Cairo, Egypt, 15 November, 2023 – Shehata & Partners is pleased to announce a significant victory on behalf of our client in a complex USD 3.5 million trade finance case against three Egyptian Banks.
The case involved a cash against documents (CAD) transaction, where for the Swiss Nutrition Company, the exporter, shipped goods to an Egyptian importer. The Swiss bank of the company provided the Egyptian banks with documents allowing the importer to receive the goods, with the expectation of receiving the payment first. However, the Egyptian banks released the documents prematurely, enabling the importer to access the goods without settling the payment.
This case has presented unique challenges. While governed by the International Chamber of Commerce (ICC) Rule No. 522, there was no legal precedent for such a dispute before Egyptian courts.
Our team has successfully argued this case and has overcome the hurdle of limited legal precedents for CAD transactions before Egyptian courts. Accordingly, we have secured a favorable judgment for the Swiss Nutrition Company in December 2021. We have further defended the judgment against a Cassation Challenge in September 2022, ultimately collecting the full debt owed to our client in 2023.
This victory demonstrates our firm’s expertise in handling complex international trade disputes and our unwavering commitment to achieving the best possible outcomes for our clients.
Please contact Mohamed Osama (os@shehatalaw.com) for any inquiries regarding this press release.
