Recently the firm’s lawyers represented a foreigner company in a successful defense of claim brought against it by the Kuwaiti Company pertaining to arbitration clause in its Agency Agreement and won $2 million in the legal battle. The firm’s lawyers are proud to say that the client was successfully defended in order to ensure maximum justice. The claim concerned the existence and extent of the Foreign Company obligations to reimburse for the cost of works for a project. The major defense was that the Kuwaiti company has no jurisdiction to try a case in Kuwait where an arbitration clause is prescribed in the Agency contract. After several months of argument over the interpretation of the contract and the application of Kuwaiti law, including evidence from witnesses and experts, the claim was dismissed confirming that the Kuwaiti court has no jurisdiction. The court ruled that the power of the Arbitrator shall supersede a party’s right to seek relief from a local court.
This is an excellent outcome confirming the implementation of Contracts under Kuwaiti law and underlines how being able to draw upon a contract for the greater benefit of foreign clients.