London Arbitration 10/95

One year time limit on bringing arbitration proceedings - Whether owners’ claim time-barred - Whether owners entitled to rely on principles of waiver or estoppel

The vessel was chartered on the NYPE form as amended. The arbitration clause provided that any arbitration had to take place within one year of redelivery of the vessel under the charter. Redelivery took place on 24 December 1990. A dispute arose in relation to the alleged supply to the vessel by the charterers of unsuitable diesel oil. On 1 November 1991 the owners sent a telex to the charterers which read: