International commercial contracts arise when parties from different countries enter into agreements to facilitate a business transaction. Examples of typical transactions are the licensing of intellectual property rights and the sale of goods. The latter can take various forms, such as:
- Direct export;
- Use of a foreign distribution agent;
- Manufacturing products in the foreign country by either setting up or acquiring a foreign subsidiary;
- Granting a licence to a local producer;
- Using a franchisee in the foreign country.