Category: U.S. Maritime Cases

Sherwin Alumina, L.P. v. Western Bulk Carriers KS – SMA No. 4148, 30 Nov 2011

CONTRACT OF AFFREIGHTMENT (COA) -- ISPS CODE -- LIABILITY FOR PORT EXPENSES -- DOCKAGE AND SECURITY FEES -- Owner Award Midway through an eight-year fixed freight rate Contract of Affreightment (COA), Charterer's new port manager directed Charterer to pass on port fees to Owner given the COA states Owner is responsible for "all port expenses". Fees were previously not being passed on presumably due to Charterer's lack of experience in this area.
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Sinotrans (Bermuda) Ltd. v. Crossbridge Shipping Singapore Ltd. (The “Ming Hai”) – SMA No. 4149, 7 Dec 2011

NYPE -- TIME-CHARTER -- BUNKER PRICES -- BUNKER SHORTFALL ON REDELIVERY -- Owner Award When Charterer failed to redeliver Vessel with the charter party mandated quantity of IFO and MDO, Owner claimed for the difference.
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Interchem 2000 Logistics BV v. Suffolk Tankers Co., Ltd. (The “Rachel B”) – SMA No. 4150, 9 Dec 2011

ASBATANKVOY -- VESSEL BREAKDOWN -- ENGINE PROBLEM -- SEAWORTHINESS -- Owner Award At the time of the fixture, Vessel was in drydock for repairs. After undocking further repairs were found to be required subsequently causing the Vessel to miss her laydays. Charterer cancelled the fixture incurring costs in finding a suitable replacement which Charterer is claiming from Owner in this arbitration.
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Olendorff Carriers GmbH & Co. v. Sidor, CA (The “New Navigation”) – SMA No. 4151, 22 Jul 2010

GENCON -- CERTIFICATE OF AFFREIGHTMENT (COA) -- GROUNDING IN RIVER -- SAFE PORT / BERTH WARRANTY -- DEMURRAGE -- BUNKERS -- Charterer Award En route to the discharge berth named in the Contract of Affreightment (COA) and warranted as being a "safe berth", Vessel grounded either due to poor seamanship or as a result of a buoy being out of place. As a result of the grounding, Vessel missed its berthing opportunity and after repairs was forced to await berth availability. Disponent Owner, arguing berth was unsafe, claimed for damages resulting from the grounding and demurrage during the aforementioned wait.
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Midas Shipping Co. Inc. v. PDVSA Petroleo SA (The “Liberia”) – SMA No. 4153, 16 Dec 2011

PDVSA TIME 2006 -- TIME-CHARTER -- EXTRA WAR RISK INSURANCE -- INSURANCE PREMIUM -- INTEREST CALCULATION -- Owner Award Charterer failed to pay the Extra War Risk Insurance Premiums and interest that was allowed within the charter party. The Panel revised the Owner’s interest rate and calculation methodology.
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Korea Line Corp. v. CMC Cometals (The “Namrun”) – SMA No. 4156, 23 Dec 2011

MEDITERRANEAN CHARTER PARTY -- ETA SUBMITTED WITH INCORRECT CALL SIGN -- BERTHING DELAY -- INVALID NOR -- BERTH OR PORT CHARTER -- WIBON -- Owner Award Albeit quickly corrected, Master initially submitted an ETA with an incorrect Vessel call sign which per Charterer, caused the Vessel to be held out at anchorage whilst correcting the paperwork with the Chinese Authorities. As such, per Charterer the NOR is invalid. Further, per Charterer the charter party was of a berth nature, with NOR subsequently only effective in regards to the commencement of laytime upon the Vessel's arrival in berth.
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Seadancer, SMA No. 4131

ASBATANKVOY -- FLOATING STORAGE -- DELAYS CAUSING OWNER’S FOLLOW-ON FIXTURE TO BE CANCELLED -- DETENTION -- LOST PROFITS -- FORESEEABILITY -- Charterer Award Under a voyage charter, wherein the clause allowing Charterer the option of using Vessel as floating storage had been deleted, Vessel was delayed at disport causing the subsequent fixture between Owner and another charterer, made at the peak of the market, to be cancelled. Owner claimed for damages in the form of profits lost from the cancelled fixture.
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Seaarland Shipping Management BV v. Standard Tankers Bahamas Ltd. (The “Elisewin”) – SMA No. 4137, 21 Jun 2011

EXXONMOBIL VOY 2005 -- "NIGERIAN 8:00 A.M. RULE" -- DELAYS DUE MASTER’S REFUSAL TO SIGN BACKDATED BILL OF LADING (B/L) -- Charterer Award When Vessel concluded loading prior to 8 a.m. on the first day of the month, Charterer requested Master to sign a backdated B/L allegedly in accordance with Nigerian law and also allegedly a requirement of Clause 27 (a) of Part II of ExxonMobilvoy 2005. When Master refused to sign without a Letter of Indemnity Vessel was delayed in departing for six days for which Charterer refused to pay demurrage.
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Citgo Petroleum Corp. v. Pulot Enterprises, Inc. (The “Stinice”) – SMA No. 4139, 5 Aug 2011

ASBATANKVOY -- CLAUSE PARAMOUNT -- COGSA -- CARGO CONTAMINATION -- Charterer Award When cargo was found to be contaminated onboard the vessel at the discharge port, Charterer argued that COGSA applied and subsequently attempted to show that the cargo was loaded onboard the Vessel in good condition and discharged in a damaged condition.
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Gretchen Shipping Inc. v. Commodities & Minerals Enterprises, Ltd. (The “Christoffer Oldendorf” renamed “General Piar”) – SMA No. 4140, 16 Aug 2011

BALTIME 1939 -- MASTER OVERWRITING FIGURES ON DEPARTURE DOCUMENTS -- DEPARTURE DELAY WHILE AGENT PREPARES NEW DOCUMENTS -- OFF-HIRE -- Charterer Award Upon completion of loading Master first refused to sign required departure documents before striking through figures and writing in what he considered to be the correct amounts. There was subsequently a 24-hour delay whilst new documents were prepared which the Master signed as presented with his disagreements noted on the bottom. Against Owner’s wishes, Charterer subsequently deducted the 24-hour period from money owed for bunkers.
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