Author: Brendan Hoffman

U.S. Maritime Cases

Linea Maritima del Pacifico SAP.I. de C.V. v Aerovolte SA de C.V., with Cal-lxa Aggregates LLC as Guarantor, (The “Sider Bilbao”) – SMA No. 4497 – 3 February 2025

GENCON – LAYTIME – DEMURRAGE – INTEREST – COSTS – ATTORNEYS’ FEES
This arbitration involves a claim by Linea Maritima, disponent owner of the MV SIDER BILBAO against Aerovolte and Cal-lxa for demurrage in the amount of $328,584.51, plus interest, attorneys’ fees, and costs, under a GENCON charterparty dated May 29, 2023. Between July and September 2023, the SIDER BILBAO completed eight voyages under the Charter. Demurrage incurred over this period totaled $478,398.48, of which Cal-lxa made a partial payment of $149,813.97, leaving an outstanding balance of $328,584.51.

U.S. Maritime Cases

Union Bulk A/S v Twin Rivers Co., Inc. (The “Agali”) – SMA 4501 – 10 April 2025

GENCON – DEMURRAGE – FREIGHT
This dispute arose under a voyage charterparty recap dated April 21, 2023, incorporating GENCON and sub-charter terms, between Union Bulk and Twin Rivers Co., for a single voyage of the M/V AGALI carrying a cargo of aggregates from Kingston, Jamaica to Wilmington, North Carolina, later amended to include Savannah, Georgia as a discharge port for additional freight. The Owners sought to recover outstanding demurrage and freight totaling $279,959.95, together with interest, attorneys’ fees, and arbitration costs.

English Maritime Cases

Lord Marine Co SA v Vimeksim SRB DOO (The “Lord Hassan”) [2024] EWHC 3305 (Comm) King’s Bench Division, Commercial Court – Bryan J – 4 October 2024

CONGENFORM 1994 – VOYAGE CHARTER – FREIGHT NOT PAID – LIEN ON CARGO – SALE OF GOODS
On 2 April 2024, Lord Marine Co SA and Vimeksim Srb DOO agreed a voyage charter for the Lord Hassan, granting the owners a lien for unpaid freight. About 11,000 mt of Ukrainian corn was shipped to Turkey under a bill marked “Freight Prepaid,” though no freight was actually paid. The owners retained the bill, exercised a lien, and sought a court-ordered sale as the cargo deteriorated, with ownership and receiver roles unclear.

English Maritime Cases

LONDON ARBITRATION 4/25

NYPE – TIME CHARTER – OFF HIRE – VESSEL TIME CHARTER – OFF HIRE – VESSEL PERFORMANCE – GRABS – BUNKERS ON REDELIVERY – PROCEDURAL DEFAULT – EFFECT OF CHARTERERS’ DISSOLUTION
This arbitration concerned disputes arising under a single-trip time charterparty on an amended NYPE 1981 form. Owners sought recovery of US$157,967.39 for hire withheld by charterers, together with interest and costs. Charterers had deducted 3.42 days’ hire based on alleged speed and consumption underperformance of the vessel and substandard grab operations. Owners also claimed damages for a shortfall in bunkers upon redelivery.

English Maritime Cases

London Arbitration 19/18

DEMURRAGE – TIME BAR – BROKER AS AGENT – ESTOPPEL – CONSEQUENTIAL DELAY – EQUIPMENT BREAKDOWN – ASBATANKVOY – WITHOUT PREJUDICE
This arbitration concerned a contract of affreightment (COA) for a series of voyages performed by two vessels carrying fuel oil/bitumen mix, chartered on an amended Asbatankvoy form. The dispute arose over unpaid demurrage in relation to eight of 87 total voyages, with the charter containing two relevant time bar provisions—one in Part I requiring demurrage claims and supporting documents within 30 days of discharge, and Clause 40 stipulating a 21-day limit.

English Maritime Cases

London Arbitration 1/90

LAYTIME – ASBATANKVOY – STATUTORY READINESS – NOR WITHOUT COC – NULLITY – ESTOPPEL REJECTED

Owners claimed laytime began at 22:30 on 4 August after NOR was tendered and accepted, but charterers argued the NOR was invalid due to the vessel lacking a U.S. Coast Guard certificate of compliance (COC) at the time.

Archive / English Maritime Cases

London Arbitration 3/18

VOYAGE CHARTER – DEMURRAGE – TIME BAR – VALID NOTICE OF READINESS – FAILURE TO PROVIDE CARGO

Charterer cancelled a voyage charter party after failing to provide cargo. Owner claimed demurrage and damages from the alleged repudiatory breach.  Charterer countered that the claim was time barred, the Vessel’s NOR was invalid, and the damages if awarded, should be basis the C/P’s lowest freight option.

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Archive / U.S. Maritime Cases

Macsteel International USA Corp. v. Inter Merchant Marine Co. Ltd. – SMA 4322, 14 Aug 2017

PARTIAL FINAL AWARD – ARREST AND ATTACHMENT OF VESSEL – MARITIME LIEN – DEFAULT IN HIRE – UNSEAWORTHY

The vessel was denied entry into a prior port for other charterers’ accounts which subsequently delayed her arrival at charterer’s disport. The panel was tasked to determine the party at fault for the delay and whether demurrage and other damages for barges awaiting the vessel at charterer’s disport for transshipment purposes were to be considered as consequential.

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Archive / English Maritime Cases

Tankschiffahrts GmbH & Co KG v. Ping An Property and Casualty Insurance Co of China Ltd (MT “Cape Bonny”) – QBD (Comm Ct), 4 December 2017

ENGINE BREAKDOWN – TYPHOON – SEAWORTHINESS – GENERAL AVERAGE – REASONABLE EXPENDITURES

After suffering an engine breakdown, the shipowner employed a tug to avoid a typhoon and to bring the vessel to port.   The owner then brought claim against the insurance company for general average contribution. The defendant argued that the vessel was unseaworthy at the beginning of the voyage and that the casualty was caused by actionable fault of the Owner and thus no contribution was due. Further, the defendant argued that owner’s expenditure as claimed under general average was unreasonable.

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Archive / English Maritime Cases

London Arbitration 1/18

NYPE – NON PAYMENT OF HIRE – PREMATURE WITHDRAWAL BY OWNER – REPUDIATORY BREACH – BALANCE OF HIRE – ADDITIONAL HIRE

After charterer missed making hire payments, the owner informed charterer of its “rights” under the C/P.  When no payments were made by the 3rd day after its notice, owner withdrew the vessel. Charterer pointed to a clause in the C/P requiring owner give “3 clear banking days notice” prior to withdrawal.  Charterer claimed the balance of hire and owner claimed additional hire.

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