COURT LINE, LTD. v. CANADIAN TRANSPORT COMPANY, LTD.

(1938) 62 Ll L Rep 123

KING'S BENCH DIVISION.

Before Mr. Justice Lewis.

Charter-party - Indemnity - Damage to cargo-Liability of shipowners to receivers-Receivers paid by shipowners' club-Claim by shipowners to recover full amount from time-charterers; alternatively, £10 franchise which shipowners were required to refund to club -Implied obligation of time-charterers -Clause 8 of charter providing that "Owners to give time-charterers the benefit of their protection and indemnity club insurances as far as club rules allow, and in case of shortage or damage to cargo, charterers to bear the franchise according to the club rules, which owners would otherwise have borne"-Club rules providing by Rule 17 that "No assignment or subrogation by a member of his cover with this Association to charterers or any other person shall be deemed to bind this Association to any extent whatsoever"-Effect of Rule 17.