Small-scale international trades of goods are usually between small and medium enterprises from different countries. Due to the special features of such trades, the parties will be confronted with some unique risks in litigation.
Jurisdiction and enforcement: In small-scale trades, the agreement template provided by the seller usually specifies that the litigation shall be brought to the court in the country where the seller is located, but this practice does not always benefit the seller.
For example, in the most common dispute over payment for goods, if the seller brings a lawsuit as the plaintiff, but there is no effective bilateral judicial assistance treaty or international convention between seller’s country and China, the judgment made by the court will not be enforced in China.
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Blake Yang is a senior associate at MHP Law Firm
7/F Wheelock Square
1717 Nanjing West Road, Shanghai 200040, China
Tel: +86 21 6113 2988
Fax: +86 21 6113 2913
E-mail:
blake.yang@mhplawyer.com