Wilful, reckless and uninsurable?

Was it wilful? Was it misconduct? The recent Canadian Supreme Court Decision in Peracomo Inc and Others v TELUS Communications Co and Others (The Realice) restores order on the limitation issue: the Supreme Court reversed the Court of Appeal’s decision to break limitation on the basis that Mr Vallée had not had the requisite intent to cause the damage that resulted (“recklessly and with knowledge that such loss would probably result”).

Liability, Regulation

The Rena – still incurring costs

When do freight costs become payable? The MV Rena disaster is one of the most significant and worst maritime environmental disasters for New Zealand. On 5 October 2011 the cargo ship grounded on the Astrolabe Reef in the Bay of Plenty causing huge losses both environmentally and economically. The environmental clean-up cost alone was approximately NZ$47 million. Some two and a half years later there are still unresolved issues and losses resulting from Rena’s grounding.

Carriage of Goods, Pollution & Salvage, Contracts

Recent corrections to the Rotterdam Rules

The Rotterdam Rules have recently been corrected by the UN Secretary-General, acting in his capacity as depository of the Convention.1 The corrections deal with a number of drafting mistakes in performing party provisions of the Convention. This article evaluates the relevant changes, with a view to discuss whether they are satisfactory.2

Regulation

Electronic bills of lading – can it happen?

The wonders of electronic technology have dynamically entered every aspect of our lives. Shipping has seen a shift in operational modalities. New on-board systems, emails between ships and on-shore offices, and on-board mobile phones with myriad applications are only a few examples of enabling technology.

Bills of Lading, Practice and Policy

Assuranceforeningen Gard Gjensidig v The International Oil Pollution Compensation Fund [2014] EWHC 1394 (Comm)

Oil pollution – P&I Club – International Oil Pollution Convention Fund – Freezing injunction – Fund’s immunity from freezing injunction

Pollution & Salvage, Regulation

Fulton Shipping Inc of Panama v Globalia Business Travel SAU (formerly Travelplan SAU) of Spain (The “New Flamenco”) [2014] EWHC 1547 (Comm)

Damages – Charterparty – Early redelivery of vessel permitting profitable sale – Whether credit should be given

Shipping, Contracts

Law Commissions’ reform proposals on marine and commercial insurance – “yay” or “nay”?

In April 2013, a symposium organised by the Institute of International Shipping and Trade Law, Swansea University, on the recent Law Commissions’ reform proposals on business insurance, shed some light on the views of the main stakeholders in the market, and what direction the Law Commissions are likely to take.

Commercial, Insurance, Regulation

P&I Clubs and competition law

In August 2010 (IP/10/1072), the Commission initiated a market investigation with shipowners, brokers and commercial insurers on the basis of Regulation (EC) No 1/2003 and Commission Regulation (EC) No 773/2004. The object of scrutiny of the investigation were certain provisions accompanying claim-sharing and joint reinsurance agreements of P&I Clubs in the marine insurance sector.

Insurance, Regulation

Mar-Train Heavy Haulage Ltd v Shipping.Dk Chartering A/S (t/a Franck & Tobiesen A/S) and Others [2014] EWHC 355 (Comm)

Subcontracting jurisdiction

Freight forwarding framework agreement – Subcontractors – Agency – Unilateral consent to jurisdiction – Brussels I Regulation (EC) No 44/2001, article 23

Contracts, Practice and Policy, Jurisdiction, Regulation

Glencore Energy UK Ltd v Cirrus Oil Services Ltd [2014] EWHC 87 (Comm)

Sale of goods – Contract formation – “Firm offer” – Email responding “good news”

Sale of Goods, Contracts

Hasan v Shell International Shipping Services (Pte) Ltd and Others [2014] UK EAT/0242/13/SM

Employment – Seafarer employed on ship registered abroad – Whether jurisdiction to hear unfair dismissal, discrimination and breach of contract claims.

Shipping, Practice and Policy, Jurisdiction

Stellar Ocean Transport LLC v Owners and/or Demise Charterers of the Ship or Vessel “Ruby Star” [2014] HKCFI 121

Admiralty practice – Application for judgment in default – Failure to acknowledge service – Application to set aside – Jurisdiction in rem

Practice and Policy