London Arbitration 25/17 (2017) 986 LMLN 3

London Arbitration 25/17 (2017) 986 LMLN 3

“A time charter on the NYPE Form provided for a trip within the Far East. An additional clause dealt with port stays over 30 days and exonerated owners from performance claims, entitled charterers to ask for hull cleaning at their expense and in any event required charterers to redeliver the vessel in the same condition as on delivery. The vessel spent more than 30 days at the discharge port in Lumut, Malaysia. During this time a follow-on fixture had been arranged by owners with delivery d.o.p. Lumut. The Tribunal agreed with owners that the vessel's hull became fouled at Lumut (and not before, as argued by charterers) and this caused her to underperform on the next fixture. The Tribunal disagreed that the fouling was 'wear and tear' and found charterers in breach of their redelivery obligations, particularly the express one in the prolonged port stay clause. Owners were awarded as damages the performance claim settlement paid to the subsequent charterers plus the cost of hull cleaning later carried out (Charterers having failed to request or agree to hull cleaning).”

Louise Glover
E. G. Arghyrakis & Co.
04th October 2017