AGA Partners successfully represented a leading Serbian commodities trader, Vimeksim, in an appeal arbitration in London against the buyer, an English trading company.

The dispute arose from the Ukrainian corn sale contract on CIF Libya terms. Despite the Client having duly performed all contractual obligations, the buyer failed to confirm the vessel nomination and provide documentary instructions. Since the buyer ignored the Client’s demands to provide the documentary instructions urgently, the Client declared the buyer in default after the shipment period expired and resold the goods to mitigate damages.

The first-tier arbitral tribunal admitted the Client’s position in full, awarding the Client more than USD 200,000 in default damages plus compound interest and arbitration costs. The buyers, however, commenced appeal proceedings to delay the enforcement and commenced a liquidation of their company.

Despite a 9-month delay caused by the buyers’ conduct, AGA Partners managed to close the appeal proceedings based on the non-payment of the additional security for arbitration costs by the buyers. Now, after more than 2 years of arbitration, the Client finally has an enforceable award and will pursue the recovery of the awarded sum.

The team working on the case included the partner Ivan Kasynyuk, senior associate Dariia Zyma and associate Viktor Pasichnyk.