Jurisdictional Arbitrage

Jurisdictional arbitrage is the practice of taking advantage of the discrepancies concerning competing legal jurisdictions. It will require its name by arbitrage, the practice in finance of purchasing a good at a lower price a single market and selling it at a higher price in another. Just as with financial arbitrage, this attractiveness of jurisdictional arbitrage depends mostly on its financial transaction costs, here the prices of switching legal service providers from one government to another.