London Arbitration 17/95

Voyage charterparty - Choice of discharge ports - Whether implied term that charterers would nominate discharging ports in geographical rotation

The issue in this arbitration was whether the shipowners were entitled to damages and an indemnity in respect of all losses which they sustained by reason of having complied with charterers’ orders to discharge out of rotation. The owners said that there was an implied obligation under the charterparty to nominate discharging ports in geographical rotation. The charterers said that they were free to exercise their option to nominate the two discharging ports in whatever order they chose.