# Phenolic defect in coffee beans



## redster (Dec 5, 2011)

Hello guys!

I have a question regarding green coffee international trading. In October our company bought a container of green coffee(Santos) from Brazil. When we received the shipment, it has accured that most of it has a phenolic defect. Is there a сhance to win a law suit in brazilian court and get our money back(contract is weak)?

Regards!


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## Ian_G (Nov 10, 2011)

A lot depends on where the governing jurisdiction of where the contract lies. I expect the ruling jurisdiction is Brazil. If it's in the UK then you need to be able to prove that the goods are not of Merchantable Quality. Maybe Brazil has a similar Sale of Goods Act. I'd spend a bit to find the relevant Brazilian articles of law and then take it from there. I guess you already paid for the goods, so be prepared for a long, protracted settlement.


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## MikeHag (Mar 13, 2011)

Sorry to say, Ian, but the Sale of Goods Act only applies to consumer transactions, not business-to-business, so the Merchantable Quality clause doesn't apply.

I think. redster, it would have to be proven that you didn't get what you agreed to purchase. Were the beans graded by a certied grader who assessed them as defect free?

My understanding is that Santos beans are merely "a mix of average beans shipped from that port at the same time" so perhaps this is one you'll just have to put down to experience.


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## redster (Dec 5, 2011)

I'm not from UK, I'm from Russia. If we suit this company, it will happen Brazil. The problem is that in the contract it's only said that it is "SANTOS COFFEE GRADE NY 2/3 SCR 17/18". Nothing about defects..


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## redster (Dec 5, 2011)

MikeHag said:


> perhaps this is one you'll just have to put down to experience.


Sorry, but it's too expensive to put it down


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## MikeHag (Mar 13, 2011)

redster said:


> I'm not from UK, I'm from Russia. If we suit this company, it will happen Brazil. The problem is that in the contract it's only said that it is "SANTOS COFFEE GRADE NY 2/3 SCR 17/18". Nothing about defects..


So the key thing is to fully understand what that grading means. Do you have anyone working with you who knows about grading? Or someone from the importing company who explained the grade to you when you bought it? It is possible that with this grading defects are to be expected. Did you receive a sample before purchasing?

I'm not familiar with grading terminology but I've done a little research and found this site which explains a little more about the grading code of your beans.

http://www.supremo.be/home.nsf/0/03A74774F89C77B0C12569B400378FBF?OpenDocument

It isn't entirely clear, but it looks like your beans are 'extra prime' and should only have an average of 13 defective beans per 300g sample. If that is so, you should not expect the number of defects you have described and perhaps have a good case against the importer.

If it were me I'd do two things:

1. Confirm the meaning of the grading, so you have a point of reference for what you SHOULD have received.

2. Obtain some legal advice, if not from a solicitor then at least from a forum that specialises in commercial law on international trades.

3. Check your insurance policy... perhaps you're covered in some way.

Actually, before doing this... have you spoken to the supplier/importer about this issue? Maybe they will be more than happy to help resolve the problem.

Have a look through this website too... some interesting info.

http://www.intracen.org/41-Contracts-Introduction-to-contracts/

Good luck... sounds awful.


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## redster (Dec 5, 2011)

Mike, thx for reply.

I've also seen this description of grading, however I don't see there anything about chemical composition of the bean (flavor, smell, taste, quality of the cup), it's only about surface of the bean. Here: http://bootcoffee.com/Cupping_flavor.pdf on page 2, in table A (Defect due to harvest), you can see description of Phenolic defect, ther eis no problems with colour or shape, but the smell(both green and roasted) and taste is awful, it doesn't have a taste of ordinary coffee, it's just bitterness and medical smell.


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## MikeHag (Mar 13, 2011)

Really wish I could help more but this isn't an area I have any experience in yet. *Maybe one of the roasters on this forum could help*... I'm sure someone out there has experience of buying a bulk quantity of green beans that haven't matched the quality of the pre-purchase sample.


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## CoffeeMagic (Aug 7, 2011)

Phenolic defects would, I suspect, be difficult to distinguish without roasting and cupping a sample. Since your contract appears to be with the importer, then I would suggest you start by having a discussion with them as they will also be aware of the terms and conditions under which your contract is based. You probably need sound legal advice.


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## Ian_G (Nov 10, 2011)

MikeHag said:


> Sorry to say, Ian, but the Sale of Goods Act only applies to consumer transactions, not business-to-business, so the Merchantable Quality clause doesn't apply.


No, The Sale of Goods Act applies to all contracts for the sale of goods, including commercial contracts. However this is probably irrelevant, since it will almost certainly be Brazilian Law that applies, if that is where the contract was signed.


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