Case Summaries

Join our Case Summary Mailing List

Want to receive our weekly Case Summary direct to your inbox? Click below!

Court of Appeal Louise Glover Court of Appeal Louise Glover

Herculito Maritime Ltd & Ors v Gunvor International BV & Ors "POLAR" [2021] EWCA Civ 1828 – 1 December 2021 (Jackson LJ, Males LJ, Sir Patrick Elias)

The M.T. “Polar” laden with cargo pursuant to a voyage charter, was seized by pirates in the Gulf of Aden until a ransom was paid on behalf of Owners. The C/P, which was incorporated into the B/Ls, contained a “Gulf of Aden” clause making charterers liable for additional war risk premiums (‘awrp’). Resisting Owners’ claim for GA contribution, the defendant Cargo Interests argued that the effect of the “Gulf of Aden” Clause on the B/L was that Owners could look only to their insurers and not Cargo Interests for recovery of the ransom. The CA upheld the High Court, ruling that although the clause was incorporated into the B/Ls for other purposes, it did not make Cargo Interests liable for awrp and could not therefore have the effect of contended for, so as to excuse them from GA contribution.

Read More
High Court Louise Glover High Court Louise Glover

Navig8 Chemicals Pool Inc v Aeturnum Energy International PTE Ltd [2021] EWHC 3132 – 23 November 2021 (Christopher Hancock QC)

Cargo was delivered without B/Ls, against LOIs from Voyage Charterers Aeturnum and Time Charterers Navig8. ING bank, claiming to be holders, arrested the Vessel and sought damages of USD8.5m from head owners. Aeturnum failed to take steps and Navig8 placed security to release the Vessel. The Court held that cargo was delivered in accordance with Aeturnum’s instructions, engaging their LOI to Navig8, which was breached (alleged impecuniosity being neither made out nor an excuse). It ordered specific performance (requiring Navig8’s security to be replaced) and damages for Navig8’s loss of use during arrest, Navig8’s further losses being stood over pending ING’s judgment in Singapore.

Read More
Court of Appeal Antonino Cordopatri Court of Appeal Antonino Cordopatri

K Line PTE Ltd v Priminds Shipping (HK) Co Ltd ("Eternal Bliss") [2021] EWCA Civ 1712 – 18 November 2021 (Sir Geoffrey Vos, Newey LJ, Males LJ)

Owners claimed that Charterers’ failure to discharge within laytime, gave rise not only to demurrage but also a cargo deterioration claim against Owners by Receivers. The CA, reversing Baker J’s decision, held that demurrage was Owners’ sole remedy – it “liquidates the whole of the damages arising from… failing to complete cargo operations within the laytime”. Breach of a separate obligation was required to claim additional damages for delay and as Owners failed to plead it, recovery of such damages was precluded.

Read More
High Court Louise Glover High Court Louise Glover

Maersk A/S v Mercuria energy Trading SA [2021] EWHC 2856 – 11 October 2021 (His Honour Judge Pelling QC)

When their cargo of copper was replaced by cobblestones, Mercuria commenced proceedings in Turkey against carrier Maersk, who, 5 weeks later, sought an anti-suit injunction (‘ASI’) to enforce the B/Ls’ exclusive English jurisdiction clause. Mercuria argued that Maersk had deliberately delayed until the expiry of the B/Ls’ time bar - so an ASI would cause prejudice as English proceedings would be fatally flawed. The Court nevertheless granted the ASI: the time bar was usual, nothing had prevented Mercuria commencing English protective proceedings or required Maersk to seek the ASI any earlier.

Read More
Supreme Court Louise Glover Supreme Court Louise Glover

Alize 1954 & Anor v Allianz Elementar Versicherungs AG & Ors [2021] UKSC 51 – 10 November 2021 (Reed LJ, Briggs LJ, Arden LJ, Hamblen LJ, Leggatt LJ)

Owners of CMA CGM Libra, grounded after straying from a buoyed fairway, appealed a ruling that their (causative) failure to update charts to show “numerous depths less than charted” rendered the vessel unseaworthy (Art. III r.1 Hague Rules). Dismissing the appeal, the SC held that seaworthiness was not confined to physical defects, nor were seaworthiness and navigational matters distinct categories. Negligent navigation, here by not updating charts, caused the unseaworthiness, to which Art IV r.2 was no defence, and Owners were under a non-delegable duty to make the vessel seaworthy.

Read More
Commercial Court Louise Glover Commercial Court Louise Glover

Various Airfinance Leasing Companies & Anor v Saudi Arabian Airlines Corporation [2021] EWHC 2904 – 1 November 2021 (Peter MacDonald Eggers QC)

In a dispute over rent escalation provisions, Aircraft Lessors sought an order for disclosure of data held on mobile phones of the Saudi Arabian Lessee’s employees. The employer’s right to possession/ access to the phones, pursuant to Saudi law, could not be made out, nor (c.f. English law) could such right be presumed. Therefore, the necessary “control” element for an order under the Disclosure Pilot Scheme (PD51U) was absent, and the Court had no authority under CPR to order exercise of “best endeavours” to obtain documents not within a respondent’s control.

Read More