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Getting in contract with small company involves some asian companies too

Redlands, CA |

my company is doing mutual contract basically siging terms (manufacturing pharmaceutical products) with one usa company in conjuction with 1 asian company. what kind of legal matters do i have to look for? please advice.

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Attorney answers 6

Best Answer

The legal matters here are many!

First, what is your tax structure? Allocating revenues and expenses across multiple tax jurisdictions in a contractual manufacturing collaboration can reduce your taxes significantly. This is one issue where hiring international tax help will pay for itself immediately.

What does the agreement look like? If you shared the agreement with international lawyers, they would likely be able to pick out many strengths and weaknesses of the arrangement and set up the contract in a way that reduces risk.

Have you complied with Federal regulations? Pharmaceutical products are often regulated.

I could continue, but I think you need some detailed consultations. It is best to give more details offline to get a valuable response to your question.

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Your description does not provide in what capacity (e.g., buyer, seller, partner) these companies are entering contracts, and what is the subject of these contracts. I suggest you retain an attorney and discuss this matter in details in the privacy of your attorney's office.


Oh, just a few matters ...... Are you kidding? If you enter into any business arrangement with foreign companies without legal counsel having expertise in international business, you are going to get your clock cleaned for certain, you may run afoul of state or federal law and might find the IRS at your door one morning.

NOT LEGAL ADVICE. FOR EDUCATION AND INFORMATION ONLY. Mr. Rafter is licensed to practice in the Commonwealth of Virginia and the US Federal Courts in Virginia. There is no implied or actual attorney-client relationship arising from this education exchange. You should speak with an attorney licensed in your state, to whom you have provided all the facts before you take steps that may impact your legal rights. Mr. Rafter is under no obligation to answer subsequent emails or phone calls related to this matter.


When it comes to international negotiations and international contracts signing it is wise to work with an international law firm. The issues are many, from international banking, money laundering, methods of payment, only to name a few. You are only scratching the surface. My recommendation is to hire an international firm. Best

This reply is offered for educational purpose only. You should seek the advice of an attorney. The response given is not intended to create, nor does it create an ongoing duty to respond to questions. The response does not form an attorney-client relationship, nor is it intended to be anything other than an educated opinion of the author. It should not be relied upon as legal advice. The response given is based upon the limited facts provided by the undisclosed individual asking the question. To the extent additional or different facts exist, the response might possibly change. Attorney is licensed to practice law only in the State of New York. Responses are based solely on New York Law unless stated otherwise. Pursuant to Internal Revenue Service guidance, be advised that any federal tax advice contained in this written or electronic communication is not intended or written to be used and it cannot be used by any person or entity for the purpose of (i) avoiding any tax penalties that may be imposed by the Internal Revenue Service or any other U.S. Federal taxing authority or agency or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein.


Having handled international transactions and contracts for 30 years, the number of issues will often depend on the experience of the parties, the experience in the industry, the availability of insurance, understanding of international dispute resolution and other issues.

Many Avvo attorneys will give free phone and/or office consultations.

The above is general legal and business analysis. It is not "legal advice" but analysis, and different lawyers may analyse this matter differently, especially if there are additional facts not reflected in the question. I am not your attorney until retained by a written retainer agreement signed by both of us. I am only licensed in California. See also terms and conditions item 9, incorporated as if it was reprinted here.


You need to be very very careful . Many fraud schemes came from Asia and many fraud Alert. They even try to scam lawyers. You really need to check a lot of things before you start any business. As a California Attorney and one of the very few that are Fraud Examiners ( CFE member of the Association of Certified Fraud Examiners) I can help you with this problem. and

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