Clearance confusion

Commercial managers arranged two consecutive voyages. At the conclusion of the first voyage the ship discharged at the outer limit of the port and immediately returned to the load port in order to lift the next cargo. When the ship arrived at the load port the managers discovered the quick turn round had caused a problem.

As the vessel discharged at outer port limits, she was not registered as having entered the port and therefore was not cleared from the port on completion. On arrival at the load port for the next cargo, she was in breach of local regulations as she could not show evidence that she had been cleared at the end of her previous call.

The ship was delayed by the local authorities. The owners claimed damages from the commercial managers due to the delay. After negotiations it was agreed that the managers would pay US$ 50,000 which was reimbursed by ITIC.