Question: Based on the texts, Identify the risks in the external legal environment of the Seller (Firm) based on proposed Transaction Facts with Distrib Co Limited.
Based on the texts, Identify the risks in the external legal environment of the Seller (Firm) based on proposed Transaction Facts with Distrib Co Limited. Then select the most appropriate recommendations to the Firm from the options below concerning the legal risks that the email exchanges have exposed the Firm that need to be managed in the Firms business legal strategy. Select up to 6 of the most appropriate responses using your judgment and based on your knowledge of the jurisdictions touching on the proposed deal: 1. Firm will be receiving payments from Distrib Co Limited contacts whom the Firm has conducted no due diligence on. The Firm will need to undertake AML/CTF checks of each buyer to comply with the Firms AML/CTF Compliance Program to manage the risk of fines for non compliance. 2. Firm will be contracting via Distrib Co Limited in the eyes of the buyer and the Firm is exposed to additional liability from the buyer based on buyers claims that Distrib Co Limited (as Agent) had ostensible authority to make additional commitments on behalf of the Firm (as Principal). A written distribution agreement is recommended for this type of relationship rather than relying on the common law of agency applying. 3. The Firm should require the potential buyers consent to their data being provided to Distrib Co Limited after placing their order. 4. The Firm/Distrib Co Limited should conduct Sanctions screening of the potential buyers after Distrib Co Limited signs up an order so
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