2025 Maritime Digest of Arbitration Awards and Court Rulings

Chembulk Trading LLC v. Cendian Corp. (The “Chembulk New York”) – SMA No. 3868, 2 Dec 2004

ASBATANKVOY -- CHARTER PARTY -- DEMURRAGE -- TERMINAL LOGS -- TIME-BAR -- Charterer Award This case’s Charter Party clearly stipulates that there are no grounds for demurrage unless the claim (along with supporting documentation) is received within ninety days of cargo discharge. So when the Owner submitted a claim on the ninetieth day without the specifically outlined terminal logs, the Charterer deemed the demurrage time-barred by the Charter Party.
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Navion Shipping AS v. Citgo Petroleum Corp. (The “Torm Gunhild”) – SMA No. 3863, 25 Aug 2004

ASBATANKVOY -- LOADPORT -- CHARTER PARTY -- BERTH -- CARGO -- DEMURRAGE -- ARBITRATION -- TANK CLEANLINESS -- Charterer Award Upon arriving at loadport after a new cargo revision in the Charter Party, the Vessel was kicked off of berth because of survey results revealing that the Vessel’s tanks were insufficiently cleaned for the revised cargo. The Owner submitted demurrage for the cleaning costs and delays arguing that the tanks were acceptable for the original cargo.
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Combria Tankers, Ltd. v. Franshaw International Trading Co. (The “Martha A”) – SMA No. 3861, 23 Aug 2004

PORT AUTHORITY -- BERTH -- DEMURRAGE -- DETENTION -- BERTH CLOSURE -- Owner Award After repeatedly delaying its ETA, the Vessel ultimately arrived, but the port authority had closed the berth for scheduled maintenance. In response to the subsequent Owner demurrage claim, the Charterer counterclaimed that neither the maintenance nor the delays leading to the prolonged ETA were in His/Her control.
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What Constitutes A Storm?

With hurricanes Katrina and Rita recently hitting the U.S. Gulf, Charterers and Owners have found their vessels incurring lengthy waits. Since Asbatankvoy remains the most popular bulk liquids boilerplate and it incorporates the term storm in its Clause 8 half-time provision, the below defines the term storm under both English and U.S. law.
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London Arbitration 8/05

ARBITRATION -- VOYAGE -- DEMURRAGE -- SPEED WARRANTY -- SEAWORTHINESS -- SPEED WARRANTY – LOSS OF ANCHOR CHAINS -- UNSEAWORTHINESS OR UNSAFE PORT/BERTH - VALIDITY OF NOR -- Owner Award The arbitration following the Vessel’s voyage encompassed several key demurrage arguments. Disputes center around the Vessel speed warranty and the application of the word "about", the fault for broken anchor chains (Charterer port unsafety or Owner Vessel unseaworthiness), and the validity of subsequent NOR tender if the anchors were broken.
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London Arbitration 7/05

ASBATANKVOY -- LOADPORT -- LOAD OPERATIONS -- DEMURRAGE -- ARBITRATIONT -- CARGO CONTAMINATION -- LIABILITY FOR DEMURRAGE, FREIGHT, DEADFREIGHT AND DAMAGES -- Owner Award The Vessel arrived at loadport, passed surveyor inspection, and began loading cargo. However, when the surveyor inspected the cargo after partial loading, He/She rejected the loaded cargo because of floating particles in the sample. After the voyage, the Owner claimed that the surveyor passed the Vessel before loading and filed demurrage for the tank cleaning delays.
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London Arbitration 4/05

ANCHORAGE -- CHARTER -- ARBITRATION -- BERTH -- LOAD OPERATIONS -- VESSEL ARREST -- VALIDITY OF NOR – HOLIDAY -- Owner Award After arriving at anchorage, the Vessel was arrested for reasons concerning previous charters. Once the Vessel had passed inspection by authorities but not before being released, it tendered NOR. At arbitration, the Charterers refute the tender saying that the Vessel could not shift to berth while arrested; yet, the Owners stipulate that, in fact, the court order specifically allowed berthing and the commencement of load operations.
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Masefield Trading, AG v. Shell Oil Company – SMA No. 3855, 30 Jul 2004

SALES CONTRACT -- SHIPPING -- DEMURRAGE -- ARBITRATION -- DETENTION -- PORT -- CARGO -- VETTING -- Buyer Award The Buyer preliminarily contacted the Seller to ask if the Vessel characteristics agreed with Seller requirements for shipping. After granting approval, the Seller allegedly sent documents stipulating that the agreement was conditional on whether the Vessel had an operating VR system. However, the Buyer never received such stipulations and submitted demurrage for delays at port when the Seller refused Vessel loading without VR.
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Odfjell Asia Pte. Ltd. v. Vinmar Singapore Pte. Ltd. (The “Bow Marino” & “Bow Giovanni”) – SMA No. 3853, 28 Jun 2004

ASBATANKVOY -- ARBITRATION -- PUMP WARRANTY -- MANIFOLD -- DEMURRAGE -- LATE PAYMENT -- PUMP WARRANTY -- Owner Award This arbitration centers around the finer aspects of the pump warranty. In this case, the Charterers argue that the agreed pressure at the Vessel’s manifold was not maintained throughout the unloading. The Owners, on the other hand, stipulate that the referenced pressure drops were at the beginning and end of discharge, a common safety and loss prevention practice.
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Global Container Lines, Ltd. v. The Rice Co. (The “Berrak N.”) – SMA No. 3850, 23 Jun 2004

NORGRAIN 89 -- CHARTER PARTY -- GOVERNMENT CURFEW -- CARGO -- DEMURRAGE -- BERTH -- DISPORT -- Owner Award The Charter Party specifically stated that if cargo cannot be discharged because of "Civil Commotions," then there cannot be any demurrage claim for lost time. But, when the Vessel berthed at disport and a national curfew was in place, the Owner filed for demurrage regardless arguing that the curfew did not prevent the cargo from being discharged, but instead the subsequent lack of trucks leaving the port was the root cause of detainment.
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