What law should be applied to this dispute

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Reference no: EM132161157

Zee Co, a shipping company headquartered in State Z, signed a contract with Em Co, a company headquartered and incorporated in State M, to transport goods for Em Co from State M to State X. No provisions were made in the contract about where disputes would be settled or what law would be used to resolve them.

As Zee Co’s ship delivering the goods was entering the harbour of the capital city of State X, the ship blew up, destroying all of Em Co’s goods. Em Co has brought legal action in State X. Zee Co argues in defence that the Court in State X does not have jurisdiction to hear this dispute.

(a) Does the Court in State X have jurisdiction to hear this dispute?

(b) What law should be applied to this dispute? Discuss.

Reference no: EM132161157

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