Congimex Companhia General v. Tradax Export S.A. - Court of Appeal (Sir John Donaldson M.R., Watkins & May L.JJ.) - 18 November 1982

C.I.F. Contract not frustrated where discharge prevented by change in law of country of discharge

Tradax sold 16,500 tons of soyabean meal to Congimex under four contracts of sale c.i.f. Free Out Lisbon. Shipment was to be in four instalments, the first in December 1974 and the last in August 1975. The terms of payment (for three of the contracts) required that a letter of credit should be opened in New York one or two months prior to each shipping period. For the fourth contract payment was to be cash against shipping documents in New York. The contracts incorporated GAFTA Form 100 and were governed by English law. They were not classic c.i.f. contracts in that they provided for an adjustment in the price upon the basis of delivered weights and further provided that weighing and sampling should take place at the time and place of discharge at the port of destination, i.e. Lisbon.