Claiming Victory of the Cold War Essay - 1028 Words

Claiming Victory of the Cold War What has been termed as â€Å"the long peace† by some has proven to be the most intense time period in world history. A historical rarity, two superpowers fought rigorously across the globe for support, each carving out their own sphere of influence. The bi-polar of international affairs resulted in an arms buildup between the United States and the Soviet Union; including weapons that exceeded the atomic bomb, then the most effective and destructive weapon in price and devastation. Yet, to everyone’s surprise, the Cold War abruptly ended in 1990 with the collapse of the Soviet Union under its own economic weakness, its political conflict, and military farce. A decade later, we ask: Who can claim†¦show more content†¦In order to give such a question its proper justice, we must first explore the world near the end and directly following the second world war, the landscape, which in fact, birthed the Cold War. The second World War against Nazi aggression was f ought by the Allies on two fronts; The British and Americans pushing from the West, the Soviets, alone, fighting German troops on the East. By 1945, without aid from the US or the United Kingdom, the Soviet Union began to gradually push the Nazi forces back West, as he other Allies pushed from the beaches of Normandy. Soviet troops would eventually occupy much of Eastern Europe, to the dismay of Roosevelt and Churchill. At Yalta, Stalin assured free elections in the region following the unconditional surrender of Germany. At Yalta, also, is where the Soviets, along with the English pledged support towards the United States in the Pacific Ocean. It was at this point in the war that the United States and the Soviet Union began competition, and possibly even earlier since the implementation of Lend Lease. Firstly, the United States, without informing Joseph Stalin, sent two atomic bombs on Japan, one on Hiroshima and the other on Nagasaki. Stalin’s ignorance, perhaps, was a ploy of the United States government, which feared the presence of Soviet troops in the region, believing that the Soviet Union would want territorial concessions in Asia as they did in Europe. The Soviets responded at war’s end when, while he restShow MoreRelatedEssay on The Vietnam War1673 Words   |  7 Pagescharacter of the NLF and its relationship to the Communists in Hanoi has caused considerable debate among scholars, anti-war activists, and policymakers. From the birth of the NLF, government officials in Washington claimed that Hanoi directed the NLFs violent attacks against the Saigon regime. In a series of government White Papers, Washington insiders denounced the NLF, claiming that it was merely a puppet of Hanoi and that its non-Communist elements were Communist dupes. The NLF, on the other handRead MoreSix-day War and Israeli Military Leaders963 Words   |  4 Pagesother rivalling nations. Moshe Dayan, who was called ‘a hero-tactician’ and was know for being an Israeli military leader and politician, was able to provoke Egypt into a war he knew they were not prepared for. He was able to come up with cunning schemes that outsmarted the Arabs. The 6-day war is also one of many Israeli victories as the strategies used were able to destroy Egyptian, Syrian and Jordanian air force in just the first four hours of the Israeli take off on the 5th of June 1967. This consequentlyRead MoreThe Civil War : A Central Event Of America s Historical Consciousness Essay1412 Words   |  6 PagesCivil War Professor Lenza Zachary Blaisdell 12/6/16 â€Æ' The Civil War is a central event of America s historical consciousness. Whereas the revolution from 1776 to 1783 created the United States, it was decided what kind of country it will be after the civil war. This war solved the two fundamental problems that were not solved by the revolution: whether the United States is an indivisible state of a union of sovereign countries or a state sovereign state. Northern victory in the war abolishedRead MoreCauses Of The American Revolution1644 Words   |  7 Pagesbattles of the Revolutionary war. When the continental congress met up again the decided to form a continental army with George Washington as it s commander in chief. There was now a full sclae war between rebel colonists and the British government. The American Revolutionary war was a crucial part in the shaping of America. The colonists protest against the british started out small but eventually worked up to a full scale war. On June 17, 1775 the first official war of the American revolution isRead MoreComparisons between the Russo-Georgian War and the Ukrainian Crisis1272 Words   |  6 PagesWest versus East, the age-old battle of capitalism in opposition to communism, was the underlying factor of the 2008 Russo-Georgian War. After the break-up of the Soviet Union, many former Russian controlled territories created their own countries and governments mirroring that of Russia’s. As the years passed, these countries are now finding themselves pulled between their historical Russian ties and European opportunities. This split had caused a lot of uproar in these countries on their futureRead MoreEssay about Was Truman Responsible for the Cold War?1318 Words   |  6 Pages â€Å"Was Truman Responsible for the Cold War†, well, according to author Arnold A. Offner, his simplistic answer is an obvious â€Å"yes.† â€Å"Taking Sides† is a controversial aspect of the authorâ€⠄¢s interpretation for justifying his position and perception of â€Å"Truman’s† actions. This political approach is situated around the â€Å"Cold War† era in which the author scrutinizes, delineates, and ridicules his opponents by claiming â€Å"I have an ace in the hole and one showing† (SoRelle 313). Both authors provide theRead MoreAnalysis Of Sophocles Antigone, Creon, The King Of Thebes1280 Words   |  6 Pagessymbolic victory against the Russian team during the Cold War. In this movie, the writer s political beliefs can be drawn from the coach s pregame speech, â€Å"Tonight, we are the greatest hockey team in the world.† He continues to say, â€Å"This is your time. Their time is done. It s over. I m sick and tired of hearing about what a great hockey team the Soviets have† (Guggenheim). His speech alludes to the building competition between Communist Russia and America during the Cold War, claiming that democracyRead MoreThe Cold War Between The Soviet Union And The United States1252 Words   |  6 PagesAfter World War II, the practices of Communism, a political ideology, quickly spread from the Soviet Union to other countries in the Eastern Hemisphere. The United States, a country that practices democracy, avidly made it known to other nations that it opposed communist practices. In response to the rapid number of nations that were beginning to practice it, the United States set a goal to limit the amount of nations that practiced it. A poorly planned invasion by the United States on Cuba andRead MoreA New Cold Word Order1443 Words   |  6 PagesNew Cold Word Order Nowadays we face really serious dilemmas within the decision-making policies, which bring us in an unsuccessful global political situation. The conflicts in Middle East are getting worst everyday, which infects Middle East Countries and Europe itself. Someone may ask the question, which is the source of this big old Middle Eastern conflict, and we still don’t know the answer. Is it the failing of the International institutions that have been in place right after the Cold War endRead MorePost World War II: Hungarian ´s Goal to Achieve Freedom from the Communists890 Words   |  4 PagesPost World War II, Hungary represented most factors of the post-war destruction in Europe. Soon after, the U.S.S.R. liberated many countries, including this one. Much of Europe, once occupied by Nazi Germany, became dominated by Communist Russia and those who fought back were crushed under the iron rule of Joseph Stalin. In February 1943 he assisted budding communist, Matyas Rakosi, in turni ng Hungary into a Socialist Republic. After Stalin passed away, Eastern European countries made strong efforts

Essay On The Story Of Chapter 1 - 880 Words

â€Å" Oh hurry hurry she is on the beach now, and you still must do your hair. Hurry up, hurry up.† exclaimed Mrs. Beaver. The Queen had finally made it out of her room and Mrs. Beaver had borrowed the Queen brush and had groomed her fur so she looks nice, not like Ilsa’s lunch. As Ilsa walked through the doorway she said in a silky smooth voice â€Å" Your Highness. I have carried very grave news all the way here to you.† â€Å" Oh what!?† the queen exclaimed â€Å" The South Kingdom is planning an attack on you.† â€Å" GRIF! Get the troops ready for battle! I want giants, centaurs, animals, dwarfs, and the trees ready for battle for when the South battle troops come. They will have nightmares for the rest of their days after this battle they planned.† â€Å" Yes†¦show more content†¦Would you like to have a ocean view or a forest view?† â€Å" A room that is near the door and with a forest view so I can watch the forest for any sign of disturbance throughout the night.† replied Ilsa. So the Queen Kayley had plans made for Ilsa to stay at the castle. The Queen also had extra guards around the castle so at least they had time to fend off the intruders before reinforcements came to help. So the Queen finally feel asleep knowing she was safe because the great white tiger was there to help. It was clear to the Queen that when she woke up she needed to set more laws and make a peace treaty to sign with the South. So she got up and dressed in a pale pink dress that dragged out behind her, but under she was wearing the fuzzy pink unicorn slippers that Lauren a little village girl had given her for her birthday. She also had a fox pair a bunny pair a griffin pair. The fox and bunny pair were from Miss Fox but the griffin pair was from Grif. Of course nobody knew about the slippers that she sometimes wore under her dress except Miss. Fox, Sally, Grif, and her. So as she entered her private study she got her pen and paper and began to write a few laws, and a couple of them were no illegal trade such as trading almost extinct animals and stealing for there will be a punishment if any laws including old are broken. She wrote more but she decided it was time to stop because if she had too many laws the Queen knew she would beShow MoreRelatedEssay On The Story Of Chapter 11486 Words   |  6 PagesShe was intent on her path and hadn’t seen him. Hans pulled back into the side of the cliff wall where the tunnel to the Great Hall had been laid open. He timed his entrance back into the caverns with the shutting-off of his shield and prepared to assault the woman by hand. He’d not risk an exchange of null energy, but the risk of hand-to-hand was certainly just as fatal. He’d have one chance at landing a single blow to take her alive. If she made it past him and deeper into the complex, she wouldRead MoreEssay On The Story Chapter 11068 Words   |  5 PagesEntering Mace’s tent, Alayna found her lord brother and betrothed seated at the table they’d brought with them from Highgarden sharing a decanter of wine. Both men stood when they took note of her presence and Jon pulled out the empty chair beside him for her to take. However, Alayna pulled out her own seat across from the knight and poured herself a chalice of rich Arbor Gold as she sat. â€Å"Brother. Jon.† She greeted them, cooly, keeping her tone clear and even as she made eye contact with both menRead MoreEssay On The Story Chapter 1753 Words   |  4 PagesSince Kieran grew up in Tint City, he knows full well that nothing in life is ever easy nor free. So as he looks at Aden suspiciously, he carefully asks, â€Å"what is it?† Aden stands up then walks to him and towers over his 5’11† frame and smirks as he says, â€Å"sell yourself to me.† Kieran immediately backs away from him and looks at him with a disbelief and shocked expression. Aden continues to smirk at Kieran and casually says,â€Å"If you don’t want too. Then pay me back right now. or†¦. † he looks at AyannaRead MoreEssay On The Story Of Chapter 11063 Words   |  5 PagesHow could this have happened! shouted Fury. Tony, Natasha, Steve and Bruce were all sitting around a long table in a debrief room. Tony looked at his watch and... yep, they had lost more than half an hour only getting shouted at. How could two perfectly trained agents, a supersoldier, a rage monster, a super genius in a metal suit and a God not only fail in getting the brother of said God into custody, but also lose two of their members to him? All that in only the few days I was gone. TonyRead MoreEssay On The Story Chapter 12147 Words   |  9 Pagesgood reason. They know I was the cause. Or think they know. If you believe all they say, you’re a fool. â€Å"You want to know how I came to be what I am. Very well. Listen. See me now.† Enoch listened. And as she spoke, the first wizard to hear her story grew cold inside.Read MoreEssay On The Story Of Chapter 11242 Words   |  5 PagesDarrick treated the couple injuries he had that needed it and was packing the things back in the medkit. Mason refused to talk to any of us. Darrick thanked us for them both, then noticed that Jazen wasn’t around. â€Å"Where’s Jazen?† Darrick asked. â€Å"He’ll meet with us in a while. He wanted to make sure the Stormtroopers didn’t follow us, so he lead them off somewhere,† Hera answered. â€Å"By himself? Well, that’s normal†¦ at least he isn’t hurt this time.† â€Å"Actually†¦ He kind of is,† I responded. â€Å"He hadRead MoreEssay On The Story Chapter 11231 Words   |  5 PagesFollowing from the garage through a small mudroom to the kitchen, Ranger was able to get a better look at the home. The interior of Jessie’s house was furnished from top to bottom. Glancing around Ranger figured that this was once the show home for the community’s Realtor as there were just too many things in the perfect place. The kitchen was a bit different. It was appointed with all of the latest and best appliances, beautiful counter tops and dark wood cabinets. It would have been beautiful ifRead MoreEssay On The Story Of Chapter 11494 Words   |  6 Pagesâ€Å"I don’t know how much longer I can hold out against these guys!† Alec exclaimed as he fired another arrow at an oncoming circle member. â€Å"Stay close to me and you’ll be fine† Magnus replied, finishing off the circle member who had an arrow sticking out of their chest. It had been a peaceful afternoon for Magnus and Alec, the two of them had been relaxing at Magnus’ loft when he received a fire message. Valentine had attacked a patrol downtown and major backup was needed, all available hands wereRead MoreEssay On The Story Chapter 1811 Words   |  4 PagesUryu was surprised that he was able to breathe given the tense air between him and his father as they descended the stairs. After agreeing to Ryuken’s terms Uryu was told to return the following afternoon to begin training. The older man did not elaborate on what the training would entail and Uryu hadn’t expected him to, Ryuken always did the bare minimum when it came to doing anything for his son. Throughout the whole school day Uryu’s mind couldn’t stop wandering and speculating over what wasRead MoreEssay On The Story Of Chapter 11033 Words   |  5 PagesHAWKE! Isabela shouted while dashing into her who fell after being knocked down. You fucking, bloody idiot. Securing her in arms; However, the blood descending from the left temple through her face makes she feels a cold at the back of the spine. What in makers name happened, Aveline hastily came nearby seeing the fainted mage on Isabelas arm. This fucking idiot. For some reason jumped to take a hit from that spear, Isabela takes her face looking at the unresponsive Hawke, the damage looks

What is foreign Direct Investment Free Essays

string(65) " establish an importer in the foreign country as well as agents\." In their book ‘Foreign Direct Investment and Regional Economy’, Jonathan Jones and Wren Colin argue that foreign direct investment (FDI) is the process where firms or individuals provides capital to an already existing firm or to a newly created firm in another country. Jones J and Wren C (2006, 7). A multinational enterprise (MNE) is the name given to firms who have establishments in more than one country. We will write a custom essay sample on What is foreign Direct Investment? or any similar topic only for you Order Now The Organization for Economic Cooperation and Development (OCED) defined FDI as ‘investment that adds to, deducts from or acquires a lasting interest in an enterprise operating in an economy’. Jones J and Wren C (2006, 8). The foreign investor has a considerable influence in the management. In the wake of globalization the role of FDI’s cannot be underscored in propelling economic growth across the globe. It is estimated that the global inflows from private FDI’s rose from $159 billion in 1991 to a tune of $1. 1 trillion in a decade’s time. The success of any MNE’s will be affected by the approach that the firm uses entering a market. MNE’s must consequently be very keen before making the final decision of which entry method to apply. This paper will focus on elaborating what FDI is as well as highlighting why it is preferred to licensing, exporting or franchising. History has it that initially MNE’s were treated with much suspicion on the basis that probably they were only out to exploit the 3rd world nations but with time countries become most receptive probably due to the benefits accrued. Bora B (2002, 1). The success of any firm or MNE in FDI largely depends on various factors like the degree of competition in the host country. Competition is of much essence as it determines the rate at which the firms are to manipulate their productivity levels, introduce other new production possibilities and consequently create positive spill over effects or externalities on the host countries. Whether the overall effects of FDI are positive or negative remains a highly debatable issue that also depends on whose point of view is being considered. FDI’s have a significant effect on the balance of trade. It is mostly associated with the transfer or export of jobs and some countries may cite ‘brain drain’ as a problem created by FDI. The host country on the other hand might argue that the MNE in question is not to its advantage when it imports labor. FDI’s could be blamed for killing domestic industries especially in cases where MNE’s are able to produce at a lower cost of production and hence produce cheaper and quality products at a lower price than is being offered by the domestic industries. Bora B (2002, 1). However, cases where FDI produces products that are not produced by the host country, then this is to the host country’s advantage. FDI is a very important source of capital as well as the technological know-how or knowledge in various productions. Intellectual property rights (IPRs) are vital in influencing or rather determining if a firm is to invest in another country through FDI. Countries with weak protection discourage MNE’s from investing. Bora B (2002, 197). IPR’s are a significant component of the regulatory system in any nation the same way taxes, regulations related to investment, trade policies as well as competition rules are. IPR’s are very essential especially for firms that deal with ‘knowledge based assets’. Countries with weal IPR’s would discourage foreign investors as there are high chances of imitation to counter the MNE’s goods. Strong IPRS could be in the form of patents, copyrights, trade brands or even trademarks. Imitation has a negative effect on the MNE’s as it reduces the market size. Strong IPR’s gives MNE’s a ‘monopoly’ advantage in the market which they can use to increase their profitability levels. Other factors that make foreign firms consider FDI includes the transportation costs incurred. If a foreign firm estimates that the transportation cost would be too high when it exports her products, the FDI could be the better choice. High trade costs also encourage firms or MNE’s to enter foreign countries through FDI. A country where there is a relatively high productivity relative to the labor costs would also be more attractive for firms considering FDI. Low fixed costs of establishing plants are also an incentive to FDI. The major objective for the establishment of any firm is to make profits. Profit which is the difference between the total revenues and total costs will be reduced if costs are high. Firms with consequently try to opt for the options that minimize costs to increase their profits. Low cost of establishments will therefore translate to increased profitability levels. Bora B (2002, 198). The role of IPRS in influencing FDI decisions is however dependent on the kind of business in question. For the firms specializing in hard-to-imitate products the role of IPR’s is lower than for those whose products can be easily imitated. Easy to imitate firms could be those dealing with pharmaceuticals and software. Access to foreign markets could also be influenced by investment regulations where inefficient ones will discourage FDI while efficient ones will attract FDI. Limited rights of establishment will also hinder the market accessibility for MNE’s considering FDI. Trade controls in a nation affect the flow of money in the economy. If there’s limited flow of money in circulation then the demand for productions will be negatively affected. Accessibility to credit has a positive effect on the demand thus triggering increased production. Strict controls on the production as well as on marketing can also influence FDI’s in a country. Countries that control the amount of output or the raw materials to use may affect MNE’s decision of whether to enter a market through FDI. Arbitrary taxes are a disincentive to FDI and so are licensing restrictions. Bora B (2002, 202) When foreign companies use the ‘export’ approach to attain market access in a certain country, it means that they will have to establish an importer in the foreign country as well as agents. You read "What is foreign Direct Investment?" in category "Papers" It could also establish a sales subsidiary in having its goods or services in the market. Licensing on the other hand entails the selection of whether one is to contract a foreign firm to produce for it its products and also carry out the marketing or a firm could also opt for franchising. Wertz B and Wensley R (2002, 458). The need to increase or rather widen their profit levels, seek growth opportunities as well as diversifying risks is what triggers MNE’s to invest in foreign markets. Comparative advantage plays an important role in influencing if firms are to engage in business. Before firms can make concrete decisions about foreign investment they must carry out effective market research regarding the country in question. The quality of infrastructure in the host country also affects the decision of how to gain the market entry. Other important questions a firm should try to answer include whether there are available raw materials as well as energy which would affect the costs of production. Mc Donald et al (2002, 244). The major forms of FDI are joint ventures and wholly owned subsidiaries. Joint ventures entails the partnership of 2 or more independent firms form a partnership and share resources in the operation of FDI. They could be contractual or equity joint ventures. Using the licensing approach in gaining access to a market involves or rather is characterized by some advantages. It has reduced risks regarding the loss of proprietary knowledge. It allows the firms to have strategic flexibility as it is associated with minimal controls and above all it applies lower amounts of resources as compared to FDI McDonald et al (2002, 229). Environmental factors also have a role to play in influencing firm’s decision regarding which approach to use gaining access in the market. Such factors include the risks in that country, competitive conditions and familiarity with the location. In countries with high risks MNE’s may consider licensing to FDI and the reverse is true. Other factors that may favor licensing include high cultural difference between the host and the home or source country and a declining market demand. In cases where competition is subject to rapid technological as well as regulatory changes, firms may also consider licensing to other approaches of accessing or entering markets. Firms dealing with research and development (RD) intensive ventures will not opt for licensing. Those in areas where there’s homogenous competition conditions as well as demand would least opt for licensing. Licensing would also not be considered in the face of rapid technological change, in countries with deregulation as well as those with political and cultural barriers. Licensing would only be considered when the level of technological process if not complex, where there are harsh environmental conditions and hence it would not be profitable for the firms. It can also be applied in cases of unstable demand. International franchising refers to a situation where a parent company offers or rather grants other companies the right of use to its products, services, trade marks or brand names but in a prescribed manner. In return the mother or parent company gains profits which could be in a lump sum and continued or ongoing fees. Independent firms could be given the mandate to control the franchise or the franchisor could take an equity share where they could have its own managers head some of the outlets. The franchisor could offer knowledge about the business in question, offer marketing support and local exclusivity. They could also offer the firms manuals on how to operate, and continued training. The franchisee must however comply with the franchisor’s set standards and regulations so as not to tarnish its name through poor quality production. The ongoing fees are usually a certain percentage of the total sales made by the franchisee. There are 2 types of franchising. First generation franchising includes those between manufacturers and retailers as well as between wholesalers and retailers. Franchising could be by a trade name or trade mark which is also referred to as second generation franchising or business franchising. Franchising is applicable to both small as well as large firms and favored in cases where the cost of monitoring the managers as well as other employees is high overseas. The major difference between licensing and franchising is that the former receives a ‘proportion’ of the business while the latter attains all there is necessary for the successful running of the business. Licensing ensures limited control over the process of running a business unlike franchising. Selection is also different for licensing and franchising where licensing are self-selective as franchisee are selected the parent company or firm. Licensing is done on already well established firms contrast to franchising which could be on start-up firms (McDonald et al (2002, 233). Parent companies have zero equity in licensing unlike in franchising. Whether a firm is to use exporting as a way of entering a market largely depends on the prevailing trade environment, costs of transportation, risks related foreign exchange as well as threats of non-payment. (McDonald et al (2002, 234). The use of licensing as a market entry strategy is criticized on the grounds that the parent company or firms could be creating its own competitor. However it reduces the political based risks as it is 100% owned by the locals. It’s therefore a best solution or approach for new firms in the market. Licensing earns the firms a minimal income compared to FDI entry. The role of the local government in influencing the kind of entry a foreign company takes is very significant. Countries could treat different entries differently thus encouraging some while discouraging others. Firms may opt for FDI in stable and well established economies as then their costs of operation are likely to be relatively low compared to unstable economies. It is also easier to predict demand in such economies and they can easily make long term decisions unlike in cases of unstable economies. MNE’s with the objective of pursuing a global strategy would favor FDI where they have full control over the running of their firms. The prevailing conditions of a host infrastructure also affect the entry mode. This is because it has a significant influence on the costs incurred thus influencing the MNE’s profitability levels. Factors determining the mode of entry could be social, economical, political or industry specific factors. In their book, ‘International trade’ Luis and Oliva noted that there are two forms of FDI that is the vertical as well as the horizontal FDI. Horizontal FDI is when companies manufacture similar products or services in varying countries while vertical FDI is when firms carry out different stages of production process in various or different countries. Rivera-Batiz L and Oliva M. (2003, 165). FDI is favored over exportation when there are location advantages that significantly lower the trade costs to the target market. Some countries attract FDI through the application of tax breeds. MNE’s will therefore be influenced by such incentives before deciding the entry mode to adopt. Firms will prefer FDI to licensing where ‘arms’ length relationship are very complex or when the agency costs involved are too high. Firms will tend to shy away from licensing when there are unclear or complex contracts that are not specified. If the costs incurred for enforcing the licensing contracts are very high to an extent that is unprofitable for the MNE’s then, FDI is preferred Rivera-Batiz L and Oliva M. (2003, 178). When there are high chances of the host country accessing the technology and knowledge to produce similar products, then the use of licensing must be reconsidered. High competitiveness in the local market can see the competitors offer cheaper but low quality goods to raise the demand. Strong IPR’s can favor FDI to exportation. FDI is beneficial to the host country in the sense that it brings about superior technology that ensures cheaper production of quality goods and services. However the benefits will depend on whether the technology has some positive externalities to the host country or not. Since FDI create competition the positive effects of competition like lowered prices and quality production are ensured. FDI is also associated with positive effects on a country’s investment and exports as well as reducing the foreign exchange gap. How to cite What is foreign Direct Investment?, Papers

Contract Law Community Legislation and Actions

Question: Describe about the legal issues of Florence Treasures it has been found that the trader will face legal issue in future specially in case of intrastate trade which the trader is dealing with the suppliers of Russia? Answer: Introduction The present memorandum of advice (MOA) is framed to instruct Florence Treasures Ltd regarding import laws and International trade Regulations of UK. Florence Treasures Ltd imports jewellery products from countries like Latvia, Lithuania and Russia. As per the Import Law, under the International Trade Law, for products manufactured outside EU and commercially imported into UK should undergo Customs clearance procedures. Thus, the MOA will deal with the ascertainment of the necessity of Import regulations within the contracts with the suppliers (Crawford, 2012). Further, the MOA will also assess the necessity of the legal legislations with regard to purchase of furniture for the London residence from Spain. Florence Treasures Ltd has also entered into a house extension agreement with a Poland based company for extension of the UK residence. Thus, the MOA here targets the necessity of the legislations concerning the Import law, trade law and the house property law in case of any dispute arising within the contract. Summary of advice Florence Treasures Ltd generally imports jewellery goods from three major countries namely Latvia, Lithuania and Russia. In case of any import disputes, resulting between Florence Treasures and the suppliers of these countries relevant legislative norms should be included in the import contract to help Florence Treasures seek legal advice. In this regard, Florence Treasures will be required to frame a legal contract with the suppliers in Russia because as per the International Trade Laws, for trade with any countries outside European Union, the imported products are required to undergo customs clearance process. Thus, if the clearance certificate is not included along with the products imported from Russia, Florence will be legally breaching the International law of Trade (Delfino, 2012). Further, in case of internal trading between the EU countries like Latvia and Lithuania with Florence Treasures, the norms of internal goods dispatch will be applicable. In case of the internal dispatch, the VAT rates will only be applicable. Similarly, in case of the purchase of furniture and house renovation agreement between Florence and Poland Company, the agreement should contain the VAT registration number of the company and provide details on Interstate returns. In this regard, it may be advised that the suppliers of Latvia and Lithuania along with the companies of Spain and Poland are liable to show their return under the Interstate returns. In case if the export arrivals of Florence Treasures exceeds 1.5 million then Florence Treasures will also face legal obligation for not showing the interstate returns and the VAT rate applicability. In assessment of the effect of Import laws and VAT laws within the contract with the suppliers it may be recommended that the import laws may offer restrictions on quantity, impose duties and increase the price of the goods making the jewellery products costlier for Florence Treasures. However, the imposition of the contracts and agreements along with the import laws will not hamper the trading relations between Florence and its suppliers (Hogan, 2011). Cause of action/offences In case of Florence Treasures, interstate trade is taking place between the EU countries namely UK, Latvia and Lithuania. Intrastate trade is taking place between Russia and UK. In case of trade between the interstate countries, Florence is liable to pay VAT on the total purchase (Huberman, 2012). However, since Florence treasures have no legal import contract with the suppliers thus it is uncertain whether the company is a VAT registered company or not. As per the Value added Tax Act, the VAT registration is voluntary and will give the business the opportunity to cover the input tax credit. However, in thus case since Florence Treasures are not registered under the VAT hence the company will not be able to recover the input tax credit. Further, even if the company is registered under the VAT legislations, then as per section 72 (1) of the Value Added Tax act, the evasion of the VAT will be considered as a criminal offense on the part of the company. The owner of Florence Treasures w ill also be convicted to 6 months of imprisonment and monetary fine as a part of the penalty(Calley, 2012). In case of the Russian supplier, Florence Treasures are required to make payment on custom duties and import duties. As per the Customs Civil Evasion Penalty (CCEPs), the EU companies trading with any other company of other countries require to make customs and import duty payments. In this case since Florence Treasures have no legal contract with the Russian suppliers hence the y may face issues relating to non-payment of import duties and custom duties with respect to the import of the jewellery product from Russia. As per the Finance Act 2003, in future circumstances, this may pose as a problem for Florence Treasures and they may be penalised (Chen-Wishart, 2012). In third case, Florence has given a house construction project to a Poland based company for the extension of a UK based house. In case of the extension project the absence of a valid contract between the builder and the owner may put the owner under several future threats. For instance, in this case, the Poland builder may delay the completion time of the construction, the construction may not be in accordance to the provided details or the builder may cheat on the owner. Thus, Florence Treasures is required to maintain a Joint Contracts Tribunal (JCT) with the proposed builder, which will set the legal guidelines and will protect Florence, from any future mishaps from the builder. Defences According to Butler, (2012) in a civil or criminal law, it is a common act for the defendant to raise a defence and find a loop hole within the law in order to avoid criminal or civil liability. The defendants generally avoid the criminal or the civil liability and make allegations against the prosecutor or the plaintiff to prove their innocence. In certain circumstances, it is acceptable on the part of the law that the defences are true. Thus to prove the innocence, the defendant must show burden of proof. Two major customs penalties operate under the civil law namely the Customs civil penalties and the Customs Civil Evasion Penalties. Florence Treasures have not entered into any contract thus; the trader will be legally liable for the penalties under the civil law and non-payment of customs duty. As per the Finance Act 1996, if the trader imports restricted goods like the jewelleries without the any legal documentation, the importation of the prohibited goods will be dealt as a cri minal offence and no defence in this regard will be available. Moreover, the HMRC will charge interest if the customs duty are not paid within the due date. Section 197 of Finance Act 1996, states that the HMRC officers may issue penalties to the traders like ceasing of the goods of the traders for the regulatory contraventions (James, 2010) However, in this regard, there is a defence for the trader, if the trader has paid the customs and the excise duty, then the trader is entitled to reclaim the seized goods. Thus, if Florence Treasures is able to make payment of the customs and the excise after entering into a valid contract with the suppliers of Russia, Latvia and Lithuania, then the trader may reclaim the goods (Jeongpyo Lee, 2012). Remedies Two major issues have been highlighted for Florence Treasures. Firstly, the non-payment of the customs and the excise duty for the interstate and intrastate trade with the different suppliers, and, secondly, the issue of non-existence of any contract between house builder and Florence. As per the legal legislations of International Trade law and JCT, Florence Treasures are entitled to certain remedies, which they can adopt before the issues arise (Kerr and Gaisford, 2007). In the first case, since Florence Treasures is a jeweller, hence the trader is supposed to know about the International trade laws that affect the traders, suppliers and the customers. In case of Trading with the customers, the jewellers in UK are required to abide by the Hallmark Act 1973, which provides details on law covering the hallmarking and describing of articles specially the jewellery items. The approval of the Hallmarks provide the customers with the assurance that the material sold by the jewellers are free from any defects and have correct values and weights (Koch, 2010). Import restrictions are generally either product-specific or trade specific. Some of the products are subject to product specific standards and needs to be supported by applicable certificates and documents. Thus, if Florence Treasures adopts the import duties and the tariffs then the trader will be able to trade legally with the interstate and the intrastate suppliers (Boeckman, Greenwald and Von Bisma rck, 2013). In the second case, entering into a JCT contract will give Florence the benefit of making legal claim if the builder is in breach of the contract. However, as per the JCT contract, the homeowner should first check whether the builder is in breach of the contract or not. Secondly, the homeowner should check which of the contract terms have been breached. For instance, if the delay in the construction or the extension has occurred due to the weather conditions of due to any other natural occurrences, then the blame should not be given on the builder and the contract is not seen to be breached (Koch, 2010). However, if the JCT contract does not show the specific issues relating to the breach then the homeowner can implement the following steps namely: The homeowner can pay the builder the value of the correctly executed work and decline from making payment of any non-specified work (Lakhan and Heiss, 2010) The homeowner can also give the builder the opportunity to make this correct and right If the builder is not able to meet the requirements of the homeowner within a reasonable period, then the homeowner can opt for employment of a replacement builder to change the defects ad may appoint the first builder to pay the costs of the replacement builder Moreover, with the help of a JCT contract, the homeowner and the build both will have a proceeding guideline regarding the legal legislations concerning the building extensions and construction methods. In case of Florence, since the trader is employing a builder residing at Poland for extending the house property in London, hence it is highly recommended for Florence to frame a legal JCT contract. Bix, (2012) stated that under a JCT contract the customer pays the builder 95% of the price of the construction work either in instalments during the tenure of the construction work or at the end when the construction process is completed. Thus, this contract gives the owner the opportunity of making the payment after being satisfied with the completed job. If the job is not completed then the owner may not make any payment or in case of instalments, the owner can stop the instalment at the position when the owner finds that the construction is not satisfactory in nature (Lessambo, 2013). Advice on specific issues of law The MOA focuses on advising the client on the legislations of the import laws, construction laws and the trade laws so that the client may not face any legal dispute with respect to the absence of any particular legal contracts (Zimmermann, 2012). As per the International Trade laws, if the trader or the consumer is able to bring any goods from outside the country for own personal use then the trader will not be required to pay any customs or import tax on the goods. The unlimited amount of goods can be imported from any EU countries if the goods are imported for personal use. Hence, in this case, Florence Treasures can effectively import goods from Spain, Latvia and Lithuania if the goods are brought in for personal use (MacLeod, 2010). However, in the given case Florence Treasures have imported the following goods for the following purpose namely: Necklaces and rings from the Latvia, Russia and Lithuania suppliers for shop selling purpose Display cabinet for keeping the jewellery in the shop from Spain Chairs and Furniture from Spain for office use Thus, in this case Florence Treasures have brought in all the items for trading purpose, which shows that the major focus of Florence Treasures was to gain profit out of the business operations (Michaels, 2012). Thus, Florence Treasures cannot claim the non-payment of the customs and the import duties. Again, in case of importing goods from outside EU, the major focus should be on bringing the goods at least possible cost. In certain cases the duty free import is possible if the goods are brought from outside EU, that is form the countries, which are not a part of the EU. The following are the circumstances under which the goods can be made duty free: The trader should transport the goods, which are brought in from the countries, which are outside EU If the goods are used by the trader for own continence or if the goods are used as gift to begiven to some other individual (Moloney, 2010) As per the International Trade Law, the customs for the goods, which are brought externally from different parts of other countries apart from the EU members, is around 2.5%. Thus if the customs duty is not paid for the trading goods then the trader may be required to undergo the civil as well as the criminal penalty charges (Zimmermann, 2012). In the given case, it is thus advisable for Florence Treasures to at least incorporate a trade contract with the suppliers in Russia because the import of the jewellery form Russia include importing of goods from countries outside EU. Thus, if no legal contract is prevalent then the profit earned by Florence Treasures by selling of the jewellery items will be penalised and the trader will have to serve civil and criminal penalties (Stone, 2013). Thus, in order to avoid the civil and the criminal penalties, it is advisable that the trader should make the payment of 2.5% customs on the jewellery goods brought in from Russia. In this regard, it m ay be stated that apart from the customs, the traders are also required to make a payment of the import VAT. Ayres and Ayres, (2012) stated that an import VAT will be paid by the trader on the total value of the goods plus the customs duty which has been allocated for the goods. The standard VAT rate for all types of goods and services including the jewellery items are 20% in UK. Previously the VAT rate was 17.5% however, with the large increase in the import levels the VAT rate increased to 20%. Thus, in this case, for the jewellery pieces that Florence will import from Russia, the trader will need to pay both customs @ 2.5% and VAT on the overall value of the product plus the total customs @ 20%. This will thus create a big burden on the trader if all customs and the VAT is paid together at the same time (Suharnoko, 2012). Procedural and evidential issues The procedural evidence shows that the traders are required to pay penalties in various cases when the trader does not pay the custom duties and the excise duties. The non-payment of the VAT @ 20% makes the trader loose the ownership over the goods. However, under other circumstances if the goods are seized by the trading department then the trader should pay off the outstanding duties and the VAT amount so that the goods can be retrieved from the trading department (Trebilcock, Howse and Eliason, 2012). Evidences of construction faults are also seen in case of the various construction issues. In 90% of the construction cases, the early payment system to the construction builders creates problem for the owner of the house. Some of the major problems, which the owners face, are the delay in the construction process due to the natural disasters and lack of sufficient labours. Thus, in this case of Florence Treasures have the JCT contract then the trader will be able to resolve the issu es and make monthly instalment payments as and when the construction is completed. Conclusion The overall analysis of the legal issues of Florence Treasures it has been found that the trader will face legal issue in future specially in case of intrastate trade which the trader is dealing with the suppliers of Russia. In case of the construction process, which the trader will undertake specially from the builders in Poland, the trader can further face the issue of not getting satisfactory results. The major aim of the memorandum of Advice is to provide the client with the necessary advice on the different aspects of legal legislations that the client may face in future. Thus, in this case since the client is facing uncertainty and thus the client has focused on legal advice. Thus, in this regard the major advice that can be given to the client is that the client should enter into a valid contract with the suppliers in Russia, Latvia and Lithuania. The major focus of the client should be on the calculations of the primary customs and the excise duties that are required to be pa id in case of interstate and intrastate trading relations. In the second issue, the MOA will highlight the issue that the trader may face in future concerning the construction issues with the builder in Poland. If the builder is not able to complete the work within the scheduled period or the builder is not able to produce a satisfactory work process then the trader will have no option of any further amendments since there are no valid contracts. Thus, the trader should enter into a JCT contract with the builder in Poland so that the construction process is completed successfully. Thus, the overall MOA shows the issues, the defences that are possible if the issues arise and the possible legislations that should be undertaken by the trader so that legal issues can be resolved. References Ayres, I. and Ayres, I. (2012).Studies in contract law. New York: Foundation Press. Bix, B. (2012).Contract law. Cambridge [UK]: Cambridge University Press. Boeckman, P., Greenwald, D. and Von Bismarck, N. (2013).Twelfth annual institute on securities regulation in Europe. New York, NY: Practising Law Institute. Butler, D. (2012).Contract law. Chatswood, N.S.W.: LexisNexis Butterworths. Calley, D. 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