Bunge SA v Nidera BV [2013] EWHC 84 (Comm)

Sale of goods – Wrongful repudiation – GAFTA Clauses – Construction of GAFTA Prohibition Clause and Default Clause – Parties agreeing by sale contract to export wheat from Russia – Ban of export of wheat – Effect of GAFTA Prohibition Clause – Anticipatory repudiatory breach – Liability – Quantum of damages

On 5 August 2010, the same day that a vessel was nominated to take delivery of the quantity of wheat that the parties had agreed to export from Russia, the Russian government published a decision to ban the export of wheat. Sellers considered the contract thereby automatically cancelled according to the GAFTA Prohibition Clause.