Seagrain LLC v Glencore Grain B V

Seagrain LLC v Glencore Grain B V

The sellers failed to prove that the Ukrainian customs' actions constituted a formal executive act restricting export within the meaning of the GAFTA Prohibition Clause, nor did they show that all reasonable efforts to perform were made. The Board's findings were upheld, and the appeal was dismissed.

Parties
Claimant/seller: Seagrain LLC; Defendant/buyer: Glencore Grain BV
Jurisdiction
England and Wales
Judgment Date
10 May 2013
Procedural Posture
Arbitration Appeal / Judgment on Appeal From GAFTA Board of Appeal
Outcome
Appeal dismissed
Legal Topics
GAFTA Prohibition Clause, Contractual Non Performance, Export Restrictions, Damages for Repudiation
Commercial Law Arbitration GAFTA Prohibition Clause Contractual Non Performance Export Restrictions Damages for Repudiation

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 7 Party arguments 2 Amounts and remedies 1
Sign in to unlock

Parties

Seagrain LLC

Claimant/seller

Glencore Grain BV

Defendant/buyer

Procedural Posture

Arbitration Appeal / Judgment on Appeal From GAFTA Board of Appeal

Legal Issues

  1. 1 What must a seller show to rely on the GAFTA Prohibition Clause to excuse non-performance?
  2. 2 Is an outright ban required, or is partial restriction sufficient?
  3. 3 Must the seller show all reasonable efforts to perform or buy replacement goods?

Ratio Decidendi

The sellers failed to prove that the Ukrainian customs' actions constituted a formal executive act restricting export within the meaning of the GAFTA Prohibition Clause, nor did they show that all reasonable efforts to perform were made. The Board's findings were upheld, and the appeal was dismissed.

Court Disposition

Appeal dismissed

Orders

  • Appeal dismissed; Board of Appeal's award of damages to buyers stands.