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Cross-Border Disputes and the Potential for Resolution via Mediation

By Paul Bent
June 29, 2005

The world is rapidly becoming a smaller place in which to do business. And as international borders and boundaries become less of a barrier to business, participants in equipment leasing and finance find their world getting smaller, as well. “Globalization” is now an accepted and well-understood concept in most industries and markets, and it is no longer limited to large multinational corporations or institutions. With suppliers, vendors, and customers in many countries on several continents, all linked through the omnipresent Web and Internet, even small, independent businesses may successfully operate across borders.

With the greater opportunities available in this shrinking business world come greater needs for cross-border and international financing. Companies based in the United States must find ways to acquire capital assets for their non-U.S. manufacturing facilities; they must finance the growth of international affiliates or subsidiaries; and, if their products are themselves long-term capital assets or equipment, they must have access to various forms of vendor or customer financing. As a result, there are increasing demands in leasing and corporate finance for cross-border transactions or deals involving non-U.S. jurisdictions.

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