SHAANXI DIESEL ENGINE HEAVY INDUSTRY CO LTD v LIN NINGFA

[2016] 6 CMCLR 31

ZHEJIANG HIGH PEOPLE'S COURT OF CHINA(CIVIL JUDGMENT)

Before Presiding Judge Shengdong,Deputy Judge Jianfang,Deputy Judge Jianfeng,Court Clerk Lei

Ship sales contract dispute - Main engine supplier to sell ship engine to buyer - Buyer concluded ship building contract with third party = Supplier failed to timely deliver engine = Third party cancelled contract and claimed against buyer = Buyer settled with third party and sold vessel to another party = Whether loss of reduced ship sales price is claimable = Principle of foreseeability = Can supplier invoke force majeure as defence after delayed delivery of engine.