Archive: 2017

Due diligence to maintain a vessel’s condition

Friday, 1st December 2017

The owners of the vessels ELLI and FRIXOS let their vessels to the charterers utilising the well-known Shell time 4 form of charter party. During the charter and, indeed, with a considerable period of the charter still outstanding, international regulations regarding the transportation of certain liquid cargoes came into force. Whilst there were a number […]

The perils of misdelivering cargo

Wednesday, 1st November 2017

Original Bills of Lading (“OBL”) frequently end up in cargo owners’ hands long after a vessel is ready to discharge her cargo. This is due to the fact that OBLs, which are often negotiable documents of title, are passed through the payment chain in a series of sale and financing arrangements. OBLs act as proof […]

Ballast Water Management Convention enters into force imminently: recent developments

Sunday, 1st October 2017

The IMO International Convention for the Control and Management of Ships’ Ballast Water and Sediments 2004 (“the Convention”) now has 61 contracting states, representing 68.46% of the world merchant shipping fleet. With the Convention entering into force on 8 September 2017, the IMO’s Marine Environment Protection Committee (“MEPC”) has agreed a new implementation schedule for […]

Construction of Charter Party Terms

Friday, 1st September 2017

Gard Shipping AS v. Clearlake Shipping Pte Ltd (MV Zaliv Baikal) [2017] EWHC 1091 (Comm) The Commercial Court has recently considered the meaning of various demurrage regimes in a voyage charterparty in order to determine whether the Owners were entitled to earn demurrage at an escalated rate. The Court held that the charterparty contained different […]

Bunkering and Evidence

Tuesday, 1st August 2017

There are many in the shipping and bunkering industries who maintain that the quality of bunker fuels remains as good now as it did five or ten years ago. This, perhaps unsurprisingly, is generally the view of bunker suppliers. On the other hand, the position maintained by ship-owners and charterers is that the quality of […]

The Meaning of “Port Limits” in a Fixture Recap

Saturday, 1st July 2017

The Commercial Court has set out a starting point for construing the meaning of “port limits” in a charterparty. While not offering an exhaustive definition of those words, this decision serves as a useful reminder to parties to ensure that the agreed charter terms reflect their true intention. The background facts Navalmar UK Limited v. […]

Liability for Underperformance caused by fouling due to Charterers’ orders

Thursday, 1st June 2017

Imperator I Maritime Company v. Bunge SA (Coral Seas) [2016] EWHC 1506 (Comm) The background facts The Coral Seas, a new building vessel, was chartered on an amended NYPE 1946 form to Bunge S.A., who in turn sub-chartered it to C Transport Panamax. The charterparty included the standard clause 8 obligation that “The captain… shall […]

Loss of Hire Insurance

Monday, 1st May 2017

Loss of hire insurance is broader than its name suggests, it encompasses hire in the traditional sense, loss of freight and any other form of income that is lost as a direct consequence of loss of time. Its principal role as a risk management tool is to protect cash flow, and it is often demanded […]

What is an Inert Gas or IG System on Ships?

Saturday, 1st April 2017

Oil tankers carry oil of different grades and quality, having property to produce flammable vapors and gases when loaded for transportation. Even with no cargo on board, there can be harmful flammable gases present in the hold. When the vapor produced by an oil cargo is mixed with certain concentration of air primarily containing oxygen, […]

Claims Relating To The Ownership Of Bunkers

Wednesday, 1st March 2017

The NYPE standard form charterparty provides that, on delivery of the vessel, charterers shall “take over and pay for all fuel”” and that, on re-delivery, owners do the same. Therefore, during the currency of the charterparty, ownership of the bunkers lies with the charterer.  It is clear that where the vessel is redelivered in the […]