Case Study: Legal Dispute Between XCAN Grain Pool Limited vs. Societe ORBONOR
Award of Arbitration, Gafta
XCAN Grain Pool Limited
Versus
Société ORBONOR
GBU 5303
Legal Environment
Done by: Nada Labsaili
Narjis Laoudi
Loubna Sadiki
Kenza Bouzoubaâ
Directed by:
Dr. Benlamhidi
The case study is about a dispute between two companies, Canadian company located in Winnipeg called XCAN Grain Pool Limited, and a Moroccan company called Société ORBONOR that is located in Casablanca who agreed to ask for the services of an arbitrator in London, GAFTA. We will start by analyzing the terms of the sale contract, therefore, underlying the rights and duties of both parties we will then analyze the award given by GAFTA. As a conclusion we will look at the rights of XCAN to enforce the arbitrator award in a Moroccan court. Arbitration is most of the time used for the resolution of commercial disputes, particularly in the context of international commercial transactions. It is used as well for the resolution of other types of disputes. Labor disagreements, consumer disputes, and family clashes are examples of other disputes.
Arbitration
Arbitration is when mutual agreement cannot settle disputes between the two companies. Thus, a submission for arbitration under GAFTA rules is needed. Once this occurs, the arbitral award is final and obligatory for both parties. Also, arbitration fees should be paid by the party who lose. The execution of this contract is under the usual force majeur practice. There are some other conditions in the way that this contract is governed by GAFTA 30, port taxes on cargo or freight, peage and droit de quai are for the buyer’s account and overage premium is for the seller’s account (Vessel of maximum 15 years).
Default
If one of the parties does not fulfill the terms of the contract (the defaulter):
After giving notice to the defaulter, the non defaulter party can sell or purchase against the defaulter which will establish the default price.
The damages should include the fees resulting from the defaulter’s
XCAN Grain Pool Limited
Versus
Société ORBONOR
GBU 5303
Legal Environment
Done by: Nada Labsaili
Narjis Laoudi
Loubna Sadiki
Kenza Bouzoubaâ
Directed by:
Dr. Benlamhidi
The case study is about a dispute between two companies, Canadian company located in Winnipeg called XCAN Grain Pool Limited, and a Moroccan company called Société ORBONOR that is located in Casablanca who agreed to ask for the services of an arbitrator in London, GAFTA. We will start by analyzing the terms of the sale contract, therefore, underlying the rights and duties of both parties we will then analyze the award given by GAFTA. As a conclusion we will look at the rights of XCAN to enforce the arbitrator award in a Moroccan court. Arbitration is most of the time used for the resolution of commercial disputes, particularly in the context of international commercial transactions. It is used as well for the resolution of other types of disputes. Labor disagreements, consumer disputes, and family clashes are examples of other disputes.
Arbitration
Arbitration is when mutual agreement cannot settle disputes between the two companies. Thus, a submission for arbitration under GAFTA rules is needed. Once this occurs, the arbitral award is final and obligatory for both parties. Also, arbitration fees should be paid by the party who lose. The execution of this contract is under the usual force majeur practice. There are some other conditions in the way that this contract is governed by GAFTA 30, port taxes on cargo or freight, peage and droit de quai are for the buyer’s account and overage premium is for the seller’s account (Vessel of maximum 15 years).
Default
If one of the parties does not fulfill the terms of the contract (the defaulter):
After giving notice to the defaulter, the non defaulter party can sell or purchase against the defaulter which will establish the default price.
The damages should include the fees resulting from the defaulter’s
References: Information you should know. The arbitration process. Retrieved on November 9th , 2009 from: http://www.securitieslaw.com/arbitration.html#hearing http://www.statelawyers.com/Practice/Practice_Detail.cfm/PracticeTypeID:8 C. Miller. The Legal Environment of Business. Seventh edition. Dispute resolution service. The arbitration process. Retrieved on November 9th, 2009 from: http://www.dispute-resolution.biz/a-arbitration.htm. Gafta’s contract.