AGA Partners successfully represented an English trading company in a dispute with a Georgian manufacturing company resolved in arbitration. The dispute arose based on a contract for the supply of flour to the port of Batumi, Georgia amounting to a total of over USD700,000.
The buyer refused to comply with the contract as he believed that the latter was not concluded. As a result, the client suffered significant losses and resorted to London arbitration.
The buyer signed the contract and sent it to the client, but subsequently changed his mind and revoked the signed contract. Despite the revocation, the client signed the contract and sent it to the buyer in response.
The arbitrator found that the contract was concluded given that both parties did not establish any time limits for its signing.
The decision in the case shows that a contract can be concluded even if it was not signed by both parties. When deciding in favour of the existence of the contract, arbitrators take into account, in particular, the absence of time limits established by the parties for its signing and the time interval between the withdrawal and acceptance of the proposal.
AGA Partners team proved that the parties did conclude the contract and secured full satisfaction of the client’s claims of over USD100,000.