NHM International Inc v F C Yachts Ltd and Ors (The "All Risks") - Federal Court (Trial Div) (Hargrave P) - 21 January 2003

Admiralty practice - Bail - Amount of bail to be set for release of arrested vessel

The plaintiff had discussions with the first defendant yacht-builder ("the defendant") for the construction and delivery of a 77-foot yacht, the All Risks. A written contract was prepared by the defendant which provided inter alia that the yacht should be delivered by November 2, 2001 for a fixed price of US$2,372,000. The written contract was signed on behalf of the defendant and dated 14 December 2000 but, for unexplained reasons, was not signed on behalf of the plaintiff. However, both the plaintiff and the defendant carried on with the project as though the written contract was a binding agreement.