Beacham Commodities Inc. v. Navigazione Alta Italia SpA (The Nai Carla) - Q.B.D. (Com.Ct.) (Bingham J.) - 24 May 1984

Whether charterparty arbitration clause incorporated into bill of lading

Beacham were shippers of a cargo of soyabeam oil from New Orleans to Karachi and were assignees of the rights of the cargo receivers. Navigazione Alta Italia SpA were the owners of the vessel in which the cargo was carried. Beacham sought to claim some $136,000 for short delivery of cargo. Beacham argued that the arbitration clause in the charterparty had been incorporated by reference into the relevant bill of lading. The one-year time limit under the Hague Rules had elapsed and the effect, therefore, was that if the arbitration clause were held not to have been incorporated it was now too late for Beacham to sue. If, on the other hand, it were held that the arbitration clause had been incorporated, further questions would fall to be decided as to whether any arbitration had been commenced in time.