FOSFA https://fortiorlaw.com/news/fosfa-arbitration/ has three main areas of activity. One is a platform for business development and protection, and manages arbitration. Then draft a standard pro forma contract. According to FOSFA, 85% of the world's fats and oils trade is traded under his FOSFA contracts.
FOSFA (Federation of Oil Seeds and Fats Associations) is an organization founded in London in 1863 with the primary purpose of protecting and promoting the oil and seed trade.
There are currently over 50 pro forma FOSFA contracts signed. Each contract has a number and differs in products and delivery standards. For example, FOSFA 53 is used for the sale of vegetable and fish oils on FOB terms. FOSFA 54 is used for buying and selling the same commodity on CIF terms. FOSFA 4a is used for European oilseed trade.
Applicable Law and Arbitration Clause. The FOSFA Agreement stipulates that disputes between the parties shall be governed by English law.
At the same time, the FOSFA Model Arbitration Clause has its own peculiarities (the so-called “Scott v. Avery” clause). In contrast to the same GAFTA arbitration clause, the FOSFA clause prohibits parties from seeking interim measures from the courts, such as a "worldwide freeze order" (WFO). If a party includes Model FOSFA clauses in its contract but does not wish to be limited to clauses that prohibit obtaining interim measures, then the clauses in this part should be exempted from application. In the event of a breach of this provision (e.g., if a party seizes disputed goods), the other party may apply to the High Court for an "anti-suit injunction," a court order prohibiting litigation. It will not be heard outside of arbitration. Usually, the order also stipulates the costs payable by the party who violates the clause.
What rules must apply? The latest version of the Arbitration Rules is dated April 1, 2021. Please note that the rules in force at the time the contract is entered into should apply, not at the time the dispute arises. For example, if the contract was entered into in December 2020 and the dispute arose on or after April 1, 2021, his FOSFA Arbitration Rules dated April 1, 2020 would apply, not April 1, 2021 will be
The rules and pro forma are not published and are paid. Older pro forma contracts and regulations are available to FOSFA members upon request.
Please note that FOSFA regularly updates its arbitration rules and formats. Such updates may be substantial and may significantly affect the outcome of the arbitration. For example, his current FOSFA Arbitration Rules extend the time limit for quality claims from 120 days to one year.