FARENCO SHIPPING CO LTD v DAEBO SHIPPING CO LTD (THE “BREMEN MAX”)

[2008] Lloyd's Rep. Plus 100

QUEEN’S BENCH DIVISION (COMMERCIAL COURT)

Before Mr Justice Teare

Charterparty (Time) – Letter of indemnity – Charter containing provision obliging owners to deliver cargo without production of bills of lading against LOI – Cargo discharged against LOI requiring charterer to put up security to prevent arrest or secure release of arrest – Holder of bill of lading subsequently arresting vessel – Owners putting up security to obtain release – Whether charterer remained under obligation to provide security – Whether undertakings in LOI conditional upon delivery to party named in LOI.