OPENING STATEMENT OF ARBITRATORS

1.1 Introduction by Adarsh

Good morning, esteemed representatives of both Acritia and Naboo, and welcome to this
arbitration proceeding. I am Adarsh, the presiding arbitrator, joined by my distinguished
colleague, Koninika to form the arbitral panel. We are gathered here to address and resolve
the disputes that have arisen from the Air Transport Agreement (ATA) signed on January 19,
2018, between your nations, and the subsequent contractual dealings between Babbage
Computers Pvt Ltd and Mario Marbles Pvt Ltd. Our primary objective is to ensure a fair and
just resolution in accordance with the agreed arbitration agreement and the Naboo
International Arbitration Rules 1998. We are here to listen, understand, and impartially
adjudicate the matters at hand, ensuring that our final award reflects a deep consideration
of the facts, laws, and equitable principles guiding this case.

1.2 Overview of Facts and Issues by mediator 2

Thank you, Adarsh. I am Koninika, and I will provide an overview of the critical facts and
issues that bring us here today. The dispute centers around two main issues arising from the
ATA and the commercial contract between Babbage Computers and Mario Marbles. Firstly,
there is a contention regarding the quality of computer monitors supplied by Babbage
Computers to Mario Marbles, with the latter asserting that the goods did not meet the
agreed-upon standards. This issue raises questions about contractual obligations, standards
of care, and the implications of non-compliance. Secondly, we are faced with the challenge
of determining whether the increase in the number of Acritian flights to Naboo, from three
to four per week, constitutes a violation of the ATA. This aspect touches upon the
interpretation of the agreement, the expectations set forth therein, and the broader
implications of such actions on the bilateral relations and commercial dealings between
Acritia and Naboo. These issues are complex and require a nuanced understanding of both
the legal frameworks and the practical realities of international commerce and diplomacy.
Furthermore, I will elucidate the arbitration process that will guide our proceedings. It is
imperative that we adhere strictly to the principles and rules set forth in the Naboo
International Arbitration Rules 1998, ensuring that our process is transparent, impartial, and
efficient. The arbitration agreement mandates that the seat of arbitration is Naboo, and
thus, the legal framework and procedural rules of Naboo will be instrumental in our
deliberations. Both parties will have the opportunity to present their case, submit evidence,
and argue their positions. As arbitrators, our role is to carefully evaluate all submissions,
consider the arguments, and apply the relevant legal principles to reach a fair and reasoned
decision. In adherence to the allocated time frame, I hereby outline the structure of our
proceedings:
a. Opening Statement of the arbitrator [5 minutes]
b. Opening Statement of Advocate-Client [5 minutes each]
c. Chief and cross-examination for the clients [10 minutes each]
d. Summation [5 minutes each]
e. Award by arbitrator with reasons [5 minutes]
Our discussions will be held in confidence, and we will strive to ensure that the arbitration
proceedings are conducted with the utmost respect for both parties' rights and interests.

1.4 Concluding Remarks by Adarsh (part of opening statement)

In closing, let me reiterate our collective commitment to a fair and equitable arbitration
process. We, the arbitrators , understand the importance of this matter to both Acritia and
Naboo, and we do not take our responsibilities lightly. We are here to facilitate a resolution
that respects the contractual agreements, legal obligations, and the broader commercial
and diplomatic relations between your countries. We encourage both parties to approach
these proceedings with openness, respect, and a willingness to engage constructively
towards a resolution. Our final award will be the culmination of a thorough and judicious
examination of all relevant factors, aimed at achieving a just outcome that is binding and
conclusive.

OPENING STATEMENT OF COUNSEL REPRESENTING REQUESTING CLIENT(NABOO/MARIO)

Good morning to everyone present, my name is Isha Roger and I will be the counsel
representing my client Mario Marbles Pvt Ltd.

Today, we stand before this tribunal to address a dispute that has, regrettably, arisen
between Mario Marbles Pvt Ltd and Babbage Computers Pvt Ltd, casting a shadow over a
relationship that has been both prosperous and mutually beneficial for over five years. Our
case centers on two critical issues: the significant degradation in the quality of goods
received by Mario Marbles, and an unauthorized increase in the number of cargo flights
from Acritia to Naboo. These actions have not only breached the specific terms of our
contractual agreement but have also violated the spirit and the letter of the Air Transport
Agreement (ATA) established between the nations of Acritia and Naboo.

Firstly, the matter of quality stands at the forefront of our grievances. Our client placed
immense trust in the reliability and integrity of the goods supplied by Babbage Computers.
This trust was compromised when, on June 30th, 2023, Mario Marbles received shipments
of computer monitors in containers with broken seals—a direct contravention of the
agreed-upon standards of quality and care specified in our contract. This breach has
resulted in not only financial losses but also a tarnishing of our client's esteemed reputation
in the market. We will present evidence that demonstrates a clear deviation from the
stipulated quality norms by Babbage Computers, thereby establishing a breach of the
substantive provisions of our contractual agreement.

Secondly, we address the issue of the unauthorized increase in cargo flights. Without prior
consultation or approval, Babbage Computers escalated their flight operations from three to
four flights per week. This unilateral decision infringes upon the ATA, a bilateral agreement
that both our nations endorsed to ensure a balanced and equitable economic exchange.
Such an increase, aside from being a blatant disregard for our bilateral agreements, has
disturbed the intended equilibrium, imposing undue economic pressures on Mario Marbles.
This action constitutes a procedural breach, impacting the operational logistics and financial
planning of our client.
Throughout these proceedings, we will rely on the procedural framework provided by our
mutual agreement to arbitrate disputes, underpinning our arguments with substantial
evidence and expert testimony. This will affirm that Babbage Computers Pvt Ltd has failed to
uphold its contractual obligations regarding product quality and transport stipulations and
has engaged in actions contravening the agreed-upon international accords, directly
affecting the sovereign interests of Naboo.

In conclusion, we seek not merely the resolution of these unfortunate disputes but also the
restoration of trust and cooperation that has long characterized the partnership between
Mario Marbles and Babbage Computers. By focusing on the substantive and procedural law
provisions directly applicable to the facts at hand, we trust the tribunal will recognize the
merit of our claims and grant relief commensurate with the losses suffered by Mario
Marbles Pvt Ltd. Thank you.

OPENING STATEMENT OF CLIENT (NABOO/MARIO)

Good morning to everyone present. I, Marcus Banks , the representative and voice of Mario
Marbles Pvt Ltd, I stand before you in this arbitration tribunal with a heavy heart but
steadfast in our resolve to seek justice and fairness in a partnership that has, until recently,
been marked by mutual respect and prosperity. Our case today centers on grievances that
have significantly impacted our operations, our trust in Babbage Computers Pvt Ltd, and, by
extension, the delicate balance of international trade norms that govern our nations'
relations.

For half a decade, our partnership with Babbage Computers has thrived, setting a standard
for international trade and cooperation. It is with great regret that we find ourselves in a
position where we must address not one, but two significant breaches of trust and contract.

The first issue at hand pertains to the quality of goods received from Babbage Computers.
On June 30th, 2023, it became painfully apparent that the standards we had long relied
upon were not met. The delivery of computer monitors, a critical component of our trading
agreement, arrived in a condition that was not just subpar but also in violation of the
explicitly agreed-upon conditions. The seals of the containers, a symbol of our trust and
assurance of quality, were compromised. This breach is not a minor oversight; it is a direct
affront to the principles of our agreement and, more importantly, to the trust we have
placed in Babbage Computers.

Furthermore, the second issue exacerbates our concerns. The unilateral decision by
Babbage Computers to increase the frequency of their cargo flights to four per week, from
the agreed three, directly contravenes the Air Transport Agreement (ATA) between our
nations. This not only demonstrates a disregard for the legal and diplomatic frameworks
that facilitate our trade but also places undue pressure on our operations and the reciprocal
nature of our agreement.

We bring these issues to the forefront not out of malice or a desire to sever our ties with
Babbage Computers. On the contrary, we seek a resolution that not only addresses the
current transgressions but also paves the way for a stronger, more transparent, and
respectful partnership moving forward.

Our plea to this tribunal is straightforward: to uphold the sanctity of our agreement, ensure
accountability for the breaches that have occurred, and facilitate a path towards rectifying
these grievances. It is with a spirit of cooperation and a firm belief in justice that we present
our case, trusting that the principles of fairness and respect for contractual and
international norms will guide your deliberations and decisions. Thank you for your
attention to these matters.

OPENING STATEMENT OF COUNSEL FOR RESPONDING CLIENT BABBAGE)

Honorable Arbitrators, esteemed members of the tribunal, and respected representative of

Naboo, Good morning.

My name is Cameroon G and we are here today to address two specific concerns raised by
the claimant, Mario Marbles Pvt Ltd, against my client, Babbage Computers Pvt Ltd which
focus on alleged non-compliance with quality standards for goods supplied and an increase in
cargo flights from Acritia to Naboo, purportedly in breach of the Air Transport Agreement
(ATA).

Our defense is built upon a foundation of factual accuracy, contractual adherence, and respect
for the established legal framework governing international trade and arbitration. Babbage
Computers and Mario Marbles have enjoyed a productive and dispute-free relationship for
over five years, a testament to our mutual commitment to upholding our agreements.

On the matter of quality, we assert that the incident cited by Mario Marbles on June 30th,
2023, was an isolated occurrence that does not reflect the stringent quality control processes
Babbage Computers employs. We will present evidence showing that all possible measures
were taken to ensure the integrity and safe transport of the goods. Furthermore, we argue that
any deviation from the expected quality standards, if proven, was beyond the control of
Babbage Computers and thus does not constitute a breach of our contractual obligations.

Regarding the increase in flights, our stance is that this decision was a necessary response to
unforeseen demand and logistical challenges, not a willful violation of the ATA. We aim to
demonstrate that these additional flights were carried out with full transparency and in a
manner that sought to preserve the balance of trade and cooperation as outlined in the ATA,
without undermining the spirit or letter of the agreement.

It is our intention to show, through a careful presentation of facts and evidence, that Babbage
Computers has always operated with integrity, due diligence, and in full compliance with our
contractual and legal obligations. We trust that the tribunal will recognize the merit of our
defense, understanding that the allegations against Babbage Computers do not withstand
scrutiny.

We are committed to resolving this dispute in a manner that reflects the principles of fairness
and legal propriety, and we respectfully request that the tribunal consider the evidence and
arguments we will present. Our goal is not only to address the current allegations but also to
reinforce the framework of trust and cooperation that has long defined our relationship with
Mario Marbles Pvt Ltd. Thank you for your attention, and we look forward to presenting our
case.
OPENING STATEMENT OF CLIENT (ACRITIA/BABBAGE)

Ladies and gentlemen of the arbitration tribunal, esteemed arbitrators, and honorable
members present, I James Finn , as the representative for Babbage Computers Pvt Ltd, stand
before this esteemed tribunal to address the concerns raised by Mario Marbles Pvt Ltd. It is
with a deep sense of responsibility and commitment to fairness that we engage in these
proceedings, not only to clarify our position but also to affirm our dedication to maintaining
the integrity of our business relationships and honoring our international and contractual
obligations.

For over five years, our partnership with Mario Marbles has been a beacon of successful
international trade, fostering not just economic benefits but also a mutual respect and
understanding between our companies and countries. It is against this backdrop of
collaboration and shared success that we find ourselves addressing the issues put forth by
Mario Marbles.

First and foremost, regarding the quality of goods—specifically, the computer monitors we
supplied—it is essential to acknowledge our unwavering commitment to product excellence
and contractual fidelity. The incident cited, involving the delivery of monitors in containers
with broken seals, was both unforeseen and deeply regrettable. However, it is crucial to
understand that this was an isolated event, one that we responded to with immediate
investigation and remediation efforts. We stand ready to demonstrate that this occurrence
was not reflective of our standard operating procedures nor indicative of a negligent
disregard for our quality assurances.

Furthermore, concerning the increase in the number of our cargo flights to Naboo, I wish to
clarify that our actions were in response to dynamic market demands and were executed
with the utmost consideration for the limitations set forth by the Air Transport Agreement
(ATA). It is our contention that these measures, while perhaps not in strict adherence to the
previously agreed-upon flight frequency, were necessary under the circumstances and did
not constitute a breach of the spirit or letter of the ATA. We believe that the evidence and
context we will present will elucidate the rationale behind our decisions and underscore our
commitment to maintaining a balanced and respectful international trade relationship.

We approach these arbitration proceedings with a spirit of transparency and conciliation,

aiming not only to address the concerns of Mario Marbles Pvt Ltd but also to safeguard the
future of our partnership. It is our hope that through this process, we can clarify
misunderstandings, rectify any grievances, and emerge with a stronger foundation for
cooperation and mutual respect.

In conclusion, Babbage Computers Pvt Ltd seeks not merely to defend our actions but to
affirm our dedication to excellence, integrity, and the enduring strength of our business
relationships. We trust that this tribunal will consider the evidence and arguments
presented with fairness and in the context of our shared objectives for prosperous and
respectful international trade. Thank you for the opportunity to present our perspective.

CHIEF QUESTIONS TO ASK NABOO (Kruthi to Ayush )

1. Q: Could you describe the events or circumstances that led Mario Marbles Pvt Ltd to
initiate this arbitration against Babbage Computers Pvt Ltd?

A: The decision to initiate arbitration was not taken lightly but emerged from a series of
events that significantly breached the trust and contractual obligations between Mario
Marbles Pvt Ltd and Babbage Computers Pvt Ltd. Specifically, the catalyst was the receipt of
several shipments of computer monitors from Babbage Computers with broken seals,
signifying a clear deviation from the quality standards stipulated in our contract. This issue
of compromised quality, coupled with the unauthorized and unilateral increase in cargo
flights from Acritia to Naboo, which exceeded the limits agreed upon in the Air Transport
Agreement (ATA), compelled us to seek a formal resolution. Despite repeated attempts to
address these concerns directly with Babbage Computers and through diplomatic channels,
the lack of satisfactory remediation or acknowledgment of these breaches necessitated
ourmove to arbitration to uphold our contractual rights and protect our economic interests..
 2. Q: As a representative of Naboo, are you familiar with the contractual agreement
between Babbage Computers Pvt Ltd and Mario Marbles Pvt Ltd?

A: Yes, I am intimately familiar with the agreement. It delineates the precise terms
governing the exchange of goods between Babbage Computers Pvt Ltd in Acritia and Mario
Marbles Pvt Ltd in Naboo.

3. Q: Can you provide details regarding the expectations and requirements outlined in
the agreement for the transportation of goods between our respective countries?
A: Certainly. The agreement mandates that all goods must be securely packaged in
accordance with industry standards to prevent damage during transit. Additionally, it
stipulates that any deviations from agreed-upon quality standards must be promptly
reported to the respective parties for resolution.

4. Q: According to your understanding, what were the specific quality standards

expected for the goods supplied by Babbage Computers Pvt Ltd to Mario Marbles Pvt
Ltd?

A: The agreement explicitly requires that the computer monitors supplied by Babbage
Computers Pvt Ltd adhere to stringent quality benchmarks, including functional integrity,
absence of defects, and compliance with technical specifications agreed upon by both
parties.

5. Q: Could you elaborate on any instances where the goods received from Acritia did
not meet the prescribed quality standards, as alleged by Mario Marbles Pvt Ltd?

A: Mario Marbles Pvt Ltd discovered significant deviations from the agreed-upon quality
standards in multiple shipments of computer monitors received from Babbage Computers
Pvt Ltd. These deviations included physical damage, malfunctioning components, and
discrepancies in technical specifications.
 6. Q: In your opinion, what factors contributed to the alleged discrepancies in the
quality of goods received by Mario Marbles Pvt Ltd?

A: Our investigation indicates that the discrepancies in quality were primarily attributable to
substandard packaging and inadequate handling during transit, resulting in damage to the
goods and compromised functionality upon arrival.

7. Q: Can you confirm whether Mario Marbles Pvt Ltd communicated any concerns
regarding the quality of goods to Babbage Computers Pvt Ltd or Acritia prior to
escalating the matter to arbitration?

A: Yes, Mario Marbles Pvt Ltd diligently communicated their concerns regarding the quality
of goods to Babbage Computers Pvt Ltd on multiple occasions, seeking corrective action to
remedy the deficiencies observed. Unfortunately, these efforts were met with limited
success, prompting Mario Marbles Pvt Ltd to pursue arbitration as a means of redress.

8. Q: Moving on to the Air Transport Agreement (ATA) between Acritia and Naboo, can
you provide insights into the provisions pertaining to the limitations on cargo flights
and economic ceilings for imports?

A: Certainly. The ATA imposes strict limitations on the frequency of cargo flights between
our nations, with clear provisions outlining the maximum number of flights permitted per
week to regulate trade and prevent market saturation.

9. Q: Is there any documentation or evidence to support the claim that the increase in
Acritian flights to Naboo exceeded the permissible limits outlined in the ATA?

A: Yes, we have meticulously documented evidence demonstrating that the increase in

cargo flights from Acritia to Naboo significantly surpassed the limits stipulated in the ATA,
thereby constituting a flagrant violation of the agreement.
 10. Q: As a representative of Naboo, what actions, if any, were taken by your
government upon observing the alleged increase in Acritian flights to Naboo?

A: Upon detecting the unauthorized increase in cargo flights, Naboo promptly lodged formal
complaints with the appropriate authorities in Acritia, urging immediate corrective
measures to rectify the violation and restore compliance with the terms of the ATA.

11. Q: Can you elaborate on any discussions or negotiations that took place between
Naboo and Acritia regarding the alleged violation of the ATA?

A: Subsequent to our formal complaints, representatives from Naboo engaged in diplomatic

negotiations with counterparts from Acritia to address the alleged violation of the ATA and
explore avenues for resolution. Regrettably, these negotiations failed to yield a satisfactory
outcome, necessitating arbitration to resolve the dispute.

12. Q: In your opinion, how do the actions of Acritia, including the increase in flights,
impact the economic interests and bilateral relations between our two nations?

A: The unilateral actions of Acritia, particularly the unauthorized increase in cargo flights,
pose significant threats to the stability of bilateral trade relations and undermine the
economic interests of both nations. Such breaches of trust erode confidence and hinder
future cooperation, jeopardizing the prosperity of our nations.

13. Q: Finally, do you believe there are any opportunities for an amicable resolution to
the disputes raised in this arbitration proceeding?

A: Despite the contentious nature of the disputes raised, Naboo remains steadfast in its
commitment to exploring all avenues for an amicable resolution that upholds the principles
of fairness, equity, and mutual respect between our nations. We are hopeful that through
constructive dialogue and earnest cooperation, a mutually satisfactory resolution can be
achieved.
CROSS QUESTIONS TO ASK NABOO (Vikram to Ayush)

1. Q: You mentioned that Mario Marbles Pvt Ltd communicated concerns regarding the
quality of goods to Babbage Computers Pvt Ltd. Can you provide specific
documentation or correspondence supporting these claims?

A: Yes, Mario Marbles Pvt Ltd maintained meticulous records of all communications with
Babbage Computers Pvt Ltd, including email correspondences, written reports, and
photographic evidence detailing the condition of the received goods. These documents
clearly demonstrate the efforts made by Mario Marbles Pvt Ltd to address quality concerns
with the supplier.

2. Q: How can you be certain that the alleged discrepancies in the quality of goods
were solely due to mishandling during transit, and not inherent issues with the
manufacturing process or product design?

A: Our investigation into the matter revealed that the discrepancies observed in the quality
of goods were primarily attributable to physical damage and signs of rough handling, such as
dents, scratches, and broken components. There were no indications of inherent defects in
the manufacturing process or product design that would have caused such damage.

3. Q: Is it not possible that Mario Marbles Pvt Ltd could have mishandled the goods
upon receipt, leading to the observed damage and defects?

A: While we acknowledge the possibility of mishandling by the receiving party, Mario

Marbles Pvt Ltd adhered to industry best practices for handling and storage of goods upon
receipt. Moreover, the extent and nature of the damage observed were indicative of
mishandling that likely occurred during the transportation process, rather than upon receipt
by Mario Marbles Pvt Ltd.
 4. Q: You stated that Naboo lodged formal complaints with the authorities in Acritia
regarding the alleged increase in cargo flights. Can you provide evidence of these
complaints and any responses received from Acritian authorities?

A: Yes, Naboo submitted formal complaints to the Civil Aviation Authority of Acritia,
accompanied by detailed reports outlining the observed increase in cargo flights from Acritia
to Naboo and requesting an investigation into the matter. While we did receive
acknowledgment of receipt from Acritian authorities, we have yet to receive a substantive
response or resolution to our concerns.

5. Q: Did Naboo engage in any discussions or negotiations with Acritian officials prior to
pursuing arbitration? If so, what were the outcomes of these discussions?

A: Yes, Naboo initiated diplomatic discussions with Acritian officials to address the alleged
violations of the Air Transport Agreement and explore potential resolutions. However,
despite our efforts to engage in constructive dialogue, we were unable to reach a mutually
acceptable resolution, prompting the decision to pursue arbitration to resolve the dispute.

6. Q: Can you confirm whether Naboo conducted a thorough investigation into the
alleged violations of the Air Transport Agreement, including gathering data on flight
frequencies and cargo volumes?

A: Yes, Naboo conducted a comprehensive investigation into the alleged violations of the Air
Transport Agreement, utilizing data from various sources, including flight logs, cargo
manifests, and customs records. Our analysis revealed a consistent pattern of unauthorized
increases in cargo flights from Acritia to Naboo, substantiating our claims of a breach of the
agreement.

7. Q: How can you be certain that the increase in cargo flights from Acritia to Naboo
exceeded the limits stipulated in the Air Transport Agreement without access to
detailed flight records and official documentation?
A: While we acknowledge the importance of official documentation, our investigation relied
on multiple sources of information, including data provided by independent aviation
analysts and corroborative evidence from industry stakeholders. This comprehensive
approach allowed us to confidently ascertain the extent of the violations and pursue
appropriate remedial action.

8. Q: Is it possible that the alleged increase in cargo flights was a temporary measure in
response to unforeseen circumstances or seasonal fluctuations in demand, rather
than a deliberate violation of the Air Transport Agreement?

A: While we recognize the possibility of temporary fluctuations in cargo volumes due to

external factors, our analysis revealed a sustained and systematic increase in cargo flights
from Acritia to Naboo over an extended period, exceeding the permissible limits outlined in
the Air Transport Agreement. This pattern suggests a deliberate deviation from the agreed-
upon terms rather than a transient anomaly.

9. Q: Can you provide evidence to support your assertion that the actions of Acritia
pose significant threats to bilateral trade relations and undermine the economic
interests of both nations?

A: Yes, the unauthorized increase in cargo flights from Acritia to Naboo undermines the
integrity of the Air Transport Agreement and erodes trust between our nations, potentially
deterring future investment and collaboration. Furthermore, such breaches of international
agreements have broader implications for regional stability and economic cooperation,
jeopardizing the prosperity of both nations.

10. Q: Are there any alternative explanations for the alleged discrepancies in the quality
of goods and the perceived violations of the Air Transport Agreement that have not
been considered by Naboo?

A: While we remain open to considering alternative explanations, our investigation into the
matter has thus far yielded no credible evidence to suggest alternative causes for the
discrepancies observed in the quality of goods or the violations of the Air Transport
Agreement. We have exhaustively examined all relevant factors and remain confident in the
validity of our claims.

11. Q: Could Naboo have misinterpreted the terms of the contractual agreement
between Babbage Computers Pvt Ltd and Mario Marbles Pvt Ltd, leading to
unfounded allegations against Acritia?

A: No, Naboo meticulously reviewed the terms of the contractual agreement and conducted
a thorough assessment of the allegations raised by Mario Marbles Pvt Ltd. Our analysis was
based on objective evidence and industry standards, ensuring the validity and reliability of
our claims against Acritia.

12. Q: Can you confirm whether Naboo conducted an independent assessment of the
quality of goods received from Acritia, or if their assessment was solely based on the
claims made by Mario Marbles Pvt Ltd?

A: Yes, Naboo commissioned an independent assessment of the quality of goods received

from Acritia to corroborate the claims made by Mario Marbles Pvt Ltd. The assessment was
conducted by qualified experts and provided additional validation of the deficiencies
observed, further reinforcing the credibility of our claims.

CHIEF QUESTIONING TO ASK ACRITIA (Vikram to Gautam )

1. Q: Could you please provide a brief overview of the contractual agreement entered
into between Babbage Computers Pvt Ltd and Mario Marbles Pvt Ltd?

A: Babbage Computers Pvt Ltd entered into a contractual agreement with Mario Marbles
Pvt Ltd on 19th January 2018. The agreement stipulated that Babbage Computers would sell
400 computer monitors per week to Mario Marbles at the rate of ₪2 per monitor, while
Mario Marbles would sell 3 tonnes of marble per week to Babbage Computers at the rate of
₰3,000 per tonne. Both parties operated under the terms of the Air Transport Agreement
(ATA) between Acritia and Naboo

2. Q: How did Babbage Computers ensure the quality and integrity of the goods being
supplied to Mario Marbles, particularly concerning the handling and transportation
process?

A: Babbage Computers implemented stringent quality control measures to ensure the

integrity of the goods being supplied to Mario Marbles. This included conducting pre-
shipment inspections to verify the condition of the products and packaging them securely in
sealed containers to prevent tampering or damage during transit.

3. Q: Can you elaborate on the specific measures taken by Babbage Computers to

comply with the contractual obligation of transporting goods in sealed containers?

A: Babbage Computers adhered strictly to the contractual obligation of transporting goods in

sealed containers. Our company invested in high-quality, tamper-evident seals and instructed
our logistics team to ensure that all containers were securely sealed before departure.

4. Q: Regarding the alleged discrepancies in the quality of goods received by Mario

Marbles, can you provide insight into any quality control procedures implemented by
Babbage Computers prior to shipment?
A: Prior to shipment, Babbage Computers conducted comprehensive quality control checks
on each batch of computer monitors to verify that they met the agreed-upon standards. This
involved rigorous testing for functionality, visual inspection for any defects or damages, and
verification of packaging integrity.
 5. Q: In light of the concerns raised by Mario Marbles regarding broken seals on
containers, were there any documented instances of similar issues reported by other
clients or within the company's internal quality assurance reports?

A: Our company maintains detailed records of all quality control procedures, including
inspection reports, test results, and photographs of sealed containers. There have been no
documented instances of broken seals or quality issues reported by other clients or within our
internal quality assurance reports.

6. Q: With regards to the increase in Acritian flights to Naboo, what were the primary
factors influencing this decision, and were there any consultations with relevant
authorities or stakeholders prior to implementing the change?

A: The decision to increase Acritian flights to Naboo from 3 to 4 per week was driven by
growing demand for our products in the Nabooian market and our commitment to fulfilling
contractual obligations in a timely manner. This decision was made after careful
consideration of logistical capabilities and market dynamics.

7. Q: How does Babbage Computers justify the increase in flights as a legitimate

business decision, and were there any communications or negotiations with the
Nabooian government regarding this matter?

A: Babbage Computers justified the increase in flights as a necessary step to meet the
demands of our business partners in Naboo and to maintain a competitive edge in the market.
We communicated our plans to relevant authorities and stakeholders, including the Nabooian
government, to ensure transparency and compliance with regulatory requirements.

8. Q: Could you please provide any supporting documentation or evidence that

demonstrates Babbage Computers' compliance with the terms of the Air Transport
Agreement and the contractual obligations outlined in the agreement with Mario
Marbles?
A: Babbage Computers can provide extensive documentation to support our compliance with
the Air Transport Agreement and contractual obligations. This includes shipping manifests,
invoices, quality control reports, and correspondence with Mario Marbles and relevant
authorities.

9. Q: Finally, in your opinion, does Babbage Computers believe it has acted in good
faith and in accordance with the legal and contractual obligations throughout its
dealings with Mario Marbles and in the context of the Air Transport Agreement with
Naboo?

A: Babbage Computers unequivocally believes that we have acted in good faith and in full
compliance with all legal and contractual obligations throughout our dealings with Mario
Marbles and in accordance with the Air Transport Agreement with Naboo. We remain
committed to resolving any issues in a fair and equitable manner through arbitration.

CROSS QUESTIONS TO ASK ACRITIA (kruthi to Gautam)

1. Q: What led Babbage Computers Pvt Ltd to address this dispute through arbitration,
and what are your expectations from this process?

A: The decision to participate in this arbitration process was made after careful consideration
of the disputes raised by Mario Marbles Pvt Ltd. Babbage Computers Pvt Ltd has always
placed great value on the relationships we build with our partners and seeks to resolve any
disagreements in a manner that is both fair and respectful to all parties involved. The
initiation of this arbitration is viewed as an opportunity to clarify misunderstandings, present
our adherence to contractual and legal obligations, and demonstrate our ongoing commitment
to maintaining a productive partnership with Mario Marbles Pvt Ltd. Our expectation from
this process is to achieve a resolution that is grounded in the facts of the case, upholds the
integrity of our contractual agreements, and allows for the continuation of a mutually
beneficial relationship with Mario Marbles Pvt Ltd.

2. Q: Can you provide specific details regarding the quality control measures
implemented by Babbage Computers for ensuring the quality of goods?
A: Babbage Computers implements stringent quality control procedures, including pre-
shipment inspections conducted by trained quality assurance personnel. These inspections
involve rigorous testing of each computer monitor to ensure functionality and visual
inspections for any defects or damages.

3. Q: Were there any documented instances where Babbage Computers identified quality
issues with the goods prior to shipment?

A: There have been no documented instances of quality issues with goods identified prior to
shipment. Our quality control procedures are designed to catch any discrepancies before
products leave our facility, ensuring that only goods meeting our high standards are shipped
to customers.

4. Q: How can you ensure that the seals on the containers were intact throughout the
transportation process?

A: Seals on containers are applied by authorized personnel trained in proper sealing

techniques. Additionally, Babbage Computers utilizes tamper-evident seals designed to show
signs of tampering if broken.

5. Q: Were there any instances where the seals on containers were inspected upon arrival
in Naboo?
A: While we cannot confirm the condition of seals upon arrival in Naboo, we have no reason
to believe that the seals were compromised during transportation. We trust that the seals
remained intact throughout the journey, as per our standard operating procedures.

6. Q: What factors specifically prompted the decision to increase Acritian flights to

Naboo?

A: The decision to increase flights was driven by an increase in demand for our products in
Naboo and our commitment to fulfilling contractual obligations promptly. Market analysis
and feedback from customers informed this decision.
 7. Q: Can you confirm whether the increase in flights adhered to the limitations set forth
in the ATA between Acritia and Naboo?

A: While it is regrettable, I must acknowledge that there was indeed an increase in the
number of flights from Acritia to Naboo, surpassing the limit outlined in the Air Transport
Agreement (ATA) between our nations.

8. Q: Did Babbage Computers notify Mario Marbles of any potential quality issues with
the goods prior to shipment?

A: Babbage Computers did not notify Mario Marbles of any potential quality issues with the
goods prior to shipment, as our rigorous quality control procedures ensure that only goods
meeting our standards are shipped.

9. Q: Were there any provisions in the contract regarding the procedure for addressing
quality concerns or disputes?

A: The contract between Babbage Computers and Mario Marbles does not contain specific
provisions regarding the procedure for addressing quality concerns or disputes. However, we
are open to resolving any issues in a fair and equitable manner through arbitration.

10. Q: Can you provide details of any communications between Babbage Computers and
Mario Marbles regarding the alleged discrepancies in quality or broken seals on
containers?

A: There have been no communications between Babbage Computers and Mario Marbles
regarding the alleged discrepancies in quality or broken seals on containers. Mario Marbles
raised these concerns for the first time during arbitration.

11. Q: Have there been any previous instances where Babbage Computers encountered
similar quality issues with shipments to Mario Marbles or other clients?
A: Babbage Computers has not encountered similar quality issues with shipments to Mario
Marbles or other clients in the past. Our commitment to quality and adherence to strict quality
control procedures ensure that goods meet the highest standards before being shipped.

12. Q: How did Babbage Computers address any quality issues identified in previous
shipments?

A: In the rare event that quality issues arise, Babbage Computers addresses them promptly
and proactively to ensure customer satisfaction and uphold our reputation for excellence in
product quality and service.

CLOSING STATEMENT OF COUNSEL (NABOO/MARIO)

Honorable arbitrators and esteemed members of this tribunal, as we conclude our
presentation and argumentation in this case, I, Isha Roger , on behalf of Mario Marbles Pvt
Ltd, wish to encapsulate and reiterate the crux of our case against Babbage Computers Pvt
Ltd. This arbitration, initiated under circumstances none of us wished for, represents not
just a quest for remedial action but a plea for the upholding of contractual integrity, quality
assurance, and international trade norms that bind our nations and companies.

From the outset, we have demonstrated through evidence and testimony that Babbage
Computers Pvt Ltd has faltered in its obligations towards Mario Marbles Pvt Ltd, both in
terms of the quality of goods delivered and adherence to the agreed-upon terms of air
transport. The incidents of compromised quality and the unilateral increase in cargo flights
are not mere contractual oversights but significant breaches that have caused considerable
financial loss and reputational damage to Mario Marbles Pvt Ltd.

The evidence presented has clearly shown that the computer monitors delivered by
Babbage Computers Pvt Ltd did not meet the quality standards explicitly agreed upon in our
contract. The breach of these standards, evidenced by broken seals and the subsequent
compromised integrity of the goods, has not only resulted in direct financial losses but has
also eroded the trust and confidence Mario Marbles Pvt Ltd placed in Babbage Computers.
Moreover, the unauthorized increase in cargo flights by Babbage Computers Pvt Ltd, in
violation of the Air Transport Agreement (ATA) between our countries, represents a
disregard for the regulatory frameworks that facilitate fair and balanced international trade.
This action has not only impacted Mario Marbles Pvt Ltd but also poses broader implications
for trade relations between our nations.

Throughout this arbitration, our aim has been to seek justice and accountability, to ensure
that the breaches of contract and trust are duly recognized and remedied. We have sought
to make clear the tangible and intangible impacts these breaches have had on Mario
Marbles Pvt Ltd, emphasizing the need for a resolution that not only addresses the past and
present but also safeguards the future.

In closing, we urge the tribunal to consider the evidence and arguments presented
thoughtfully and to recognize the validity of our claims. We seek a decision that reaffirms
the importance of contractual adherence, quality standards, and mutual respect in
international trade. It is our hope that this arbitration will result in a just and equitable
resolution, one that facilitates the restoration of the trust and cooperation that has long
characterized the partnership between Mario Marbles Pvt Ltd and Babbage Computers Pvt
Ltd.

Thank you for your attention, deliberation, and commitment to fairness throughout these
proceedings.

CLOSING STATEMENT OF COUNSEL (ACRITIA/BABBAGE)

Honorable arbitrators and esteemed members of the tribunal, as we draw these
proceedings to a close, I, Cameron G , counsel for Babbage Computers Pvt Ltd, wish to
encapsulate the essence of our defense and the core values that define my client's
operations and ethos.
Throughout this arbitration, we have endeavored to present a clear, comprehensive
narrative of Babbage Computers Pvt Ltd's actions and decisions regarding the matters at
hand. Our aim has been to illuminate the context within which these actions were taken and
to underscore the principles of integrity, compliance, and dedication to quality that Babbage
Computers upholds.

In addressing the concerns raised by Mario Marbles Pvt Ltd regarding the quality of goods,
we have demonstrated beyond doubt that Babbage Computers has instituted robust quality
control measures. These measures ensure that all products, including the computer
monitors in question, undergo rigorous testing and inspection before shipment. The incident
of June 30th, 2023, was an anomaly, one that we have taken seriously and addressed with
the utmost diligence and transparency. It is imperative to recognize that such isolated
incidents do not reflect the operational standards or the ethical commitment of Babbage
Computers.

Furthermore, regarding the increase in cargo flights from Acritia to Naboo, we have
elucidated that this decision was driven by a genuine need to meet escalating market
demands and was executed with careful consideration of the ATA's provisions. Our intention
was never to contravene the ATA but to adapt to dynamic market conditions in a manner
that ensured we could continue to meet our obligations to Mario Marbles Pvt Ltd and our
other partners in Naboo.

Throughout these deliberations, we have furnished evidence and testimony that not only
affirm Babbage Computers' adherence to contractual obligations and international
agreements but also highlight our client's proactive approach to resolving the concerns
raised by Mario Marbles Pvt Ltd. It is clear from the evidence presented that Babbage
Computers has acted in good faith, with the intention of maintaining a fruitful and
respectful business relationship with Mario Marbles.

As counsel for Babbage Computers Pvt Ltd, I respectfully urge the tribunal to consider the
totality of evidence and the context within which the disputed actions were taken. It is our
firm belief that, when viewed in their entirety, the actions of Babbage Computers reflect a
company committed to excellence, integrity, and the maintenance of strong, constructive
business relationships.

In conclusion, we request that the tribunal finds in favor of Babbage Computers Pvt Ltd,
recognizing the company's efforts to comply with its contractual and international
obligations, and its commitment to resolving any issues in a fair and just manner. We look
forward to a resolution that allows for the continuation and strengthening of the
partnership between Babbage Computers and Mario Marbles Pvt Ltd, built on mutual
respect, understanding, and cooperation.

Thank you for your diligent consideration of the facts and evidence presented throughout
these proceedings.