Sup. Jud. Ct Mass.
2007
Pg. 372
Facts: AVX Corporation manufactures capacitors for electronic products. Tantalum is an elementary metal, as rare in nature as uranium, apply in the manufacture of those products. In January, 2001, AVX entered into a multi-year supply thin with Cabot Corporation, a major supplier of atomic number 73 mill and wire. In the years immediately preceding the contract, the tantalum market prosperous buyers and AVX purchased it from Cabot at preferable prices without entering binding, long-term contracts. When demand for capacitors and the tantalum used in their manufacture increased dramatically in late 2000, Cabot took advantage of what was then a sellers market to conduct aggressively a multi-year deal. Eighteen months after executing the contract, AVX brought casing of clothes in Federal court maintaining that it was the product of economic duress. ? When that suit was dismissed for lack of diversity jurisdiction, Cabot brought suit in the best Court seeking a declaration that the contract was reasonable and binding on the parties.
A Superior Court referee granted summary judgment for Cabot, concluding that there was no economic duress where the contract was the product of hard negociate and not any unlawful or wrongful act, and where the determine exchanged between the parties were not disproportionate. The judge also think that AVX had ratified the contract by its conduct, thereby waiving any claim of duress. AVX appealed.
Issue: The tantalum capacitors that AVX manufactures require the use of various grades of tantalum powder. Cabot is one of three significant producers of tantalum powder. By mid-2000, Cabot produced close to fifty per cent of the worlds total processed tantalum. All suppliers of tantalum powder sell nodular powder but save Cabot sells flake powder, which can operate at higher voltages. Cabot holds a patent on the process to make flake powder and AVX uses that powder in certain high...If you want to get a full essay, order it on our website: Ordercustompaper.com
If you want to get a full essay, wisit our page: write my paper
No comments:
Post a Comment