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Contracts Keyed to Jimenez
Filanto, S.p.A. v. Chilewich International Corp.
Facts
Filanto, S.p.A. (Filanto) (plaintiff), an Italian shoe maker, consented to sell a substantial number of boots to Chilewich International Corporation (Chilewich) (defendant), a New York export-import firm, to be sent to Moscow. Preceding making the agreement with Filanto, Chilewich had entered an agreement committing Chilewich to send boots to a Russian company. The Russian contract incorporated an understanding expecting disputes to be mediated in Moscow. The Filanto-Chilewich contract was then commenced by a memorandum agreement sent from Chilewich to Filanto with respect to two shipments of boots to Russia, expressing that the Russian contract's terms would represent the agreement amongst Chilewich and Filanto. Five months after Chilewich sent the memorandum agreement, and two months after Chilewich opened a line of credit for Filanto on the agreement, Filanto signed and returned the memorandum agreement with a note expressing that Filanto saw just three parts of the Russian contract to apply to the Filanto-Chilewich contract. A debate emerged between the parties, and Filanto documented suit against Chilewich. After filing, however, Filanto sent a letter to Chilewich that relied on a Russian contract agreement that was not one of the three parts Filanto accepted to dispute Chilewich’s claim that some of the boots were in poor condition. Chilewich contended that the Russian contract framed only part of the Filanto-Chilewich contract, with the end goal that the dispute had to be mediated in Moscow. Filanto moved to order arbitration or to rather hold arbitration proceedings in New York.
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