STATEMENT OF FACTS
Nak chuy is the world’s largest crane manufacturing company . it was a very well known company. The company was well known for as it had good technology , quality and service. The was head quartered in Kaula Lumpur , Malaysia. Vishwakarma Hydraulics , a Mumbai based , Indian , crane- manufacturing company. Nak Chuy and Vishwakarma Hydraulics entered into a contract. The contract was that the cranes were to be supplied at cost of 400 crores for ten years. One crane was to be supplied each year over the ten years contract. The payment was to be made per year over the ten years.
The parties agrred that Nak Chuy will be applying for a license and pay registration fees , as per the Import and Export Act of 1954. Nak Chuy…show more content…
If yes, then how much damages should Nak Chuy be awarded? SUMMARY OF ARGUMENTS
There are three basic issues that have been cleared , firstly, there is a valid contract between Iyer Associates and Nak Chuy we can say so because under the Company Act ,1956 there is transfer of assets and liabilities ,so the contract of Vishwakarma Hydraulics is transferred to Iyer Associates creating a valid contract between Iyer associates and Nak chuy. Secondly, there is breach of contract done by Iyer Associates as they do not make payments to Nak Chuy for the delivery of cranes they made and fulfilled the contracts. There was to be fulfilment of the contract but as the payment was not made it was Breached by Iyer Associates. Thirdly, the point that has been explained that there has to be payment done to Nak Chuy by the Iyer Associates as they had caused damages by not making the payments. The Iyer Associates are libel to pay the money to Nak Chuy along with the some amount of interest as compensation. Nak Chuy had entered into a valid contract and deserved its payment and compensation with some interest as it went through some damages.
Whether there is an existing contract between Iyer Associates and Nak Chuy?
There is a valid contract between Iyer Associates and Nak Chuy. Vishwakarma