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05/04/2016
A marine surveyor was appointed by the owners of a ship that had been involved in a major casualty which had involved significant loss of life. There were potential criminal charges arising out of the incident.
Shipbrokers specialising in the offshore market arranged the charter of a semi-submersible “flotel” (a type of accommodation unit). The contractual period comprised two separate periods in successive years.
Every year ITIC deals with claims that result from errors by agents dealing with transhipment cargo. The following two claims are typical examples of the things that can go wrong. In one case no declaration was given to the authorities and in the other case the information given to the cargo interests was wrong.
Not all errors lead to a financial loss although the broker may lose the principal’s business. A recent “near miss” involved a broker fixing the time charter of a bulk carrier. The owner specified that he wanted the agreement to be “no Aussie grains” reflecting the high costs of complying with Australian regulations.
Ship agents in Australia were nominated by the charterers of a bulk carrier loading grain. Prior to loading, local regulations required that the vessel was inspected by a quarantine officer and it was the agent’s responsibility to make these arrangements, which included submitting a booking form to the quarantine department.
A marine consultant was engaged to undertake the design, approval and tender process in respect of the construction of a double hulled bunker barge. The barge was intended to service the local market and to replace an existing barge which had a licence to operate with two years left to run. The customer and marine consultant signed a “Professional Services Agreement” (the “Agreement”).
A London broker was the sole broker in relation to a contract of affreightment (“COA”). The COA contained a base freight rate for Rotterdam discharge. The freight rate was stated to be on the basis of a specified discharge rate.
Marine surveyors in Germany were engaged by charterers to attend the loading of a cargo and report on any damage caused by the stevedores.
11/09/2015
In the United States, the Merchant Marine Act of 1920 (“The Jones Act”) in essence provides that all merchandise transported by water between U.S. ports must be carried on U.S. flag ships.
A naval architect based in France had designed a yacht for a customer (the claimant) which was to be built by a shipyard in Thailand. The vessel was built but suffered from structural deformities, including warping of the hull, essentially rendering her a total loss. The claimant alleged that the design of the yacht was negligent and, as such, this was the cause of their loss. The damages they claimed were substantial as they alleged (a) total loss of the vessel and (b) storage costs for a number of years. The claimant obtained expert reports in both Thailand and France and based their claim on the contents of these reports.