PART 1:

1. The WTO Dispute Settlement procedures.

The WTO dispute settlement procedure consists of three major stages:
• Discussions between the parties: Before taking any additional action, the
disagreeing countries should consult with one another to see if they can resolve
their disagreements on their own. If everything else fails, you can turn to the WTO
for assistance, whether through mediation or otherwise.
• Adjudication by Panels and the Appellate Body: If the consultations fail to
produce a satisfactory result, the complaining party may request a panel hearing.
After the DSB establishes the panel, the panel members are suggested for
appointment based on the nature of each case. The jurors operate as individuals,
not as representatives of the government or institution for which they work. WTO
members are not permitted to give Panelists instructions or exert influence on
them in respect to the dispute under consideration. The Panel exists as a collective
entity and begins to operate after it has been constituted. The initial step is to
provide papers pertaining to the disputed topic. The panel then deliberates and
writes the panel report.
• Implementation of the judgment: The panel reports will be effective only if they
have been accepted by the DSB. However, if either side files an appeal, the
adoption will be postponed until the judgment of the Appellate Body. If the DSB
approves the hearing reports, the losing party will have 30 days to notify the DSB
of the execution of the DSB's recommendations and findings.
4. Advantages of Arbitration and Mediation vs. Litigation in resolving international
commercial disputes.

Arbitration and Mediation Litigation

Procedure The procedure is flexible and simple, Having to go through many

the parties can be proactive and save steps, it usually takes more
time time.
Rule Non-disclosure helps the parties Public trial, judgments are
protect their reputation and business often made available to the
secrets. public, which may expose
litigants' business secrets
Effect of - The arbitrator's decision is Judgments can often go
judgment final, binding on the parties, through the appeals process,
 the parties have no right to and appeals are subject to
appeal or protest. change.
- Friendly mediation in order
to continue to preserve and
develop business
relationships for the benefit
of both parties, so in general,
it does little harm to the
inherent cooperation of the
parties.
International Gain international recognition Difficult to achieve
recognition through a series of international international recognition.
conventions To be recognized in another
country, must follow a
bilateral agreement or
follow very strict rules

6. Discuss challenges/risks of international business

Expansion of a firm abroad entails reaching out to new clients or customers, which
can enhance income. However, the following challenges emerge throughout this
process:
• Language Barriers: Language is the most significant source of possible problems
since the parties concerned are unable to grasp what the other party want to
express. This reason will result in the task being delayed for an extended period of
time, maybe even causing a rift due to continual arguments. It implies that firms
would lose job prospects as well as connections with international nations.
• Differences in culture: Each country will have an own culture. It is essential to
understand about the culture of the nation in which the company plans to conduct
business. It is difficult for enterprises to decide the items and business forms that
must be used in this nation to maximize earnings when they do not comprehend
the cultures of other countries.
• Currency Exchange and Inflation Rates: The relative worth of two countries'
currencies is represented by an exchange rate. The value of your currency is not
necessarily equivalent to the value of another country's currency. When a result, it
is critical for your company to be knowledgeable with the currency exchange rates
between your home nation and the countries with which you wish to do business,
and to keep a careful eye on them as rates shift.
 The inflation rate is the yearly percentage rise in an economy's general price level.
Inflation rates in various nations can impact both the cost and the price of a
product.
• Global Teams Management: Managing a worldwide workforce is first and
foremost a linguistic, cultural, and time zone problem. Furthermore, because to
the Covid-19 pandemic, most organizations are compelled to operate remotely,
thus the easiest option to handle and control difficulties nowadays is to use remote
Internet or television platforms.

PART 2:

CASE 2:

1. Does Vienna Convention (CISG)apply?

Both Canada and Denmark are contractual parties, and the CISG will apply, pursuant
to Article 1. CISG is in effect until the contract expires. Obviously, the contract will
cease when the items are delivered to the customer, but other contracts, such as those
concerning quality, will continue. As a result, the loss of 300 tyres will not be covered
by the CISG policy.
2. Under CISG,has seller fulfilled its obligations?
Yes, he has fulfilled the delivery obligations because it is the buyer's responsibility to
check the goods upon delivery, but the quality-related contract obligations may move
ahead based on the terms and circumstances established in the contract.
According to this case, this contract operates under two standard contract terms and
conditions: CISG, which stands for Contracts for the International Sale of Goods
established by the United Nations, and CIF, which stands for cost, insurance, and
freight. Typical contract terms involve the seller bearing the cost of transporting the
product from the seller's location to the buyer's location, since contract terms include
CIF Copenhagen. If the delivery basis is CIF, the seller pays the freight but takes no
responsibility for the goods while in transit. And, after the goods arrive at the buyer's
port, the client should check them and accept them if they are in excellent shape.
Furthermore, failing to undertake timely inspections by buyers might have a
detrimental influence on the remedies available to them and. the level of damages.
Otherwise, failing to inform will result in a loss of capacity to rely on the remedies
3. Which remedies could buyer have?
In the event that the items are lost or are not delivered as agreed in the contract, the
buyer may have recourse under the CISG.
When the customer receives the item, they must inspect it to confirm that the quality
is satisfactory. If customers are dissatisfied, they can tell the vendor and request a
price reduction or the return of the product. If the seller does not satisfy their request
within a reasonable period, the buyer may keep the item and regard it as a gift, or seek
recompense from the seller.
The customer can either:
▪ Claim damages
▪ Reject the items
▪ Keep the goods and claim damages
▪ Make an acceptable price decrease.
The customer is entitled to a refund of the purchase price of the products as well as
any additional sum paid to secure the execution of contractual duties, such as
insurance or interest.

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