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One Italian firm COTONI PREGIATI SRL and one US firm (New Jersey Inc.) are separate and
independent corporate entities. They conclude a distribution contract, where the US Company is
granted the exclusive right to distribute the Italian knitwear produced with the Italian high quality
cotton, in the US, Spain and parts of Latin America/Caribbean.
The contract between the two companies contains set as law of the contract the Law of New Jersey
and includes an MED-ARB clause.
After a while, COTONI PREGIATI SRL starts suffering profit losses allegedly due to delays in the
distribution activity of the US distributor. On the other hand, the US firm claims that the products
delivered by the Italian company are defective and rejected by the US and Spanish clients.
? Provide a brief description of the basic elements that such a contract should have included,
? Analyze the possible dispute resolution methods and remedies available to the parties
beforehand, in the light of the specific features of the case,
? Explain why the firms preferred to include those clauses in the contract.
Aims of the Course:
1. achieve a basic understanding of the international business law environment;
2. examine legal aspects of international business with particular reference to the formation of
business contracts, the sale of goods, the international commercial arbitration, the intellectual
property, the distribution, the corporations;
3. offer a comparative approach so as to understand how legal problems are treated in different
social and cultural environment;
4. enable students to identify the key legal risks of engaging in international business and to make
business decisions necessary to operate a business in the international legal environment;
5. achieve a critical understanding of global ethical concerns and corporate responsibilities of
international business.
