MANUFACTURING AND INDUSTRIALS
Designer (France) v. Manufacturer (Germany), Final Award, ICC Case No. 19114
A dispute arising over a contract for a German Manufacturer to produce, distribute, and sell a French Designer’s product line. Manufacturer unilaterally terminated the contract after Designer entered insolvency proceedings, after which it continued production of Designer’s line. When Designer commenced arbitration before an ICC panel seated in Brussels, Manufacturer attempted to revoke its previous termination, only to terminate the contract again approximately two months later. The ICC tribunal found that Manufacturer’s first termination constituted a breach of contract, that it could not be withdrawn, and that Manufacturer shall compensate Designer for the damages caused by this wrongful termination.