Rhine Shipping DMCC v Vitol S.A. (The “Dijilah”) – EWHC (Comm Ct), 26 May 2023

DEMURRAGE - BPVOY4 - CLAUSE 13 INDEMNITY - VESSEL FREE OF LEGAL ISSUES – CARGO ON VESSEL ARRESTED - DELAY TO LOAD AT SECOND LOADPORT - INCREASE IN PURCHASING COSTS DUE TO DELAY - INDEMNITY AND WARRANTY CLAUSES - ASSUMPTION OF RESPONSIBILITY BY OWNERS - CAN CHARTERERS’ “GAINS” FROM INTERNAL HEDGING ARRANGEMENTS BE USED TO OFFSET OWNERS’ BREACH OF CHARTER CLAIM - REMOTENESS OF LOSS RULES FOR BREACH OF CONTRACT Disponent Owners chartered the tanker "Dijilah" from West Africa to China, then faced legal issues over sanction compliance by the commercial operator/owner. Property seizure by financiers caused delays, leading Charterers to pay an extra USD 3.7 million for cargo, but they gained USD 2.9 million internally. Disputes ensued as Owners claimed demurrage charges, countered by Charterers citing losses from the delay.
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