Zimbabwe Leaf Tobacco Company (Pvt) Ltd v Robert Allen Stokes and Daniel Tivardar N.O.

HH 458-23

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Case Details

Court

Harare High Court

Date

26 July 2023

Citation

HH 458-23

Neutral Citation

[2023] ZWHH 458

Outcome

unknown

Case Type

Application

Bench

Presiding

CHINAMORA J

Full Bench

CHINAMORA J

Areas of Law

Arbitration LawExchange Control LawCommercial Law

Keywords

arbitral awardsetting asidepublic policyoffshore fundstobacco grower contractforeign currencyStatutory Instrument 61 of 2004Finance Act (No. 2) of 2019

Key Issues

{"issue_text":"Whether the arbitral award conflicts with the public policy of Zimbabwe.","issue_type":"law","dispositive":"yes","related_facts":"The arbitrator's order for repayment in Zimbabwean Dollars at a 1:1 rate for a debt advanced in offshore US Dollars."}
{"issue_text":"Whether the debt, being a foreign loan advanced from offshore funds, is payable in United States Dollars.","issue_type":"law","dispositive":"yes","related_facts":"The nature of the funds advanced and the applicable statutory instruments."}

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Facts of the Case

Background

The applicant, a tobacco merchant, advanced funds to the first respondent under a Tobacco Grower Contract Agreement using offshore funds. A dispute arose regarding whether repayment should be in US Dollars or Zimbabwean Dollars. The arbitrator ordered repayment in Zimbabwean Dollars at a 1:1 rate. The applicant sought to set aside this award, arguing it violated public policy as the funds were offshore and should be repaid in foreign currency.

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