Before: Team Code: 27R
Before: Team Code: 27R
Before: Team Code: 27R
5th NLIU JUSTICE R.K. TANKHA MEMORIAL INTERNATIONAL ARBITRATION MOOT, 2020
Before
THE ARBITRAL TRIBUNAL
BARATHEON CITY, STARK PROVINCE
v.
UNDER
ARBITRATION RULES OF THE SINGAPORE INTERNATIONAL ARBITRATION CENTRE
( 6th EDITION, 1 AUGUST 2016 )
CASE CONCERNING
THE PART SUPPLY CONTRACT BETWEEN ARCEBOR POWER PRIVATE LIMITED AND
RENVIDORA NATIONAL POWER COMPANY LIMITED
TABLE OF CONTENTS
TABLE OF ABBREVIATIONS
INDEX OF AUTHORITIES
STATEMENT OF FACTS
PARTIES
1. Acrebor Power Private Limited, hereinafter referred as the CLAIMANT is a multinational
company and a leader in market energy in Xanier. It has a major manufacturing unit in
Xanier, which produces, sells and distributes industrial products. It sources most of its raw
material from Zorastra. It has been incorporated under the laws of Xanier and has its
principal office in Joeville, Xanier.
2. Renvindora National Power Company Limited hereinafter referred, as the RESPONDENT
is wholly owned by the Government of Yevadu. It has been incorporated under the laws of
Yevadu. It owns and operates thermal power plants in remote Yevadu. One of such thermal
power plants is located in Tullyland, Yevadu [“Tullyland Power Plant], for which this
agreement was entered into. It works under the authority and direction of the Minstry of
Power of the Government of Yevadu.
THE SUPPLY AND INSTALLATION AGREEMENT
3. The CLAIMANT and the RESPONDENT entered into an agreement in 2015 for the supply of
parts and components of the repair and maintenance Frame 15X turbines for a period of 15
years.
4. The Agreement was devised with a purpose of ensuring that the obsolete parts of the Frame
15X Turbines are to be inspected and identified by the CLAIMANT and replaced with new
parts. For the same reason Clause 3 in the Agreement stated at the commencement of each
year there would be an annual inspection by the CLAIMANT. The CLAIMANT for three years
honoured the agreement and sent a designated official to inspect, test and monitor the
turbines and the whole Tullyland Power Plant.
5. Through this Annual Inspection a Requisition List was prepared by the CLAIMANT’s
officials which contains a list of parts that are required to be supplied by the CLAIMANT.
These parts, according to Clause 3 would be supplied in installments by the CLAIMANT to
the RESPONDENT after the end of each quarter, i.e., on 31 March, June, September and
December. The RESPONDENT was to issue a formal purchase order in the name of the
CLAIMANT for the specified parts requisitioned for the particular quarter, fifteen days prior
to such delivery.The Clause also specified that the CLAIMANT is to maintain at least 85%
of Plant maintainability.
ISSUES RAISED
~I~
~ II ~
~ III ~
~ IV~
~V~
WHETHER THE CLAIMANT’S CONDUCT BREACHED THE AGREEMENT AND WHETHER THE
RESPONDENT WAS JUSTIFIED IN TERMINATING THE AGREEMENT?
SUMMARY OF ARGUMENTS
ARGUMENTS ADVANCED
1
Youssef Nassar, Are Unilateral Option Clauses Valid, WOLTERS KLUWER (Feb. 1, 2020, 7:57 PM),
http://arbitrationblog.kluwerarbitration.com/2018/10/13/are-unilateral-option-clauses-valid/.
2
Baron v. Sunderland Corporation, [1966] 2 QB 57.
3
Tote Bookmakers Ltd v. Development and Property Holding Co. Ltd., [1985] 2 WLR 603.
4
Bhartia Cutler Hammer Ltd. v. Avn Tubes Ltd., 1995 (33) DRJ 672.
5
Cl. Ex. C2.
6
S. Ltd (Republic of Korea) v. P. GmbH (Germany), Case No. 10113-0023, Award (Korean Comm’l Arb. Bd.
2011).
7
SIMON GREENBERG, et al., INTERNATIONAL COMMERCIAL ARBITRATION 21 (2011)
8
Jyoti Brothers v. Shree Durga Mining Co. AIR 1956 Cal 280
9
Jagdish Chander v. Ramesh Chander and Ors (2007) 5 SCC 719.
10
Vladimir Čolović, Lex Fori Concursus As The Basic Rule In The International Bankruptcy, 4 STRANI PRAVNI
ZIVOT, 86.
11
Bob Wessels, The Changing Landscape Of Cross-Border Insolvency In Europe, JURIDICA INTERNATIONAL (Jan.
27, 2020, 11:17 PM), https://www.juridicainternational.eu/the-changing-landscape-of-cross-border-insolvency-
law-in-europe.
12
Vladimir Čolović, Lex Fori Concursus As The Basic Rule In The International Bankruptcy, 4 STRANI PRAVNI
ZIVOT, 86.
13
Michael Crystal, The Golden Thread’: Universalism And Assistance In International Insolvency, JERSEY LEGAL
INFORMATION BOARD (Jan. 29, 2020, 3:03 PM),
https://www.jerseylaw.je/publications/jglr/Pages/JLR1102_Crystal.aspx.
14
The Insolvency and Bankruptcy Code, 2016, Section 14.
15
The Insolvency and Bankruptcy Code, 2016, Section 238.
16
K. S. Oils v. The State Trade Corporation of India, 2018 SCC OnLine NCLAT 352.
17
Alchemist Asset Reconstruction Company Ltd v. Hotel Gaudavan Pvt. Ltd. & Ors., 2017 SCC OnLine SC 1362.
18
Vanessa Finch, The Measures of Insolvency Law, 17(2) OXF. J. LEG. STUD. (1977).
19
Prabhakar Yadav, Conundrum Surrounding Applicability Of Moratorium Under IBC To Attachment
Proceedings Under PMLA, INDIA LAW JOURNAL (Jan. 27, 2020, 10:26 PM),
https://www.indialawjournal.org/applicability-of-moratorium.php.
20
Innoventive Industries Ltd v. ICICI Bank Ltd, 2010 (1) SCC 407.
21
Prabhakar Yadav, Conundrum Surrounding Applicability Of Moratorium Under IBC To Attachment
Proceedings Under PMLA, INDIA LAW JOURNAL (Jan. 27, 2020, 10:26 PM),
https://www.indialawjournal.org/applicability-of-moratorium.php.
22
JULIAN D. M. LEW et al., COMPARATIVE INTERNATIONAL COMMERCIAL ARBITRATION 273 (1st ed. 2003).
23
NIGEL BLACKBAY, et al., REDFERN & HUNTER: LAW AND PRACTICE OF INTERNATIONAL COMMERCIAL
ARBITRATION 18 (6th ed. 2015).
24
Emanuel Gaillard & George Bermann, New York Convention Guide, NEW YORK CONVENTION GUIDE (Jan. 31,
2020, 8:47 PM)
http://newyorkconvention1958.org/index.php?lvl=cmspage&pageid=10&menu=729&opac_view=-1.
25
K. S. Oils v. The State Trade Corporation of India (2018 SCC OnLine NCLAT 352); Alchemist Asset
Reconstruction Company Ltd v. Hotel Gaudavan Pvt. Ltd. & Ors. (2017 SCC OnLine SC 1362).
26
Resp. Ex. R3.
27
Arbitration Rules of the Singapore International Arbitration Centre SIAC Rules, 2016, Rule 39.1.
28
The IBA Guidelines on Conflict of Interest in International Arbitration, 2014 (Jan. 17, 2010, 5:30 PM),
https://www.ibanet.org/Publications/publications_IBA_guides_and_free_materials.aspx#Practice%20Rules%20
and%20Guidelines.
29
The Report of the ICCA-Queen Mary Task Force On Third-Party Funding In International Arbitration, 83, (31
Oct. 2017), https://www.arbitration-
icca.org/media/10/40280243154551/icca_reports_4_tpf_final_for_print_5_april.pdf.
30
Arbitration Rules of the Singapore International Arbitration Centre SIAC Rules, 2016, Rule 13.4.
31
Arbitration Rules of the Singapore International Arbitration Centre SIAC Rules, 2016, Rule 13.5.
32
Muhammet Cap & Sehil Insaat Endustri ve Ticaret Ltd. Sti. v. Turkmenistan, ICSID Case No. ARB/12/6,
Procedural Order No. 3 of June 12, 2015.
33
EuroGas Inc. and Belmont Resources Inc. v. Slovak Republic, ICSID Case No. ARB/14/14; RSM v. Saint Lucia,
ICSID Case No. ARB/12/10.
34
South American Silver v. Bolivia, PCA Case No. 2013-15, Award of November 22, 2018, 8 at ¶ 43; Procedural
Order No. 10 of January 11, 2016.
35
SIAC Practice Note on Administered Cases On Arbitrator Conduct In Cases Involving External Funding, PN-
01/17 (31 March 2017), Practice Note No. 3(c) read with 3(a),
http://www.siac.org.sg/images/stories/articles/rules/Third%20Party%20Funding%20Practice%20Note%2031%2
0March%202017.pdf.
36
Ibid. Practice Note No. 5.
37
Arbitration Rules of the Singapore International Arbitration Centre SIAC Rules, 2016, Rule 27(c).
38
See Notice to Arbitration, 9 at ¶16; Cl. Ex. 11; Cl. Ex. 15; Cl. Ex. 16.
39
Resp. Ex. R3.
40
Arbitration Rules of the Singapore International Arbitration Centre SIAC Rules, 2016, Rule 27(j).
41
SIAC Practice Note on Administered Cases On Arbitrator Conduct In Cases Involving External Funding, PN-
01/17 (31 March 2017), Practice Note No. 3(c) read with 3(a),
http://www.siac.org.sg/images/stories/articles/rules/Third%20Party%20Funding%20Practice%20Note%2031%2
0March%202017.pdf.
42
Ibid. Practice Note No. 10 and 11.
43
S&T Oil Equipment & Machinery Ltd v. Romania, ICSID Case No. ARB/07/13.
44
RSM v. St Lucia, ICSID Case No. ARB/12/10.
45
Arbitration Rules of the Singapore International Arbitration Centre SIAC Rules, 2016, Rule 7.
46
Ibid.
47
PT First Media TBK v. Astro Nusantara International BV,[2013] SCGA 57.
48
United Nations Convention on the Recognition and Enforcement of Foreign Arbitral Awards, 1958, 21 U.S.T.
2518, 330 U.N.T.S. 3.
49
ICC award no. 2138 (1974).
50
Cl. Ex.C1& C2.
51
Cl. Ex.C4.
52
See Opposition to the Request for Joinder of Parties.
53
United Steelworkers of America v. Warrior & Gulf Navigation Co., 363 U.S. 574 (1960).
54
Dallah v Pakistan [2009] 1 All ER (Comm) 505.
55
FG Hemisphere Assocs LLC v La Générale des Carrières et des Mines SARL, [2012] UKPC 27.
56
First National City Bank v Banco para el Comercio Exterior de Cuba 462 U.S. 611.
57
The United Nations Convention on Contracts for the International Sale of Goods, 1980, Art. 61.
58
The United Nations Convention on Contracts for the International Sale of Goods, 1980, Art. 62-65.
59
The United Nations Convention on Contracts for the International Sale of Goods, 1980, Art. 25.
60
Landgericht Oldenburg, 27 March 1996, 12 O 2541/95. See University of Freiburg Database, http://www.cisg-
online.ch/cisg/urteile/188.htm; Robert Koch, ‘The Concept of Fundamental Breach of Contract under the United
Nations Convention on Contracts for the International Sale of Goods (CISG)’, in: Review of the Convention on
Contracts for the International Sale of Goods (CISG) 1998 (1999) 177, 236.
61
Bulgarian Chamber of Commerce and Industry, Bulgaria, 12 February 1998, Unilex; CLOUT case No. 102
[Arbitration Court of the International Chamber of Commerce, 1989 (Arbitral award No. 6281)]; CLOUT case
No. 277 [Oberlandesgericht Hamburg, Germany, 28 February 1997]; CLOUT case No. 166 [Schiedsgericht der
Handelskammer Hamburg, Germany, 21 March, 21 June 1996].
62
Rechtbank van Koophandel Hasselt, Belgium, 2 May 1995.
63
The United Nations Convention on Contracts for the International Sale of Goods, 1980, Art. 79 (1).
64
CISG Digest 2016 para 10 p.375; CLOUT case No. 140 [Tribunal of International Commercial Arbitration at
the Russian Federation Chamber of Commerce and Industry, Russian Federation 16 March 1995 (Arbitral award
No. 155/1994)].
65
See, e.g., Barry Nicholas, who observed that exemption of liability on account of unexpected and excessive
economic hardship was “out of place” in a sales law. Progress Report of the Working Group on the International
Sale of Goods on the Work of its Fifth Session (A/CN.9/87, Annexure III, reprinted in UNCITRAL YEARBOOK
V:1974 (1975) at 66.
66
Report Of Committee Of The Whole I Relating To The Draft Convention On The International Sale Of Goods
(A/32/17, Annex I, Paras. 458-60), Reprinted In UNCITRAL Yearbook VIII: 1977 (1978), 57; CISG Advisory
Council Opinion No. 7, Available at http://www.cisgac.com/cisgac-opinion-no7-p2/#fn.
67
CLOUT case No. 166 [Schiedsgericht der Handelskammer Hamburg, Germany, 21 March, 21 June 1996].
68
Oberlandesgericht Hamburg, Germany, 4 July 1997, Unilex.
69
CLOUT case No. 271 [Bundesgerichtshof, Germany, 24 March 1999]; CLOUT case No. 272
[Oberlandesgericht Zweibrücken, Germany, 31 March 1998]; The Bundesgerichtsh of (CLOUT case No. 271)
generalized that a supplier’s breach is normally something that, for purposes of article 79, the seller must avoid
or overcome; CLOUT case No. 140 [Tribunal of International Commercial Arbitration at the Russian Federation
Chamber of Commerce and Industry, Russian Federation, 16 March 1995 (Arbitral award No. 155/1994)].
70
Cl. Ex. 11, p.23.
71
Parts Supply Agreement, Clause 9.0.
72
The United Nations Convention on Contracts for the International Sale of Goods, 1980, Art. 33.
73
Part supply Agreement, Clause 3.0.
74
The United Nations Convention on Contracts for the International Sale of Goods, 1980, Art. 8(1).
75
The United Nations Convention on Contracts for the International Sale of Goods, 1980, Art. 8(2).
76
Cour de Justice de Genève May. 12, 2006, CISG-ONLINE NO. 1726 (Switz.) http://www.cisg-
online.ch/content/api/cisg/urteile/1726.pdf; U.S. District Court for the Southern District of New York Jan. 18,
2011, CISG-ONLINE NO. 2178 (U.S.), http://cisgw3.law.pace.edu/cases/110118u1.html.
77
Oberlandesgericht Frankfurt am Main Aug. 30, 2000, CISG-ONLINE NO. 594 (Ger.)
http://www.cisg.law.pace.edu/cisg/text/000830g1german.html; U.S. Court of Appeals (11th Circ.) Jun. 29, 1998,
CISG-ONLINE NO. 342 (U.S.) http://www.cisg-online.ch/content/api/cisg/urteile/342.
78
The United Nations Convention on Contracts for the International Sale of Goods, 1980, Art. 8; Bezirksgericht
St. Gallen, Präsidium Jul. 3, 1997, CISG-ONLINE NO. 336 (Switz.) http://www.cisg-
online.ch/content/api/cisg/urteile/336.pdf;
79
Cl. Ex. C17.
80
Ibid.
81
Cl. Ex. C18.
PRAYER
In the light of all the submissions made, the RESPONDENT hereby respectfully requests the
Tribunal to ADJUDGE and DECLARE that:
1. The Tribunal does not have jurisdiction over the dispute due to non-validity of the
arbitration clause.
2. The Tribunal is devoid of jurisdiction over the dispute due to the order of NCLT.
3. The Ministry of Power, Govt. of Yevadu should not be joined as a party to the
proceedings.
4. The RESPONDENT has not wrongfully avoided the Agreement.
5. The CLAIMANT’S conduct resulted in a fundamental breach of the Agreement.
Sd/
(Counsels on behalf of the RESPONDENT)