International Business Law Glossary

The final decision rendered by an arbitral tribunal resolving a dispute between parties, enforceable under the New York Convention.

An agreement between two countries establishing mutual protections and terms for private investment by nationals of one country in the other.

The process or contractual clause determining which jurisdiction's law governs a cross-border transaction or dispute.

The United Nations Convention on Contracts for the International Sale of Goods, providing uniform rules for cross-border sales contracts.

The principle of mutual respect by which courts of one country recognize the laws, judicial decisions, and institutions of another country.

The body of legal rules that determines which jurisdiction's substantive law applies when a dispute involves parties or events in multiple countries.

The practice of exporting goods at a price lower than the normal value in the exporter's domestic market, which can trigger anti-dumping duties.

The taking of privately owned property or investment by a government, requiring public purpose and adequate compensation under international law.

The U.S. Foreign Corrupt Practices Act, prohibiting bribery of foreign officials and requiring accurate accounting by publicly traded companies.

A contractual provision excusing performance when unforeseeable extraordinary events beyond the parties' control prevent fulfillment of obligations.

A contractual clause designating which court or arbitral body has jurisdiction over disputes arising from the agreement.

The General Agreement on Tariffs and Trade, the predecessor multilateral trade agreement to the WTO, establishing core trade principles including MFN and national treatment.

The International Centre for Settlement of Investment Disputes, a World Bank institution for arbitrating investment disputes between states and foreign investors.

Standardized trade terms published by the ICC defining the responsibilities, risks, and costs allocated between buyers and sellers in international trade.

Investor-State Dispute Settlement, a mechanism allowing foreign investors to bring arbitration claims directly against host states for treaty violations.

A financial instrument issued by a bank guaranteeing payment to a seller upon presentation of specified documents, mitigating payment risk in international trade.

The customary body of commercial law evolved among international merchants, providing generally accepted principles of trade independent of national legal systems.

A WTO principle requiring that any trade advantage granted to one member must be extended equally to all other members.

The WTO principle requiring that imported goods be treated no less favorably than equivalent domestic goods after clearing customs.

The 1958 Convention on the Recognition and Enforcement of Foreign Arbitral Awards, enabling cross-border enforcement of arbitration decisions.

Restrictions imposed by governments or international organizations on trade, finance, or travel with specific countries, entities, or individuals for foreign policy or national security reasons.

The legal principle that a sovereign state is immune from the jurisdiction of foreign courts, subject to exceptions for commercial activities.

Financial contributions by governments that confer a benefit on specific industries, which may be challenged under WTO rules if they distort international trade.

The United Nations Commission on International Trade Law, which develops model laws and conventions to harmonize international commercial law.

The World Trade Organization, the international body overseeing multilateral trade rules, negotiations, and dispute resolution among its member states.