Civil law perspective on international trade: the role of economic law in regulating cross border commercial contracts

Abstract

In international trade, economic law plays a critical role in regulating cross-border commercial contracts. As cross-border dealings increase, harmonizing legal principles becomes vital to facilitate smooth contract effecting. Despite the increasingsignificance of economic law in global trade, there is a lack of experientialproof to quantify its impact on the effectiveness and outcomes of cross-border commercial contracts. The research aims to assess the role of economic law in regulating cross-border commercial contracts with statistical analysis, specifically focusing on contract formation, enforcement, and dispute resolution mechanisms. Data is gathered from international commercial transactions across multiple jurisdictions. To investigate the relationship between legal norms and commercial contract outcomes, a quantitative research methodology is used, with statistical techniques such as regression analysis and correlation testing performed using IBM SPSS Statistics version of 29. Independent factors include legal harmonization measures (LHM), economic law frameworks (ELF), and dispute resolution procedures (DRM). In cross-border transactions, dependent variables include enforcement efficiency (EE), disagreement frequency (FOD), and contract success rate (CSR). The findings examined the significant relationship between well-defined economic legal frameworks and favorable contract outcomes, with higher degrees of legal harmonization contributing to fewer disputes and well-organized contract enforcement. These findings highlight the need of strong legal standards and international collaboration in promoting stable global trade. The research highlights the need for further global help in laws and regulations to improve sustainable international trade.