In international trade, problems involving bad debts
are more easily avoided than rectified after they
occur. Credit checks and services such as the international
company profile can also limit the risks.
When payment problems occur, answer the following
questions before seeking outside help or filing an
insurance claim:
1. Have you contacted the buyer to determine the
problem?
2. Have you attempted to negotiate a mutually agreed
solution to the problem?
3. Have you supplied the goods/services as per
the contract, invoice, letter of credit?
4. Is there an issue of quality or price?
5. Are all your shipping and customs documents
in order?
6. Was there damage or theft?
7. Have you tried to work out delayed payment terms
with the buyer?
8. Have you discussed your problem with your bank?
With a lawyer?
9. Have you exhausted all efforts to obtain payment
from the foreign buyer?
10. Do you have copies of all correspondence and
records related to the dispute?
Abroad Commercial Specialists can often help U.S.
companies with issues of non-payment , advise on
customs issues, and/or refer you to reputable counsel.
The ICC handles the majority of international
arbitration and is usually acceptable to foreign
companies because it is not affiliated with any
single country. For information contact the vice
president for arbitration, U.S. Council of the International
Chamber of Commerce, telephone 212-354-4480
