Most Favored Nation Clause | MFN | Most Favored Nation | Definition | What is Most Favored Nation Clause?

Most Favored Nation Clause

Most Favored Nation Clause Glossary Definition

Most Favored Nation. The phrase is a relic of 19th century diplomacy, when normal trade relations were defined as extending to other nations the same privileges accorded a country's "most favored" trading partner. In practice, designating a country as a "most favored nation" for trade purposes really means "establishing normal trade relations" with that country.

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