International Business Law - Chapter 1

8/16/2019 International Business Law - Chapter 1

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Introduction toInternational andComparative Law


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A. What is International Law?

• International law

– the body of legal rules and norms that regulatesactivities carried on beyond the legal

boundaries of a single state.• Public international law

• Private international law

• Comity

– The practice or courtesy eisting between statesof treating each other with goodwill and civility.

– Ignacio v Teaco


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!. "a#ing of InternationalLaw

• $tate practice – The conduct and practice of states in

their dealings with each other

• "ultilateral treaty

• !ilateral treaty


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C. $ources of InternationalLaw

• Article %&'() of the $tatute of theInternational Court of *ustice – Conventions

– International custom

– +eneral principles of law ,recogni-ed bycivili-ed nations

– *udicial decisions and teachings• /ierarchical structure


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Treaties and Conventions

• Treaty – Legally binding agreement between two

or more states• 0123$A !TA

• Convention – Legally binding agreement between

states sponsored by an internationalorgani-ation• 01 WT4

• /uman 5ights Convention 6 sponsored by

31


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Custom

• Custom• A long2established tradition or usage that becomes customary

law if it is () consistently and regularly observed and 7)recogni-ed by those states observing it as a practice that theymust obligatorily follow

– Customary law• 3sus8 a consistent and recurring practice

– comity versus ,opinio 9uris sive necessitatis 'necessaryobligation)•

:ollowing out of courtesy 'comity) versus obligated to followthe customary practice

– persistent ob9ection• Active re9ection of a customary practice from its ;rst

observance by other states


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+eneral Principals

• +eneral principles – Principles of law common to the world


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>. The $cope of International Law inActual Practice

• The Practice of International Tribunals

– $ubservient

• The Practice in "unicipal Courts – Correlative

– >octrine of incorporation

– >octrine of transformation

– $elf2eecuting treaty

– 1on2self eecuting treaty


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>. The $cope of International Law inActual Practice 'cont


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. International Persons

• $tates and their subdivisions – $tates

– Independent state

– >ependent state

• International organi-ations

• !usinesses

• Individuals


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$tates and 5ecognition

• $tates

• 5ecognition

– "atima# Trading Co.

– strada >octrine

• Territorial $overeignty

– The right of a government to eclusivelyeercise its powers within a particular territory

– $ervitude8 A right to the use of another


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Territorial $overeignty

• To have territorial sovereignty= astate must ;rst ac@uire territory – !y the occupation of land

– !y the voluntary transfer of territory

– !y the con@uest and continuedoccupation•

stoppel


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Changes in Territorial$overeignty

• When changes occur there areseveral legal conse@uences – Treaty rights and obligations of

successor• >ispositive treaties

– 5ights over territory= boundaries and servitudes


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Changes in ... 'cont


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Changes in ... 'contoctrine

– new state from decoloni-ation• +enerally no obligations 'C$>)

–

Common practice to continue eisting treaties• 0ienna Convention on the $uccession of

$tates

– Art. %G8 when two states come into eistence

following the disintegration of a predecessorboth are bound by predecessor


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Changes in ... 'cont


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International 4rgani-ations

• Two types of I4


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I+4s

• volution from uropean tradition ofconvening conferences at the end ofwars to draw new boundaries and

sign peace treaties

• Conferences evolved into sponsoringmultilateral treaties and setting up

organi-ations to monitor treaty and#eep peace.


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I+4s 'cont


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I+4s 'contrafted and adopted by member states

– Legal capacity 6 must be ,recogni-edby states• +eneral rule8 signatory states automatically

recogni-e – 1ot uniform rule. ceptions8 e8 3nited

Hingdom

http://www.un.org/en/documents/charter/index.shtmlhttp://www.un.org/en/documents/charter/index.shtml


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I+4s 'cont


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I+4s 'cont


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I+4s 'cont


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I+4s 'cont

http://www.interpol.int/%E2%80%8Ehttp://www.asean.org/%E2%80%8Ehttp://www.naftanow.org/http://www.oecd.org/%E2%80%8Ehttp://www.oecd.org/%E2%80%8Ehttp://www.naftanow.org/http://www.asean.org/%E2%80%8Ehttp://www.interpol.int/%E2%80%8E


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1+4s

• 1onpro;t 1+4s – International Air Transport Association

– Amnesty International

– International Committee of the 5edCross

• "ultinational enterprises '"1s)


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:. The 5ights of Individuals 3nder

International Law

• Individuals are – () ignored

– 7) treated as sub9ects

• Traditionally ignored – $tate responsibility 6 state liable for

in9uries caused to foreign nationals

• $tate A sues $tate ! for in9uries to Citi-en A

– /uman rights

– $ee chart


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:. 5ights 'contefenda

nt

:oreign state Any state


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+. Comparison of "unicipal Legal$ystems

• 5omano2+ermanic Civil Law $ystem

– Civil law8 () the legal system derived from 5omanand +ermanic practice and set out in national lawcodes= 7) as distinguished from public law= the body

of law dealing with the rights of private citi-ens• :rench Civil Code

• +erman Civil Code

• $wit-erland Civil $ystem

• Anglo2American Common Law $ystem

– Precedent

– @uity

• Islamic Law $ystem
http://www.llrx.com/features/swiss.htmhttp://www.llrx.com/features/swiss.htm

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International Business Law - Chapter 1