Category: Archive

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Archive / U.S. Maritime Cases

Buenamar Compania Naviera, SA v Panatlantic Bulk Carriers, Inc. – SMA 1339, 9 Jun 1979

BALTIMORE BERTH GRAIN FORM – DEVIATION – LATE LOAD PORT NOMINATION – DEADFREIGHT – LT ALLOWANCE – ALWAYS AFLOAT

Several disputes arose between an owner and charterer concerning a cargo delivery that took place from Texas to Columbia. This included a deviation claim arising from a late port nomination and a short load due to draft at the public elevator. The owner had attempted to prevent the issue by requesting a change in load port rotation, but this never came to fruition. The owner contended that the charterer failed to provide a berth whereat the vessel could load always afloat, and charged deadfreight for the unloaded quantity. A dispute also arose over whether laytime allowance should be received were deadfreight to be paid.

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Archive / U.S. Maritime Cases

ADM International SARL v Colbun S.A (The “MN Bulk Orion”) – SMA 4281, 30 Jun 2016

VALIDITY OF NOR TENDERED PRIOR TO FREE PRATIQUE AND CUSTOMS CLEARANCE AND WITH STOWAWAYS ONBOARD – OWNER’S OBLIGATION TO DISCLOSE PRESENCE OF STOWAWAYS – WHETHER PANAMA CANAL EXPENSES DUE TO OVERLOADING FOR OWNER’S OR CHARTERER’S ACCOUNT

Under a COA a vessel was nominated to carry coal from Colombia to Chile. Due to not yet having obtained free pratique and customs clearance, and whilst having stowaways onboard, Charterer argued that the NOR tendered at load was invalid. During transit to the disport the vessel was found in breach of Panama Canal draft restrictions and incurred unexpected expenses due to overloading which each party believes to be for the other party’s account.

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Archive / U.S. Maritime Cases

Morvest Shipping Co, Ltd v Lukoil Pan Americas, LLC – SMA 4285, 30 Aug 2016

INTERIM PORT – LIGHTERING – DEMURRAGE – TIME BAR – WORLDSCALE

A demurrage claim presented by owners was rejected due to charterers belief that the time in question was to be considered an interim port.

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Archive / English Maritime Cases

London Arbitration 24/16

TIME CHARTER – HOLD INSPECTION FAILED – WHETHER DELAY IN RE-BERTHING AFTER HOLDS CLEANED AND PASSED INSPECTION OFF HIRE

Upon arrival at the load port, the vessel’s holds failed inspection. After the holds were cleaned, the vessel was re-entered into the berthing queue. Charterer claimed the second delay in berthing was due to the holds failing inspection whereas owner claimed it was due to berth congestion.

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Archive / English Maritime Cases

Imperator I Maritime Co v. Bunge SA (The “Coral Seas”) – QBD (Comm Ct), 24 June 2016

TIME CHARTER – VESSEL FAILED SPEED WARRANTY DUE TO FOULING, ITSELF RESULTING FROM A PROLONGED WAIT IN TROPICAL WATERS – WHETHER FAILURE TO MAINTAIN SPEED THE RESULT OF COMPLIANCE WITH CHARTERER’S ORDERS

Due to an underperformance caused by fouling on the Vessel, itself caused by extended stay in tropical waters as ordered by charterer, charterer claimed off hire. Owner countered stating the underperformance resulted from compliance with the charterer’s orders.

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Archive / English Maritime Cases

London Arbitration 22/16

TIME CHARTER – PIRACY CLAUSE – OWNER TAKES SHORTEST ROUTE THROUGH DANGEROUS WATERS – ADDED SECURITY AND INSURANCE OBTAINED – CHARTERER CLAIMS THEIR PROVIDED ROUTE WAS SAFE – OWNER REQUESTS REIMBURSEMENT FOR COSTS

A vessel was chartered to conduct a voyage from New Orleans to India. The Owner of the vessel traveled the shortest route possible, through a high piracy risk area, ignoring the Charterer’s order to proceed via a safer route. The Owner supported their decision by saying that it saved on steaming and bunker costs, and claimed reimbursement for insurance and the extra security obtained.

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Archive / English Maritime Cases

London Arbitration 21/16

NORGRAIN 89 – HOLDS REJECTED – NOR RE-TENDERED AFTER LAYCAN – LAYCAN EXTENSION AGREED TO SUBJECT TO OWNER ACCEPTING CARRYING CHARGES – OWNER DID NOT RESPOND TO CHARTERER’S EXTENSION REQUIREMENT – OWNER CLAIMED DEMURRAGE – CHARTERER CLAIMED FOR CARRYING CHARGES

With a prior NOR being deemed invalid due to holds being rejected, the vessel tendering NOR after the laycan but within a laycan extension. The Charterer stated the laycan extension was amenable subject to carrying charges being for owner’s account. Owner was silent when confronted with this requirement. Upon completion of the voyage, the owner claimed demurrage. The charterer rejected this claim, and counterclaimed for carrying charges.

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Archive / English Maritime Cases

London Arbitraton 20/16

NYPE TIME CHARTER – UNDERPERFORMANCE – SHORT LOAD – BALANCE OF ACCOUNT – LMAA SMALL CLAIMS PROCEDURE – WHETHER CHARTERER OR OWNER RESPONSIBLE FOR COST OF SURVEYOR AND CRANE HIRE – SUEZ CANAL NRT – WITHOUT PREJUDICE AGREEMENT LATER REVOKED

The redelivery of a vessel from an 18 month time charter resulted in charterer withholding hire due to vessel short loading, claiming underperformance in regards to speed, and claiming damages related to a misrepresented Suez Canal NRT. Owner countered all of these and likewise claimed for the cost of surveyors present whilst de-bunkering and the cost of a shore crane.

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Archive / English Maritime Cases

London Arbitration 16/16

TIME CHARTERS NOVATED UPON NEW VESSEL OWNERSHIP – WHETHER NEW TIME CHARTERS ARE TO UPHOLD THE SAME SPEED AND PERFORMANCE WARRANTIES AS ORIGINAL CHARTERS – TRUE CONSTRUCTION OF CHARTERPARTIES

Time charters contained speed and consumption warranties. Upon new ownership these charters included a phrase which owner contended replaced the original warranties with a warranty that the vessels would perform as they were the minute the new charters were concluded. Charterer disagreed and the panel was tasked to determine which warranties were contained in the new charters.

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Archive / English Maritime Cases

London Arbitration 17/16

TIME CHARTER/ SUB-CHARTER – CARGO SHORTAGE AND CARGO DAMAGE – CLAIM SETTLED BETWEEN REGISTERED OWNER AND RECEIVER – DISPONENT OWNER DISPUTES COST ALLOCATION – WHETHER COSTS TO BE APPORTIONED WITH CHARTERER

A vessel was time chartered by a registered owner to a disponent owner, and then subsequently spot chartered to a sub-charterer to transport sugar. After the voyage, it was discovered that there was a cargo shortage and damaged and lost cargo. After the registered owner concluded a settlement with the receivers for damages, the registered owner attempted to collect the same amount from the disponent owner with an apportionment of the costs subsequently coming into question.

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