Owners of the “Ida” purportedly chartered her brokers via Nordtrade (D2) to BFT for a St Petersburg-Izmir wood pellet voyage. On arrival, freight was outstanding. Although later settled (via Nordtrade), Owners withheld discharge pending demurrage, prompting BFT to claim the C/P. Owners settled with BFT but claimed against D2 for breach of warranty of authority. D2 was served at its registered principal Turkish office (although they did not, in fact, notice the papers for some 4 months) and, in the absence of acknowledgment of service, had default judgment (in excess of USD1m) entered against them. D2 applied to set this aside. The Court granted the application, holding the delay was not unreasonable and D2 had a real prospect of establishing their co-defendant D1 was the broker and that BFT gave actual authority to them.

“Ben Nevis” and “Kailash” were each bareboat chartered by their respective Owners (C1 and C2) for 6 year terms to D1. After about 2 years, hire ceased to be paid and Cs claimed against D1 and Guarantors D2. The Court dismissed D1’s reliance on a “Repossession Agreement” finding D1 liable for some USD46.4m and USD30m respectively. It also dismissed D2’s reliance on the 6 year term of the Guarantees, holding that it required only that the liability arose in that period, not commencement of suit.

KSY appealed a decision over the pricing term in its 2018 orange pulp supply contract with Citrosuco, whereby the price for part of the quantity was left “open” for annual agreement. KSY argued the contract was unenforceable without a fixed price. The CA disagreed, finding an implied term required payment of a reasonable or market price based on the orange juice trading market.

Claimants challenged a LMAA arbitration award, alleging apparent bias after arbitrator Mr H failed to disclose prior appointments by the Defendant’s solicitors, Reed Smith LLP, in unrelated matters on behalf of other clients. They argued this gave rise to justifiable doubts as to impartiality. The court rejected the challenge, finding no real possibility of bias and confirming that the non-disclosure was consistent with standard LMAA practice.

CAFI and GCTS replaced their original rice sale contract with a second one after Sanctions and payment issues arose. Despite this, GCTS later claimed damages under the first contract. The GAFTA Board ruled against CAFI, but the High Court found GAFTA could not ignore the second contract, so CAFI’s challenge succeeded and the Award was set aside.

Read the full judgment here.

The invasion of Ukraine in 2022 was considered as a default by the lessors of several aircraft leased to a number of Russian airlines. The lessors demanded the aircraft back, but Russian Governmment Resolution 311 prohibited their return. The lessors therefore claimed for their total loss, either under their “All Risks” or their “War Risks” policies. Butcher J found that the proximate cause of the loss was the Russian government’s restraint or detention imposed by GR 311 and that such loss was covered by the lessors

War Risks insurance.

Read the full judgment here.

Read the full judgment here.