Category: U.S. Maritime Cases

Petroleo Brasileiro v. Citgo Petroleum Corp. (The “Kriti Akti”) – SMA No. 3845, 25 May 2004

ASBATANKVOY -- CARGO -- BARGE -- BERTH -- PORT -- DEMURRAGE -- ACT OF GOD -- Owner Award After part cargo discharge to barge, bad weather delayed the Vessel’s berth at port thereby incurring an Owner demurrage claim. The Charterer agreed to the fine, however, requested that this claim be offset by consolidating it with other outstanding claims that the Owner owes to the Charterer (making net demurrage due Charterer).
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Byzantine Maritime Corp. v. Adam Maritime Inc. (The “Mountain Lady”) – SMA No. 3821, 6 Jan 2004

ASBATANKVOY -- LOADPORT -- NAPHTHA -- CARGO -- BERTH -- DEMURRAGE -- INDUSTRY -- Charterer Award The Charterer ordered the Vessel to arrive at loadport ready in all respects and duly cleaned to load a cargo of naphtha. Upon berthing, the inspector rejected the Vessel’s tanks and ordered them to be fresh water rinsed. Afterwards, the Owner filed for demurrage claiming that fresh water rinsing was neither required nor industry standard.
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Odfjell Americas AS v. El Bravo Investment Group (The “Bow Antisana”) – SMA No. 3824, 20 Jan 2004

ASBATANKVOY -- CARGO -- DEADFREIGHT -- VOYAGE -- ARBITRATION -- INVOICE -- Partial Owner Award After the Vessel tendered NOR at loadport, the Charterer responded that the cargo was unavailable and agreed to pay the contracted deadfreight. The Charterer tried to make allowances for the deadfreight by negotiating another voyage, however, the new voyage was never carried out and the Owner subsequently began arbitration to recover the outstanding invoice.
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A/S Dampskipsselskabet Torm v Citgo Petroleum Corp. (The “Sitamarie”) – SMA No. 3828, 6 Feb 2004

ASBATANKVOY -- COASTGUARD -- BERTH -- LOADPORT -- CHARTER PARTY -- LAYTIME -- DEMURRAGE -- Charterer Award Once inspected by the coastguard, the Vessel was required to undergo minor repairs in order to comply with berthing standards at loadport. The Charter Party stipulates that any time loss resulting from non-compliance to safety regulations shall not count as laytime; however, the Owner filed for demurrage claiming that the infractions were minor and did not hinder the loading process.
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A/S D/S Torm v. Citgo Petroleum Corp. (The “Olga”) – SMA No. 3818, 22 Dec 2003

ASBATANKVOY -- LOADPORT -- BERTH -- DEMURRAGE -- GANGWAY -- Partial Owner Award The Vessel arrived at loadport and tendered NOR, but was forced to wait for the berth to be free. The Owners filed demurrage for this lost time, however, the Charterers wanted to offset this claim with the delays resulting from Vessel unreadiness when berth became free (lack of proper gangway rigging).
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Katong Investments, Ltd. v. Betoil, Ltd. (The “Front Breaker”) – SMA No. 3803, 7 Oct 2003

ASBATANKVOY -- BERTH -- LOADPORT -- VOYAGE -- LAYTIME -- DEMURRAGE -- DISPORT -- Owner Award Before leaving berth at loadport, the voyage’s laytime had already expired and the Vessel was now on 5H demurrage. This claim continued to accumulate during the voyage, however after tendering NOR at disport, the Owner granted the Charterer 6H "free time".
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Katong Investments, Ltd. v. Betoil, Ltd. (The “Front Breaker”) – SMA No. 3804, 8 Oct 2003

ASBATANKVOY -- DISPORT -- LAYTIME TERMINAL -- DISCHARGE RATE -- DEMURRAGE -- Owner Award In this case, the Vessel arrived at disport with 6H 48M of laytime left. But in addition to the little remaining laytime, the terminal’s restrictive discharge rate further increased the eventual demurrage claim.
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Sea Goddess Shipholding, Inc. v. Standard Tankers Bahamas, Ltd. (The “Strimon”) – SMA No. 3807, 15 Oct 2003

EXXONVOY 90 -- ACT OF GOD -- DISPORT -- DRAFT -- CHARTER PARTY -- DEMURRAGE -- DEMURRAGE RATE -- Charterer Award Because of high winds pushing water out of the Houston Channel, the Vessel was unable to arrive at disport with its ordered draft. The Owners demanded that this extensive delay be paid in full by the Charterers, however, the Charterers cite the contract which stipulates that any delay due to adverse weather is paid at half the Demurrage Rate.
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Odfjell Seachem ASA v. Vinmar International, Ltd. (The “Bow Lady”) – SMA No. 3810, 30 Oct 2003

ASBATANKVOY -- CARGO -- LOADPORT -- SHIP-TO-SHIP -- COASTER -- DEMURRAGE -- ARBITRATION -- DOCK -- Owner Award While loading other charterers’ cargo at the loadport, the Vessel tendered NOR for the Charterer’s ship-to-ship transfer. The Charterer’s coaster, however, waited until all other Vessel loading ceased before coming alongside the Vessel, causing an additional day of laytime. But at arbitration, the Charterer argued that the Vessel’s NOR was invalid because He/She claims that STS transfer could not begin while dock loading.
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Bayoil Supply and Trading Ltd. v. Lamar Navigation, Ltd.Sea Giant, SMA No. 3790

SHELLTIME 4 -- TIME CHARTER -- VOYAGE -- ARBITRATION -- DEMURRAGE -- Charterer Award In this time charter voyage, the Charterers had credit owed to them by the Owner. But because a company tied to the Charterer is in debt to the Owner, the Owner refused to pay the Charterer and used the other claim as credit to offset the debt.
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