Al Ghurair Iron & Steel LLC (AGIS), Abu Dhabi, has won an arbitration award of US$4.36M against JSW Steel Ltd of India as a result of a breach of a contract by Ispat Industries Ltd (which has since been taken over by JSW Steel Ltd).
In 2008 AGIS entered into a contract with Ispat Industries (now owned by JSW Steel) to procure hot rolled coils. A dispute arose on the quality of the coils supplied by the then Ispat Industries and the matter was referred to arbitration courts in Mumbai, India.
After the hearings, which commenced in 2010, the tribunal issued its award in June 2013, holding that the coils supplied did not meet the specifications and hence the supply was in breach of the sales contract. The tribunal accordingly awarded AGIS US$4.36M as full refund of payment made for the hot rolled coils, along with interest and costs.