DEFAULT ON HIRE PAYMENT – FORCE MAJEURE – WRONGFUL ARREST AND ATTACHMENT – OBLIGATION TO PROCEED WITH REASONABLE DISPATCH – DOCTRINE OF FINANCIAL UNSEAWORTHINESS Upon the Charterer’s default on hire payments the Owner terminated the time charter party, which resulted in a delay at the discharge port and subsequent attachment and arrest of the Vessel. The Sub-Charterer claimed damages arising from the delay against the Owner, who counterclaimed for wrongful arrest and attachment of the Vessel. Under a time charter on the NYPE form Inter Merchant Marine Co Ltd (hereinafter, “Inter Merchant”) chartered the M/V INTER PRIDE (hereinafter, “Vessel”) to...
FORCE MAJEURE – HURRICANE – WHETHER FORCE MAJEURE WAS PREMATURE – LAYCAN – REPUDIATORY BREACH Owner claimed Charterer wrongfully repudiated the charter after Charterer declared force majeure prior to the laycan. J. Lauritzen Bulkers A/S (hereinafter, “Owner”) claimed against Interoceanic Corp. (hereinafter, “Charterer”) for repudiatory breach in contract following Charterer’s declaration of force majeure. The parties entered into a charter on an amended FOSFO form for carriage of a cargo of ammonium sulphate on the TBC PRESTIGE (hereinafter, “Vessel”) from the load port of Pasadena, Texas to ports in Brazil. The loading facility in Pasadena, PCI Nitrogen, was purchased by...
DEMURRAGE – OFF-SPECIFICATION OF CARGO – WHETHER CONTAMINATION ATTRIBUTABLE TO SHORE OPERATIONS OR VESSEL – READINESS TO LOAD When the cargo was found to be off-specification after loading the “first foot” Charterer requested the second foot be loaded to allow for the cargo to blend back to specification. Owner contended the contamination arose from the shore tanks rather than the Vessel. Delays incurred as a result of the testing and surveying process, which resulted in Owner’s claim for demurrage. Charterer countered that time was not to count during the delay as it was attributable to fault of Owner. Aurora Tankers...
DEMURRAGE – NO APPEARANCE – PAYMENT OF INTEREST AND ARBITRATION COSTS Owner sought payment of outstanding demurrage amount from Charterer and initiated arbitration proceedings. Charterer failed to participate in the proceedings, but it did submit payment of the outstanding demurrage amount following Owner’s submissions. Owner claimed for interest, attorney’s fees, and arbitration costs against Charterer. Caribe Tankers, Ltd (hereinafter, “Owner”) brought arbitration proceedings against Murex LLC (hereinafter, “Charterer”) over an unpaid demurrage amount totaling $31,119.08. The demurrage charges incurred under two charters, both fixed under Asbatankvoy, and two voyages of the CARIBE ROSA. Owner requested consolidation of the two demurrage...
DUE DILIGENCE – SAFE PORT SAFE BERTH WARRANTY – OIL SPILL – THIRD PARTY DAMAGES – SINGLE-POINT MOORING BUOY – PARTIAL FINAL AWARD Owner claimed against Charterer for hire and indemnity from a pollution incident during discharging operations. The basis of the Owner’s claim was the Charterer failed to exercise due diligence in nominating a safe berth. This partial final award determined the result of the indemnity claim. [dropcap]U[/dropcap]nder a time charter party on the Shelltime form with amendments, LR Mimosa Limited (hereinafter, “Owner”) entered into a charter of the M/T MIMOSA (hereinafter, “Vessel”) with Panamax International Shipping Company (hereinafter,...
PARTIAL FINAL AWARD – TIME BAR – HAGUE-VISBY RULES – COGSA – TRANSSHIPMENT – INDEMNITY – WHETHER CLAIM WAS RELATED TO CARGO DAMAGES OR INDEMNITY – UNSEAWORTHY Under a voyage charter the vessel became disabled whilst proceeding to the discharge port. Charterer incurred costs relating to salvage and transshipment of the cargo and claimed the amounts from the Owner and disponent owner. Owner contended that the claims were time-barred under COGSA and the Hague Rules. [dropcap]A[/dropcap]DM International Sarl (hereinafter, “ADMI”) claimed against FEDNAV International Ltd. (hereinafter, “FEDNAV”) and Reederei M. Lauterjung GmbH and Co. (hereinafter, “Owner”) for a dispute involving...
DEMURRAGE – AMENDED FINAL AWARD – NO OBJECTION TO CLAIM – NO RESPONSE FROM RESPONDENT Owner initiated arbitration proceedings against Charterer over an unpaid demurrage amount. Charterer issued no response or objection to the claim. [dropcap]B[/dropcap]BC Chartering Carriers GmbH Co. KG (hereinafter, “Owner”) claimed the demurrage balance from The Shopping Metal USA, Inc. (hereinafter, “Charterer”) after the Charterer failed to pay the outstanding balance within the time allocated by the charter party under the Gencon form. The demurrage amount in question totaled $13,265.62. Under the provisions of the charter party the dispute was to be conducted using the Shortened Arbitration...
DEMURRAGE – LATE PAYMENT – SOLE ARBITRATOR – RESPONDENT FAILED TO RESPOND TO CLAIMS Keytrade Africa SA claimed for demurrage and interests on late payments against Asbita Sarl when they failed to submit payment before the date specified in their Settlement Agreement. [dropcap]K[/dropcap]eytrade Africa SA (hereinafter, “Keytrade”) entered into an Assignment Agreement with Keytrade AG wherein they took all rights and obligations from Keytrade AG to pursue a claim against Asbita Sarl (hereinafter, “Asbita”) for demurrage with respect to two voyages. The claims were the result of late demurrage payments and interests accrued during the discharging operations of the two...
REPUDIATORY BREACH – WAIT FOR ORDERS CLAUSE – WFO – DAMAGES DUE TO EARLY TENDERING OF NOR – NOTICE OF READINESS – SUPPLY CONTRACT – WARRANTED SPEED Charterer suffered losses resulting from an early tendered notice of readiness. Owner contended that the Charterer was not in its rights to delay the voyage as it had entered into a supply contract and endorsed the bills of lading with another party, and had such transferred the rights and terms of the charter. [dropcap]L[/dropcap]ukoil Pan Americas, LLC (hereinafter, “Charterer”) filed claims against Methanol Holdings Trinidad Limited disponent owner (hereinafter, “Owner”) of the MT...
VOYAGE CHARTER PARTY – DETENTION – SAFE PORT – SAFE BERTH – PORT OF HOUSTON Under the auspices that the Port of Houston was an unsafe port when the Vessel could not depart its discharge berth after a tug sank in the ship channel, Owner claimed detention. Charterer contended that the contractual agreement ended upon the completion of discharge and disconnection of the hoses and that the accident in the ship channel was abnormal, unexpected, and beyond Charterer’s control. [dropcap]L[/dropcap]exmar Corporation of Liberia (hereinafter, “Owner”) claimed detention to the amount of $90,077.48 plus interest from Tricentrol Oil Trading Inc. (hereinafter,...