GALAXY ENERGY INTERNATIONAL LTD V MURCO PETROLEUM LTD (MV "SEACROWN")

[2013] EWHC 3720 (Comm), Queen's Bench Division, Commercial Court, His Honour Judge Mackie QC, 27 November 2013

Sale of goods - Contract concluded - Whether extended delivery term included in contract - Acceptance by conduct - Measure of damages - Calculation of damages - Meaning of market rate - Whether market rate a spread or the price on a particular day

Galaxy, the claimant oil trader, claimed US$271,396.80 from Murco, the defendant oil refiner for alleged late delivery by Murco of 35,000 mt of fuel oil, sold on fob terms to "be delivered ... in one lot ... during period 15/17 January 2012". Seacrown was nominated for the lifting by Galaxy on 6 January 2012 and accepted on 9 January 2012. The laycan was 14 to 15 January 2012. The vessel arrived at the Milford Haven anchorage at 10.18 LT on 13 January 2012 and tendered NOR. The fuel oil was not delivered by 17 January 2012. Murco contended that the contract contained a term extending delivery and alternatively contested the construction of the contract and disputed the damages claimed.