i-law.com

GALAXY ENERGY INTERNATIONAL LTD. v. NOVOROSSIYSK SHIPPING CO. (THE “PETR SCHMIDT”)

[1998] 2 Lloyd's Rep 1

Charter-party (Voyage) - Notice of readiness - Validity - Notice tendered outside hours stipulated by charter - Whether notices legal nullities - Whether notice took effect when stipulated hours began so that laytime began then.

WÜNSCHE HANDELSGESELLSCHAFT INTERNATIONAL m.b.H. v. TAI PING INSURANCE CO. LTD. AND ANOTHER

[1998] 2 Lloyd's Rep 8

Insurance (Marine) - “Ex factory” - Construction - Retrospective cover - Canned goods insured “including from ex-factory in the People’s Republic of China to warehouse in Hamburg” - Goods arrived in Hamburg damaged - Whether “ex factory” term meant goods covered from factories in China to Hamburg warehouse - Whether possible by appropriating goods to cover to obtain retrospective insurance for goods.

THE “NAVIOS ENTERPRISE” AND “PURITAN”

[1998] 2 Lloyd's Rep 16

Collision - Passing vessels - Negligent navigation - Collision in Gulf of Mexico - Hurricane conditions - Engine breakdown - Whether negligence in maintenance of luboil system causative of breakdown and whether breakdown sole cause of collision - Whether sole cause of collision negligent navigation - Apportionment of liability.

AEGEAN SEA TRADERS CORPORATION v. REPSOL PETROLEO S.A. AND ANOTHER (THE “AEGEAN SEA”)

[1998] 2 Lloyd's Rep 39

Practice - Limitation of liability - Safe port - Vessel chartered to carry oil to Spain - Oil sold to refinery operator - Refinery operator nominated La Coruña as discharging port - Vessel proceeding to berth, grounded on rocks, broke in two and exploded - Whether charterers entitled to limit liability under Convention on Limitation of Liability for Maritime Claims, 1976 - Whether claims put forward by owners against charterers within scope of art. 2 of the Convention. Bill of lading - Safe port - Implied indemnity - Cargo of oil sold to refinery operators - Refinery operator nominated La Coruña as discharging port - Vessel proceeding to berth, grounded on rocks, broke in two and exploded - Whether refinery operator became liable to owners under Carriage of Goods by Sea Act, 1992 - Whether refinery operators became liable to owners under letter of indemnity - Whether terms as to safety of port should be implied - Whether refinery operators only liable if it could be shown they were negligent - Hague Visby Rules, art. IV, r. 3 - Carriage of Goods by Sea Act, 1992, ss. 3, 5.

DEUTSCHE OST-AFRIKA-LINIE G.M.B.H. v. LEGENT MARITIME CO. LTD.

[1998] 2 Lloyd's Rep 71

Charter-party (Time) - Implied indemnity - Off-hire - Damages for delay - Charterers shipped dangerous cargo - Vessel encountered tropical storm and put into Lisbon as port of refuge - Delay to time charter trip - Whether owners could claim refund of off-hire and damages for delay and expenses incurred at Lisbon under implied indemnity.

CHINA AGRIBUSINESS DEVELOPMENT CORPORATION v. BALLI TRADING

[1998] 2 Lloyd's Rep 76

Arbitration - Award - Enforcement - Arbitration rules - Construction - Dispute under contract referred to arbitration - Current arbitration rules applied - Award in favour of plaintiffs - Whether parties agreed that rules applicable would be rules current at time arbitration begun - Whether award should be enforced.

SMITH v. P & O BULK SHIPPING LTD.

[1998] 2 Lloyd's Rep 81

Negligence - Duty of care - Exposure to asbestos - Plaintiffs alleged deceased dock worker exposed to asbestos in course of employment - Deceased developed mesothelioma - Whether exposure to asbestos cause or substantial cause of the mesothelioma from which he died - Whether deceased’s employers in breach of duty of care in exposing deceased to asbestos.

JAKS (UK) LTD. v. CERA INVESTMENT BANK S.A.

[1998] 2 Lloyd's Rep 89

Banking - Letter of credit - Repudiation - Contract for sale of coffee - Payment by letter of credit - Telex from defendants cancelling letter of credit and requesting beneficiaries consent to cancellation - Whether defendants repudiated contract - Whether defendants withdrew renunciation before plaintiffs purported to accept it - Whether plaintiffs accepted repudiation.

THE “SIVAND”

[1998] 2 Lloyd's Rep 97

Damages - Assessment - Remoteness of damage - Collision between defendants’ tanker and plaintiffs’ harbour works - Plaintiffs engaged contractors to repair works - Unforeseen event occurred in course of works - Contractors recovered extra payment for consequences of unforeseen event - Whether extra loss suffered by plaintiffs could be regarded as having been caused by negligent handling of tanker - Whether too remote a consequence of negligence to enable plaintiffs to recover extra payment.

WESTACRE INVESTMENTS INC. v. JUGOIMPORT-SDPR HOLDING CO. LTD. AND OTHERS

[1998] 2 Lloyd's Rep 111

Arbitration - Award - Enforcement - Public policy - Contracts for sale of military equipment by Yugoslavia to Kuwait - Dispute referred to arbitration - International Chamber of Commerce award in favour of plaintiffs - Application to enforce award - Allegation that contracts immoral and a nullity being contracts to purchase personal influence and pay bribes - Whether enforcement of award contrary to public policy - Whether award should be enforced.

DEEPAK FERTILISERS AND PETROCHEMICALS CORPORATION v. ICI CHEMICALS & POLYMERS LTD. AND OTHERS

[1998] 2 Lloyd's Rep 139

Contract - Limitation of liability - Breach of collateral warranties - Contract for construction of methanol plant in India - Letter of acceptance given despite high temperatures of methanol converter - Methanol converter exploded - Whether letter of acceptance released defendants from all obligations and liability - Extent of protection given by clauses in plant contract - Whether liability in respect of negligent misrepresentations or collateral warranties excluded - Whether defendants’ liability limited under contract - Effect of reliance on Indian law.

DON KING PRODUCTIONS LTD. v. WARREN AND OTHERS

[1998] 2 Lloyd's Rep 176

Contract - Partnership agreement - Construction - Assignment - Agreements between boxing promoters - Dissolution of partnership - Geographical limitation of partnership business - Whether agreements manifested intention that all promotion management and associated agreements held by first defendant should be assigned or held for benefit of partnership - Effect on PM&A agreements which involved rendering of personal service or included express provisions prohibiting assignment of contracts.

THE “VON ROCKS”

[1998] 2 Lloyd's Rep 198

Admiralty practice - Arrest - Application to set aside - Backhoe dredger being towed across North Sea - Dredger capsized and seriously damaged - Whether dredger a “ship” - Whether arrest should be set aside - Jurisdiction of Courts (Maritime Convention) Act, 1989 - International Convention on the Arrest of Sea-Going Ships, 1952.

TOTAL GAS MARKETING LTD. v. ARCO BRITISH LTD. AND OTHERS

[1998] 2 Lloyd's Rep 209

Contract - Condition - Non-fulfilment - Termination - Contracts for sale and purchase of natural gas in Trent Gas Field - Contract conditional on sellers becoming party to allocation agreement - Sellers failed to do so - Whether contract terminated - Whether further performance suspended.

BAGHLAF AL ZAFER FACTORY CO. BR FOR INDUSTRY LTD. v. PAKISTAN NATIONAL SHIPPING CO. AND ANOTHER

[1998] 2 Lloyd's Rep 229

Bill of lading - Exclusive jurisdiction clause - Stay - Exclusive jurisdiction in favour of Courts in Pakistan - Damage to cargo - Proceedings brought in England - Whether oral agreement that English Courts to have exclusive jurisdiction - Whether acceptance of service of writ precluded shipowners invoking exclusive jurisdiction clause in bill of lading - Whether proceedings should be stayed - Principles applicable.

JOLLEY v. LONDON BOROUGH OF SUTTON

[1998] 2 Lloyd's Rep 240

Negligence - Occupiers’ liability - Trap and/or allurement - Boat abandoned and left lying on council estate - Plaintiff aged 14 injured while attempting to paint and repair boat - Whether boat a trap and allurement - Whether local authority owed duty of care to plaintiff - Whether local authority negligent in failing to remove boat - Whether plaintiff contributed to accident - Quantum of damages.

HAMPTONS RESIDENTIAL LTD. v. FIELD AND OTHERS

[1998] 2 Lloyd's Rep 248

Insurance (Professional Indemnity) - Indemnity - Notification - Insured obliged to notify insurers of circumstances giving rise to claims and of discovery of employee’s fraud - Estate agents’ employee carried out fraudulent valuations - Estate agents settled claims by lending institutions and claimed under policy - Proper view of notifications - Whether professional indemnity insurers liable.

PERRETT v. COLLINS AND OTHERS

[1998] 2 Lloyd's Rep 255

Negligence - Duty of care - Personal injury - First defendant bought kit aircraft and assembled it - Second defendant inspected and approved construction and certified aircraft in airworthy condition - Third defendants issued certificate for fitness for flight - Aircraft not airworthy and crashed injuring plaintiff - Whether second and third defendants owed plaintiff a duty of care - Civil Aviation Act, 1992.

THE “TURIDDU”

[1998] 2 Lloyd's Rep 278

Admiralty practice - Priority - Crew’s wages - Mortgage of ship - Crew employed by national seamen’s agency and part of wages paid to agency - Bank mortgagee obtained judgment against shipowner and order for sale of ship - Crew claimed balance of wages - Whether bank’s claim took priority over crew’s claims - Whether crew’s claims a claim for wages.

SUNRISE MARITIME INC. v. UVISCO LTD. (THE “HECTOR”)

[1998] 2 Lloyd's Rep 287

Bill of lading - Validity - Owners’ or charterers’ bill - Vessel sub-chartered for carriage of steel to Guatemala - Predated bills of lading issued - Charterers in financial difficulties - Whether bills of lading owners’ or charterers’ bills - Whether bill of lading authorized by owners - Whether owners obliged to carry cargo to Guatemala.

THE “KUMANOVO” AND “MASSIRA”

[1998] 2 Lloyd's Rep 301

Admiralty practice - Procedure - Unless order - Application to strike out - Collision - Settlement of liability - Claims referred to Registrar - Registrar made unless order - Plaintiffs served amended claim - Whether items 4, 5 and 6 of plaintiffs’ claim should be struck out. Admiralty practice - Collision - Settlement of liability - Claims referred to Registrar - Defendants objected to decision on ownership of cargo and agency - Plaintiffs objected to assessment of defendants’ claims - Whether appeals should be allowed.

HOUGH v. P & O CONTAINERS LTD. AND OTHERS

[1998] 2 Lloyd's Rep 318

Admiralty practice - Jurisdiction - Personal injury - Electrician injured while ship in drydock in Germany - Electrician’s English employers alleged accident fault of German yard - Third party proceedings against yard brought in England - Repair contract contained Hamburg jurisdiction clause - Whether action should be brought in Germany - Whether special jurisdiction or agreed jurisdiction under Brussels Convention took precedence - Civil Jurisdiction and Judgments Act, 1982, Schedule, arts. 6 (2), 17.

PRENTIS DONEGAN & PARTNERS LTD. v. LEEDS & LEEDS CO. INC.

[1998] 2 Lloyd's Rep 326

Insurance (Marine) - Insurance broker - Agency - Summary judgment - Privity of contract between principal and sub-agent - Marine insurance placed by plaintiffs on instruction of defendants acting for principal - Claims by plaintiffs for non-payment of instalments of net premium - Whether plaintiffs’ claim could only be made against principal - Whether automatic termination clause in policies defeated plaintiffs’ claim - Whether leave to defend should be granted.

SOINCO SACI AND ANOTHER v. NOVOKUZNETSK ALUMINIUM PLANT AND OTHERS

[1998] 2 Lloyd's Rep 337

Practice - Arbitration award - Enforcement - Application to set aside - Extension of time - Leave to enforce award as a judgment granted - No application made to set aside order - Whether application for extension of time to challenge enforcement of award as contrary to public policy should be granted.

ZEGLUGA POLSKA S.A. v. T R SHIPPING LTD. (No. 2)

[1998] 2 Lloyd's Rep 341

Sale of ship - Cancellation - Notice of readiness - Contract for sale and purchase of ship - Balance of purchase money to be paid within three banking days after vessel ready for delivery - Sellers gave seven days’ notice - Buyers failed to pay final instalment - Sellers cancelled contract - When at latest buyers became obliged to make payment - Whether buyers agreed to make payment and take delivery on a particular date.

SOINCO SACI AND EURAL KFT v. NOVOKUZNETSK ALUMINIUM PLANT AND OTHERS (No. 2)

[1998] 2 Lloyd's Rep 346

Practice - Garnishee order - Double jeopardy - Garnishee order nisi attaching all debts owed to first defendants by fifth defendants made absolute - Whether order exposed fifth defendants to risk of double jeopardy - Whether fifth defendant had shown there was a substantial risk that it would be compelled to pay garnisheed debt a second time.

THE “YUTA BONDAROVSKAYA”

[1998] 2 Lloyd's Rep 357

Admiralty practice - Action in rem - Arrest of vessel - Application to set aside - Demise charterers time chartered vessel - Plaintiffs claimed in respect of supply of bunkers - Whether plaintiffs entitled to bring action in rem against vessel because demise charterers would have been persons liable in action in personam - Whether time charterers had implied actual authority or ostensible authority to contract for bunkers on behalf of demise charterers.

WHISTLER INTERNATIONAL LTD. v. KAWASAKI KISEN KAISHA LTD. KAWASAKI KISEN KAISHA LTD. v. TOKAI SHIPPING CO. LTD. (THE “HILL HARMONY”)

[1998] 2 Lloyd's Rep 367

Charter-party (Time) - Employment - Navigation - Charterers ordered vessel to follow great circle route - Master disregarded orders and followed more southerly route - Voyage took longer and more bunkers consumed - Whether charterers’ orders related to employment or navigation - Whether owners in breach of charter - Whether failure to proceed with utmost despatch.

AQUATOR SHIPPING LTD. v. KLEIMAR N.V. (THE “CAPRICORN 1”)

[1998] 2 Lloyd's Rep 379

Arbitration - Award - Procedural mishap - Remission - Disputes as to demurrage under head charter and sub-charter referred to arbitration - Arbitrations proceeded in parallel - Both final interim awards supported by same body of reasons - Whether arbitrators guilty of procedural mishap - Whether award should be remitted.

NEWCASTLE PROTECTION AND INDEMNITY ASSOCIATION LTD. v. ASSURANCE FORENINGEN GARD GJENSIDIG

[1998] 2 Lloyd's Rep 387

Carriage by sea - Letter of guarantee - Construction - Indemnity - Damage to cargo - Dispute between shipowners and charterers referred to arbitration - Charterers in liquidation - Composite settlement agreed in respect of damage claims with receivers - Whether plaintiffs entitled to be indemnified by defendants in respect of amounts paid in settlement - Whether settlement reasonable - Consequences of liquidation of charterer - Whether LOG imposed condition precedent to recovery of indemnity - Whether condition of cargo gave rise to right of shipowner to be indemnified by charterers - Whether composite settlement payment a reasonable amount to pay to settle all claims - Proportion of total payment attributable to claim settlement giving rise to indemnity or damages.

DERBY RESOURCES A.G. AND ANOTHER v. BLUE CORINTH MARINE CO. LTD. AND OTHERS (THE “ATHENIAN HARMONY”)

[1998] 2 Lloyd's Rep 410

Carriage by sea - Damage to cargo - Available market - Measure of damages - Cargo of jet kerosene contaminated - Defendants conceded they were in breach for failing to provide vessel fit to receive cargo - Whether cargo damaged by negligence of surveyors in permitting the continued loading of cargo - Whether plaintiffs suffered any recoverable loss - Whether available market for jet kerosene - Measure of damages.

BRITANNIA DISTRIBUTION CO. LTD. v. FACTOR PACE LTD.

[1998] 2 Lloyd's Rep 420

Carriage of goods - Freight - Principal and agent - Set-off - Carriage of various consignments from United Kingdom to Moscow - Plaintiffs claimed freight - Defendants counterclaimed - Whether defendants could raise defence by way of set-off and counterclaim - Whether plaintiff a principal or agent.

DERBY RESOURCES A.G. v. BLUE CORINTH MARINE CO. LTD. (NO. 2) (THE “ATHENIAN HARMONY”)

[1998] 2 Lloyd's Rep 425

Practice - Interest - Reduction - Damage to cargo - Judgment for plaintiffs - Application that interest be confined to period of four years although over 10 years since cause of action arose - Whether delay caused by dilatory attitude of plaintiffs to claim - Whether plaintiffs’ recovery of interest should be reduced - Rate of interest applicable and period for which it should be given.

SIMON CONTAINER MACHINERY LTD. v. EMBA MACHINERY A.B. (Formerly SUND EMBA A.B.)

[1998] 2 Lloyd's Rep 429

Insurance (Credit) - Express term - Trust claim - Contract for supply of machinery - Credit insurance arranged - No further payments made under contract - Defendants included plaintiffs’ invoices in credit insurance claim - Whether plaintiffs could recover from defendants amount received by defendants from credit insurers relating to plaintiffs’ invoices - Whether express term of contract - Whether supported by consideration - Whether moneys held on trust for plaintiffs.

TRYGG HANSA INSURANCE CO. LTD. v. EQUITAS LTD. AND OTHERS EQUITAS LTD. AND OTHERS v. TRYGG HANSA INSURANCE CO. LTD.

[1998] 2 Lloyd's Rep 439

Reinsurance - Arbitration agreement - Incorporation - Stay of action - Primary insurance and reinsurance - Reinsurers avoided policy for alleged non-disclosure and misrepresentation - Insurers claimed against reinsurers - Whether words “to follow the same terms, exclusions, conditions, definitions and settlements as the Policy of Primary Insurance” effective to incorporate arbitration agreement in reinsurance - Whether application for a stay should be granted - Arbitration Act, 1996.

GOBERDHAN AND ANOTHER v. CARIBBEAN INSURANCE CO. LTD

[1998] 2 Lloyd's Rep 449

Insurance (Motor) - Limitation of liability - Personal injury - Second plaintiff severely injured in accident with motor car driven by third party - Judgment obtained against third party - Claim to recover moneys awarded from third party’s insurers - Whether insurers’ liability limited by statute - Motor Vehicles Insurance (Third-Party Risks) Ordinance.

THE “HERCEG NOVI” AND “MING GALAXY”

[1998] 2 Lloyd's Rep 454

Admiralty practice - Limitation of liability - Stay of action - Forum non conveniens - Collision in straits of Singapore - Proceedings in Singapore and England - Limits of liability applicable in England and Singapore different - Whether Singapore more natural or appropriate forum - Whether English action should be stayed - Convention on Limitation of Liability for Maritime Claims, 1976.

BOUYGUES OFFSHORE S.A. v. CASPIAN SHIPPING CO. AND OTHERS (NOS. 1, 3, 4 AND 5)

[1998] 2 Lloyd's Rep 461

Towage - Jurisdiction clause - Construction - Contract for towage of barge - Disputes to be referred to the High Court in London - Barge grounded after towline parted - Barge-owners brought action in South Africa - Whether barge-owners in breach of towage contract. Admiralty practice - Towage contract - Injunction - Jurisdiction clause - Disputes to be referred to the High Court in London - Barge grounded after towline parted - Barge-owners brought proceedings in South Africa - Whether barge-owners in breach of jurisdiction clause - Whether injunction should be granted to restrain barge-owners from continuing such proceedings. Admiralty practice - Third party notices - Application to set aside - Loss of barge under tow - Owners of barge claimed damages - Owners and time charterers of tug served third party notices on port authority - Whether port authority a proper and necessary party to proceedings - Whether orders granting leave to serve third party notices should be set aside. Admiralty practice - Anti-suit injunction - Application to discharge - Loss of barge under tow - Owners of barge claimed damages - Injunction obtained restraining pursuit of proceedings in South Africa - Whether significant change in circumstances - Whether injunction should be discharged - Whether plaintiffs’ claim should be stayed - Whether application to strike out counterclaim should be granted. Admiralty practice - Limitation of liability - Stay of action - Misrepresentation - Establishment of liability - Loss of barge under tow - Owners of barge claimed damages - Barge owners alleged misrepresentation in Towcon contract - Whether limitation action could be commenced without liability first being admitted or established - Whether right to limit in respect of misrepresentation claims - Whether limitation actions should be stayed until liability determined.

BOREALIS A.B. v. STARGAS LTD. AND OTHERS (THE “BERGE SISAR”)

[1998] 2 Lloyd's Rep 475

Practice - Joinder - Jurisdiction - Application to set aside - Necessary and proper party to action - Sale of cargo of propane - Dispute as to contractual quality of propane - Buyers claimed against sellers - Buyers obtained leave to join shippers as second defendants and serve concurrent writ out of jurisdiction - Whether shippers necessary and proper party - Whether affidavit defective - Whether case not a proper one for service out of jurisdiction. Bill of lading - Section 3 - Construction - Holder of bill of lading endorsed bill to third party - Whether holder remained liable - Carriage of Goods by Sea Act, 1992, s. 3.

THE “SELAT ARJUNA” AND “CONTSHIP SUCCESS”

[1998] 2 Lloyd's Rep 488

Collision - Liability - Vessels initially on starboard to starboard courses - Collision in Arabian Sea off Yemen - Courses steered by vessels - Slow alteration of course by defendants’ vessel - “In sight” rules applicable - Use of ARPA radar system - Sidelights not complying with Collision Regulations - Whether crossing rules applied - Liability for collision - Apportionment of liability.

CATHISHIP S.A. v. ALLANASONS LTD. (THE “CATHERINE HELEN”)

[1998] 2 Lloyd's Rep 511

Charter-party (Voyage) - Limitation of time - Indemnity - Centrocon arbitration clause - Claims in respect of demurrage, additional berthing and shifting expenses referred to arbitration - Notification of potential indemnity claim - Whether claim for indemnity made within contractual limitation period - Extent of arbitrators’ jurisdiction on appointment - Whether arbitrator had jurisdiction to determine indemnity claim - Whether application for extension of time should be granted - Arbitration Act, 1996, s. 12.

PATRICK STEVEDORES OPERATION PTY. LTD. v. INTERNATIONAL TRANSPORT WORKERS’ FEDERATION

[1998] 2 Lloyd's Rep 523

Practice - Trade union dispute - Injunction - Tort - New legislation in Australia ending closed shop and reforming working practices in docks - Plaintiffs employed non-union labour - Allegations that ITF induced ship operators to break contract with plaintiffs - Whether interlocutory injunctions should be continued.

NEW HAMPSHIRE INSURANCE CO. v. AEROSPACE FINANCE LTD. AND OTHERS

[1998] 2 Lloyd's Rep 539

Insurance (Aviation) - Stay of action - Forum non conveniens - Application for negative declaration - Damage to aircraft - Defendants alleged repairs inadequate and aircraft a constructive total loss - Plaintiff denied liability - Actions brought in Pennsylvania - Plaintiff brought action for negative declaration in English Court - Whether English action should be stayed - Whether Pennsylvania a more appropriate forum.

GERLING-KONZERN GENERAL INSURANCE CO. AND ANOTHER v. POLYGRAM HOLDINGS INC. AND ANOTHER COPENHAGEN REINSURANCE CO. (U.K.) LTD. AND OTHERS v. SAME

[1998] 2 Lloyd's Rep 544

Insurance (Life) - Condition - Breach - Assured insured life of third party - Assured warranted to the best of their knowledge third party in good health - Third party not in good health - Whether assured in breach of warranty - Whether insurers liable under policy - Whether a valued policy.

LANDCATCH LTD. v. INTERNATIONAL OIL POLLUTION COMPENSATION FUND SAME v. BRAER CORPORATION AND OTHERS AND ASSURANCEFORENINGEN SKULD AND INTERNATIONAL OIL POLLUTION COMPENSATION FUND (MINUTER)

[1998] 2 Lloyd's Rep 552

Oil pollution - Statutory liability - Competence and prematurity - Vessel grounded off Shetland - Pursuers claimed losses occasioned by oil pollution - Whether liability of compensation fund only arose when liability established against owners and/or insurers - Whether pleas incompetent and premature - Whether merit in pursuers’ pleas of waiver and personal bar - Merchant Shipping (Oil Pollution) Act, 1971 - International Convention on Civil Liability for Oil Pollution Damage, 1969 - Merchant Shipping Act, 1974 - International Convention on the Establishment of an International Fund for Compensation for Oil Pollution Damage, 1971. Oil pollution - Statutory liability - Pure economic loss - Vessel grounded off Shetland - Pursuers claimed losses occasioned by oil pollution - Whether pursuers entitled to claim for pure economic loss - Merchant Shipping (Oil Pollution) Act, 1971 - Merchant Shipping Act, 1974, ss. 1, 4. Oil pollution - Statutory liability - Choice of law - Vessel grounded off Shetland - Pursuers claimed losses occasioned by oil pollution - Norwegian insurers insured owner in respect of liability to third parties for oil pollution damage - Whether Norwegian law applicable - Merchant Shipping (Oil Pollution) Act, 1971, s. 12 - Civil Jurisdiction and Judgments Act, 1982.

LOWSLEY AND ANOTHER v. FORBES (Trading as L. E. DESIGN SERVICES)

[1998] 2 Lloyd's Rep 577

Practice - Limitation of time - Judgment debt - Over six years elapsed - Plaintiffs obtained leave to enforce judgment - Whether execution of judgment barred after six years or whether only the bringing of fresh actions on the judgment barred - Whether interest on judgment limited to period of six years before date of execution - Limitation Act, 1980, s. 24 - Construction.

GEFCO UK LTD. v. MASON

[1998] 2 Lloyd's Rep 585

Carriage by road - CMR - Consignment note - Contract for carriage of goods between England and France - Whether contract an overall umbrella contract under which individual contracts for each journey undertaken - Whether CMR applicable - Whether requirement of consignment note precluded CMR applying to long term contracts for unascertained goods - CMR arts. 1, 4, 5, 9.

COMMERCIAL UNION ASSURANCE CO. PLC. AND OTHERS v. NRG VICTORY REINSURANCE LTD. SKANDIA INTERNATIONAL INSURANCE CORPORATION AND ANOTHER v. SAME

[1998] 2 Lloyd's Rep 600

Reinsurance - Indemnity - Excess of loss - Major oil spill in Alaska - Global Corporate Excess insurance - Plaintiffs and direct insurers under GCE policy entered into settlement agreement - Whether plaintiffs liable under GCE policy - Whether plaintiffs entitled to be indemnified under reinsurance policy with defendants.

AGROSIN PTE. LTD. v. HIGHWAY SHIPPING CO. LTD. (THE “MATA K”)

[1998] 2 Lloyd's Rep 614

Bills of lading - Shortage - “Weight. . .unknown” - Construction - Cargo of potash shipped under bill of lading - Bill showed 11,000 tonnes as gross weight - Bill also included words “weight. . .unknown” - Plaintiffs alleged shortage on delivery - Whether bill represented the 11,000 tonnes shipped - Whether “weight. . .unknown” to be disregarded or treated as null and void - Whether defendants could rely on conclusive evidence clause in charter-party - Carriage of Goods by Sea Act, 1992, s. 4.

FINAGRA (UK) LTD. v. O.T. AFRICA LINE LTD.

[1998] 2 Lloyd's Rep 622

Bill of lading - Limitation of time - Construction - Clause in bill of lading provided that suit was to be brought within nine months of delivery - Hague Rules incorporated and provided limitation period of one year - Plaintiffs brought action after nine months but within one year period - Whether special time bar provision took precedence over the one year limitation regime of the Hague Rules.

METALFER CORPORATION v. PAN OCEAN SHIPPING CO. LTD.

[1998] 2 Lloyd's Rep 632

Arbitration - Limitation of time - Arbitration clause - Fixture agreement between owners and charterers - Claims to be referred to arbitration within 30 days of completion of voyage - Whether arbitration clause part of fixture agreement - Whether clause operated to bar charterers’ claims if made after the lapse of 30 days - Whether clause inconsistent with provisions in Hague Rules - Whether charterers’ claim time barred.

GRIMALDI COMPAGNIA DI NAVAGAZIONE S.P.A. v. SEKIHYO LINES LTD. (THE “SEKI ROLETTE”)

[1998] 2 Lloyd's Rep 638

Arbitration - Limitation of time - Hague Rules - Incorporation - Declaratory relief - Stay of action - Vessel on time charter sank following collision near Weser Light Vessel - Charterers lost in the sinking various property - Charterers applied for declaratory relief - Whether action should be stayed for arbitration - Whether Hague Rules incorporated in charter - Whether subject matter of charterers’ claim not goods - Whether application for extension of time should be granted - Hague Rules, art. III, r. 6 - Arbitration Act, 1996, ss. 9, 12 - Arbitration Act, 1950, s. 27.

MARTIN MARITIME LTD. v. PROVIDENT CAPITAL INDEMNITY FUND LTD. (THE “LYDIA FLAG”)

[1998] 2 Lloyd's Rep 652

Insurance (Marine) - Unseaworthiness - Due diligence - Vessel lost rudder and sustained damage - Plaintiffs claimed under insurance policy - Whether vessel unseaworthy at inception of policy - Whether plaintiffs exercised due diligence at time of repairs to vessel or in subsequent operation of vessel - Whether additional machinery deductible clause applicable - Whether costs for repairs to rudder and costs of classification society surveyor’s attendance recoverable.

SMEDVIG LTD. v. ELF EXPLORATION UK PLC (THE “SUPER SCORPIO II”)

[1998] 2 Lloyd's Rep 659

Contract - Construction - Indemnity - Contract between plaintiffs and defendants to furnish and operate a vessel to drill offshore well in North Sea - Remote operations vehicle hired by defendants for use under water - Claim in Aberdeen Sheriff’s Court that ROV damaged by plaintiffs’ employee - Plaintiffs held liable - Whether plaintiffs entitled to be indemnified by defendants.

NIGERIAN NATIONAL SHIPPING LINES LTD. (IN LIQUIDATION) AND THE GOVERNMENT OF THE FEDERAL REPUBLIC OF NIGERIA v. MUTUAL LTD. AND OTHERS (THE “WINDFALL”)

[1998] 2 Lloyd's Rep 664

Damages - Assessment - Detention of vessel - Plaintiffs arrested fourth defendants’ vessel - Fourth defendants reflagged and demise chartered vessel to obtain release of vessel - Third party terminated memorandum of agreement for sale of vessel - Whether wrongful detention caused loss of sale - Assessment of damages for loss of sale - Assessment relating to crew repatriation, P. & I. insurance and mortgage interest costs.

THE QUEEN v. CARRICK DISTRICT COUNCIL Ex parte PRANKERD (THE “WINNIE RIGG”)

[1998] 2 Lloyd's Rep 675

Docks and harbours - Judicial review - Statutory power - Harbour authority distrained upon motor yacht for non-payment of mooring fees - Whether yacht a ship or a vessel “used in navigation” - Whether power to distrain exercisable in respect of private yachts - Whether mooring fees constituted ship’s dues - Harbour, Docks and Piers Clauses Act, 1847, s. 44 - Harbours Act, 1964, s. 26(3).

NSUBUGA v. COMMERCIAL UNION ASSURANCE CO. PLC.

[1998] 2 Lloyd's Rep 682

Insurance (Fire) - Indemnity - Non-disclosure - Allegations of fraudulent claims - Condition in policy that if claims fraudulent all benefit under policy forfeited - Whether conditions incorporated in contract - Insured premises caught fire - Plaintiff claimed under policy for stock, cigarettes and tobacco and fixtures and fittings - Whether insurers established claims fraudulent - Whether plaintiff’s failure to disclose distress for rates fraudulent.

ALFRED McALPINE PLC v. BAI (RUN-OFF) LTD.

[1998] 2 Lloyd's Rep 694

Insurance (Contractors) - Indemnity - Occurrence notification clause - Plaintiffs statutory assignee of insured - Plaintiffs claimed against insurers - Whether insured complied with requirements of notification clause - Whether notification clause a condition precedent to liability of insurers - Whether insurers entitled to repudiate insurance.

Lloyd's Law Reports