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The Law Firm of

JASON HUF INTERNATIONAL, pc

"Exploring the Boundaries
 
of Your Business." 

______________________________

NEW YORK

11 Broadway, Suite 615
New York, New York
USA  10004
+1 (917) 775-0198 (p)
+1 (646) 395-1725 (f)

______________________________

JEDDAH

Khalil Khazindar Law Firm
in Association with
JASON HUF INTERNATIONAL pc
Ammar Commercial Center

Al Murjan Street (off of King Abdul Aziz Street), Office # 202
P.O. Box 157,  Jeddah  21411
Kingdom of Saudi Arabia
+966 (2) 4204763 (p)
+966 (2) 4204729 (f)
www.khazindarlaw.com
______________________________

info@huflaw.com

Office Hours: By Appointment Only

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  • Observance of September 11 & Eid Al Adha Greetings

    This is one day of the year all of us set aside for remembering, but there is never a day when we forget.

    As with dates officially deemed "National Holidays", JHI's New York HQ Office - per annual Firm tradition - will be closed for business this Monday, September 12, in observance of the 15th anniversary of September 11, 2001.

    Just as JHI is proud to perform work that may make some small contribution to what, some day, may be the development of a broad, self-sustaining middle class in the Middle East, JHI is honored to be a witness to the resurgence of downtown Manhattan.  The Financial District's magnificent comeback is best symbolized by our neighboring Liberty Tower:


    Liberty Tower September 11 Never Forget Always Win Victory USA

    September 11 will be a day of remembrance and reflection for us all.  JHI will resume offering high-quality professional services on Tuesday, September 13.

    JHI also wishes our many friends in the Muslim world a happy Eid Al Adha holiday.  We would also like to advise clients and friends who do not observe this holiday to expect delays in certain services due to office closures - particularly banks and government offices - throughout the Middle East region during the holiday, which is scheduled to begin at sundown on Sunday, September 11.
  • JHI is Closing for the Holiday Season

    The Law Firm of JASON HUF INTERNATIONAL, pc (JHI) will close the doors of its New York HQ Office for the Christmas and New Year Holidays starting today, December 22, 2015 at 5:00pm.

    JHI will resume regular business hours on Monday, January 4, 2016.  As usual, because of necessary and prudent building security measures, office visits in 2016 will be by Appointment Only.

    During the Holiday Season, the Jeddah office and the Khalil Khazinar Law Firm will remain open.  In the event of an urgent matter arising during the Holidays, Mr. Huf can be reached directly by e-mail.

    From everyone at JHI, Merry Christmas!! And, best wishes for a happy and prosperous New Year!
  • JHI is Closing for the Holiday Season

    The Law Firm of JASON HUF INTERNATIONAL, pc (JHI) will close the doors of its New York HQ Office for the Christmas and New Year Holidays starting today, December 19, 2014 at 5:00pm.

    JHI will resume regular business hours on Monday, January 5, 2015.  As usual, because of necessary and prudent building security measures, office visits in 2015 will be by Appointment Only.

    During the Holiday Season, the Jeddah office and the Khalil Khazinar Law Firm will remain open.  In the event of an urgent matter arising during the Holidays, Mr. Huf can be reached directly by e-mail.

    From everyone at JHI, Merry Christmas!! And, best wishes for a happy and prosperous New Year!
  • A Deal's a Deal. Right?

    In the Middle East, the old joke among Western lawyers goes something like this:  “First you negotiate the contract, then you close the contract. And then, you renegotiate the contract… ”

    All good jokes are rooted in the truth.  While there certainly are some local parties in the Middle East who are committed to keeping their word and sticking to the deal they negotiated, there does exist this unfortunately common dynamic wherein the local party will test, stretch and even flat-out ignore the terms of an agreement they just executed.  One might even lose money betting against a breach occurring before the ink dries.

    And yet, throughout the Gulf Cooperation Council (GCC) region, billions of (US) dollars worth of business is successfully transacted each and every year by and between foreign and local parties.  How does that work?

    It starts with understanding what local businessmen already know:  going to court, dumping your local agent (or, colloquially speaking, your “sponsor”), etc, are usually your last best options.  You can see your company effectively frozen out of the market if you make such a move without an almost perfect sense of deftness.  And, even if eventually successful, should your company go this route, you have embarked on a long, aggravating and expensive disruption of business that will give rise to discussions that start with, “Why don’t we just pull out of there?”

    We will talk about arbitration clauses (and, the enforceability of them in GCC jurisdictions) in a subsequent posting.  For now, you also need to understand that the local sponsor, or other local parties with whom your company does business, who busies himself with stretching the terms of your agreement is primarily (if not entirely) in the business of sponsoring foreign enterprises (or otherwise makes his money conducting business with foreign parties).  Maintaining sponsorships or other replationships with foreign investors (and, protecting their reputations and pride) tend to be the top priorities of local companies.  So, when such companies appear to breach their agreements, what do they hope to gain by playing around?

    Usually, more money.  And, usually, not much more.  More often than not, you can settle the matter by amending a couple of terms and (slightly) goosing up their sponsorship “fee” (or, whatever other payment, profit or compensation they may be receiving).

    What about the law of contracts?  Why can’t I look for a new sponsor and/ or seek judicial recourse?

    Remember that the laws requiring you to obtain a sponsor in the first place are protectionist in nature.  On an unofficial level, shopping around for more pliant for cooperative sponsors isn’t designed to be easy.

    Also, while consideration, reliance and other concepts are necessary to show a promise made in contract is enforceable under the laws of the United Arab Emirates (UAE), such is not the case to show the existence of an enforceable contract in Saudi Arabia (KSA).  In the KSA, if you make a promise, you’re stuck with it.

    Isn’t the other side stuck with it, too???

    Well, in the Middle East, there is the law the way it is written, and the law the way its enforced.  And, to further complicate things, that which is enforced is not always written, and that which is written is not always enforced.  If you wind up in a KSA court, you may have a judge whose primary concern is sending a signal to his government, more than adjudicating a dispute between the parties before him.  In the UAE, much may depend on whether the judge enjoyed his breakfast, or if he is miserable from a belly ache, as he reads your company’s brief… (And, keep in mind, the UAE imports its judges from other countries – those judges tend to be mindful of who gave them their jobs.)

    As to getting another sponsor, while the UAE and the individual Emirates therein may not employ “black lists” per se (as does the KSA), you should nonetheless do your best to avoid running afoul of bureaucrats at relevant ministries and other governmental offices who may have a cousin, friend, or other acquaintance who may just happen to be your soon-to-be former sponsor or other business partner/ associate.  Business licenses have to be renewed every year, and your specific business may well depend on successfully bidding on government tenders; and, while Abu Dhabi and Dubai, for example, may look like big cities, they still very much operate as “small towns” on many different levels.

    That’s not to say successfully changing your sponsor and/ or winning a contractual dispute with a local party in the Middle East is impossible.  Such has been known to happen in Abu Dhabi, and even in Jeddah (where arbitration clauses are less likely to be deemed enforceable by local courts, even though the KSA is a party to the New York Convention).  Accordingly, you should protect yourself in the governing documentation the way you would in any other international agreement.

    Have the standard choice of law, venue, and language clauses, as well an arbitration clause (which can be something of a contract unto itself) and, especially, a (carefully written) termination clause.  If an American-based company (or, even if you are based in another Western country but have operations in the US), make sure the documentation includes language concerning your refusal to violate the provisions of the US Foreign Corrupt Practices Act (over the last several years, the trend has been increasingly robust enforcement of the FCPA).  American companies might also think to include a so-called “anti-boycott” clause in the agreement, given the on again/ off again enforcement of boycotts against Israel by some Arab states.

    Although the general mood in the GCC seems to favor a direction wherein the laws are being changed to relax the hold local parties (especially those deemed “sponsors”) have over foreign direct investment in their respective markets/ jurisdictions, it is usually best to try to renegotiate when a breach occurs.  Such renegotiation should, generally speaking, settle upon a slight increase in the amount of earnings the local party derives from the deal.

  • JHI is Closing for the Holiday Season

    The Law Firm of JASON HUF INTERNATIONAL, pc (JHI) will close the doors of its New York HQ Office for the Christmas and New Year Holidays starting today, December 18, 2013 at 5:00pm.

    JHI will resume regular business hours on Thursday, January 2, 2014.  As usual, because of necessary and prudent building security measures, office visits in 2014 will be by Appointment Only.

    During the Holiday Season, the Jeddah office and the Khalil Khazinar Law Firm will remain open.  In the event of an urgent matter arising during the Holidays, Mr. Huf can be reached directly by e-mail.

    From everyone at JHI, Merry Christmas!! And, best wishes for a happy and prosperous New Year!
  • JHI Establishes Office in Saudi Arabia

    The law firm of Jason Huf International, pc (JHI) is proud to announce our expansion into Jeddah, Saudi Arabia through the formation of an Associated Firms relationship with the Khalil Khazindar Law Firm.  The addition of a Jeddah office provides JHI's clients with reliable, experienced and ethical assistance "on the ground" in Saudi Arabia.

    Further, the strategic alliance between Mr. Huf and Mr. Khazindar offers a powerful combination from which our clients can draw upon.  Their total experience in the Gulf region, ethical approach to the practice of law and jointly held passion for crafting tailor-made legal solutions present a real opportunity for their clients with matters in the Middle East.

    Mr. Huf and Mr. Khazindar share a commitment to extending to each and every corporate client - regardless of size - the kind of personalized attention your company expects and deserves.  Accordingly, we are well-positioned to assist US companies looking to do business in Saudi Arabia.