Attorneys routinely assist clients in disputes with business entities; however, when the business entity involved is a foreign-based company or subsidiary, successfully resolving the dispute may be more complicated than you think.
Many foreign companies have offices and assets in the United States, but many do not have substantial US-based holdings (i.e. cash and other assets). When this occurs, American plaintiffs often have limited options.
Many US plaintiffs sue a foreign-based company in a United States court. If the plaintiff wins, there are legal safeguards to assist in collecting their judgment, but they are not always beneficial. Often, even after the plaintiff attempts to enforce the judgment under international treaties, the plaintiff is left empty-handed.
Before entering a substantial transaction or business relationship with a foreign entity, it can be beneficial to dutifully research whether the company is foreign-based and whether or not they have a substantial presence within the United States. This type of due diligence is especially important when conducting transactions on-line.
If you find yourself in a dispute with a foreign-based entity, it may be beneficial to consult a knowledgeable attorney dealing in litigation with foreign-based companies. They will be able to help you determine whether you have a high probability of collecting a judgment, should you be victorious in court.
The information in this blog post is not intended to serve as legal advice or as a guarantee, warranty, or prediction regarding the outcome of any legal matter. The information is subject to change and may be incomplete and/or contain errors. Do not rely on this information without consulting a qualified attorney to discuss the specific facts relating to your case.