SwedFer is a Swedish metal company that produces wrought iron for the gate and railing industries. It is in the middle of negotiating a contract with Amerigate, an American wrought iron casting company, to supply the wrought iron used to create gates and railings.

The parties quickly determine the details of their contract, choosing the CISG as the governing law, and agree that the first delivery date will be in February to accommodate Amerigate's busy spring and summer installation season.

As opposed to shipping the wrought iron directly to Amerigate's casting site where the iron would be heated and moulded into customized shapes, Amerigate decides to save on production costs by contracting a moulding company in Sweden to create the customs gates and railings and then contracts an additional third-party carrier to transport the finished products on a specific delivery schedule to its warehouse in Idaho, U.S.

SwedFer fulfills its obligation by ensuring the wrought iron is delivered on time to the Swedish moulding company; the moulding company completes the order on time. However, the carrier does not deliver the gates and railing goods on time to Amerigate (i.e., as agreed in their contract for the shipment). As a result, the goods do not arrive for the busy spring and summer construction period and Amerigate lost a number of customers. On what grounds can Amerigate sue the carrier?

1. Breach of contract

2.Negligence

3.Fraud

4. .Force majeure

Answer rating: 100% (QA)

In the scenario described Amerigate the American wrought iron casting company may have grounds to sue the carrier for breach of contract Lets discuss ... View the full answer