2025 Maritime Digest of Arbitration Awards and Court Rulings

Tricon Dry Chemicals (TDC) v. Plastico Bahrain – SMA No. 4470, 26 January 2024 

DAMAGES – BREACH OF SALES CONTRACT – FAILURE TO PAY – PVC – TRICON – LACK OF PARTICIPATION – CONTRACT CANCELLATION

Tricon Dry Chemicals initiated arbitration against Plastico Bahrain over a breached contract for 300 metric tons of PVC. The proceedings, based solely on Tricon’s submissions, sought $156,000 in damages for Plastico’s unilateral contract cancellation due to non-payment. Plastico did not participate in the arbitration.

Marchand Navigation Co v Olam Global Agri Pte Ltd and Another –Singapore High Court – 29 Nov 2023

BUNKERS – MARITIME LIEN – DEMURRAGE DEBT – ARBITRATION CLAUSE – SUB-CHARTER – NYPE FORM – VOYAGE CHARTER – FAILURE TO PAY HIRE – ARREST

The MARIA THEO I was chartered by Sinco from disponent owners, Marchand Navigation Co. on a NYPE form under English law and with the arbitration in London. Sinco then sub-chartered the vessel to Olam under a voyage charter. Olam incurred demurrage charges, which they agreed to pay Sinco, however, Marchand exercised a lien against Olam, stating breach of the charterparty by Sinco for the failure of Sinco to pay hire and for unpaid bunkers.

London Arbitration 17/23

TIME CHARTER – INTER-CLUB AGREEMENT – DISCHARGE TO THREE RECEIVERS – CARGO SHORTAGE – OVER DISCHARGE – DETAINED BY RECEIVERS – OFF HIRE – REIMBURSEMENT OF CREW BONUS FOR DANGEROUS WATERS

Disputes in a wheat transport time charter from Ukraine to East Africa involved cargo shortage claims, off-hire due to port delays, and crew bonus issues under an amended NYPE 1946 form. Owners sought $2278K in unpaid hire fees, while charterers counterclaimed for $31K.

London Arbitration 3/24

FORCE MAJEURE – “LAWSUIT” DEFINITION – TIME-BARRED CLAIMS – TIME-CLAUSE – AGREEMENTS ON CHARTER – ARBITRATION

In March 2022, a vessel sustained propeller damage on the way to its first load port, leading to the charter party cancellation through force majeure.  Charterers did not initiate arbitration proceedings until over a year later in April 2023. The dispute focused on whether arbitration proceedings were time-barred. Charterers contended that the one-year time bar did not apply due to circumstances surrounding the voyage’s cancellation.  

London Arbitration 2/24

TIME CHARTER – NYPE FORM – BUNKERS UPON REDELIVERY – SPEED AND CONSUMPTION CLAIM – WEATHER ROUTING COMPANY – ALLEGED ADDITIONAL / UNAUTHORIZED PORT CALL

In a time charter dispute based on an amended NYPE 1946 form, Owners claimed a balance of hire for $79,103.27, while Charterers denied responsibility and counterclaimed for $100,000, alleging the vessel had traveled an extra 250 miles and did not meet speed and consumption warranties.

London Arbitration 1/24

NORGRAIN FORM – CHANGE OF PORTS – CHANGE IN FREIGHT DUE TO CHANGE OF PORTS – DESPATCH TERMS – DO LOCAL PUBLIC HOLIDAYS COUNT FOR LAYTIME PURPOSES

A vessel chartered under an amended Norgrain agreement was to transport dense grains from Paranagua, Brazil, to China. The discharge points were initially Zhoushan and Taixing but were later changed to Tianjin. Disputes arose over outstanding freight charges and despatch claims.

Teekay Tankers Chartering Pte. Ltd. v SeaRiver Maritime LLC. (The “ZENITH SPIRIT”) – SMA No. 4467, 22 September 2023

EMVOY SPECIAL CLAUSE 15 – EXXONMOBILE VOY2012 – CARGO STORAGE – DAMAGES – AUTHORITY OF BROKER TO REPRESENT BOTH PARTIES – MEETING OF THE MINDS

The dispute between SeaRiver Maritime (Charterer) and Teekay Tankers Chartering (Owner) revolved around the terms of a charter party agreement for the vessel ZENITH SPIRIT. The key point of contention was the interpretation of Special Clause 15 from the contract written on an ExxonMobile VOY2012, with Owner claiming a guaranteed minimum of 90 days of storage, while Charterer contended that storage was at Charterer’s option.

Dorval SC Tankers Inc. v SeaRiver Maritime, LLC, (The “GOLDEN AUSTRALIS”) – SMA No. 4465, 7 September 2023

EMVOY 2012 – WITHHELD SAMPLES – SAMPLE CONTAMINATION – JOINT SAMPLE TESTING – ARBITRABILITY – CAUSE OF CONTAMINATION

An Owner and Charterer entered into a Contract of Affreightment (COA) for the transportation of bulk chemical products from Singapore to Australia. Sampling at the discharge revealed water droplets and cloudiness in the cargo. The Charterer withheld samples from the discharge from joint testing that was requested by the Owner to determine the cause of contamination.

Naviera Transoceanica and Products Tankers Management Company v PetroChina International (America) Inc. – SMA No. 4464, 29 August 2023

VOYAGE SPEED – WEATHER – DEMURRAGE CLAIM – OWNERS GUARANTEE – SLOW STEAMING – ASBATANKVOY

A voyage charter was made for the transport of clean petroleum product (CPP) from Cherry Point, Washington, to a Chilean port of the Charterer’s choice. Owners initiated arbitration seeking a partial final award of outstanding demurrage, plus interest, costs, and attorneys’ fees. Charterer disputed the claim, asserting that the vessel failed to meet the charterparty speed and failed to adhere to voyage orders, resulting in a missed discharge window.

Oslo Caribbean Carrier v Knowles Construction & Development Co. Ltd. (The “SEA CARRIER”), SMA No. 4463, 3 August 2023

PARTIAL PAYMENT – DAMAGES FOR DETENTION – DEMURRAGE – FAILURE TO APPOINT ARBITRATOR – ACKNOWLEDGMENT OF DEBT – FAILURE TO MAKE PAYMENT

This arbitration involved a charterparty for the transport of bulk aggregate sand from Kingston, Jamaica, to Nassau, Bahamas. Oslo Caribbean Carrier AS, the owner of the M/V SEA CARRIER, claimed outstanding demurrage payment and interest from Knowles Construction & Development Co. Ltd., the charterer.