Before considering the various types of regulatory agreement in more detail, it is worth giving a word of warning. Many new businesses nowadays have an international element, in that some of the proprietors may be based in other jurisdictions. The laws of those jurisdictions may in some cases have an unexpected and unwanted effect on the terms or enforcement of any regulatory agreement to which those proprietors are party. Consequently, if parties in the United Kingdom are planning to enter into any form of regulatory agreement with prospective partners or shareholders based abroad, it is absolutely essential
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