Cliffs Natural Resources wins arbitral award in dispute with steelmaking company about price reopener provision
Clients Cliffs Natural Resources Inc.
Jones Day defended Cliffs Natural Resources, a supplier of iron ore, in an arbitration brought by a steelmaking company concerning the price reopener provision in a long-term supply contract. The steel company argued that Cliffs had breached the contract by refusing to renegotiate prices in 2009 when market prices were falling, and claiming that it would be entitled to repayment of about $100 million if the 2009 contract prices were properly renegotiated or reset by the arbitrators. Jones Day argued that the conditions for a price renegotiation had not been met. On May 17, 2010 an AAA panel issued an Award that rejected the steel company's claims and ordered it to pay all the costs of the arbitrators and the fees of the AAA.
ArcelorMittal USA Inc. v. The Cleveland-Cliffs Iron Co., et al., No. 52 152 00405 09 (AAA)