Export Enterprises Should Be Alert To The Traps Behind The Pie.

Enterprises are developing at home and abroad. market In the process, more or less will encounter trade fraud. Compared with domestic trade, export enterprises are more unfamiliar with the legal risks existing in international trade. In the face of the depressed economic environment abroad, many export enterprises are running on thin ice. How to circumvent the hidden traps in international trade and get rid of all kinds of trade disputes? The reporter recently interviewed professionals from China's Shenzhen branch, from the perspective of legal practice. Exit Enterprises have made some suggestions: while enhancing the competitiveness of the international market, enterprises should also take effective measures to curb and effectively prevent potential legal risks that may be encountered.

Hidden risk

Export enterprises frequent "trick"

"It is a contract that causes trouble, knowing that signing a perfect contract will not let the buyer get the hang of it." In the three places of Cai Min, a trade insurance business in China's Shenzhen branch, China often heard similar complaints from exporters who were involved in trade disputes. Overseas buyers took advantage of the irregularities of the contract to provoke disputes over quality disputes or sales terms after the goods were delivered to the port of destination, thus causing losses to the exporters.

"One of the main reasons is that enterprises do not pay enough attention to the signing of trade contracts. In the cases I took over, some export enterprises did not sign a formal export contract with buyers because of negotiation status or convenience, which is unavoidable in the follow-up contract implementation process. If an overseas buyer refuses to pay for various reasons regardless of his credibility, exporters will lack the evidence to support their claims. Cai Min told reporters that a large export enterprise in Shenzhen had been passively engaged in trading with the world's top 500 enterprises and suffered a loss of 600 thousand dollars because of insufficient contract basis.

"Even if a contract is in hand, it does not mean that enterprises will have a smooth sailing in international trade." Cai Min said that in addition to the legal risks of trade contracts, the trade trap is another straw on the export enterprises.

"Trade pitfalls include many aspects, one of which is the buyer's main body. At first, the overseas buyer who negotiated with the exporter was the parent company, but when the contract was signed, the buyer became a subsidiary company registered in the offshore country. Exporters are often confused about which subject they are dealing with and who advocate accounts receivable. In law, the legal status of the parent company and the subsidiary company is isolated, and the parent company has no obligation to repay the debt for the subsidiary company. Once the subsidiary company of the buyer declares bankruptcy, the exporter will not be able to perform the assets even if he can register the creditor's right in time, thus he will suffer heavy losses. "

"Another typical trade trap is" long line fishing ". At the very beginning, overseas buyers will sign smaller orders with exporters, and the repayment will be more timely, so that exporters can relax their sense of vigilance. Buyers will suddenly use a large order to lure exporters to account spanactions, but after receipt of goods, there is no news.

In addition, the soft clause of the letter of credit is also one of the trade pitfalls. Under specific L / C, overseas Buyers sometimes set up some soft clauses to open letters of credit with discrepancies, and the exporters will refuse to pay by the issuing bank if they fail to pay the documents after presentation of the documents.

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With the increasing credit crisis of globalization, can China's export enterprises achieve a relatively satisfactory outcome?

Wang Shuai, the Business Administration Office of China's Shenzhen branch, told reporters that exporters should strictly abide by laws and regulations such as customs, taxation, currency exchange and commodity inspection of importing countries. In case of difficult or unexpected problems, they should not be "sick or confused" or blindly take action. They should consult relevant professional institutions or government departments in time, such as China's credit insurance, Ministry of Commerce, Ministry of foreign affairs, and law firms with international trade experience, so as not to delay processing time, and further expand risks and losses.

As a matter of fact, China Export and Credit Insurance Corp is the only policy export credit insurance institution in China, which has played an important role in helping enterprises to prevent and resolve export legal risks, enhance export confidence and promote export spanactions.

Wang Shuai briefed reporters that the China credit insurance Shenzhen branch will carry out evaluation, consultation and training business in accordance with the needs of customers, aiming at common legal disputes, trade traps and country risks in international trade. At the same time, the company is working with industry associations every year to conduct industry exchange meetings and hold country risk analysis reports.

It is wise for an enterprise to use good legal weapons to protect its own rights before bad debts happen. In this regard, Wang Shuai made three suggestions to export enterprises: first, faced with strong buyers, export enterprises should fully tap and exert their own advantages, actively strive for reasonable terms of trade, and carefully sign trade contracts and other supplementary agreements. When negotiating and signing specific contract terms, they should "fight for every inch of the ground", do not relax any details and interests, and strive for the best and the most adequate legal protection within a reasonable and acceptable scope. For example, in the process of signing a contract, a quality period of one to two months can be set up in the contract according to the practice of the industry. If the buyer fails to make a quality objection within the specified time limit, it will be deemed qualified.

The two is that the ownership reservation clause can be stipulated. If the buyer fails to pay the full amount, the goods are retained in the hands of the exporter. If the buyer has some dishonest conduct, the exporter can grasp the right of goods and reduce the loss.

Three, we must not neglect details in dispute resolution. If the arrears need to be dealt with by litigation, then pay attention. litigation Two questions of jurisdiction and application of law. When negotiating with exporters, buyers and exporters should strive for the application of Chinese laws or laws in Hongkong, and the choice of litigation sites in China. If mainland China is not recommended in the third party countries or Hongkong, Singapore and other places, it will have a fair protection for the rights and interests of both sides.