TRANSGRAIN SHIPPING (SINGAPORE) PTE LTD V YANGTZE NAVIGATION (HONG KONG) CO LTD

[2016] EWHC 3132 (Comm), Queen's Bench Division, Commercial Court, Mr Justice Teare, 7 December 2016

Contracts - Interpretation - Meaning of "act or neglect" - Whether "act" meaning any act or only culpable acts - Inter-Club Agreement - Arbitration Act 1996

The arbitration claimants were the owners of MV Yangtze Xing Hua which they chartered to the arbitration respondents, for a time charter trip carrying soya bean meal from South America to Iran. The charterparty was dated 3 August 2012 and was on the New York Produce Exchange Form. The vessel arrived off the discharge port in Iran in December 2012. Not having been paid for the cargo, the charterers ordered the vessel to wait off the discharge port for over four months. The vessel thus came to be used as floating storage. The cargo, or part of it, started to overheat. When the vessel was brought alongside and discharged in May 2013 damage was found and a claim was made against the vessel for €5 million, settled in the sum of €2,654,238. The owners claimed that sum together with hire in the sum of US$1,012,740 from the charterers.