fbpx
Size of letters 1x
Site color
Image
Additionally
Line height
Letter spacing
Font
Embedded items (videos, maps, etc.)
 

Interlegal won GAFTA arbitration amounting to $ 300,000 in favour of Ukrainian agrarian trader

30/ 01/ 2020
  Interlegal won GAFTA arbitration upon the dispute concerning the Buyer’s full non-payment for whet bran, FOB delivery from Nikolayev to Izmir. The Seller fulfilled its contractual obligations in full, followed by loading the goods on board of the vessel and submitting payment documents. But the Buyer did not make payment in due time: first provided false SWIFT, then contested payment amount based on supply of allegedly unsound goods under the previous contract and requested for discount. Following the goods delivery to Izmir sea port, the Buyer, despite cargo retention by the Seller and the latter’s prohibition to discharge, took the goods unlawfully against LOI. After long-term negotiations with the Buyer, the Seller applied to GAFTA arbitration for debt recovery. At this stage, Interlegal lawyers faced the issue to bring third party to liability. Formally, the English company was the Buyer under the Contract, while in fact the Contract was performed (instructions, correspondence) mainly via mail server of the Turkish company engaged in similar activity. The Turkish company signed and sealed the Contract as the Guarantor. An option to enforce decision against the Guarantor was a matter of concern for the Client. Interlegal lawyers drafted justified legal position and persuaded arbitrators in the Seller’s right to charge indebtedness both from the Buyer and from the Guarantor. Interlegal lawyer Valeria Ivanova, represented the Client’s interests at GAFTA arbitration.

Interlegal won GAFTA arbitration upon the dispute concerning the Buyer’s full non-payment for whet bran, FOB delivery from Nikolayev to Izmir.

The Seller fulfilled its contractual obligations in full, followed by loading the goods on board of the vessel and submitting payment documents. But the Buyer did not make payment in due time: first provided false SWIFT, then contested payment amount based on supply of allegedly unsound goods under the previous contract and requested for discount. Following the goods delivery to Izmir sea port, the Buyer, despite cargo retention by the Seller and the latter’s prohibition to discharge, took the goods unlawfully against LOI.

After long-term negotiations with the Buyer, the Seller applied to GAFTA arbitration for debt recovery. At this stage, Interlegal lawyers faced the issue to bring third party to liability. Formally, the English company was the Buyer under the Contract, while in fact the Contract was performed (instructions, correspondence) mainly via mail server of the Turkish company engaged in similar activity. The Turkish company signed and sealed the Contract as the Guarantor.

An option to enforce decision against the Guarantor was a matter of concern for the Client. Interlegal lawyers drafted justified legal position and persuaded arbitrators in the Seller’s right to charge indebtedness both from the Buyer and from the Guarantor.

Interlegal lawyer Valeria Ivanova, represented the Client’s interests at GAFTA arbitration.

This material is provided by a member company or partner organization of the European Business Association as part of an informational collaboration. The Association is not responsible for the accuracy, completeness, or reliability of the information presented. The views, opinions, and recommendations expressed in this material are solely those of the authors and do not reflect the official position of the European Business Association.

If you have found a spelling error, please, notify us by selecting that text and pressing Ctrl+Enter.

Start
in the Telegram bot
Read articles. Share in social networks
Nationwide Minute of Silence
01:00
09:00
Nationwide Minute of Silence
Let us honor the memory of all those who lost their lives in russia’s war against Ukraine
00:43

Spelling error report

The following text will be sent to our editors: