ASBATANKVOY -- CARGO -- COA -- FAIRLY EVENLY SPREAD -- SPOT MARKET RATE -- CARGO NOMINATION REJECTED -- FAIRLY EVENLY SPREAD -- Charterer Award
The Owner refused to nominate a vessel to lift the final COA cargo tonnage on the grounds that a third voyage in one month violated the contracted "fairly evenly spread" nomination requirement. The Charter subsequently had to load the remaining cargo at the substantially higher spot market rate and began arbitration to recover the resulting losses.
SHELLTIME 3 -- TIME CHARTER -- SPEED WARRANTY -- CONSUMPTION WARRANTY -- PERFORMANCE -- TIME-BAR -- Partial Charterer Award
This arbitration award resolves three separate disputes which center upon the speed and consumption warranties provided within the time-charter contract. Without receiving substantiating performance reviews, the Charterer withheld varying freight amounts from voyages basis estimated values. The Owner, however, argued that they should be reimbursed for disputed claims raised by them before time-bar, for voyage over-performance, and because of unrepresentative assessment of vessel performance during short voyages.
WHETHER REPAIR WORK CARRIED OUT AT ANCHORAGE CONSTITUTES OFF HIRE -- LIGHTERAGE COSTS INCURRED WHEN MASTER FAILED TO COMPLY WITH LOAD DRAFT INSTRUCTIONS -- DELAY INCURRED BY FAILURE TO PAY DISBURSEMENT ACCOUNT -- Owner Award
The Charterer began arbitration proceedings to recover losses from four issues that arose under a time charter contract; three are recapped. At arbitration, the Charterer argues that the repair work undertaken at anchorage constitutes an off-hire, that the lighterage charges resulting from an incorrect sailing draft should be due Owner, and that the detention time at disport was avoidable and faulted by the Owner.
GENCON -- CARGO -- CONTAMINATION -- BILL OF LADING -- LOADPORT -- STATEMENT OF FACTS -- LETTER OF INDEMNITY -- Owner Award
After loading a clearly contaminated cargo, the Charterer and Owner disputed over whether the contamination should be mentioned in the Bill of Lading, which resulted in vessel delays at loadport. The Charterer believed that the contamination could be logged in the statement of facts and withheld the Letter of Indemnity until a clean B/L was issued. The Owner therefore blamed the delay on the Charterer.
ASBATANKVOY -- SHORTLOADED -- DRAFT -- BAD WEATHER -- SILTING -- DEADFREIGHT -- SAFE PORT WARRANTY -- Partial Owner Award
At loadport, the Vessel could only safely load to a less-than-contracted draft level due to bad weather conditions and excess silting. The Owner demanded that the Charterer pay deadfreight for the voyage due to negligence in declaring a safe vessel berth. The Charterer, however, believed that it was the Owner’s responsibility to validate the port’s safety and that the contractual term "safe port" was not a warranty but a mutual agreement that the port was safe.
Replacing their “Equiva Trading Company Marine Provisions for Tankers, Tows and Barges Effective December 1, 1998”, Shell Trading (US) Company, STUSCO, recently introduced new General Terms and Conditions (GT&Cs). Intended to be equitable whether selling FOB, CFR, CIF or Delivered, STUSCO’s new GT&C’s is entitled “Shell Trading (US) Company General Terms and Conditions for the Sale and Purchase of Refined Products August 1st 2007”.
ASBATANKVOY -- CHARTER PARTY -- ARBITRATION -- TANK CLEANLINESS -- WRONGFUL CANCELLATION -- Charterer Award
Upon the Vessel’s arrival at loadport, the Charterers’ inspector rejected the Vessel due to excess rust and tank lining deterioration. The Vessel crew attempted to clean the tanks over laycan, but ultimately could not meet the inspector’s minimum standards, so the Charterers subsequently terminated the charter party. The Owners refuted the cancellation by claiming that the expected standards were unjust and began arbitration for losses.
TRUCKER STRIKE -- CONSEQUENTIAL DELAYS -- WORK SLOW-DOWN -- BURDEN OF PROOF -- Charterer Award
Due to a trucking strike at disport, the discharge operation was protracted, causing the Vessel to incur demurrage. The Charterer refuted the demurrage claim, citing that the strike was out of their control, and therefore, exempt from demurrage fees. On the other hand, Owner argued that the Charterers had not satisfied their obligation to search for alternative means of discharge.
FRAME CONTRACT -- VOYAGE -- TIME-BAR --CARGO CONTAMINATION -- LIMITATIONS ACT 1980 -- Seller Award
This arbitration began as a result of two disputed "frame contract" voyages between the same Buyer and Seller. The first dispute centered around a potential time-bar exception under the Limitations Act 1980 to the Buyer’s presented claim. The second dispute concerned contaminated cargo onboard the Vessel, the resulting demurrage at disport and the liability of such contamination and delays.
GENCON -- IMPORT -- CARGO -- POSSESSORY LIEN -- DETENTION AT DISPORT -- ARBITRATION ACT 1996 -- PROPER CHARTER PARTY CANCELLATION -- Owner Award
Because the Receivers recently had their import license revoked, the Vessel was unable to discharge cargo at the nominated disport. The Owners responded by exercising their possessory lien on the cargo and ordered the Vessel to remain outside of port while concurrently accruing demurrage. The Owners began arbitration with the threat of charter party cancellation if the cargo was not received commercially acceptable time.