Lips Maritime Corpn. v. The President of India (The Lips) - Q.B.D. (Com.Ct.) (Lloyd J.) - 30 July 1984

Late payment of demurrage - Whether owners entitled to recover loss represented by fall in exchange rate during delay

A dispute arose under a charterparty in relation to demurrage. The charterers admitted that the vessel was on demurrage for 24 days and 47 minutes and paid the relevant amount of 23 February 1981. The matter went to arbitration. The umpire found that the demurrage should have been paid within two months of the completion of discharge, namely by 11 December 1980. The umpire calculated that the vessel was on demurrage for 28 days, 1 hour and 47 minutes. The difference between the amount the charterers had admitted and the amount awarded was $24,250.