“It hurts my head to think about it” - SMEs and the Legal Framework for International Commercial Contracts

Abstract

The exercise of party autonomy through careful contractual drafting allows parties contracting across borders to stipulate the applicable law and dispute resolution process most appropriate to the transaction at hand. This paper reflects on empirical and legal research to consider the perceptions and experiences of small businesses in New Zealand in relation to the legal framework for international commercial contracts. The inclusion of choice of law and dispute resolution provisions can greatly increase certainty in relation to the applicable legal framework. However, the introduction of more suitable default positions for international transactions is warranted to more adequately meet the needs of New Zealand’s SMEs and provide more meaningful access to justice.