Navig8 Chemicals Pool Inc v Glencore Agriculture BV [2018]

Navig8 Chemicals Pool Inc v Glencore Agriculture BV [2018] EWCA Civ 1901 — 21 August 2018 (Sir Geoffrey Vos, Simon LJ, Lady Justice Asplin)

“In March, the Commercial Court ruled that a bank's proceedings against a carrier for misdelivery of cargo activated LOIs granted by voyage charterers, Glencore, to disponent owners, Navig8. Glencore's time bar defence, based on Clause 38 of the voyage charter (providing that "the period of validity of any letter of indemnity will be 3 months from date of issue... the indemnity will expire at the end of.. three-month period"), had been dismissed on the basis that the Clause was not a time bar but simply defined the deliveries to be covered by LOIs. Despite the Court of Appeal holding that Clause 38 did constitute a time bar, it nevertheless dismissed Glencore's appeal on the grounds that the LOI terms were 'stand-alone' and included no equivalent expiry provision to that in the charter.”

Louise Glover
E. G. Arghyrakis & Co.
29th August 2018