FLORA EXPORTS Vs. IMPEX TRADING GMBH

JUDGEMENT

(1.) The Petitioner, Flora Exports, challenges an Award dated 16 th June 2010 passed by the sole Arbitrator (Respondent No.2) in the disputes between the Petitioner and the Respondent No.1 M/s Impex Trading GmbH, Germany (Impex) arising out of a contract entered into between the parties on 2 nd February 2006 for supply of 100% cotton throws by the Petitioner to Impex.

(2.) Impex is a company registered in Germany and has its office at Gronau, Germany. The Petitioner is a partnership firm based in Panipat engaged in the business of exports of 100% cotton throws. Under the contract in question, the Petitioner was to supply Impex by 30 th April 2006 at Ex-Bombay Port on CFR basis, 56,712 pieces of cotton throws in 9452 boxes. The goods were to be transported by a sea going vessel from Bombay to Rotterdam through Maersk Line (India) Pvt. Ltd. Further, the goods were to be taken by container trucks from Rotterdam to the warehouse of the Respondent No.1 at Greven, Germany under the supervision of Vat-Logistic Company, the agent of Impex.

(3.) The first consignment of four containers was delivered to Impex without any complaint. The second consignment of four containers, according to the Petitioner, left factory premises at Panipat after inspection by Mr. Tarun Bajaj, the authorized representative of Impex in India. It is stated that six pieces of cotton throws were packed in one carton and each carton was given a separate number for identification. It is stated that in all there were 4568 cartons which were made available for inspection to Mr. Bajaj before being stuffed in the four containers. The approval certificate dated 7 th June 2006 signed by Mr. Tarun Bajaj has been relied upon in this regard.