A/S Awilco of Oslo v. Fulvia SPd di Navigazione of Cagliari (The Chikuma) - Lords Diplock, Simon of Glaisdale, Edmund-Davies, Scarman, Bridge - H.L. - Feb. 19, 1981

Payment in cash - NYPE cl.5 - Withdrawal of vessel - Whether valid

A telex transferring a monthly hire payment under a NYPE form from an intermediate Italian bank to the owners’ bank read: Pay without expenses for US$ . . . as per order of Christiana Bank . . . for account of A/S Awilco in favour of SASDA . . . ref Chikuma stop Telecover you value 26 through Chase Manhattan Bank New York account yours of Turin stop. Hire was due on Jan. 22 and the telex had been sent on Jan. 21. The owners contended that “value 26” meant that, as between banks when dealing with their intermediate banking accounts, the credits and debits were to be dated Jan. 26 not Jan. 22. Owners withdrew the vessel on Jan. 24 on the ground that charterers had failed to pay the monthly instalment of hire due on Jan. 22. The charterers disputed the alleged failure and claimed damages.