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How to Reduce Risks Associated With Commercial Transactions with South America

When you enter into a contract over an import export transaction with South America, you are subject to a series of risks characteristics to the region. You should spare no effort to avoid any conflicts, as, terms and conditions of delivery, payment of goods and ownership of the goods. Here are some aspects that you might look into.

Terms and conditions for sale of goods:
These are normally stipulated in the original contact between the buyer and the seller. As in many contracts, amendments are made to cover changes. In such cases, be sure to have the amendment signed by both parties, and indicate clearly that this is part of the original contract, referring to the contract number and date.

Goods sold and prices paid:
The CCISG and the VC are used when the contracts fail to stipulate proper terms of the contract. There may be domestic laws that are meant to determine what the conflict is all about and how to resolve it. As this is quite extensive, I would encourage you to study the rulings that may be applicable to your situation. In any case, a review at this time serves to provide you with a good foundation for future eventualities.

Entities with framework for commercial transactions:
I would encourage you to take a close look at the framework set by the Vienna Convention (VC), Convention on Contracts for the International Sales of Goods (CCISG) and the Principles of International Commercial Contracts (PICC), which are aimed at helping you to reduce risks associated with commercial transactions.

Difficulty: Moderate

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