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English Commercial Court: open price for additional quantities held to be an unenforceable agreement to agree in KSY Juice Blends v Citrosuco (SGA 1979, s 8)

Published on: 19 September 2024

Published by a LexisNexis Commercial expert
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Article summary

KSY Juice Blends UK Ltd v Citrosuco GmbH [2024] EWHC 2098 (Comm)

In this decision, the court held that the parties’ omission to settle the price for any additional product to be delivered under the sale arrangement meant there was no binding commitment for those further amounts—only an unenforceable agreement to agree.

The background facts

The contract, made in 2018, related to the sale of a product described as orange pulp wash, or “wesos”. The price for wesos under the agreement was linked to Brix and adjusted according to the Brix value. Brix measures the quantity of dissolved solids in a liquid by its specific gravity. The “Brix unit” is widely used in the orange juice sector as a pricing measure. The contract set a fixed quantity of 1,200 MT per year for 2019 to 2021. Among other provisions, it stated:

  • 3. Price — invoicing price is 1.600 euro/mt for 60 Brix;
  • price adjustable in line with Brix value by plus or minus 5 Brix;
  • free trucks to be offered by the seller according to the agreed volume and price of each year.
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