Government of Zanzibar v British Aerospace Essay

Government of Zanzibar v British Aerospace - Essay Example In the case, the Government of Zanzibar had contracted with British Aerospace (supplier) in order to purchase an executive jet from the company. As part of the deal, the Government of Zanzibar entered into a separate contract with a financing company that eventually bought the plane before leasing it back to the government. However, the plane was soon found to be defective. It was returned back to British Aerospace for repair but the faults persisted even after the repair. The Government of Zanzibar immediately stopped its payments of the semiannual installments to the financing company. In order to recover their costs, the financing company (CIBC) took possession of the plane and sold it. The Government of Zanzibar then initiated an action against British Aerospace either to rescind the contract or alternatively be awarded damages under the British contract laws.Additionally, the government of Zanzibar accused the supplier (British Aerospace) of false representation in the contract for having claimed that the Jet was airworthy, reliable and without any construction or design defect. They also appealed to rescind the contract and put them back to the pre-contractual position. For example, it could be by returning plane to the Government in its original position or compensation for damages due to misrepresentation. This was particularly because the government claimed that the contract with British Aerospace is subjected to fraudulent misrepresentation (deceit).