Case Summaries
Pan Oceanic Chartering Inc v Unipec UK Co. Limited and Unipec Asia Co. Limited [2016]
“Owners' brokers under a COA claimed damages from the traders/ charterers who had slowed and then ceased performance, depriving them of commission. The claim, based on tortious interference with contractual relations, was dismissed by the Court as the two necessary elements of the tort were absent. There was no contractual right to the commission (as opposed to a minimum expectation of it) and no breach by the owners of the brokerage contract.”
Regulus Ship Services Pte Ltd v Lundin Services BV and lkdam Productions SA (Costs) [2016]
“By an ocean towage contract on BIMCO terms, owners of the tug boat claimed demurrage for delays due to extra ballast. The Court found that the owners of the tow breached their obligation under the Towcon to provide the vessel "in light ballast condition" as this means "ensuring physical fitness, primarily stability, for the tow's voyage". However, the claim was rejected because it was not proved that the breach caused the delay under clause 17 of the Towcon.”
Fiona Trust & Holding Corporation & Ors v Privalov & Ors (Costs) [2016]
“After Defendants were awarded $59.8 million for damages caused by worldwide freezing orders against them, they were now able to recover 50% of their costs, and not 100%, since 1) Defendants did not recover their full damages claimed (some $387 million), 2) large financial investments were made towards issues on which Defendants failed, and 3) Defendants provided untruthful evidence in Court.”
Vinnlustodin HF Vatryggingaffelag Islands HF v Sea Tank Shipping AS (formerly known as TANK INVEST AS) [2016]
“Carriers argued that their liability in respect of a parcel of some 2000mt fish oil could be restricted pursuant to Article IV Rule 5 of the Hague Rules which provides for limitation per "package or unit". The Court held that the word "unit" refers to a physical item that is not packaged, rather than to a unit of measurement. Therefore, Hague Rules limitation does not apply to bulk cargoes.”
Kairos Shipping Ltd & Anorv Enka & Co LLC & Ors (ATLANTIK CONFIDENCE) [2016]
“An "aggregation of unlikelihoods" convinces the Court that the ship was scuttled and that the Owners are not, therefore, entitled to limit their liability to cargo interests under the Limitation Convention.”
Grand China Logistics Holding (Group) Co. Ltd v Spar Shipping AS (Rev 1) [2016]
“Absent a clear contractual indication, payment of hire under time charterparties is not a condition. Time is not presumed of essence and is generally an innominate term, whose breaches may range from the trivial to the grave.”