Bitemark;

“If your business sells online, receiving your first international order can be thrilling. One of the great things about selling online is the ability to reach markets far away for a low cost.

But beware, the ease of conducting transactions over the Internet belies the potential minefield of international trade. Before you leap onto the global marketplace, seek professional advice on how to protect your self from the following real risks:

1. Risks of fraud
   Payment fraud is a very real risk in conducting any Internet transactions. If payment fraud does happen on an overseas transaction you could be left completely out of pocket. If so, you will need the help of local law enforcement to help you to recover your goods and / or payment. In many countries law enforcement is corrupt or virtually non existent. Even dealing with law enforcement in countries like the US and the UK would be difficult for a company based in Australia.
2. Risks of litigation
   If you trade with a consumer in a another country or even another state, which law will apply? There’s a good article on the ACCC website regarding this here. To reduce the risk, you should consult legal advice regarding the risks and get them to help you to draw up your ecommerce trading terms and conditions.
3. Risks of intellectual property and trademark infringement
   Simply shipping an order to another country could open your company up for trademark or IP disputes. You need to consider what legal protection you have for your brand and your IP in the market that you are preparing to ship to.But what if you just want to trade in something small like clothing? Is it really necessary to have all that legal protection? Well, consider the case of Absolut Beach Swimwear as discussed in this transcript of the ABC radio show “The Law Report” in 2001.This company had a registered trademark in Australia, but the decision to ship orders to the UK and the US meant that they were now subject to the laws of those lands. It was a decision that eventually ended their business.Protect your brand by getting legal advice to ensure that your trademark, patent or copyright applies in the country you wish to trade with.

The decision to trade internationally is often taken lightly by Internet entrepreneurs, but be aware that it is something that could spell doom for your business. Before you take that overseas order, consider the implications. The cost of putting the right protections in place might well be worth it.