Commercial Entities: Post-Brexit Advice for UK-EU Sales of Goods

This report addresses the challenges faced by commercial entities engaged in the international sale of goods between the UK and EU post-Brexit, particularly concerning the enforcement of UK court judgments in EU member states. It explores the impact of Brexit on trade, including changes in currency, labor markets, and potential trade agreements. The report provides practical guidance, advising commercial entities to audit international contracts, consider bilateral trade agreements, and prepare for potential disruptions in cross-border transit. It emphasizes the need for businesses to adapt to the new legal landscape, mitigate risks associated with uncertain enforcement, and navigate the evolving trade environment. The analysis draws upon legal journals and academic research to offer informed recommendations for businesses operating in this context.

Running head: BREXIT: CHANGING THE TERMS OF TRADE.
BREXIT: CHANGING THE TERMS OF TRADE
Name of the Student
Name of the University
Author Note

1BREXIT: CHANGING THE TERMS OF TRADE
Topic: Given the possibility that judgements from the UK courts may not be easily
enforced in EU member states post Brexit, what advice and practical guidance would
you give to a commercial entity involved in the international sale of goods between the
UK and EU member states so as to mitigate this uncertainty? Why?
Post-Brexit the scenario of international business, for both the European Union (EU)
and the United Kingdom (UK) will be different. The broader market place is now expected to
shrink. Commercial entities will be experiencing changes in the currency and labour market.
The availability of labour is sinking because of the restrictions that are going to be imposed
on migration in the UK and EU for education and employment1. The changes in the currency
will make export costlier2. EU funding is likely to end, resulting in uncertainties in the
business environment. Thus, auditing of international contracts needs to be considered for the
low VAT trade of goods3. This will have an impact on the availability of certain supplies of
goods, that is, exports and imports. The international imports and exports are assumed to be,
placed under administration. Cross border transit may face additional hurdles affecting the
commercial units engaged in trade4. Separate trademarks and designs will be allocated to the
patent holders once the UK exits the EU. Now, the trade will consist of tariffs and quotas,
hence, enlarging the cost of production. Future trade agreements are assumed to get affected
1 Lawless, Martina, and Edgar LW Morgenroth. "The product and sector level impact of a hard Brexit across the
EU." Contemporary Social Science (2019): 1-19.
2 Crowley, Meredith, Oliver Exton, and Lu Han. "Renegotiation of trade agreements and firm exporting
decisions: Evidence from the impact of Brexit on UK exports." (2018).
3 Hobolt, Sara B. "The Brexit vote: a divided nation, a divided continent." Journal of European Public
Policy 23, no. 9 (2016): 1259-1277.
4 Dhingra, Swati, Gianmarco IP Ottaviano, Thomas Sampson, and John Van Reenen. "The consequences of
Brexit for UK trade and living standards." (2016).

2BREXIT: CHANGING THE TERMS OF TRADE
by the new laws of UK post Brexit5. Unrestricted movement of people and property
purchasing between the countries are anticipated to change. The UK will be subjected to the
trade laws by the WTO post Brexit6 and the British traders will be required to fill declaration
for customs for cross border trade. A proper decision needs to be addressed regarding the use
of a bilateral trade agreement. Hence, to conclude, this can be stated that firms should prepare
themselves for the British-exit from the EU to avoid harsh situations.
5 Pettifor, Ann. "Brexit and its consequences." Globalizations14, no. 1 (2017): 127-132.
6 Ebell, Monique, and James Warren. "The long-term economic impact of leaving the EU." National Institute
Economic Review236, no. 1 (2016): 121-138.

3BREXIT: CHANGING THE TERMS OF TRADE
References
Crowley, Meredith, Oliver Exton, and Lu Han. "Renegotiation of trade agreements and firm
exporting decisions: Evidence from the impact of Brexit on UK exports." (2018).
Dhingra, Swati, Gianmarco IP Ottaviano, Thomas Sampson, and John Van Reenen. "The
consequences of Brexit for UK trade and living standards." (2016).
Ebell, Monique, and James Warren. "The long-term economic impact of leaving the
EU." National Institute Economic Review236, no. 1 (2016): 121-138.
Hobolt, Sara B. "The Brexit vote: a divided nation, a divided continent." Journal of European
Public Policy 23, no. 9 (2016): 1259-1277.
Lawless, Martina, and Edgar LW Morgenroth. "The product and sector level impact of a hard
Brexit across the EU." Contemporary Social Science (2019): 1-19.
Pettifor, Ann. "Brexit and its consequences." Globalizations14, no. 1 (2017): 127-132.