Source: All England Reporter
Publisher Citation: [2007] All ER (D) 32 (Sep)
Neutral Citation: [2007] EWCA Civ 901
Court: Court of Appeal, Civil Division
Judge:

Ward, Tuckey and Rix LJJ
Representation Simon Croall (instructed by Bentley Stokes & Lowless) for the owners.
  Dominic Kendrick QC (instructed by Swinnerton Moore) for the charterers.
Judgment Dates: 6 September 2007

Catchwords

Shipping - Time charterparty - Last voyage - Late redelivery - Charters giving notice of redelivery - Owners fixing vessel for new charter - Vessel redelivered late after expiry of laycan period under new charter - Owners negotiating extension of cancellation date with new charterers on basis of reduction of daily rate under new charter - Whether charterers liable for owners' loss calculated on basis of difference between original and reduced daily rate under new charter - Third party transaction - Practicality.

The Case

Shipping Time charterparty. Where a charterer was liable to pay damages to an owner for redelivery of a chartered vessel, those damages were not limited by the principles of remoteness to the difference between the charter rate and the market rate at the time of redelivery (if the latter was higher than the charter rate) over the length of the overrun period, namely, the due redelivery date until actual redelivery; but rather, the owner could claim damages based upon the loss of his next fixture.

Practice Areas

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