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The representatives of Tucan and suppliers Techno and Boost met with a mediator to resolve a dispute over a failed satellite launch contract. The key issues were Tucan seizing the suppliers' equipment, voiding the contract due to a new anti-corruption regime, and unpaid fees. They agreed to return the seized equipment if the suppliers pay transport costs, conduct a joint investigation into liability for the launch failure, and have the suppliers potentially waive unpaid fees depending on the investigation's findings. [END SUMMARY]

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Helen Joy Grijaldo Juele
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240 views

Adr Group 4 Script

The representatives of Tucan and suppliers Techno and Boost met with a mediator to resolve a dispute over a failed satellite launch contract. The key issues were Tucan seizing the suppliers' equipment, voiding the contract due to a new anti-corruption regime, and unpaid fees. They agreed to return the seized equipment if the suppliers pay transport costs, conduct a joint investigation into liability for the launch failure, and have the suppliers potentially waive unpaid fees depending on the investigation's findings. [END SUMMARY]

Uploaded by

Helen Joy Grijaldo Juele
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 6

TUCAN VS BOOST

CHARACTERS:
1. MEDIATOR – MINISTRY OF DEFENSE VICE MINISTER

2. TUCAN OFFICIAL 1
3. TUCAN OFFICIAL 2
4. TUCAN OFFICIAL 3

5. COUNSEL FOR BOOST


6. REPRESENTATIVE OF BOOST

7. COUNSEL FOR TECHNO

SCENE 1
(SETTING THE STAGE)

MEDIATOR: Good day! So I would like to thank everyone for participating


in this mediation process. Remember that this is a venue where you can
talk about what really happened so that this issue will be settled or we
come up with better agreements. To help us all work together again, we
need to discuss ways of settling this issue.

Let me introduce myself. I am the MINISTRY OF DEFENSE VICE MINISTER


I’m not here to make decisions or judgments but to help you come up with
better solutions to your problem. With that, I will be neutral and impartial.

Before we get started, here are the ground rules for this mediation. I
expect everyone to be honest. More importantly, I want everyone to be
respectful with each other. If possible, I expect everyone to speak one at a
time and I promise that each party will be given the opportunity to say
what they want.

This mediation process is also voluntary and as your mediator, I can


terminate the process at any time. And based on our Agreement to
Mediate, rest assured that this mediation will remain confidential. Do either
of the parties have anything to add? If we’re all okay with the rules, let’s
begin.

SCENE 2
(SHARING PERSPECTIVES)

MEDIATOR: I would like to start by asking the representative of Tucan.


Can you tell us what happened?

TUCAN REP. 1: The Republic of Tucan wanted to launch a weather


satellite project. The lowest responsive bid was presented as two
complementary proposals by Techno and its subsidiary, Boost.

TUCAN REP. 2: We set forth our contract and both parties agree that
there shall arise a dispute between two parties, it shall resort to
nonlitigious means under the UNCITRAL Procedures, which either party
may demand and which shall be pursued in California under Tucanian law
provided that where transnational law gives the non-state parties greater
rights and protections than Tucanan law, transnational law shall apply.

TUCAN REP. 3: The target date to launch the satellite was on October 21,
2006. It was perceived that the progress at the Gola pad seemed to be
behind schedule. However, the suppliers issued a fax stating that they
were on schedule. Then, it was realized that they had different dates of
completion. The suppliers were apologetic and realized they cannot render
the satellite launch-ready any sooner than October 20, 2006.

TUCAN REP 1.: But the two suppliers stated that despite the difficulties,
they announced that the satellite was launch-ready on October 21. When
launched, the satellite failed. It fell to earth in the Bay of Renvoi.

MEDIATOR: What has been the hardest thing for the state?

TUCAN REP. 2: Well, the failed launch was a political disaster for
President de la Roche. She lost the election by landslide. Then, the whole
state is now in favour of the new regime.
MEDIATOR: Okay. Now, may I hear the side of Techno and Boost?

COUNSEL FOR BOOST: Tucan has seized all equipment and other
property related projects belonging to the supplier. The contract was for
S27 million. Techno and Boost have received S16 million. The equipment
left behind would cost S10 million and it would cost S100,000 to transport
back to the US. We have no insurance in this dispute.

MEDIATOR: What has been the hardest thing for the suppliers? How does
it affect the business?

COUNSEL OF TECHNO: The Tucanian Sovereignty Law made a decision


to render void ab initio or invalid any contract or clause subject to any
foreign laws or foreign binding procedures.

COUNSEL FOR BOOST: Said law by its terms was “retroactive and self-
executing. The new regime does not trust any contracts established by the
old regime. Thus, as stated in the said law, it nullified any rights that Boost
and Techno may have under the contracts in the dispute resolution
clauses.

SCENE 3
(DETERMINING INTERESTS)

MEDIATOR: So as I understand it, there were difficulties to launch the


satellite on the scheduled date which is on October 21, 2006, but the
suppliers said this can be pushed through?

*parties nodding*

MEDIATOR: However, the satellite launch failed. As a result, this lead to a


political disaster to Pres. Dela Roche. And now the new regime wanted
that any contracts relating to foreign agreements, shall be null and void?

*parties nodding*
MEDIATOR: Now that we have heard how all of you have been affected
in some way by what has happened, is there anyone would like to say at
this point?

TUCAN REP.1: Because of the failure of the suppliers, the satellite was
not launched according to plan. It was even broadcasted over live
television.

REPRESENTATIVE OF BOOST: We did everything required under the


contract and this document generated from the project supports our claim.
Also, there was no evidence that the delay caused the launch to fail. The
cause of the failure to lift the satellite was probably Tucan’s securing of
substandard fuel.

COUNSEL OF TECHNO: Nothing in the contract stipulating that we give


the properties to Tucan. Those were used to assemble the pre-fab
components of the satellite. It is simply expropriation. There was also
modification in the contract that the launching shall be done by the eve of
the elections.

TUCAN REP. 2: The properties left behind was abandoned so it was


reverted to the State of Tucan. The seizure is justified because of the
corruption made by the old regime.

TUCAN REP. 3: Suppliers also were in the best position to know that fuel
stabilizers shall be used. Moreover, there was no modification of contracts
done in the first place. Under Tucanian law, it must be supervised by a
Notare, but there’s none.

SCENE 4
(SETTING OUT THE ISSUES)

MEDIATOR: So it has been stated that the issues here is the properties of
the suppliers expropriated by Tucan, the remaining balance of the contract,
and the State of Tucan voiding the contract. With these, what suggestions
do you have that will stop any further harm?
COUNSEL FOR BOOST: I suggest that we follow the former contract
between the former administration and us the suppliers.

TUCAN REP. 1: I suggest that we also need to consider the sentiments of


the new regime and its people. The former regime is alleged to be corrupt.
Thus, any agreements contracted by the former regime abroad are
deemed as null and void.

SCENE 5
(BRAINSTORMING OPTIONS/ALTERNATIVES

MEDIATOR: What would you like to see come out of today’s meeting?

TUCAN REP. 1: I think the State would be willing to return their


properties provided that they will shoulder all the cost of the expenses to
the US.

TUCAN REP. 2.: Because of the failed launch, it could be impossible for
the state to pay the remaining balance. The new regime seemed hostile in
dealing with almost all of the activities and agreements entered into by the
old regime.

MEDIATOR: What is your view in this? (referring to Boost and Techno)

COUNSEL FOR BOOST: We insist that we follow the contract since us,
suppliers, did follow the contract. After all, the cause of the failed satellite
was not determined.

SCENE 6
(SELECTING AND CONFIRMING RESOLUTION)

MEDIATOR: What will each of you now do to settle the issues?

TUCAN REP. 2: I think we will just return their properties back. It’s not
good for the State’s image to claim a property that wasn’t ours in the first
place. Provided, they will shoulder the expenses in transporting those to
the US.

TUCAN REP. 3: Since, this dispute is still hot in Tucan, I suggest that we
will present this issue to the new administration. They shall investigate as
to who is liable for the failure in the launching of the satellite.

REPRESENTATIVE OF BOOST: If that’s the case, we will send our


personnel also in the investigation. When found that failure is in our end,
the could waive claiming the remaining balance as per stipulated in the
contract.

TUCAN REP. 1: Yes, we agree to that.

SCENE 7
(CLOSURE AND DEPARTURE)

MEDIATOR: Okay, so right now, I will repeat the agreement of both


parties. The State of Tucan will return all the machineries of suppliers,
provided that they will shoulder the expense in returning it to the US.
Moreover, this issue will be subject to investigation in Tucan and they shall
investigate as to who is liable for the failure in the launching of the
satellite. Suppliers Techno and Boost will send also their own personnel to
ensure fairness in the investigation. And when found that suppliers are
liable, then they could waive claiming their remaining balance as per
stipulated in the contract.

*Parties all nodding*

MEDIATOR: All the notes of this meeting will be destroyed and


confidentiality be maintained about the process. So thank you for being
involved. It has allowed us to share and understand what has happened
and importantly provided the opportunity to find positive ways of building
better relationships with one another.

*Parties shake hands*

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