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Lloyd's Maritime Law Newsletter

Great China Metal Industries Co Ltd v Malaysian International Shipping Corporation Berhad (The ‘Bunga Seroja’) - High Court (Gaudron, McHugh, Gummow, Kirby, Hayne and Callinan JJ) - 22 October 1998

Carriage of goods by sea - Hague Rules - Vessel seaworthy and fit in all respects for voyage - Perils of the sea

A cargo of aluminium coils was damaged during a voyage between Sydney and Fremantle. The coils had been stuffed by the shipper into 10 containers. The primary issue in the case was whether the carrier could rely on the ‘perils of the sea’ defence. The vessel had encountered storm conditions such that the vessel suffered some structural damage. During the course of the storm two containers collapsed and eight containers were lost overboard. The storm was not, however, ‘unexpected’. On discharge, a number of the coils were observed to have been damaged due to shifting within the containers because of the heavy weather.

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