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Lloyd's Law Reports

EASTERN EUROPEAN ENGINEERING LTD v VIJAY CONSTRUCTION (PROPRIETARY) LTD

[2019] 1 Lloyd's Rep. 1
Arbitration – Enforcement of foreign award – Issue estoppel based on dismissal of challenge in curial court and in other enforcement proceedings – Whether tribunal properly constituted – Whether respondent able to present case – Public policy – Inability to present case – Arbitration Act 1996, sections 103(2) and (3).

VOLCAFE LTD AND OTHERS v COMPANIA SUD AMERICANA DE VAPORES SA

[2019] 1 Lloyd's Rep. 21
Carriage of goods by sea – Burden of proof – Cargo of containerised bagged coffee beans found to be damaged by condensation – Inherent vice – Whether carrier failed properly and carefully to load and carry the goods – Hague Rules, article III, rule 2 and article IV rule 2(m).

W NAGEL (A FIRM) v PLUCZENIK DIAMOND CO NV

[2019] 1 Lloyd's Rep. 36
Agency – Compensation following termination of agency relationship – Meaning of “commercial agent” – Commercial Agents (Council Directive) Regulations 1993 (SI 1993 No 3053), Regulation 2 – Breach of agreement not to terminate agency – Measure of damages.

ZURICH INSURANCE PLC AND ANOTHER v ABNORMAL LOAD SERVICES (INTERNATIONAL) LTD

[2019] 1 Lloyd's Rep. 53
Carriage of goods by road – Jurisdiction – Goods lost in transit between Finland and United Kingdom – Consignor and insurers bringing proceedings against carrier in courts of Finland – Whether Finnish courts had jurisdiction – Place where services were provided – Council Regulation (EC) No 44/2001, article 5(1)(b).

DERA COMMERCIAL ESTATE v DERYA INC (THE “SUR”)

[2019] 1 Lloyd's Rep. 57
Arbitration – Delay – Whether arbitration tribunal erred in law in striking out proceedings for inordinate and inexcusable delay – Whether serious irregularity – Whether tribunal guilty of apparent bias – Arbitration Act 1996, sections 41(3), 68 and 69.

OREXIM TRADING LTD v MAHAVIR PORT AND TERMINAL PRIVATE LTD AND OTHERS

[2019] 1 Lloyd's Rep. 89
Practice – Service of proceedings out of jurisdiction – Claim to set aside transaction at undervalue – Whether claim made “under an enactment” – Whether permission to serve out should be set aside – Insolvency Act 1986, section 423 – CPR Practice Direction 6B, para 3.1(20)(a).

SEA MASTER SHIPPING INC v ARAB BANK (SWITZERLAND) LTD (THE “SEA MASTER”)

[2019] 1 Lloyd's Rep. 101
Arbitration – Jurisdiction – Whether holder of bill of lading bound to submit to arbitration of demurrage dispute notwithstanding it had not exercised rights of suit – Carriage of Goods by Sea Act 1992, section 2 – Arbitration Act 1996, section 67.

MARTY LTD v HUALON CORPORATION (MALAYSIA) SDN BHD

[2019] 1 Lloyd's Rep. 113
Arbitration – Jurisdiction – Respondent commenced judicial proceedings in breach of an arbitration clause – Whether the respondent was in repudiatory breach of arbitration agreement – Whether the appellant had accepted the repudiation – Whether arbitrator had jurisdiction over the dispute between the parties.

NAUTICAL CHALLENGE LTD v EVERGREEN MARINE (UK) LTD (THE “ALEXANDRA 1” AND “EVER SMART”)

[2019] 1 Lloyd's Rep. 130
Collision action – Crossing rules – Whether applicable to vessel navigating towards narrow channel – Apportionment of liability – International Regulations for Preventing Collisions at Sea 1972, rules 15, 16 and 17.

SHAGANG SHIPPING CO LTD (IN LIQUIDATION) v HNA GROUP CO LTD

[2019] 1 Lloyd's Rep. 150
Bribery – Claim under guarantee for performance of charterparty – Allegation that charterparty procured by bribery and unenforceable – Evidence of bribery allegedly obtained by torture – Whether charterparty enforceable.

MOUNT ISA MINES LTD v THE SHIP “THOR COMMANDER”

[2019] 1 Lloyd's Rep. 167
Carriage of goods by sea – Engine breakdown – Whether carrier in breach of contract of carriage – Whether contract of carriage was charterparty or bill of lading – Whether cargo interests entitled to sue under straight bill of lading – Whether vessel was in need of salvage – Whether salvage settlement was reasonable – Whether cargo interests entitled to recover transhipment costs – Whether cargo interests liable to contribute in general average – Carriage of Goods by Sea Act 1991 (Cth), schedule 1A, sections 3, 7 and 10 – Amended Hague Rules, articles 3 and 10 – Sea-Carriage Documents Act 1996 (Qld), sections 3, 6 and 8 – York-Antwerp Rules 1994, Rule D.

ASPEN UNDERWRITING LTD v CREDIT EUROPE BANK NV

[2019] 1 Lloyd's Rep. 221
Conflict of laws – Jurisdiction – Hull and machinery policy – Recovery of paid insurance proceeds – Settlement agreement – Exclusive jurisdiction clauses in settlement agreement and policy – Whether binding on mortgagee bank – Tort, delict or quasi-delict – Undisclosed principal – “Matters relating to insurance” – Place where harmful event occurred – Insurance – Brussels Regulation Recast, Regulation 1215/2012/EU, articles 7, 10 and 14.

FLEETWOOD WANDERERS LTD (T/A FLEETWOOD TOWN FOOTBALL CLUB) v AFC FYLDE LTD

[2019] 1 Lloyd's Rep. 247
Arbitration – Jurisdiction – Serious irregularity – Arbitrator relying on extraneous evidence – Waiver – Arbitration Act 1996, sections 68, 69 and 73.

HPOR SERVICOS DE CONSULTORIA LTDA v DRYSHIPS INC AND ANOTHER

[2019] 1 Lloyd's Rep. 260
Agency – Breach of fiduciary duty – Account of profits – Forfeiture of remuneration – Arbitration Act 1996, section 69.

A v B

[2019] 1 Lloyd's Rep. 275
Arbitration – Serious irregularity – Substantial injustice – Decision by tribunal to refuse to admit witness evidence – Arbitration Act 1996, sections 33 and 68(2).

BLANCHE v EASYJET AIRLINE CO LTD

[2019] 1 Lloyd's Rep. 286
Aviation – Delayed flight – Compensation – Whether air traffic management decision an extraordinary circumstance – Regulation 261/2004/EC, recital (15) and articles 5 and 7.

CARPATSKY PETROLEUM CORPORATION v PJSC UKRNAFTA

[2019] 1 Lloyd's Rep. 296
Arbitration – Enforcement of award – Public policy – Fraud allegedly discovered after arbitration – Arbitration Act 1996, sections 101 and 103.

GENERAL DYNAMICS UNITED KINGDOM LTD v STATE OF LIBYA

[2019] 1 Lloyd's Rep. 309
Arbitration – Enforcement – Sovereign immunity – Whether enforcement order has to be served on State – Arbitration Act 1996, section 101 – State Immunity Act 1978, section 12 – CPR 6.16, 6.44, 6.28 and 62.18.

J v K

[2019] 1 Lloyd's Rep. 323
Arbitration – Jurisdiction – Serious irregularity – Construction of dispute resolution clause – Expert determination – Allegation that tribunal reopened earlier award – Arbitration Act 1996, sections 67 and 68.

CHUDLEY v CLYDESDALE BANK PLC

[2019] 1 Lloyd's Rep. 333
Banking – Bank permitting sums to be paid out of segregated client account without securing undertakings – Whether agreement setting up client account was legally binding – Whether investors could rely upon agreement as third parties – Whether Bank's breach was causative of loss – Contracts (Rights of Third Parties) Act 1999, sections 1(1)(b) and 1(3).

CLASSIC MARITIME INC v LIMBUNGAN MAKMUR SDN BHD AND ANOTHER

[2019] 1 Lloyd's Rep. 349
Charterparty – Contract of affreightment – Long-term contract for carriage of iron ore pellets from Brazil to Malaysia – Bursting of dam stopping production of iron ore – Owner claiming damages from charterer for failure to make shipments following dam burst – Whether charterer entitled to rely on force majeure clause – Whether owner entitled to substantial damages.

CSSA CHARTERING AND SHIPPING SERVICES SA v MITSUI OSK LINES LTD (THE “PACIFIC VOYAGER”)

[2019] 1 Lloyd's Rep. 370
Charterparty (Voyage) – Charterparty containing cancelling date but no ETA – Nature of owners’ obligation to commence approach voyage – Whether obligation absolute or to use due diligence – Whether cancelling date constituted the time when approach voyage had to be commenced – Vessel delayed through no fault of owners – Whether owners in breach of obligation in relation to approach voyage.

ZAKO SPRL v SANIDEL SA

[2019] 1 Lloyd's Rep. 377
Agency – Right of compensation for dismissal of commercial agent – Meaning of “commercial agent” – Commercial Agents Directive, European Parliament and Council Directive 86/353/EEC.

A v B

[2019] 1 Lloyd's Rep. 385
Arbitration – Award – Serious irregularity – Appeal on points of law – Shipowners in breach of clause guaranteeing vessel's approval by oil majors – Whether tribunal guilty of serious irregularity – Whether tribunal erred in awarding charterers loss of profits in addition to wasted expenditure – Whether damages ought to have been awarded on loss of chance principle – Arbitration Act 1996, sections 68 and 69.

MIDNIGHT MARINE LTD AND ANOTHER v THOMAS MILLER SPECIALITY UNDERWRITING AGENCY LTD (THE “LABHAULER”)

[2019] 1 Lloyd's Rep. 399
Arbitration – Award – Respondent challenging award in High Court for serious irregularity and on question of law – Challenges dismissed on paper – Respondent renewing applications by way of oral hearing – Procedure to be adopted for oral hearings – Commercial Court Guide, para O8.5 – Arbitration Act 1996, sections 68 and 69.

NATWEST MARKETS PLC (FORMERLY KNOWN AS THE ROYAL BANK OF SCOTLAND PLC) v STALLION EIGHT SHIPPING CO SA (THE “MV ALKYON”)

[2019] 1 Lloyd's Rep. 406
Admiralty practice – Arrest of vessel by mortgagee – Shipowner applying for order releasing vessel from arrest unless mortgagee provided cross-undertaking in damages – Whether cross-undertaking should be imposed as condition of release.

SOLETANCHE BACHY FRANCE SAS v AQABA CONTAINER TERMINAL (PVT) CO

[2019] 1 Lloyd's Rep. 423
Arbitration – Want of jurisdiction – Serious irregularity – Failure by arbitrator to disclose potential links with a relevant third party – Failure by tribunal to deal with all issues – Substantial injustice – Arbitration Act 1996, sections 30, 67, 68 and 82.

AQABA CONTAINER TERMINAL (PVT) CO v SOLETANCHE BACHY FRANCE SAS

[2019] 1 Lloyd's Rep. 431
Arbitration – Anti-suit injunction – Foreign proceedings brought in contravention of arbitration clause – Senior Courts Act 1981, section 37.

BRIGHT SHIPPING LTD v CHANGHONG GROUP (HK) LTD (THE “CF CRYSTAL” AND THE “SANCHI”)

[2019] 1 Lloyd's Rep. 437
Conflict of laws – Forum non conveniens – Collision at sea within exclusive economic zone of the PRC – Plaintiff bringing proceedings against defendant in Shanghai Maritime Court and also in Hong Kong – Defendant applying for stay of Hong Kong proceedings on grounds of forum non conveniens and lis alibi pendens – Whether Hong Kong proceedings should be stayed in favour of Shanghai Maritime Court.

EURO-ASIAN OIL SA v CREDIT SUISSE AG AND OTHERS

[2019] 1 Lloyd's Rep. 444
Banking – Letter of credit – Sale of goods – Letter of indemnity – Contract for sale of gasoil CIF Constanza – Payment to be made against shipping documents or letter of indemnity – Letter of indemnity signed by seller and by seller's bank – Buyer paying price but receiving no product – Buyer suing seller and seller's bank – Whether contract in fact on CIF terms – Whether buyer entitled to damages – Measure of damages – Whether seller's bank entitled to full indemnity from seller – Sale of Goods Act 1979, section 51(3).

YUCHAI DONGTE SPECIAL PURPOSE AUTOMOBILE CO LTD v SUISSE CREDIT CAPITAL (2009) LTD

[2019] 1 Lloyd's Rep. 457
Banking – Letter of credit – Identity of issuer of letter of credit – Extrinsic evidence – Whether issuing bank excluded liability to make payment – Whether claimant estopped by convention from asserting that defendant was issuing bank.

BV NEDERLANDSE INDUSTRIE VAN EIPRODUKTEN v REMBRANDT ENTERPRISES INC

[2019] 1 Lloyd's Rep. 491
Sale of goods – Fraudulent misrepresentation – Inducement – Transferred loss – Recovery of losses suffered by third party.

CLOSE BROTHERS LTD v AIS (MARINE) 2 LTD (IN LIQUIDATION) AND ANOTHER (THE “OCEAN WIND 8 OF HARTLEPOOL”)

[2019] 1 Lloyd's Rep. 510
Admiralty – Ship mortgage – Sale of vessel by mortgagee in possession – Sale price insufficient to cover mortgage debt – Mortgagee claiming shortfall from guarantor of mortgagor – Whether sale was at an undervalue.

QINGDAO HUIQUAN SHIPPING CO v SHANGHAI DONG HE XIN INDUSTRY GROUP CO LTD

[2019] 1 Lloyd's Rep. 520
Practice – Anti-suit injunction – Shipowners and cargo receivers concluding settlement agreement containing London arbitration clause – Third party bringing proceedings against shipowners in Chinese courts based on settlement agreement – Whether shipowners entitled to anti-suit injunction against third party.

WARNER v SCAPA FLOW CHARTERS

[2019] 1 Lloyd's Rep. 529
Practice – Limitation of time – Death of passenger on chartered vessel – Widow bringing action in negligence against charterers on behalf of dependant minor son – Whether claim time-barred – Athens Convention 1974, article 16(3) – Prescription and Limitation (Scotland) Act 1973, section 18.

ZX v RYANAIR DAC

[2019] 1 Lloyd's Rep. 537
Jurisdiction – Claim for compensation for delayed flight – Jurisdiction based on location of branch – Submission to jurisdiction – Regulation (EU) No 1215/2012, articles 7(5), 17(3) and 26 – Regulation (EC) No 261/2004, article 7.

NAUTICAL CHALLENGE LTD v EVERGREEN MARINE (UK) LTD (THE "ALEXANDRA 1" AND "EVER SMART") (NO 2)

[2019] 1 Lloyd's Rep. 543
Collision action – Damages – Collision between vessels off Jebel Ali in February 2015 – Reasonableness of time taken to repair vessel – Loss of use of vessel – Impecuniosity – Stigma.

SILVERBURN SHIPPING (IOM) LTD v ARK SHIPPING CO LLC (THE “ARCTIC”)

[2019] 1 Lloyd's Rep. 554
Charterparty (Bareboat) – Charterers contracting to maintain vessel and keep her “with unexpired classification of the class indicated in Box 10” – Whether classification obligation absolute or to reinstate expired class certificates within reasonable time – Whether classification obligation a condition or innominate term of charter – Whether owners entitled to withdraw vessel following expiry of class certificate.

STATE A v PARTY B AND ANOTHER

[2019] 1 Lloyd's Rep. 569
Arbitration – Appeal against award for want of jurisdiction – Appeal out of time – Application for extension of time – Criteria to be applied – Arbitration Act 1996, sections 67, 70(3) and 80(5).

THE “NUR ALLYA”

[2019] 1 Lloyd's Rep. 578
Admiralty practice – Service of writ – Collision actions – Plaintiffs issuing writs timeously but failing to serve them within 12 months – Whether plaintiffs entitled to orders extending validity of writs – Relevance of settlement negotiations – Maritime Conventions Act 1911, section 8 – Rules of Court (Cap 322, R5, 2014 Rev Ed), Order 6 rule 4.

ALIZE 1954 AND ANOTHER v ALLIANZ ELEMENTAR VERSICHERUNGS AG AND OTHERS (THE “CMA CGM LIBRA”)

[2019] 1 Lloyd's Rep. 595
General average – Vessel grounding on uncharted shoal leaving port of Xiamen – Whether cargo interests obliged to contribute to general average – Whether actionable fault on part of owners – Whether vessel's passage plan defective – Whether defective passage plan made vessel unseaworthy – Whether owners failed to exercise due diligence – York-Antwerp Rules – Hague Rules, article III, rule 1.

CHARTERED INSTITUTE OF ARBITRATORS v B AND OTHERS

[2019] 1 Lloyd's Rep. 617
Arbitration – Disciplinary proceedings brought against arbitrator – Disclosure of documents in earlier court proceedings relating to removal of arbitrator – Use of documents in disciplinary hearing – Senior Courts Act 1981, section 19 – CPR 5.4.

GLOBALINK TRANSPORTATION AND LOGISTICS WORLDWIDE LLP v DHL PROJECT & CHARTERING LTD

[2019] 1 Lloyd's Rep. 630
Practice – Set-off – Freight forwarder claiming sums due from defendant – Defendant admitting claim but setting up cross claim for damages for breach of contract – Whether freight forwarder's claims were for freight – Whether “no set-off” rule applied to cross claim – Whether freight forwarder entitled to summary judgment.

SONACT GROUP LTD v PREMUDA SPA (THE “FOUR ISLAND”)

[2019] 1 Lloyd's Rep. 643
Arbitration – Jurisdiction – Voyage charterparty containing London arbitration clause – Demurrage dispute settled by email exchange – Charterers failing to pay sum agreed – Whether arbitrators had jurisdiction over owners’ claim to recover agreed settlement sum – Arbitration Act 1996, section 67.

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