Category: Featured

Featured / U.S. Maritime Cases

Seastar Maritime Ltd. v. AUM Scrap and Metal Waste Trading LLC. (MT “AMIAS”) – SMA No. 4455, 12 December 2022

DEMURRAGE – CHARTERPARTY BREACH – DEVIATION – LOSS MITIGATION
The MT AMIAS was chartered by AUM from Seastar using the Asbatankvoy form with rider clauses to carry Methanol in bulk from Venezuela to 1-2 Safe Port/ 1 Safe Berth (Kandla to Chennai Range). The Vessel finished loading in Venezuela and submitted its invoice for 70% freight for payment within 10 days, per the charterparty. AUM did not pay, and the Vessel stayed in port until May 11. Seastar was forced to seek alternate employment to mitigate losses, which required calling another port. Both parties agreed upon an earlier settlement, but AUM did not pay it either.

English Maritime Cases / Featured

DHL Project & Chartering Ltd v. Gemini Ocean Shipping Co Ltd (The “Newcastle Express”) – Court of Appeal – (Males, Birss and Snowden LJJ) [2022] EWCA Civ 1555 – 24 November 2022

JURISDICTION of ARBITRATION – SECTION 67 OF ARBITRATION ACT 1996 – LIFTING of SUBJECTS – FIXTURE – ARBITRATION AGREEMENT – ARBITRATION CLAUSE – FORMATION OF CONTRACT – APPEAL

DHL Project & Chartering and Gemini Ocean Shipping negotiated a proposed voyage charter for the carriage of 130,000 metric tons of coal from Newcastle, Australia, to Zhoushan, China. When the vessel, the NEWCASTLE EXPRESS, did not obtain RightShip approval, DHL informed Gemini that they were releasing the vessel. DHL did not confirm to Gemini that either the shipper or receiver had approved the vessel. Owners asserted that the charterparty had been concluded, and thus the arbitration clause was binding. Furthermore, by releasing the vessel this way, the Charterer was in breach of the charterparty. The arbitration was in favor of the Owners and later overturned in court. Charterers appealed, and the claim was then heard by the Court of Appeals.