UNICREDIT BANK AG V EURONAV NV

[2022] EWHC 957 (Comm), Queen’s Bench Division, Commercial Court, Mrs Justice Moulder, 28 April 2022

Contracts (bills of lading) – Status of bill of lading in hands of original shipper – Delivery without production of the bill of lading – Bill of lading issued by shipowner – Charterparty novated – Whether bill of lading evidencing a contract of carriage – Whether owners’ obligation contained in charterparty or bill of lading – Liability – Quantum

The claimant bank sought damages from the defendant owner of the vessel Sienna for delivery of a cargo of low sulphur fuel oil without production of the bill of lading. The bill of lading had been issued by the defendant on 19 February 2020 under a charterparty with BP, to the order of BP or assigns. The bank had financed its client G’s purchase of the cargo by a letter of credit on 1 April 2020, with the intention that G’s buyers should pay directly to the bank on dates falling in late July and early August. On 6 April 2020, the charterparty was novated by BP to G. In late April and early May, the cargo was discharged to other vessels by STS transfer. On 7 August, BP endorsed the bill of lading to the bank.