If the government does one thing unethical, immoral, or in violation of international law, and that must necessarily result in all contracts being nullified as

If the government does one thing unethical, immoral, or in violation of international law, and that must necessarily result in all contracts being nullified as preposterous in comparison, then it's chaos. What you're describing is an eventual consequence of metastasizing corruption. Wealth does not trickle down, but corruption does.