DIFC 057/2018
Basin Supply Corporation v (1) Rouge Llc (2) Claude Barret
The initial dispute involved an unpaid guaranteed loan. Key issues included a choice of law clause in the contract and which law governed the contract. Also considered was whether the guarantor was still liable as the interest terms had been varied. He had seen and confirmed the change as an officer of the company but not in his capacity as a guarantor.
Background
1. The Claimant (Basin) lent USD 1,500,000 to the First Defendant (Rouge) in December 2016. There was no credible dispute that that sum was loaned; Repayment of the Loan was guaranteed by the Second Defendant (Barret),who was the Managing Director of, and a shareholder in, Rouge except for S repayments totalling USD 205,000, and there was no credible dispute that the balance of the Loan had not been repaid.