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Foreign-related Cases

Mi*** automotive manufacturing system overseas project management

participant: Zhang Hui   HUANG Mengjie   time:2022-02-14 20:29:10

Brief

T*** won the bidding for a turnkey project in the U.S. for an automotive system, and M*** Automation Engineering Co., LTD. was the actual construction party. Therefore, causing the inconsistency between the winning bidder and the actual construction subject, there were some issues in the process of contract performance, such as additional items, payments, acceptance, etc.

 

Result

Mi*** had some negative factors during the project. The lawyers assisted the company to run the project smoothly by legal risk control.

 

Comments

This case is an overseas manufacturing project in which is the contract object's amount is very high, a long period, and involves various necessary points also, including overseas employment, designated suppliers, labor unions and epidemic, etc. 

Lawyer’s opinions: 

(i) The party shall understand the agreement and interpretation on force majeure in the contract and international common practice and communicate with the owner and the contractor effectively. The force majeure clause should be confirmed in writing in an appropriate period;

(ii) The contract shall be strictly reviewed. The control of the addition occurrence should be effectively negotiated and shall be in writing;

(iii) The party shall evaluate the marked things during the whole project in advance and prepare for the emergency plan, and then the relevant clauses shall be adjusted through negotiation. The legal product was built in the field of an overseas project by the lawyer through this case. The meaning is that models and demonstrates the participation of lawyers in overseas projects during the whole process from the early stage to the final stage. It deeply catches the requires and worries of clients, and then establishes a strong trusting relationship with clients.