Shipbuilding Contracts - the value of Defence Club cover
Shipbuilding over recent years has shown a dramatic increase in terms of ship numbers and also the yards involved. The subsequent financial crisis of 2008 has led to a rise in the number of disputes under newbuilding contracts, as shipyards which took on a significant number of contracts find themselves
racing to meet delivery deadlines, or running into financial difficulties as credit lines dry up.
Although shipbuilding contracts are frequently based on one of a number of standard forms, in reality each contract is different with terms varying widely. The contract terms will be dependent on the yard, the type of ship involved, the financing arrangements, and the buyer's requirements for compliance
with specifications and design, quality of workmanship and delivery timing.
The attached review summarises some of the areas in which disputes can arise.1
UK Defence Club: Shipbuilding Contracts - the Value of Defence Club Cover (318 KB)
You may also be interested in:
In order to keep our Members posted with the development of the changes in those areas, the UK Club’s correspondents Huatai have kindly issued a circular to introduce the current situation of fishery farm claims and update the latest geographical extent of the major fishery farms in China.
Since it launched in 2010, the International Group’s P&I Qualification (P&IQ) programme has grown to become one of the shipping industry’s foremost professional courses. In 2020, with its international reach and network, the IG P&IQ found itself perfectly positioned to deliver its courses and exams online. This led to the greatest participation levels to date, with 657 candidates sitting P&IQ examinations in the year.
Australia: COVID-19 Update
Members are advised that effective 12:00pm, Thursday 22 July, South Australia transitioned from a 'low risk' state to a ‘medium risk’ state, advance warning of a FIC has also been given which will run in Australia from 1 August to 31 September 2021 to determine the level of compliance with the safety of navigation requirements of International Conventions and familiarity of the masters and officers with their processes for ensuring safety of navigation.
The aim of this article is to provide practical advice to both seafarers and shore side personnel, in order to prevent collisions, groundings and further difficult situations for ships.