CASE LAW STUDY OF DEMURRAGE CLAIMS: CONCERNING DISPUTES OF INCHOATE NOTICES

Document Type : Research Paper

Authors

1 Assistant Professor of Law Department, University of Tehran, Iran

2 PhD Candidate in Oil and Gas Law, Faculty of Law and Political Sciences, University of Tehran, Iran

Abstract

Demurrage clause is stipulated in voyage charter parties so that ships and oil tankers would not be detained. Demurrage is a kind of liquidated damage which sets a penalty against charterer of the ship in the case that he detains the ship or tanker for more than the agreed lay time for loading or unloading the ship or tanker. It is common and usual that parties of this kind of charter party would determine a particular situation, stipulated in contract, for sending a notice of readiness, from owner of the ship to the charterer, or whom he introduces to the owner. Therefore, owner, or captain of the ship as owner’s deputy, is obliged to send such notice under such circumstances. Sending notice of readiness before reaching the agreed circumstances has been a cause for a lot of demurrage claims. In this article we have examined leading cases on this subject which have made changes to the jurisprudence of this issue. 

Keywords

References

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    Cases:

    1. El Oldendorff & Co GmbH v tradax Export SA (The Johanna Oldendorff) [193] 2 Lloyd's Rep. 285.
    2. Glencore Grain Ltd v. Flacker Shipping Ltd (The Happy Day) [2001] 2 Lloyd’s Rep. 487
    3.  Government of Ceylon v. Societj Franco-Tunisienne d'Armement –Tunis (The Massalia No 2) [1960] 2 Lloyd’s Rep. 352
    4. Tharsis Sulphur & Copper Mining Co. Ltd. V. Moral Brothers Co [1891] 2 Q.B. 647 (C.A.)
    5. Transgrain Shipping B.V v. Global Transporte Oceanico S.A. (The Mexico 1) [1988] 2 Lloyd’s Rep. 149; [1990] 1 Lloyd’s Rep. 507
    6. Surrey Shipping Co Ltd v. Compagnie Continetale (France) S.A. (The Shackleford) [1978] 2 Lloyd’s Rep. 154
Law Quarterly
Volume 48, Issue 3
October 2018
Pages 549-565

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