Cabot Analysis

Cabot Corporation v. AVX Corporation Sup. Jud. Ct Mass. 2007 Pg. 372 Facts: AVX Corporation compensates capacitors for electronic products. atomic fare 73 is an elementary metal, as rare in nature as uranium, apply in the manufacture of those products. In January, 2001, AVX entered into a multi-year summate thin with Cabot Corporation, a major supplier of atomic number 73 mill and wire. In the years immediately precede the hack, the atomic number 73 market prosperous buyers and AVX purchased it from Cabot at preferable prices without immersion binding, long-term contracts. When demand for capacitors and the tantalum used in their manufacture increased dramatically in late 2000, Cabot took advantage of what was and so a changeers market to conduct aggressively a multi-year deal. 18 months after executing the contract, AVX brought casing of clothes in national court maintaining that it was the product of economic durance. ? When that suit was dismissed for ne glect of diversity jurisdiction, Cabot brought suit in the best Court pursuance a declaration that the contract was reasonable and binding on the parties.

A Superior Court referee granted synopsis judgment for Cabot, concluding that there was no economic duress where the contract was the product of hard negociate and not some(prenominal) unlawful or wrongful act, and where the determine exchanged in the midst of the parties were not disproportionate. The judge also think that AVX had ratified the contract by its conduct, thereby waiving any claim of duress. AVX appealed. Issue: The tantalum capacitors that AVX manuf actures require the use of various grades of! tantalum powder. Cabot is one of tether signifi abidet producers of tantalum powder. By mid-2000, Cabot produced close to fifty per penny of the worlds total processed tantalum. All suppliers of tantalum powder sell nodular powder but save Cabot sells flake powder, which can operate at higher voltages. Cabot holds a patent on the process to make flake powder and AVX uses that powder in certain high...If you want to get a full essay, indian lodge it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper