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A. Basically, if you include a provision that CA law governs the agreement, and any disputes must be litigated in CA, if any problems arise, it will be cheaper and easier for you to handle the litigation. They'll have to come to CA, instead of you going there.
B. If something happens, and they sue you, then you'll have to hire a UK attorney and make at least one trip to the UK to litigate. You'll also be subject to UK laws, which are different than US laws.
C. Practically speaking, the same as B. In addition, if the agreement doesn't say that they are subject to CA jurisdiction, and you file suit against them, they can try to defend by stating that the CA courts have no right to tell them what to do. You would probably win that motion, but there would be additional costs associated with it.