Successfully solve processing installment machines contract dispute

One worldwide Foreign Trade company, as Company A entrusts a factory as Company B for the works of installments of machines in China, in 2020, the world market is not good during the epidemic period, the sales of machines is decline, also because some quality problems arising from running of machines, a lots of machines were returned to warehouse by last customers. And company B does not deliver the machines on time according to contract. In result, company A does not pay the fees to company B. After that, the company B sued the company A in Chinese court for delaying payment. After the court accepts this case, and company A seeks legal service to our law firm. After reviewing this case, we consider that company B also has violated the contract in this case, because the machines have problems. Then company A has the defense right of simultaneous performance in this case. So, we on behalf of company A also seek counter-claim to company B in this case.

During the court hearing, the judge agrees with our opinion, considers that both parties shall perform their obligations according to contract. The company B also did not perform their obligations for providing qualified machines in this case. Through the negotiation by court, both parties reach settlement agreement at last. Company A shall pay company B in five months, at the same time, company B shall repair all machines and deliver qualified machines. In this case, our client has achieved the purpose of counter-claim, are satisfied with the works of our law firm.