Who's Laws Apply
In general, a nations laws only to things that happen in that nation.
Sometimes they also apply to citizens of that nation even if the act itself
is done at a foreign local. Americans are bound by American law
even if not in America!
Sometime countries try and establish extra-territorial laws. For
example, Salmod Rushdie was sentenced to death by a nation he had never visited.
The U.S. commercial embargo of Cuba effects European companies.
Within the United States, the laws of each state and locale only apply
to acts committed with in that locale. Also, any company with a "
presence" in a locale is bound by that locale. A company like Kmart
has presence in thousands of locales.
A presence is established when a judge says so. In general, these
things count ..
- Any physical presence, like a store front.
- Seeking customers specifically in that locale. (i.e. putting
an ad on CBS does not make a presence in Chicago, but putting an ad in
WGN might.)
- Sending sales reps to the locale.
- Having the company's product for sale at that local (magazines on
a magazine rack count, even if the company has no other presence).