Case Law Quotes

28/12/2016

Time Charters. Off-hire due to seizure and capture - the Supreme Court decision in The Global Santosh.

The Supreme Court allowing charterers’ appeal held, that for the head time charterers to be responsible for something that sub-charterers or seller and/or buyer, acting under independent sale contract between themselves, might do which results in the detention of the ship, there must be some nexus between the occasion for the arrest and the function which the seller or the buyer are performing as "agent" of the charterers.

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21/11/2016

Light Ballast
Per Mr Justice Phillips in Regulus Ship Services PTE Ltd v Lundin Services BV & Anor [2016] EWHC 2674 (Comm) at paras 66-71:

66. In its defence Lundin pleaded that the provision in the Towcon that the IKDAM would be "in light ballast condition" meant that she would carry (as well as any constants and consumables) the minimum ballast that would enable her to proceed safely and in a seaworthy condition on her intended voyage.

67. That definition was taken, word for word, from §110 of the decision of Andrew Smith J in Ease Faith Ltd v Leonis Marine Management Ltd [2006] 1 Lloyd's Rep 673, another case in which Capt. Krishna, on behalf of Regulus, had included in a towage contract a term that the tow (in that case Kent Reliant, a bulk carrier being scrapped) would be in light ballast condition. It is the only authority on the meaning of the term.

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Case law quotes on and legal definition of - Light Ballast.

09/07/2016

Marine growth and speed warranty.
Imperator I Maritime Company v Bunge SA (The Anny Petrakis) [2016] EWHC 1506 (Comm), per Phillips J at para 28:

On the other hand, where no right to an indemnity arises because the risks were assumed by the Owners, such as usual and expected marine fouling during legitimate deployment of the Vessel, it is difficult to see why the warranty should be read as not applying where performance is affected as a consequence of such an assumed risk. The Owners have given the continuing warranty at the same time as assuming that risk, without excluding it from the warranty, so the warranty must be taken to apply with full force.
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Case law quotes on and legal definition of - Marine Growth.

01/06/2016

Goods Undelivered. Seller’s property and the buyer’s risk.
Lord Mance in PST Energy 7 Shipping LLC & Anor v OW Bunker Malta Ltd & Anor [2016] UKSC 23 at paras 56:
The price may therefore be recovered in respect of goods undelivered which remain the seller’s property but are at the buyer’s risk and are destroyed by perils of the seas or by fire. The present situation is in my opinion a fortiori. The price of bunkers, which remain the seller’s property but which are both (i) at the buyer’s risk as regards damage or destruction (clause G.12) and (ii) also permitted by the express terms of the contract to be destroyed by use for the Owners’ commercial benefit, must be equally recoverable. I add that I do not suggest that this is the limit of the circumstances outside section 49 in which the price may be recoverable.
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01/06/2016

Torture
In A and Others v Secretary of State for the Home Department (No 2) [2005] EWCA Civ 1123; [2005] 1 WLR 414 in the Court of Appeal Neuberger LJ said at para 414:

… one of the principal reasons why a confession made by an accused is excluded from evidence unless it was voluntary is that such a confession is self evidently unreliable. That reason would apply with equal force to a statement obtained from a third party under torture.
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28/04/2016

Detention
In ST Shipping and Transport Pte Ltd v Space Shipping Ltd (The CV STEALTH) [2016] EWHC 880 (Comm) per Popplewell J. at para 33:

Clause 28 makes no reference to voyage orders, but merely to the undertaking of a voyage. If the increased risk materialises in the course of a voyage, the clause comes into effect irrespective of whether it arises subsequently to the original voyage orders. In the analogous circumstances of safe port warranties in time charters, the contractual promise is a continuing one, such that if a port is prospectively safe when the order to proceed there is given, but becomes unsafe at a time when a time charterer could give a fresh order in time for the vessel to comply with it and avoid the unsafety, the time charterer is in breach of the warranty.

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Case law quotes on and legal definition of - Detention. In the context of a charter-party, a vessel is detained when she is prevented from proceeding as directed under the charter-party, The Doric Pride[2005] EWHC 945 (Comm).

28/04/2016

Arbitration, Interference of the Court.
In ST Shipping and Transport Pte Ltd v Space Shipping Ltd (The CV STEALTH) [2016] EWHC 880 (Comm) per Popplewell J. at para 38:
[The] parties are bound by the findings of fact of their chosen tribunal and cannot challenge them in court, even on the grounds that they were unsupported by the evidence or that they contain internal inconsistencies: see Geogas SA v Trammo Gas Ltd (The "BALEARES") [1993] 1 Lloyd’s Reports 215 per Steyn LJ at pp. 227-228, 232; and Demco v SE Banken Forsakring Holding Aktiebolag [2005] 2 Lloyd’s Reports 650 at paragraphs 38 to 48.
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Case law quotes on and legal definition of - Arbitration, Interference of the Court. The Atlantic Sunbeam) [1973] 1 Lloyd’s Rep 482 per Kerr J: if there are indicators suggesting that the arbitrators may have applied the wrong principle, then it would in my view be unsafe to let the award stand. The…

08/04/2016

Trip Time Charter. Per Popplewell J in The Wisdom C [2014] EWHC 1884 (Comm) at para 11:
it is sufficient to note that from the charterer’s perspective one of the advantages which a time charter (including a time trip time charter) has over a voyage charter is that voyage orders under a time charter do not constitute an irrevocable election: see, for example, the comments of Donaldson J in The Aragon [1975] 1 Lloyd’s Rep 628 at p633 lhc where he stated that it was "wholly foreign to the whole conception of a time charter-party, which entitle[s] the charterer upon paying the hire to call upon the vessel to visit any port or ports which he wishe[s] within trading limits subject to any express agreement to the contrary".
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Case law quotes on and legal definition of - Trip, Time Charter -the length of the period of hire is limited by a trip defined within a geographical range (and sometimes, though not in this case, by a maximum duration), the nature of the contract for the duration of the period remains that of making…

24/03/2016

Bias, Apparent
In Yiacoub v The Queen [2014] UKPC 22; [2014] 1 WLR 2996 per Lord Hughes at para 12:
That and similar formulations use the word "biased", which in other contexts has far more pejorative connotations, to mean an absence of demonstrated independence or impartiality.
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Case law quotes on and legal definition of - Bias, Apparent - an absence of demonstrated independence or impartiality.

09/12/2015

About.
In The Al Bida [1987] 1 Lloyd’s Rep. 124, per Parker LJ :
The margin imported in the word "about" cannot be fixed as a matter of law. The margin must, as the arbitrators rightly held, "be tailored to the ship’s configuration, size, draught and trim etc". There is no ground upon which the arbitrators can be required to state what the margin they have adopted.
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Case law quotes on and legal definition of - About. The margin imported in the word "about" cannot be fixed as a matter of law.

01/12/2015

Speed Warranty in T/C.
The Gas Enterprise [1993] 2 Lloyd's Rep. 352
Once the average speed and the average bunker consumption have been calculated, the figures are to be used for the purpose of seeing whether and to what extent there has been a resulting loss in time or saving in time and a resulting excess bunker consumption or saving in bunker consumption.
Once it is accepted that in all cases involving a claim by charterers for loss of time or for a loss resulting from excess bunker consumption, … , it makes no sense to construe that paragraph restrictively so as only to confer a remedy on either party for those parts of the chartered service where the weather conditions are of force 4 or less.
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Case law quotes on and legal definition of - Speed Warranty. Per Mocatta J in Cosmos Bulk Transport Inc v China National Foreign Trade Transportation Corporation - [1978] 1 All ER 322, The Didymi [1988] 2 Lloyd’s Rep. 108 per Bingham LJ at p.117, The Gas Enterprise [1993] 2 Lloyd's Reports 352 per L…

28/11/2015

Material Risk.
The source of the risk to safety must be the undertaking conducted by the employer, and the risk must be a material one, in that it must be a real, as opposed to a trivial, fanciful or hypothetical one.
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Case law quotes on and legal definition of - Material Risk. The source of the risk to safety must be the undertaking conducted by the employer, and the risk must be a material one, in that it must be a real, as opposed to a trivial, fanciful or hypothetical one.