SUBIACO (S) PTE LTD V BAKER HUGHES SINGAPORE PTE (T/A BAKER HUGHES INTEQ) (THE "ACHILLES")

[2010] SGHC 265, High Court of Singapore, Belinda Ang Saw Ean J, 2 September 2010

Carriage (sea) - Scope of contract of carriage - Goods damaged during loading - Booking note on "free in stowed" terms - Whether shipowner or cargo owner bearing contractual responsibility for loading cargo and risk of cargo operations at load port - Liability for stevedores appointed by FOB seller

The defendant's (BHS) cargo of barite in sacks had been loaded on board the claimant shipowner's (Subiaco) vessel Achilles for shipment from Vietnam to Australia on FOB Incoterms. The booking note (but not the subsequent bill of lading) stated in the freight rate box "fis l/s/d" (free in stowed lashed secured dunnaged). The booking note also stated that it was to be superseded by the bill of lading. The vessel and its cargo crane were damaged during loading. Bills of lading were issued on the Conlineform 1978. Subiaco claimed, relying on the fis l/s/d term in the booking note, that BHS was liable for the act or neglect of the stevedore in loading and causing damage to the vessel's crane, because loading operations at the load port were to be at the defendant's risk and expense. BHS denied both that it had appointed the stevedoring company, and that it was required to do so.