Gift Importers Ltd. has a contract with a Philippine government exporting agency for the purchase of numerous handmade artifacts. Since neither party was comfortable having the courts of the other party's country adjudicate any disputes between them, the contract contains a clause which identifies the procedure by which a third party acceptable to both would settle any disputes. If a dispute resolution procedure is not part of the original contract, neither the Philippine government nor Gift Importers can impose it on the other at a later date.

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The Answer of Gift Importers Ltd. has a contract with a Philippine government exporting agency for the purchase of numerous handmade artifacts. Since neither party was comfortable having the courts of the other party's country adjudicate any disputes between them, the contract contains a clause which identifies the procedure by which a third party acceptable to both would settle any disputes. If a dispute resolution procedure is not part of the original contract, neither the Philippine government nor Gift Importers can impose it on the other at a later date.