Interlegal experts defended the agricultural product exporter’s interests in the dispute with unfair counteragent
22 December, 2016
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The large agricultural product exporter concluded with foreign buyer several contracts on pea supply in containers on CFR terms. During contract performance, discrepancies arose between the parties. They did not result in amicable settlement: the buyer submitted to the seller a consolidated claim with diversified demands on several shipments not related to each other.
In breach of its obligations, the buyer refused to receive one of the delivered cargo batches and to pay for its supply. In fact the buyer retained cargo, having refused to issue the letter on rejection, as a must for cargo resale to another buyer.
The seller faced a difficult situation: from one hand, it was unable to dispose the goods; from the other hand, it was responsible against the line carrier for payment of accrued demurrage and storage at the port.
The Exporter applied to Interlegal to defend its interests. With regards to diversified nature of claims, in particular, on goods quality, supply period violation, delays in goods delivery to the consignee and the fact that claims arose from different contracts, the lawyer Ekaterina Gadetskaya and the senior lawyer Karyna Gorovaya drafted for the Exporter a legal opinion in respect of the buyer’s demands and plan of actions aimed at cargo receipt.
On the grounds of provided legal opinion, the parties renewed negotiations and settled the dispute.