General principles in terms of Commercial Contracts

Before addressing the main contractual trade figures in Egypt, it is necessary to carry out general considerations that must always be kept in mind before entering into a contract. First, a good starting point is to regulate within the contract all the parts of your interest, and this regardless of the legal system in which you find yourself acting. In fact, it is advisable to centralize the direction of the drafting of the contract on ones personal profile, regardless of the legal landscape and the language applicable to the specific case. In fact, it will be difficult to impose effective and efficient contractual management if the foreign economic operator accepts and adapts without any compromise to the law and practices of the local market.
It should also be remembered that in the Arab world the principle that 'quod non est in actis non est in mundo' applies, therefore it is recommended, in drafting contracts, to exhaustively regulate in writing important aspects such as the object, the territorial exclusive rights, the amount of the commissions/royaties/ various salaries, the obligations of the parties, the duration and termination of the relationship, the clauses aimed at regulating any partial nullity of the contract, the applicable law, the jurisdiction and the contractual language.
In any case, when a contract is drawn up, it is then always necessary to verify whether the choice of applicable law can then, in fact, find a concrete application before the court that will probably be referred to in the event of a dispute. In fact, there is a widespread tendency on the part of the courts of many countries (including those of economically advanced countries) not to apply foreign law, even in cases where they would be required to do so under the rules of their own private international law. This tendency is determined above all by the difficulty for judges to obtain information in relation to foreign law and the poor preparation and international attitude, in general terms, of judges in many countries.
For this reason, it is advisable to rely on arbitration clauses, and this in consideration of the advantages normally inherent in an arbitration decision: composition of the arbitration panel with competent professionals in the sector, binding decision in a single instance, speed of the process and the possibility of executing the award abroad (for example Italy and Egypt are both signatories of the New York Convention of 1958).
Finally, it should be noted that the private autonomy of the parties is limited by the mandatory or necessary application rules in force in each country. These are norms that are usually placed at the foundation of the contractually weaker party or at the foundation of particular values ​​considered fundamental by the various legal systems and, therefore, non-derogable. Given such mandatory rules or rules of necessary application, the content of the contract agreed by the parties yields and the judge is obliged to apply the mandatory rules in place of those agreed by the parties.

SERVICES OFFERED IN EGYPT

» ESTABLISHMENT OF COMPANIES, BRANCHES AND REPRESENTATIVE OFFICES

» ACQUISITION OF INDUSTRIAL GROUPS AND DUE DILIGENCE

» DRAFTING OF CONTRACTS IN COMPLIANCE WITH LOCAL LAW

» PROTECTION OF INTELLECTUAL PROPERTY AT ALL LEVELS

» OBTAINING LICENSES, AUTHORIZATIONS, PERMITS FROM LOCAL AUTHORITIES

» DUE DILIGENCE ON EGYPTIAN COMPANIES AND, IN GENERAL, ON NATURAL AND LEGAL PERSONS

» EXTRA-JUDICIAL ASSISTANCE IN TRADING WITH HIGH PROFILE ARABA AND ITALIAN LANGUAGE LEGALS

» CREDIT RECOVERY

» JUDICIAL PROCEEDINGS BEFORE THE EGYPTIAN COURTS

» WIDE RANGE OF SERVICES IN THE FIELD OF INTERNATIONAL PRIVATE LAW

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