Latest updates

Tribunal of Genoa examines jurisdiction issue in pre-trial proceedings regarding court surveyor's appointment
Dardani Studio Legale
  • Italy
  • 11 September 2019

A recent Tribunal of Genoa case concerning a yacht lost during carriage examined whether the Italian courts have jurisdiction to appoint court surveyors and order survey operations to take place in Italy where the merits of a dispute are not subject to Italian jurisdiction. According to the tribunal, the fact that the merits of the dispute in question were to be decided in London did not deprive the Italian courts' jurisdiction to order inspection and survey operations on goods located in Italy.

Flag injunctions: practical alternative to ship arrests
Fenech & Fenech Advocates
  • Malta
  • 11 September 2019

Maltese law is straightforward in terms of who has a right to arrest and which claims can be secured by means of an arrest. However, while ship arrests are a powerful legal remedy for creditors, they have one major limitation: they are possible only where the targeted vessel actually enters Maltese waters. As such, the legal system has introduced the Section 37 injunction, which provides creditors with an interesting, cost-efficient remedy where a ship arrest is not possible.

Doing maritime business in Nigeria's $10 billion charter market
Akabogu & Associates
  • Nigeria
  • 21 August 2019

The general Nigerian economic landscape could be seen as challenging, but its robustness and potential make it worthwhile for parties that do their research. As the Nigerian ship charter market is estimated to be worth at least $10 billion, there is a lot of potential for interested parties to benefit.

Brexit's potential impact on shipping in Cyprus
Elias Neocleous & Co LLC
  • Cyprus
  • 21 August 2019

In an effort to minimise disruption to the shipping industry deriving from Brexit, the Shipping Deputy Ministry has undertaken a number of contingency measures. However, the ministry has emphasised that affected parties must also make their own preparations for the United Kingdom's withdrawal from the European Union and that where new authorisations, licences or certificates will be required post-Brexit, each party will be responsible for applying in good time.

How to prepare for new Incoterms
AKD
  • International
  • 31 July 2019

The International Chamber of Commerce is set to launch a new version of the Incoterms rules – the globally used, standardised set of trade terms for the international sale and delivery of goods. Although the new rules will not take effect until 1 January 2020, parties involved in the international sale and delivery of goods should use the impending introduction of the new rules as an opportunity to review their existing contracts and standard delivery terms and determine whether they are being used correctly.

Direct action, choice of law and time limitation
WSCO Advokatpartnerselskab
  • Denmark
  • 31 July 2019

The Maritime and Commercial High Court recently examined a direct action claim against a Dutch freight liability insurer in a carriage of goods by road dispute involving a bankrupt carrier and a Danish manufacturer of cigarettes. The premise relied on by the court in this matter, if not appealed, may seem ripe to undermine some insurance policies between liability insurers and international carriers, including proper law provisions and time limitation under a policy.

Suppression of Piracy and Other Maritime Offences Act 2019: a review
Akabogu & Associates
  • Nigeria
  • 31 July 2019

The president recently assented to the Suppression of Piracy and Other Maritime Offences Bill, successfully concluding almost a decade of advocacy to implement such a law in order to curb and deter sea piracy, armed robbery and other unlawful acts at sea. The new law has ended the controversy around whether the crime of sea piracy is defined in any local legislation and bestowed on the Federal High Court exclusive jurisdiction to determine matters of armed robbery and other unlawful acts at sea.

Wrongful vessel arrest in collision claim
Shearn Delamore & Co
  • Malaysia
  • 31 July 2019

In a recent case, a plaintiff claimed that the defendant's vessel had collided into its vessel. To stop the plaintiff from arresting the vessel, the defendant obtained a letter of undertaking from the London Protection and Indemnity Club. However, notwithstanding the issue of the first letter of undertaking, the plaintiff arrested the vessel. The defendant subsequently asked the court to, among other things, declare the first letter of undertaking binding on the parties and set aside the warrant of arrest.

The bunker balance – owners consider liquefied natural gas in advance of 2020
Wikborg Rein
  • International
  • 17 July 2019

Using liquefied natural gas (LNG) rather than fuel oil is one of a range of options available to owners seeking to comply with the International Maritime Organisation's 2020 regulations. Given that shipbrokers have long predicted the emergence of a two-tier shipping market with 'greener' ships commanding a premium over older, less eco-friendly vessels, what is the future for LNG bunkering and what challenges does it present?

Appellate court rules that subrogated insurers assume same rights and limitations as assureds
Kincaid | Mendes Vianna Advogados
  • Brazil
  • 17 July 2019

A recent Sao Paulo State Appellate Court case concerned a carriage of goods by sea from Port Everglades (United States) to the port of Rio de Janeiro (Brazil). The court's decision sets an important precedent in recognising that subrogation cannot be used to reinstate a right that no longer applies where a rights holder fails to observe a legal requirement. Therefore, subrogated insurers assume the same rights and limitations as assureds.

Readiness for global sulphur cap – BIMCO's new IMO 2020 clauses
Wikborg Rein
  • International
  • 10 July 2019

Most parties involved in the shipping industry will by now have a clear picture of the requirements under the International Maritime Organisation (IMO) 2020 global sulphur cap on marine fuels. Therefore, attention has turned to the steps that must be taken to put these requirements into practice. Two clauses recently introduced by the Baltic and International Maritime Council aim to address certain contractual aspects of the IMO requirements as they apply to time charterparties.

Carrier liability for loss of goods and delayed delivery
Arnecke Sibeth Dabelstein
  • Germany
  • 10 July 2019

The distinction between freight and forwarding contracts is a common subject of legal disputes in Germany, as freight forwarders are generally liable only for organisational or selection faults and can usually relieve themselves of liability if they can prove that they chose a conscientious carrier. A recent Verden Regional Court ruling on the liability of a carrier for loss of goods and delayed delivery provides useful clarity in this context.

Pleasure yacht insurance: navigating without up-to-date charts and proper voyage plan
Arnecke Sibeth Dabelstein
  • Germany
  • 03 July 2019

In a notable hull insurance case, the Celle Court of Appeal dismissed an action brought by an assured pleasure yacht owner who had been sailing on the Baltic Sea and ran aground. The case facts suggest that assureds are often unaware of the impact that outdated chart materials can have on hull insurance and liability cover.

Supreme Court precludes punitive damages for unseaworthiness claims
Wilson Elser
  • USA
  • 03 July 2019

In a landmark decision, the Supreme Court has precluded the recovery of punitive damages for unseaworthiness claims. This decision conclusively resolves a long-running split between federal appellate courts and settles a source of uncertainty in the US maritime industry. With this question resolved, vessel owners and maritime employers are better positioned to assess their exposure for personal injuries and can now arrange the necessary insurance coverages to manage the risks.

Manager's letter of undertaking – moving towards more balanced standards?
Wikborg Rein
  • International
  • 03 July 2019

Third-party ship managers are often required to issue letters of undertaking to financiers of a managed vessel on relatively unfavourable and financier-friendly terms. The Baltic and International Maritime Council's new standard ship manager's letter of undertaking, which was recently published, seeks to redress the balance and gives ship managers a more equitable set of terms, which may be used as a starting point for negotiations.

Back to formalities: recap fixture held insufficient evidence of charter contract
Dardani Studio Legale
  • Italy
  • 03 July 2019

The Tribunal of Milan recently published a judgment analysing a common occurrence in shipping matters where a contract of charter is not incorporated into an agreement duly executed by both parties, but is instead contained in a recap fixture exchanged via email. The decision is noteworthy as it reaches conclusions (significantly different from prevailing Italian case law) which deserve to be carefully considered when concluding charter parties.

Ship arrests: revisiting 'genuine and reasonable' need for security
Bowmans
  • South Africa
  • 26 June 2019

The Supreme Court of Appeal recently took a hard line regarding an arresting party and delivered a salutary message to pay close attention to establishing a plausible link between the factors justifying a 'genuine and reasonable' need for security and the particular facts and circumstances of the party against which an arrest order is sought. The judgment is a cautionary tale for arresting parties that seek to rely on generalised allegations.

FDFA opens consultation procedure on CLNI 2012
ThomannFischer
  • Switzerland
  • 19 June 2019

The Federal Department of Foreign Affairs (FDFA) recently opened a consultation procedure on the Strasbourg Convention on the Limitation of Liability in Inland Navigation 2012 and its implementation (ie, an amendment to the Swiss Maritime Navigation Act). The FDFA's proposal has been welcomed and is considered a necessary step towards Switzerland ensuring a level playing field for the inland navigation industry.

Norway prepares for ratification of Nairobi Wreck Removal Convention
Wikborg Rein
  • Norway
  • 19 June 2019

Parliament recently decided that Norway will ratify the Nairobi Wreck Removal Convention and that the convention will be given effect not only in Norway's exclusive economic zone, but also in its territorial waters. Parliament also adopted legislation to implement the convention into Norwegian law once ratified. The legislation will introduce a dual system where the national rules on wreck removal will continue to be in effect and the convention rules will be introduced as a parallel set of rules.

Quiet enjoyment letters – benefit to lenders?
Wikborg Rein
  • International
  • 19 June 2019

Quiet enjoyment letters are often used where a ship, rig or other unit being financed is subject to a long-term charterparty to govern the interrelationship between the owner, its financiers and the charterer. They provide the charterer with a right to the undisturbed use and enjoyment of the ship, independent of whether the owner in its capacity as borrower is in default of its obligations towards its lender under the loan agreement. But do quiet enjoyment letters have any benefit for lenders?