The world of cross border issues

Common legal issues businesses face when expanding internationally 

1)  Regulatory and compliance issues : LOCAL BUSINESS LAWS :

Each country has their own laws governing business formation ,operation, licensing and permits This incudes regulations for specific industries 

2)  Data Protection and Privacy : 

Laws like GDPR (EUROPE) CCPA (California) and other world wide dictate how personal data must be collected stored processed and transferred across borders , non compliance lead to massive fines

3) Anti corruption and Anti bribery laws

 laws like the US FOREIGN CORRUPT PRACTICES ACT (FCPA) and the UK BRIBERY ACT have extra territorial reach meaning they can apply to your company’s conduct even in other countries

4) consumer protection laws 

Regulations vary regarding product liability ,warranties, advertising and consumer rights 

5) Environmental REGULATIONS:

Businesses must comply with local environmental standards which can differ significantly 

2) Corporate and Structural issues

Entity formation :

Deciding on the appropriate legal structure eg,; subsidiary, branch office ,joint venture ,representative office in the foreign country each with its own implications for liability taxations and operational flexibility 

Corporate governances

Adhering to local corporate governances rules board structures and shareholders right 

Mergers and Acquisitions 

If expanding through M&A navigating complex due diligence regulatory approvals and post merger integrations in a foreign legal landscape 

3) Contractual issues 

Choice of law and jurisdiction 

Determining which country’s laws will govern contracts and where disputes will be resolved (eg ; courts , arbitration) this is critical for enforceability

Language and interpretation 

This is very interesting issue that come in countries

Ensuring accurate translation and legal interpretation of contracts as nuances in languages can significantly alter meaning 

Cross border agreements

Drafting and negotiating  contracts with foreign partners suppliers employees and customers considering local legal requirements and cultural practices 

(4)  Intellectual Property issues

Registration and Protection 

Safeguarding trademarks patents copy rights and trade secrets in each target country as IP rights are territorial 

Enforcement 

Developing strategies to enforce IP rights against infringement counterfeiting and piracy in different jurisdiction 

Licensing and technology transfer

Legal complexities involved in licensing IP or transferring technology across borders

 5) Employment and labour laws issues

Hiring and firing : 

Compliances of local labour laws regarding employment contracts wages working hours benefits termination procedures and severances

Employee relations

Understanding collective bargaining rights trade union regulations and workplace safety  standards

Immigration  and visas

Ensuring compliances with immigration laws for expatriate employees

(6) Taxation issues

International tax laws 

Navigating  complex international tax regulations including corporate income tax withholding tax  GST 

/ VAT and custom duties

Tax treaties

Understanding double taxation avoidance agreements between countries countries to minimize tax liability 

Transfer pricing 

Ensuring compliance with rules governing pricing of transactions between related entities in different countries 

7) Dispute resolution 

Litigation:- Understanding the local court system and litigation process which can be vastly different and time consuming 

Arbitration and Mediation 

Exploring alternative dispute resolution mechanism like international arbitration often preferred for its neutrality and enforceability across borders 

Acquittal cases in Ni Act

 Material alteration in cheque appeared from naked eyes resulted in acquittal 2011-Kant LJ -6-476 case title MB Rajasekhar v Savithramma 

Cheque duly signed and voluntarily made over to payee was in discharge of debt or liability arises and it is immaterial that cheque was post dated or blank cheque for filling by payer or any other person unless there is an evidence of undue influence or coercion , case reported in (2021 )  5 SCC 283 title Kalamani Tex and another v/sP Balasubramanian May be referred to

Cheque issued for an existing debt   The drawer cannot issue instruction to bank for stop payment not his liability be absolved by giving a notice to the payee not to present the cheque  case reffrrrd to AIR 1998 sc 1056  Modi cements limited v a Kuchil kumar Nandi 

Complainant has to show to the court that he had capacity to lend huge  amount to the accused (  2019) 15 SCC 550

Returning of cheque unpaid due to closer of account amounts to offence , if the cheque given long back sec 138 not attracted when cheque was post dated (2008 ) 1 SCC 689 title Subodhji S Salaskar v/s  Jaiprakash M shah 

When account was closed not on the intimation given by the accused to Bank but  closed as per rules of the bank , acquittal case reported 2008 (1) crimes 167!Kar Nagaraja Upadhyay’s v/s Sanjeevan 

Where the cheque is returned by the bank for want of full signature, no offence Vinod Tannu v Zaheer Siddiqui( 2002 ) 7 SCC 541

If the cheque to be signed by two persons but signed by one no offence made out Masistrate can not take cognisance , 

Sec 139 NI Act the burden is on the accused to rebut the presumption , to say the complainant Had no source of income to lend huge amount 2015) 1 SCC 99

In  case of signed blank cheque if the drawee dishonestly fills up any excess amount drawer has no obligation to

List of cases where Court acquitted as per facts of case 

1) kumar Exports v Sharma carpets (2009)

2)Basalingappa v/s Mudibasappa (2019)

(3)  Girish kumar suneja v/s CBI  (2017)

(4) Dasrath Rupsingh Rathod v/s state of Maharashtra 

(5)Krishna Janardan Bhat v/sDattatraya G. Hegde (2008)

(6) M/s Gimpex Private Limited v/sManoj Goel  2024 SCC on line Supreme Court 123 Feb 2024 

Grounds of Defense /Acquittal 

1)No legally recoverable debt 

(2)Notice not properly served

(3)Delay in filing complaint 

(4) Material alteration in cheque 

(5)  full payment made before complaint 

(6) Part payment made but it accordance to sec 56 of NIAct no endorsement of payment upon cheque 

7) cheque was given for security and part payment was made thereafter , to give notice of whole amount was not legally enforceable debt 

The burden lies upon the accused to ask question in cross examination to complainant with the  copy of his bank account in evidence so as to get his admission and courts knowledge ( for similar facts of case  citation up held by supreme court in Criminal appal/2022 title Dashrath bhai Trikambhan Patel v/s Hitesh Mahendra bhai Patel decided on dt 11/10/2022 

Partnership runs as per deed

 The question of law when the partnership firm having two partners and one died during business then  partnership would have  dissolved  and reconstitution of firm required as per law

Partnership act 1932 sec :42 :that the partnership will stand dissolved inter Alia on the death of partner but  this is applicable in cases where there are only two partners constituting the partnership firm 

The aforesaid principle would not apply where there are more than two partners in firm and the deed of partnership provides otherwise that firm will not stand automatically dissolved on the death of one of partners 

Supreme Court in case title  Special leave petition (civil) 1381/2025 decided on dt 14 July 2025 title Indian  oil corporation Limited &ors v/s M/s Shree Niwas Ram Gopal & others up held the decision of  single Bench and division Bench of High court of Calcutta  and  dismissed  with observation while relying upon case M/s Wahid Ali Abid Ali v/s commissioner of income tax Lucknow 1988(supp)SCC 193

This latest authority is important in relevancy to facts of the case which were : In this case IOC has refused to recognise the reconstituted firm on the pretext that all the heirs of the deceased partners have not joined or expressed their willingness either way to join or not to join the firm 

The Supreme Court up held that IOCL has no role to play in determining as to who is the competent heir of the deceased partner , it should be left on the  wisdom of the existing partner

 

Agricultural loans & maintainiblity of suit in civil courts

 Whether civil suit  filed in civil court with a relief prayed of nature coming in the preview of civil court , suit would be maintainable ?

In Rajasthan , Banks financed agricultural loan to borrowers with charge of agri land and charge created over land under special statute Rajasthan credit operation removal of difficulties act 1974  and rules framed therein of rule 1976 

The question was  a very legal issue when bank filed a suit in civil court of Revovery against  finance to agriculturist with the charge / mortgage in guarantee 

The point for determination was when Rajasthan tenancy act specifically shows about suits related to mortgages are under preview of  jurisdiction of Rajasthan tenancy act 

Sec 43 of Rajasthan tenancy act reproduced here 

1)  khatedar  tenant or with the general or special permission of the state govt or any officer authorized by it in this behalf , s Gair khatedar tenant May hypothecate or mortgage his interest in the whole or part of his holding for the purpose of obtaining loan from the state govt or a land development bank as defined in the Raj cooperative societies Act 1965 or a cooperative society registered or deemed to be registered as such under the said Act or any scheduled bank  or any other institution notified by the state govt in that behalf 

Further in pursuance of section 43 of tha Act if mortgage is created residuary entry 35 of the Third schedule of Act is attracted 

The question whether bsnk mortgage is outside the scope of the Act ? 

Supreme Court in a reported case title Bsnk of Baroda v/s Moti Bhai ors decided on 29/01/1985 AIR 1985 Supreme Court page 545 clarified the jurisdiction of civil court and set aside the judgement of High court while holding that no doubt the mortgage was executed in the case was in persuance to sec 43 of Raj tenancy Act but the business of the Bank is not to lend money on mortgage but the business is only to lend money and property is  mortgaged under guarantee / mortgage deed and it is a commercial transaction 

Further Supreme Court observed that a suit should be perused in the substance of the matter not in the form of the suit 

On perusal it has been found that suit is basically for recovering the amount which is due to respondents on the basis of Promissory note executed by respondent and guarantee by redd Ad pkndeng number 2& 3

The relief in suit sought by Bank is that the suit should be decreed for the re payment of amount due from the respondents by the second prayer the Bank has asked that in case of non payment of the decretal amount the mortgaged property should be brought to sale and if proceeds of sale is not enough yo meet the decretal liability , the other movable and immovable property of respondent should be put at sale 

Further it was held that the suit is not to enforce mortgage if the mortgage not having been executed under sec 43 of Raj tenancy Acf the residuary entry 35 mentioned in schedule can have no application   When the entry is out of way there is no other provision in the Acf which would apply to the instant suit thus the civil court had jurisdiction 

 

Schedule iii  

Fertiliser control order 1985 read with EC Act

 Law insights revealing a depth study and collection of facts accruing from judgements , the book named relief strategy in fertiliser control order might help upon law point to researcher , academician   advocates dealing cases   This book is not advice but it simply shows when particular facts arises , relief strategy can be prepared to get justice if really injustice being caused in technically and breach of clause of order , that vitiate the whole proceedings of sampling 

This e -book available upon various ebook store  The book bring ist book May have some error in publishing but it has given a good experience to me in how e book publication reveals a different path where a different atmosphere creating a different feelings  as we have an different atmosphere and feelings in blogging , taste is quite different 

This is like satisfaction in expressing few words and lot of sentence a task where we read  to understand few words , journey  is same but blogger shows the destination like riding in aircraft , however it’s a test of mind , some may found good in book as a best friend no doubt , some are so speedy used to reach fast 

Intelligent blogger

 To say things in few words ,requires through study and gives to reader few minutes to read  it’s a  time saving , worth interesting and easy to read inspite of lengthy materials , this is my beginning in sharp and it would give benefit to researcher , searching to the point issues   who try to understand things in few words of legal  interpretation  ,who are already mature in grasping and they used to become up date in the subject within a few minutes , this blog would help

Dying declaration

 Sec 32 (1) of Indian evidence Act  1872  now restructured in sec 26 of BSA 2023

When it relates to cause of death : when the statement is made by a person as to the cause of his death , or as to any of the circumstances of the transaction which resulted in his death , in cases in which the cause of that person’s death comes in to question , such statement are relevant whether the person who made them was or was not , at the time when they were made , under expectation of death and whatever may be the nature of proceeding in which the cause of his death comes in to question 

Corpus Juris Secundum vol XL page 1283 & American jurist also interpret weighting of dying declaration in what circumstances under which they were made , whether it was outside influence ,sprit of  revenge , deceased not cross examined  ,under  expectation of death or not , these are the questions raised for the cause of death 

The principle on which dying declaration is admitted in evidence “ 

Statement having truth ness and also said voluntarily are the factors for making conviction by court 

Hon’ ble supreme court in his judgement  2023 INSC 758 Irphan @ Naka v state of UP explained that there is no hard & fast rule for determining when a dying declaration should be accepted the duty of court is to decide this question of  in the facts and surrounding and be fully convinced of the truthfulness of the same 

Certain factors considered to determination , however they will only affect the weight of dying declaration and not its admissibility

1) whether the person making them was or statement was in expectation of death ?

7)

2) whether the dying declaration was made at the earliest opportunity ?

3! Whether there is any reasonable suspicion to believe the dying declaration as put in the mouth of the dying person ?

4)whether there is any dying declaration was a product of prompting , tutoring or leading at the instance of police or any interested party ?

5) whether the statement was not recorded properly ?

6! Whether there is any dying declarant  had opportunity to clearly observe the incident ?

7) whether there is any dying declaration has been consistent throughout ?

8) whether there dying declaration in itself is a manifestation of/ fiction of the dying persons imagination of what he thinks transpired ?

9) whether the dying declaration was itself voluntary ?

10) in case of multiple dying declarations , whether there is any first one inspires truth and consistent with the other dying declaration was a?

11) whether as per the injuries it would have been impossible for the deceased to make a dying declaration ?

Supreme Court in this judgement further relied the reported judgement title Sujt Biswas v state of Assam (2013)12,SCC 406 in which it was held that :

The court has a duty to ensure that mere conjunctures or suspicion don't take place of legal proof 

The court must ensure that miscarriage of justice is avoided and if the facts and circumstances of a case so demand , then the benefit of doubt must be given to accused keeping in mind that a reasonable doubt is not an imaginary , trivial or merely probable doubt but a fair doubt based upon reason and common sense