2FE224 International Business Law

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2FE224 International Business Law

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2FE224 International Business Law

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Course Code: 2FE224
University: Uppsala University

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Country: Sweden


International Business Law 
Part i: Compulsory General 
All students must answer this question. It is not related to any one case, but to all course material, and the subject of international business law generally
1: Explain how law impacts business. Why is it important for a business manager to take a class in international business law?  
Part ii: Case Study 
Choose Two of the case studies and answer EACH question pertaining to that case. In total, you will answer 6 questions.
Case One: Alternative Dispute Resolution in Education (Visit https://www.humanrights.gov.au/our-work/complaint-information-service/publications/alternative-dispute-resolution-education-case )

How is this case an example of alternative dispute resolution?
What are the moral issues evident in this case?
What lessons from this case can be used generally for a business manager studying international business law?

Case Two: Avid Air vs. Rolls-Royce (Visit https://www.law360.com/articles/11257 )

Why is this case an example of trade secrets? 
What are the moral issues evident in this case? 
What lessons from this case could help in avoiding similar conflicts in the future? 

Case Three: Protecting India’s Traditional Knowledge (Visit http://www.thehindu.com/todays-paper/tp-in-school/protecting-indias-traditional-knowledge/article12557964.ece )

Why is this case an example of traditional knowledge? 
What lessons from this case could be used in future traditional knowledge cases? 
What are the moral issues evident in this case? 


International Business Law
Part 1
The governments impose a number of rules and regulations on businesses. It is essential for business owners to understand business law and regulations that affect type of business. It is essential to be acquainted with the rules and regulations of the government related to the business from time to time and in order to be legally correct, business owners should ensure that they are updated with the government laws. The modification in the business laws means making changes in the ways of business operations. For example, taxation policies imposed by government have an effect on businesses straightforwardly because it relies on income or earnings of all the businesses. In a similar manner, business laws affect relationships between employer and employees (Williams, 2017). It is important for the business owners, managers and professionals to possess fundamental understanding of the business law, to assist them in making better decisions. These laws are required by the businesses to describe intolerable behavior, to provide assurance and constancy, and to provide methods to resolve the disagreements. It is important for business managers to take classes in international business law, because by studying the interaction of law and business, they can predict legal requirements within their organization and comprehends the ways through which, laws and regulations can influence businesses in positive as well as negative manner. The business manager should understand basic legal issues occurring in the business. Along with protecting their organization from losses due to illegal activities, understanding business law assists in developing credibility with the suppliers and the customers. Furthermore, to be successful in business, business managers need to develop global mindset and international business law make them understand the legal aspects of businesses, markets, and information all over the world (Koprowski, 2017). In the process of trading at international level, business laws are imposed in connection with the international trade tariffs and these rules and regulations are stringent for the products that are imported and exported internationally. Thus, it is considered as essential for the business managers to take a class in the international business law (Ashford University, 2017).
Part 2
Case II: Avid Air vs. Rolls-Royce

Trade Secrets are any kind of confidential business information which provides competitive advantage to an organization. It includes manufacturing, industrial or commercial secrets and unlawful use of such information by others is considered to be as unfair practice as well as the violation of trade secret (WIPO, 2018). This case is an absolute example of trade secrets because Rolls-Royce Corporation filed suit against Avid Air Company and, charges included unfair competition in desecration of the Lanham Act, misuse of trade secrets, unfairimprovement and theft. All these charges are related to the trademark laws and include staling of trade secrets as well. Furthermore, Avid Air filed lawsuit against Rolls-Royce for tortuous interference and violations of Sherman Act, which comes under trade related laws(James, 2006).
The moral issues marked in this case are that stealing trade secrets of a company is considered as violation of trade laws. The trade secrets are protected without any requirement of registration and are protected without requirement of any procedural formalities. Additionally, trade secrets are protected for unlimited time period for a company and cannot be stolen by other companies ever, otherwise, it is considered as violation of law. In this case, Rolls-Royce had alleged Avid Air for stealing the trade secrets while Avid Air filed lawsuit for tortuous interference along with violation of an Act against Rolls-Royce. It is not ethically appropriate for any of these companies to blame each other and to conduct such acts against each other.
By taking a lesson from this case, similar conflicts in future can be avoided by not involving in trade related violations while performing business with others. As trade secrets are the confidential business information of a company, other company should not violate the law of trade secrets and perform unauthorized acts by using such information for personal benefits or to harm the company protecting its trade secrets. There are specific provisions in law related to the safety of trade secrets and the individual or the organization infringing such secrets can be taken to the court.

Case III: Protecting India’s Traditional Knowledge

The traditional knowledge can be referred to as a body of knowledge that is transferred from one generation to another generation within a community and becomes a cultural and spiritual identity of people of that community (Nativescience, 2018). Traditional knowledge includes knowledge of ecosystem associations and a code of ethics regulatingsuitableprocedure of the environment (WIPO, 2018). This case is an example of traditional knowledge because it is about century’s long traditional knowledge among Indian housewives about homemade remedies, one among which is use of cow milk to cure constipation and the other is use of banana extract for treatment of diarrhea(The Hindu, 2012).
From this case, it could be taken in knowledge that in future cases related to traditional knowledge, one cannot apply for the patent of a product that is already being used by some community. The patent can only be applied for a new original product and, products in traditional knowledgecannot be considered as new and thus cannot be patented. As traditional knowledge are considered to be as the genetic heritage of a country, these are protected under patent laws.
The moral issues marked in this case are that a company has no ethical right to apply for patent of a product similar to its original when it is in knowledge and practice by others and comes under the category of traditional knowledge. The attempt of Nestle was ethically inappropriate and India successfully secured the patent. Similarly, Britain based company Provexis applied for patent on the use of banana extract in the treatment of diarrhea, but it is evident and proved by India that the country is aware about the fact under its traditional knowledge category and that is why, it was ethically inappropriate to get patent for an already known product. Both the companies should not have applied for the patent of products already counted as traditional knowledge of India, because it is ethically incorrect.

Ashford University, 2017. Why Study Business Law? [Online] Available at: https://www.ashford.edu/blog/business/why-study-business-law [Accessed 10 September 2018].
James, B., 2006. Rolls-Royce In Battle Over Trade Secrets. [Online] Available at: https://www.law360.com/articles/11257 [Accessed 10 September 2018].
Koprowski, E., 2017. Why Should Business Students Study Law? [Online] Available at: https://www.lawstudies.com/article/Why-Should-Business-Students-Study-Law/ [Accessed 10 September 2018].
Nativescience, 2018. What is traditional knowledge? [Online] Available at: https://www.nativescience.org/html/traditional_knowledge.html [Accessed 10 September 2018].
The Hindu, 2012. Protecting India’s traditional knowledge. [Online] Available at: https://www.thehindu.com/todays-paper/tp-in-school/protecting-indias-traditional-knowledge/article12557964.ece [Accessed 10 September 2018].
Williams, B., 2017. How Does the Law Affect Businesses? [Online] Available at: https://yourstory.com/mystory/6d7c3b1641-how-does-the-law-affect-businesses- [Accessed 10 September 2018].
WIPO, 2018. Traditional Knowledge. [Online] Available at: https://www.wipo.int/tk/en/ [Accessed 10 September 2018].
WIPO, 2018. What is a Trade Secret? [Online] Available at: https://www.wipo.int/sme/en/ip_business/trade_secrets/trade_secrets.htm [Accessed 10 September 2018].

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