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High Court refuses to set aside a plenary summons issued by a purchaser, claiming damages of over €9 million arising from the supply of molasses which was contaminated with a banned substance, on the grounds that: (a) the evidence pointed to the fact that the contract was agreed under the purchaser's terms and conditions, which meant that the courts of Ireland had jurisdiction to determine the dispute; (b) even if the contract had been agreed under the supplier's terms and conditions, they did not unequivocally incorporate the standard terms of the Grain and Feed Trade Association (GAFTA) contract, which would have applied the laws of England to the dispute, where the GAFTA contract concerned the supply of dried foodstuffs rather than molasses.
Application to set aside service of plenary summons - whether courts of Ireland had jurisdiction to hear dispute - application to refer dispute to arbitration - Article 8 of the UNCITRAL Model Law on International Commercial Arbitration - Grain and Feed Trade Association (GAFTA) contract - domicile clause in contract - laws of England - plaintiff's terms and conditions - question of which terms and conditions applied to contract - 'battle of the forms' - supply of molasses for use in animal feed - purchase of molasses by plaintiff company - purchase contract - whether consigments were defective - allegedly contained banned substance - Zilpaterol hydrochloride - direction by State authority that plaintiff detain any feeds that might contain banned substance - alleged loss by plaintiff of €9 million - claims against plaintiff by purchasers of product - affidavit evidence - evidence of law of England and Wales - competing laws - whether a framework agreement - date of conclusion of contract - point at which contract between parties was concluded - whether terms of GAFTA contract were incorporated into contract - 'last shot' doctrine - whether terms of GAFTA contract were applicable to contract in question.
Note: This is intended to be a fair and accurate report of a decision made public by a court of law. Any errors should be notified to the editor and will be dealt with accordingly.
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