Firm Warns on Tanker Traders' Tricks

Tuesday, March 14, 2006
London law firm Lawrence Graham says owners chartering out tankers should fight to keep additional early loading clauses out of the charter party or specifically query each charterer's instruction to clarify laytime issues. The warning follows a High Court decision which Lawrence Graham says places owners at a disadvantage. Writing in the March issue of Lawrence Graham's newsletter, Shipping Lawgram, Stuart Dench, a member of the shipping law team, says, "The charterer, a major trader, uses its commercial muscle to modify a standard charter party to the owner's disadvantage. When it comes to a dispute over interpretation of the additional clauses, the owner can usually rely on arbitrators making a sensible commercial decision. If such a dispute goes to the High Court however, sometimes you end up with a result that flies in the face of commercial reality. Such a case has happened recently, in a dispute with Vitol, the major oil trader. Lawrence Graham was not involved in this dispute but has successfully defeated similar claims by Vitol in London arbitration on the same Vitol clauses. Unfortunately, future arbitrators will now be bound by this court decision, unless it is successfully appealed or the facts of future cases are distinguishable."
Maritime Reporter April 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Tanker Trends

New Tanker Designs Feature Reduced Ballast Capacity

‘Clear Advantage’ tanker design series is reported to reduce ballast requirements by 40%. Ready to be built, the designs combine operational and environmental performance

Stena Bulk Charters Out LNG Carrier

Stena Bulk has signed an agreement covering the charter of the LNG carrier Stena Blue Sky for the North West Shelf Project in Australia. The duration of the

Liner Service Reliability Jumps to 64%

According to Drewry Supply Chain Advisors, liner shipping service reliability on the three East-West trades showed an aggregate on-time performance of 64% in March - a five-month high.

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Naval Architecture Navigation Offshore Oil Port Authority Salvage Ship Repair Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1114 sec (9 req/sec)