The purpose of this study was to investigate problems in negotiation of international agreements in Third World countries, to shed light on the salient features in negotiation agreements between developed and developing countries, and to propose measures to assess the situation. This study provides detailed description and techniques used in negotiating these agreements in international negotiations. The study reveals that when negotiating within unequal bargaining power, the weak party stands to lose because it enters the agreement without free will; consequently, the agreement becomes unenforceable. Three factors have been identified as being obstacles to freedom of contract, ie. The unequal bargaining power, extraneous practices of multinational corporations and the political interference in negotiating agreements. It is suggested that there should be laws governing these agreements internationally and municipally free from external pressures on the subject matter and the negotiators.