Rimpacific Navigation Inc v Daehan Shipbuilding Co Ltd (The “Jin Man”)(No 2) – QBD (Com Ct)(Teare J) – 14 October 2011

Contract – Guarantees – Whether signatory of guarantees had actual or ostensible authority to execute guarantees – Law governing issue of ostensible authority – Whether signatory had ostensible authority on the facts

The claimant shipowners chartered their vessels Jin Man and Jin Pu to Daehan Shipping Co Ltd (“the charterers”). Pursuant to the terms of the charterparties, the defendant company provided two letters guaranteeing amounts due by the charterers under the charterparties. Each guarantee was signed by a Mr Oh as “CEO/President” of the defendant, and each guarantee bore what appeared to be an official stamp. Each guarantee contained an English law and exclusive English jurisdiction clause.