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. BAE Systems takes Brunei to court over warship order: paper
LONDON (AFP) Apr 03, 2005
British defense giant BAE Systems is taking the Sultan of Brunei to court over a dispute involving a one-billion-dollar order for three offshore naval patrol vessels, a newspaper reported Sunday.

The contract was agreed several years ago and BAE launched the first ship in January 2001, and the other two ships have been completed since then, the Sunday Telegraph said.

However, all three remain moored at BAE's Scotstoun yard on the River Clyde, Scotland, as the Sultan has refused to accept them because they allegedly fail to meet his specifications, it said.

Talks to resolve the dispute have been taking place for almost a year, the newspaper said.

The Sunday Telegraph said it is understood that a date has now been set for the case to be heard at the International Court of Arbitration in Paris, but did not cite its source or name the date of the hearing.

"We are currently in arbitration and consequently cannot discuss the issue," a spokesman for BAE was quoted as saying.

The export order for three offshore vessels for the Royal Brunei armed forces is worth more than 600 million pounds (1-1.3 billion dollars), it said.

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