by Dionne Lindsay Campbell · Published March 11, 2022 · Last modified April 13, 2023
FORCE MAJEURE – DEMURRAGE – DISPONENT OWNER – LOSS OF EARNINGS
After 46 days at load port awaiting cargo, the Claimant terminated the contract claiming breach of charterparty. The Respondent claimed force majeure due to supplier issues. Claimant sought damages plus fees, costs and interest.
by Dionne Lindsay Campbell · Published March 11, 2022 · Last modified May 18, 2022
MEDITERRANEAN IRON ORE VOYAGE CHARTER – FAILURE TO PROVIDE CARGO – DAMAGES – CALCULATION OF DAMAGES – DEMURRAGE – FORCE MAJEURE – GOVERNMENT INTERFERENCE
Seacape Shipping and Trading (Claimant) alleged Metalex 2000 (Respondent) breached the voyage charter for failing to provide cargo and subsequently claimed for damages and demurrage. The Respondent claimed government interference and force majeure but participated only minimally in the arbitration.
by Dionne Lindsay Campbell · Published March 10, 2022 · Last modified May 18, 2022
SALES CONTRACT – DEMURRAGE – PUBLIC DOCK CLAUSE – COMMENCEMENT OF LAYTIME
Two vessels encountered delays whilst awaiting berth, resulting in delivered Seller claiming demurrage. Relying upon a public dock clause in the marine provisions, Buyer insisted time waiting for berths did not count and that rather time only starts after the vessels’ gangways were secured. Owner claimed contract confirmations, which included a laytime commencing clause, superseded Marine Provisions, and that laytime began after the tender of NOR
by Dionne Lindsay Campbell · Published March 10, 2022 · Last modified April 13, 2023
ASBATANKVOY – KOLMAR TERMS – VIOLATION OF US SANCTIONS – SANCTIONS CLAUSE – STS TRANSFER – ALTERNATIVE ORDERS – PARTIAL FINAL AWARD – SUBJECT MOTION – DISCERNABLE RISK – VENEZUELA
The consolidated arbitration between the Owner and Respondents centered on whether the owner validly invoked the Charter’s Sanctions Clause when demanding alternative orders (Subject Motion). The owner claimed a discernable risk that the ship-to-ship transfer of cargo could have violated US Sanctions against Venezuela. This partial final award is issued solely in response to the Subject Motion and does not address any other disputes between the Owner and Respondents.
by Dionne Lindsay Campbell · Published January 31, 2022 · Last modified May 18, 2022
SPOT CHARTER – PRORATED WAITING TIME – SUSPENDED LAYTIME – DROPPED TENDER
Vessel tendered NOR whilst charterer’s berth was available and after awaiting a short period of time, went to another berth. Thereafter, charterer’s berth was occupied and vessel periodically waited for charterer’s berth and worked berths for other charterers’ accounts. Owner claimed as demurrage those periods of time whilst vessel was awaiting charterer’s berth whilst it was charterer’s position that the root cause of the overall delay in berthing was vessel’s decision to not work charterer’s berth when given the opportunity.
by Dionne Lindsay Campbell · Published January 31, 2022 · Last modified May 18, 2022
DETENTION – FORCE MAJEURE – DAMAGES – MITIGATION – CANCELLED C/P
When Charterer’s supplier failed to provide its cargo due to Charterer’s attempt to re-negotiate the sale, Charterer was forced to cancel its C/P with the lifting vessel’s owner. Owner then endeavored to mitigate the damages via an internal fixture amongst a rising freight market.
by Dionne Lindsay Campbell · Published January 18, 2022 · Last modified May 18, 2022
ASBATANKVOY – NAMED PORT – NAMED BERTH – Q88 – FOREIGN FLAG RESTRICTION – INVALID NOR – CARGO AVAILABILITY – DEADFREIGHT – DEMURRAGE – ADDRESS COMMISSION
When Charterer was either unable to provide a cargo or Vessel was not allowed admittance to the load port due to its flag, Owner cancelled the charter party and claimed for deadfreight and demurrage. It was also noted that the Vessel may have tendered a premature NOR from just outside the load port.
by Dionne Lindsay Campbell · Published January 18, 2022 · Last modified May 18, 2022
BEIZAI 1991 – EQUIPMENT FAILURE – UNION SAFETY INSPECTION FAILURE – DEMURRAGE – DAMAGES
When the crane sheaves on the vessel failed the longshoremen’s inspection, time was lost when attempting to resolve the issue with the Owner ultimately choosing to have the sheaves machined. Owner claimed demurrage and the cost of the machining from Charterer.
OWNER/CHARTERER – POTENTIAL FORCE MAJEURE – CARGO NOT SUPPLIED – OWNER TERMINATED CHARTER – OWNER CLAIMED BREACH AND REPUDIATION – OWNER AWARD
After awaiting Charterer’s cargo for ~2+ months and not receiving a satisfactory answer as to when it would be provided, Owner terminated the Charter, claiming that the Charterer was in breach and repudiation of the agreement. The Owner then brought a case to arbitration, once the Charterer did not respond to the claims that were submitted to them regarding the incident.
OWNER/CHARTERER – DEMURRAGE – U.S. SANCTIONS AGAINST VENEZUELA – PARTY RESPONSIBLE FOR OFAC LICENSE – OWNER AWARD
Owner submitted four undisputed invoices to the charterer, regarding a voyage from the U.S. to Venezuela. The Charterer refused to attempt payment of the invoices, contending that an OFAC License may be needed in order to allow the transfer of funds due to sanctions against Venezuela. Arbitrators were asked to determine if an OFAC License was needed, and if so, which party was responsible for acquiring the Licence.
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