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Bauxite Loadings - S America/AsiaMaritime cargoes of bauxite are generally carried safely and, provided proper procedures are followed, that should remain the case. However, the tragic loss in January 2015 of Bulk Jupiter, which had loaded bauxite at Kuantan in Malaysia after a period of heavy rain, serves as a stark reminder to shipowners and charterers of the potential dangers from liquefaction of these cargoes.
A time charterparty will usually allow the vessel to trade worldwide, within Institute Warranty Limits (“IWL”). This will permit the charterer to order her to ports in waters that present a risk of hull fouling if...
The Ocean Victory case illustrates how charterers' liabilities for breaching safe port warranties can be very large.  The claimant hull underwriters successfully claimed $137.7 million from charterers, which comprised $88.5 million for the loss of the vessel, wreck removal costs of $34.5 million, $12 million in SCOPIC costs pursuant to LOF 2000, and $2.7 million in lost hire.
In a recent decision, the Commercial Court held that a shipowner's refusal to approve two VLCCs which the charterer had nominated to perform STS transfer operations was unreasonable. FactsA vessel was...
Australian policy makers have a very low tolerance for pollution of the sea. This is reflected in the Commonwealth's Protection of the Sea (Prevention of Pollution from Ships) Act 1983 ("the Act") which (at Sections 9 and 10) sets out strict liability offences for oil and oily water pollution attracting maximum fines of AUD$3.4 million for individuals and AUD$17 million for corporations.
The vast majority of LNG charters are concluded on one form: "ShellLNGTime1".  Since its publication in November 2005, "ShellLNGTime1" has been used for every type of LNG carrier charter, from 20-year...
New Commonwealth laws have come into effect which extend strict liability for oil pollution to Charterers and increase penalties fortyfold. Recent amendments to the Protection of the Sea (Prevention of Pollution from...
This brief article gives some guidance as to what may constitute incompetence in contrast to negligence as derived from the existing case law.  Konstantinos Bachxevanis of Reed Smith LLP's Shipping Group uses a practical example of an on-board incident to develop understanding of these concepts.
Insolvency alone is not enough to justify termination.  The insolvency of a party, the commencement of insolvency-related proceedings or the appointment of liquidators or receivers will not on its own amount to a repudiation or a renunciation of a contract subject to English law (see for example Re Agra Bank (1867) LR 5 Eq 160). There will, therefore, be no right to terminate a charterparty because of an event of insolvency affecting an owner or charterer. That is unless, of course, such an express right is reserved in the contract.  Contributed by Reed Smith's London Shipping Group
The UK’s Bribery Act 2010 (the “Act”) came into force on 1 July 2011 and introduces a new set of criminal offences for bribery. The Act brings wide-ranging changes to the UK’s anti-corruption regime, and has extensive extra-territorial effect. A survey conducted by the City of London Corporation in 2010 identified the shipping industry as “high risk” as regards corruption, and as one of the sectors most likely to be affected by the Act.  Contributed by Reed Smith's London Shipping Group


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