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Lloyd's Law Reports

GOVERNMENT OF THE REPUBLIC OF SPAIN v. NORTH OF ENGLAND STEAMSHIP COMPANY, LTD.

(1938) 61 Ll.L.Rep. 44

KING'S BENCH DIVISION.

Before Mr. Justice Lewis.

Charter-party-Breach-Chamber of Shipping war clauses-Refusal by owners to proceed to nominated port - Charter by plaintiffs of defendants' steamship Hartbridge - Vessel to load cargo of coal at Dunston Staiths, River Tyne, and proceed to one of six named ports on south-east coast of Spain-Freight, to be prepaid: 26s. 6d. per ton-"The bills of lading . . . shall be signed by the master, agent or owners . . . within 24 hours after the vessel is loaded" - War clauses: "1. The master shall not be required or bound to sign bills of lading for any blockaded port or for any port which the master or owners in his or their discretion consider dangerous or impossible to enter or reach. 2. ( A) If any port of discharge named in this charter-party or to which the vessel may properly be ordered pursuant to the terms of the bills of lading be blockaded, or ( B) if owing to any war, hostilities, warlike operations, civil war, civil commotions, revolutions, or the operation of international law (a) entry to any such port or discharge of cargo intended for any such port be considered by the master or owners in his or their discretion dangerous or prohibited or (b) it be considered by the master or owners in his or their discretion dangerous or impossible for the vessel to reach such discharging port- the cargo or such part of it as may be affected shall be discharged at any other safe port in the vicinity of the said port of discharge as may be ordered by the charterers . . ."-Six named ports in territory occupied by Spanish Republican Government - Announcement by Spanish Nationalist Government that it was intended to establish a blockade of Spanish coast-Resolution passed by owners' insurance club, the effect of which was that to cover

vessel against war risks on voyage to any of named ports would involve considerable additional outlay-Intimation given to charterers by owners, before giving of notice of readiness, that by reason of the declaration of a "blockade" they (the owners) would not acept orders for discharge at any of named ports and requesting a "danger free port outside of the range mentioned" -Evidence that blockade did not materialise and that there was no greater danger to British shipping after the declaration than before; and that Nationalist Government claimed "that measures taken by its naval forces on patrol are neither legally nor technically equivalent to a blockade"-Loading of steamer commenced-Charterers requested by owners, before loading completed, to nominate "safe and danger free port"-Refusal by owners to accept orders to discharge at Barcelona - Intimation made to charterers that cargo would be discharged at Gibraltar if "danger free" port not nominated-Nomination of Oran under protest by charterers- Vessel discharged at Oran-Market rate of freight to Oran: 6s. 9d.-Claim by charterers for freight overpaid-Duress of good-Meaning of "blockade"- Reliance by owners upon war clauses- Time when war clauses apply-Discretion of master or owners.

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