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Jurisdiction; Collateral Estoppel.

Note: When the applicants sued the beneficiary in a U.S. court for fraud and breach of contract in wrongfully drawing on a performance standby related to the purchase of wheat when, in fact, it had done nothing to perform, the beneficiary moved to dismiss or for summary judgment. The beneficiary claimed that the applicants were estopped from seeking relief because they had already sought relief in an Egyptian court. In denying the motion with respect to the claim of fraud, the U.S. District Court for the Southern District of New York, Chin, J., noted that the applicants had voluntarily withdrawn the Egyptian complaint. Since the Egyptian action did not result in a valid and final judgment and because no positions were taken which were inconsistent with the allegations in the instant complaint, it ruled that estoppel does not lie.

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