By Staff Writer
Banjak Frozen Food and MS Global Company, based in the Kingdom of Bahrain, have amicably resolved their long-standing commercial dispute. The settlement follows MS Global’s acknowledgment of liability for twelve (12) 40-foot containers of defective frozen chicken supplied to Banjak. In recognition of this, MS Global has agreed to deduct US$140,234.50 from the total claim of US$467,103.50, leaving a balance of US$326,860. Both parties accepted these terms, resulting in the withdrawal of the case from the Commercial Court.
As part of the agreement, Banjak has already made a payment of US$164,860 against the remaining balance, reducing the amount owed to US$162,000.
The dispute initially arose when MS Global denied responsibility for the defective shipments, which included chicken upper backs, carcasses, and fish. Banjak consistently rejected claims that it had refused to pay the full amount, arguing that payments were only paused until MS Global acknowledged the defects, which they have now done.
Banjak and MS Global have shared a previously cordial business relationship, with Banjak maintaining timely payments for all deliveries. However, Banjak’s staff have expressed concern over misinformation spread on social media by MS Global. This negative publicity has damaged Banjak’s reputation and caused significant financial losses, with some international suppliers losing trust in the company.
“We stopped payment only because MS Global initially refused to admit the shipments were faulty,” a Banjak staff member noted. “Their refusal to tell the truth and their public claims have hurt our reputation. Accepting such defective products would have led to a fall in sales and reduced revenue.”
During the agreement, Banjak was represented by a team of lawyers from Heritage Partners and Associate, while MS Global Company represented by lawyers from Justice Advocates and Partners.
The claim was first raise by Cllr. Albert S. Sims, who is the Attorney-In-Fact of Global Company. Global Company through Cllr. Sims notified the court that Banjak had made prompt discharge of its obligations arising out of or in connection with the first two consignments of commodities supplied equal to a total of 48 tons, valued at US$66,340.00.
But for the twelve (12) 40-foot containers of frozen food commodities supplied Banjak was disappointingly not met with the same promptitude with which he had settled previous invoices for the first two (2) consignments of the commodities.
Cllr. Sims claims that the products within the containers value is US$467,013.50, and was requesting that Banjak should paid for the supplied goods.
In counterargument Banjak agreed to receiving the twelve (12) 40-foot containers with frozen food commodities; specifically, chicken upper backs, chicken carcasses, and fish, but said, the containers were defective. Banjak agreed to make the payment but Global Company should agree to make a reductions in the price of the commodities supplied to them.