6th NLS NMC Challengers - Mediation Problem

You might also like

Download as pdf or txt
Download as pdf or txt
You are on page 1of 5

THE REQUEST FOR MEDIATION BEFORE ICC MEDIATION

PARTIES: - SARDANIAN CHEESE SPA (SCS ITALY) V. JABUNA SAREKA MISR (JSM)

The Applicant is represented by Mediator Ra (General Standing Counsel) and Nefertiti (CFO SCS
(Italy)).

The dispute concerns the unmeritorious termination of contract by JSM.

APPROXIMATE VALUE OF THE DISPUTE

SCS Claim :- mediation costs and value of the contract.

JSM’s claim :- The approximate value of dispute is US$ 1000*number of days calculated from 23rd
February to the day when Seller takes back the goods + The loss of profits of US$ 10000 + Loss suffered
due to alternative arrangements made 1000 Kg* US$ 10 (as the alternative cheese coasted US$ 310 per
Kg.) + miscellaneous administrative cost of US$ 1000.

AGREEMENT ON MEDIATION

ARTICLE 4: DISPUTE RESOLUTION

In the event of any dispute arising out of or in connection with the present contract,
the parties shall first refer the dispute to proceedings under the ICC Mediation
Rules. If the dispute has not been settled pursuant to the said Rules within [45] days
following the filing of a Request for Mediation or within such other period as the
parties may agree in writing, such dispute shall thereafter be finally settled under
the Rules of Arbitration of the International Chamber of Commerce by one or
more arbitrators appointed in accordance with the said Rules of Arbitration.

AGREEMENT ON TIME BOUND MEDIATION AND LANGUAGE

As per the parties’ intent, there shall be a time bound mediation of forty minutes. Flexibility
of procedure is bestowed on the mediator as agreed.

The agreed language is English.

Both the parties as per the agreement have nominated Prof. Pekru and Mr. Chameleon to be
the mediators.
BACKGROUND OF DISPUTE

The Seller was one of the leading Exotic Cheese producers in Europe and Asia. They were famous
all around the world for their goodwill and consumer friendly business. They had famous hotels
as their customers including hotels like Le Pavilion Ledoyen, Pascal Barbot, Bernard Pacaud, and
many three Michelin star Restaurants.

The Buyer was a wholesale dealer in all kinds of cheese in Egypt and South Africa. Buyer was the
lone supplier of casumarzu in Egypt. Buyer had clients like Chef Nebhetepre Mentuhotep’s three
Michelin star restaurant chain Ferro’s delight. The restaurant was famous for casumarzupane
carasau burger and red wine sauce, which was only available at Ferro’s delight. People from across
the world used to come to taste the casumarzu delight. The CEO of the Buyer was also a fan of
the casumarzu delight made in the ferro’s delight. Ferro’s delight has been known for their usage
of casumarzu from 1990’s. There is a popular saying among Italians that “One should rather visit
ferro’s delight in Egypt to taste casumarzu dishes, than go to Sardinia”.

Both the Seller and Buyer were involved from 2001 in transactions involving Camembert and
casumarzu. Present contract was finalized on September 14, 2020. The present contract was a
copied version of their earlier contract which was mainly drafted by the Buyer in 2015. In the final
remarks of the Buyer, the goods were described as “Well known traditional CarzuMazu, Cheese
of Italian Origin”.

On 1 November 2020 at 06:00 Hr Egyptian Standard Time, the Seller had sent the notice of
transport. In the evening of 1st January 2021, Buyer replied back informing the acceptance of notice
of transport. The reply also contained information on change of their head office and
administrative department to Abu Hammod.

On 1 February 2021, the Buyer had established a L/C for $US 300,000 from Bank of Tutankamun.
The Seller suggested certain amendments to the L/C as it was not acceptable in content to them.
They were mainly concerned with the inclusion of “origin certificate from the food officer in cairo” under
the L/C.

On 15 February 2021, the Seller sent a voicemail indicating that they will anyhow ship the goods
under the contract as certain quantity of fresh casumarzu was available with them. They also added
that they expected the amendment to the L/C within 2 days.

On 20 February 2021, the Buyer received the consignment of CasuMarzu at the agreed place of
destination. On preliminary examination by their officer in charge of possessing plant it was found
to be similar to the traditional casumarzu.

On 22 February 2021, an anonymous mail was dropped off at the head office of Buyer stating that
the CasuMarzu bought from the Seller was artificially prepared in the labs of Paris, where the Buyer
has its R&D. It also stated that the cheese was not prepared in the sardanian region which is best
known for the traditional casumarzu Cheese.

On 23 February 2021, the Buyer replied that they will not amend the L/C and not accept the goods
as they are not from the Sardinian origin and not prepared in the traditional way. They also
indicated that they would store the goods till the Seller takes them back and they would be charging
US$ 1000 per day for cold storage.
On 24 February 2021, the Seller replied that the Cheese was made from the milk from the ewe
reared on Sardinian slopes. The flies were reared in their R&D lab in Paris. They informed that
there was no difference in the natural casumarzu and biotechnologically made casumarzu. Buyer
replied that their customer’s reputation and finesse were at stake and it was not acceptable for
them. Further the Buyer insisted on its demands.

On 25 February 2021, Seller has sent a notice initiating the mediation process for the quick
resolution of dispute regarding perishable goods.

Fee attached with the request and filed before ICC International Centre for ADR.

Ra (for SCS)
EXHIBIT 1

CHEESE SALE CONTRACT

ARTICLE 1 : PARTIES

Seller :-Sardanian Cheese SpA (Italy)

Buyer :-JabunaSarekaMisr (JSM)

ARTICLE 2 : PRODUCT

Product: CarsuMazu Cheese best quality;

ARTICLE 3 : PAYMENT AND LETTER OF CREDIT

Payment by Letter of credit to be established for 1000 Kg of product at US$ 300


per Kg. Letter of credit to be established within 3 month from the receipt of notice
of transport from the Seller. Letter of Credit is to be made according to usual terms
applicable in trade and acceptable in content to the Seller.

Delivery terms:- CIF [Abu Hummus].

ARTICLE 4 :DISPUTE RESOLUTION

In the event of any dispute arising out of or in connection with the present contract,
the parties shall first refer the dispute to proceedings under the ICC Mediation
Rules. If the dispute has not been settled pursuant to the said Rules within [45] days
following the filing of a Request for Mediation or within such other period as the
parties may agree in writing, such dispute shall thereafter be finally settled under
the Rules of Arbitration of the International Chamber of Commerce by one or
more arbitrators appointed in accordance with the said Rules of Arbitration.

ARTICLE 5 : CHOICE OF LAW

The parties have agreed to settle their dispute as per Italian law. The reference is
made to the substantive law and not to Italian conflict of laws.

Signature for JSM

Signature for SCS


PARTIES :-SARDANIAN CHEESE SPA (ITALY) V. JABUNASAREKAMISR (JSM)

MC:-200000/ACV

To

JABUNASAREKAMISR (JSM)
ABU HUMMUS, EGYPT

Case Management Team

Note,

The party or parties has filed a Request and paid with the Request the non-refundable filing
fee required by Article 2(2) or Article 3(2) of the Rules.

The Centre has asked for the other party to reply for the notice within a day after the
receipt of notice.

As the Applicant has already provided for the agreement on mediation, selection of
mediator and time. The other party is requested to write ica100@iccwbo.org for any
reservation regarding the same.

The National Law University Odisha has been fixed to be the place of mediation.

ICC Centre for ADR

You might also like