
INFORMED CAUTION!!!
(c) 2013, William D. Harazin, PLLC
All Rights Reserved

21. THE END
William D. Harazin
William D. Harazin, PLLC
Two Hannover Square, Suite 2140
Raleigh, NC 27601
919-821-3700
www.harazinlaw.com
(c) 2013, William D. Harazin, PLLC
All Rights Reserved