Category: Featured

Highlighted articles from each TANKVOYager issue.

London Arbitration 25/19

NYPE - VESSEL FAILED INSPECTION - OFF HIRE After Charterers file a claim against shipowners for overpaid hire and damages due to broken cranes during an in-port inspection, the Panel was left to determine if the claim was unreasonable or if the shipowners had failed to follow accords made in the charter party.
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London Arbitration 24/19

TIME CHARTER – AMENDED NYPE CHARTERPARTY – FINAL HIRE – SPEED AND CONSUMPTION – VESSEL UNDERPERFORMANCE – WHETHER CONSIDERED GOOD WEATHER CONDITIONS – BUNKERS ON REDELIVERY After Owners claimed against Charterers for the alleged underperformance of the Vessel and failure to redeliver the Vessel to Owners with the correct amount of bunkers. The Tribunal was then left to determine whether the Charterer provided adequate proof to deny any amount due to Owner.
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Classic Maritime Inc v Limbungan Makmur Sdn Bhd and Another – Court of Appeal (Haddon-Cave, Males and Rose LJJ) [2019] EWCA Civ 1102 – 27 June 2019

CONTRACT OF AFFREIGHTMENT – FORCE MAJEURE – CLAIMED DAMAGES – CHARTERERS OBLIGATION TO PROVIDE CARGO – “BUT FOR” TEST – COMPENSATORY PRINCIPLE – OWNER’S APPEAL – CHARTERER’S CROSS-APPEAL After Charterers were found not liable for the damages incurred due to their failure to provide cargo for multiple shipments, Owners then appealed to the Court of Appeal on the damages incurred from the missed shipments whilst Charterers cross-appealed on their liability to provide the cargoes basis the agreed force majeure clause.
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Mur Shipping BV v Louis Dreyfus Company Suisse SA (The “Tiger Shanghai”) – QBD (Comm Ct) (Cockerill J) [2019] EWHC 3240 (Comm) – 13 November 2019 [Updated 10 August 2020]

TIMEBAR – BREACH OF CHARTERPARTY – NULLIFYING DOCUMENTS – INCOMPLETE CLAIMS Arbitration proceedings were brought against the owner's alleged breach of charterparty by refusing vessel modifications per charterer’s request. However, charterer’s left out a supporting document from their claim. Ultimately, the court decided that the documentation was time-barred, causing the cause to be dismissed.
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Transunisa Shipping S.A. de. C.V., as voyage Charterer, and Searail de Mexico SA de CV as Supplier – SMA 4379

BOOKING CANCELLATION – DEADFREIGHT – WHETHER CHARTERER CAN PASS DEADFREIGHT COSTS TO SUPPLIER The supplier in question unilaterally canceled the booking agreement with their charterers whilst the vessel was already on approach to the load port. This cancellation was the direct cause of dead freight incurred by the Charterer – which was subsequently passed to the Supplier. The Charterer was later awarded the dead freight, interest, owner’s fees, and arbitration fees.
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Quiana Navigation SA v Pacific Gulf Shipping (Singapore Pte Ltd (The “Caravos Liberty”) – QBD (Comm Ct) (Cockerill J) [2019] EWHC 3171 (Comm) – 21 November 2019

NYPE - TIME CHARTER - HIRE - ANTI-TECHNICALITY NOTICE (ATN) - BIMCO NON-PAYMENT OF HIRE CLAUSE - REPUDIATORY BREACH The charterer and the owner of a vessel got into a dispute over the alleged overconsumption of fuel. The appeal of the owner was later dismissed.
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London Arbitration 16/19

DEMURRAGE – LAYTIME – NOTICE OF READINESS – LACK OF ANCHORS – RIVER NAVIGATION – WHETHER NOTICE OF READINESS IS VALID – ESCORTING TUGS – DELAY TO BERTH After previously losing one of it’s anchors in a storm, the pilot refused to navigate the vessel up river unless the Owner also hired an escort tug. This option was refused by Owners, ultimately delaying the vessel to the discharge berth.
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London Arbitration 13/19

DEMURRAGE – REPUDIATORY BREACH – ARRIVED AND ALL RESPECTS READY TO LOAD – WHETHER NOR WAS VALID – NOTICE OF READINESS – FORCE MAJEURE – LIABILITY FOR FAILED HOLD INSPECTION Upon vessel’s arrival at the Southwest Pass of the Mississippi River the Master tendered NOR to a port upriver.  Charterer’s independent surveyor then found that the holds were not clean whereas after a second, this time successful, inspection loading was further delayed due to an oncoming hurricane which grounded the vessel. Owner claimed demurrage, damages for loss of profit, and compensation for lost bunkers. Charterer asserted that the NOR was...
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Norstar Shipping and Trading Ltd., Disponent Owner, and Ravago LM Pte Ltd., Charterer, Under a Voyage Charter Party, dated, October 7, 2016, of the M/T UACC DOHA – SMA 4350

DEADFREIGHT – VOYAGE CHARTER – FORCE MAJEURE – WHETHER CHARTERER LIABLE FOR DEADFREIGHT AFTER FORCE MAJEURE EVENT Owner claimed deadfreight after Charterer was unable to load a complete quantity of cargo at the loading port due to a fire. Charterer contended that the fire at the loading port constituted a force majeure event, and as such they were not liable for deadfreight incurred as a result.  Norstar Shipping and Trading Ltd. (hereinafter, “Owner”) claimed for deadfreight amounting to $102,640.28 against Ravago LM Pte Ltd. (hereinafter, “Charterer”). The Owner entered into a space voyage charter on the Asbatankvoy form using the...
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Caribe Tankers, Ltd. as Disponent Owner of the CARIBE ROSA and Murex LLC, as Charterer – SMA 4370

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...
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