London Arbitration 14/21


The vessel arrived at the Lebanese port on 18th June at which point notice of readiness was rendered. Charterers declared discharging was not allowed until 24th June when the vessel was allowed to berth. On 27th June, discharge was completed and the vessel sailed. Owner initially claimed demurrage only to revise it by way of quantum meruit to include the cost of bunkers consumed.

It was Owner’s position that due to charterer ordering vessel to not discharge, laytime had not commenced as charterer had requested vessel to do something for charterer beyond the scope of the charter party.  In disagreeing with Owner’s argument, the Panel noted that charterer’s orders were not outside the scope of the charter party, that laytime had commenced, and that once laytime could commence charterer could use all of its laytime as purchased within the freight.  In short, whether charterer ordered the vessel not to berth, or if after berthing, choosing not to work her, or if berthing her and working her immediately, these all occasions within the scope of the C/P and not to be considered extra-contractual services.

Owner’s claim for demurrage, less the cost of bunkers, succeeded.