Coastal Contracts slapped with arbitration notice after contract cancellation

In addition to terminating the contract, Coastal Contracts’ subsidiary had also asked the builders for a refund of all sums paid under the contract and the payment of liquidated damages in accordance with the terms of the contract.

Coastal Contracts informed on Friday that, instead of complying with the obligations under the shipbuilding contract, the builders filed a notice of arbitration alleging that the subsidiary’s termination of the contract was wrongful.