Solving the trade dispute in the court litigation

February, 2024, the supplier issued the Commercial Invoice to Italy Company as buyer. The invoice stated that the goods were prime quality PPGI steel coils with different size and color, total quantity was 500 MT, Port of loading was Tianjin port. On the same day, supplier issued the packing list which stated the quantity of goods was 500 MT. However, after the goods reached destination port, buyer entrusted SGS for inspection and found that shortage of goods was huge. After we started the case in the court litigation, gave the evidence to court, certifying the shortage of goods, and demanding for the compensations; after our attorney diligent legal work, at last the court agreed with our opinion, and judged the supplier to compensate all the loses. And our client received the compensations at last.

According to Civil Code of the People’s Republic of China, Article 509, the parties shall fully perform their respective obligations as contracted. The parties shall comply with the principle of good faith, and perform such obligations as sending notices, rendering assistances, and keeping confidentiality in accordance with the nature and purpose of the contract and the course of dealing. Article 563, the parties may rescind the contract under any of the following circumstances: … (3) one of the parties delays his performance of the principal obligation and still fails to perform it within a reasonable period of time after being demanded;(4) one of the parties delays his performance of the obligation or has otherwise acted in breach of the contract, thus makes it impossible for the purpose of the contract to be achieved; Article 566, After a contract is rescinded, where the obligations have not yet been performed, the performance shall cease; where the obligations have already been performed, the parties may, taking into account the performance status and the nature of the contract, request restoration to the original status or other remedial measures taken, and have the right to request for compensation for losses.