Account Overdue: What Now? (Part 2)

Where were we…

In our previous post, we discussed alternative account receivable collection mechanisms, export insurance, trade credit insurance, and factoring – detailing the pros and cons of such tools. In this post, we will explore the ever popular letters of credit, time drafts, and finally several other best practices and alternative tools that can be implemented to ensure the efficient collection of debt. Continue Reading

Account Overdue: What Now? (Part 1)

Picture yourself starting a new relationship with a new contact and future distributor in South America. You checked references, as far as that goes, but there are not many companies with experience with your products in the region. Do you take the plunge and hope for the best relying on your arbitration provision or choice of law to recover your losses if things go south?

Manufacturers with global supply chains growing their business internationally run into these types of problems often. They know there are hurdles at every phase of the supply chain, from securing raw materials, dealing with suppliers, transportation and customs, and, of course, local distributors and agents. On top of this logistical complexity, many of these stakeholders, spread out around the world, operate in countries with widely divergent legal systems and traditions.

What could go wrong?

Everything. Continue Reading

Recent Developments in Defense Technology – Restructuring of Acquisition Directorate and Key Nominations 

On February 1, 2018, the Department of Defense formally disestablished the office of Undersecretary of Defense for Acquisition, Technology & Logistics and will begin a four-month effort to reorganize its acquisition directorate, as required under recent reform legislation.  Our colleagues from the Defense Public Policy practice, Jack Deschauer and Pablo Carrillo, discuss the key nominations and what is necessary for the reorganization to ensure the U.S. maintains its technological advantage.

The client alert may be accessed here: Recent Developments in Defense Technology – Restructuring of Acquisition Directorate and Key Nominations 

A Problem That Can’t Seem to Get Cracked

Cracked iPhone screens.  The consequence of the finger slipping, circus-like juggling, slow motion crashing down of the one device that keeps you connected like none other to the digital world.

Apple has been trying to find a solution to this literal kink in the armor of the world’s most popular smartphone since its release close to 10 years ago.  Yet, poor supplier relationship practices has kept Apple from cracking this problem. Continue Reading

Federal Contractors Beware: Don’t Get Caught With Your Pants Down

A written federal Contractor Code of Business Ethics and Conduct and company business ethics awareness and compliance program makes more business sense now than it ever has.

It is no secret that workplace non-consensual sexual misconduct was a hot topic this year.  In many circumstances, the alleged misconduct happened in the workplace calling into question the employees’ workplace culture, policies, and compliance programs that allowed such behavior to go unchecked and unreported.  The companies that ignore the misconduct may never recover.  However, negative repercussions and scrutiny are preventable.  What these companies likely overlooked was the value of an internal ethics policy and compliance program that could have promoted a culture of ethical conduct and individual responsibility among all employees.

Why is this relevant to you as a federal contractor?  Continue Reading

China’s Bid to Become Market Economy Opposed

The Trump administration has formally opposed China’s bid to be recognized as a “market economy.”  Aligning itself with the European Union and other countries including Japan, the U.S. submitted a statement to the World Trade Organization (“WTO”) in mid-November and made its decision to oppose public on November 30, 2017.

Under a market economy status, China would be protected from WTO members applying non-market economy methodologies when investigating China’s anti-dumping regulations.  China was expecting to automatically be considered a market economy last year pursuant to paragraph 15 of China’s Protocol of Accession.  If the WTO denies market economy status, China will face increased tariffs and stands to lose billions in exports.

Continue Reading

CPSC Finalizes Ban on Certain Children’s Toys and Child Care Articles

On October 27, 2017, the U.S. Consumer Product Safety Commission (“CPSC”) issued a final rule prohibiting children’s toys and child care articles that contain concentrations of more than 0.1 percent of certain phthalates.

What’s Prohibited

The final rule states children’s toys and child care articles containing concentrations of more than 0.1 percent of diisononyl phthalate (“DINP”), diisobutyl phthalate (“DIBP”), di-n-pentyl phthalate (“DPENP”), di-n-hexyl phthalate (“DHEXP”), and dischyclohexyl phthalate (“DCHP”) are prohibited.

Section 108 of the Consumer Product Safety Improvement Act (“CPSIA”) prohibits the manufacture for sale, offer for sale, distribution in commerce, or importation into the U.S. of any children’s toy or child care article that contains these concentrations of certain phthalates.  Children’s toys include consumer products designed or intended by the manufacturer for a child 12 years or younger for use by the child when the child plays.  A child care article is a consumer product designed or intended by the manufacturer to facilitate sleep or the feeding of children age 3 and younger, or to help such children with sucking or teething.

Continue Reading

LexBlog