Charterer’s claim

A charterer alleged to have suffered losses as a result of misleading and deceptive conduct by the classification society in the classification of an offshore supply vessel.

The charterer alleged that they had relied on the notations on the vessel’s classification records (which were available on a searchable database maintained by the classification society at the time when the charter party was entered into) to assess the suitability of the vessel for the charter and in setting a purchase price to buy the vessel at the end of the charter.

The charterer also alleged that during the course of the charter, they discovered that the vessel was not constructed in compliance with the classification society’s rules.

During a survey of the vessel, the charterer allegedly found defects and non-conformance which, while not capable of detection on a diligent inspection of the vessel, would have been apparent through inspection during her construction.

The classification society engaged in extensive discussions with the charterer about the necessary repairs and modifications to bring the vessel in compliance with the flag state’s requirements.

At the end of the charter, and in accordance with the charter party, the charterer purchased the vessel. The vessel then had repairs and modifications under the classification society’s survey.

The related costs and expenses incurred were settled by the classification society.