Lawrence Graham Urges Swift Action On Problem Deals

Thursday, July 05, 2001
Lawrence Graham says shipping companies caught up in disputes involving insolvency and receivership need not come away from the table empty-handed, provided the dispute is handled correctly. In the latest issue of its Lawgram newsletter, Lawrence Graham explains that it was recently called in to advise on the legal aspects of a dispute involving a trawler being built at Romania's Manglia yard. The yard was hit by labour disputes, and the company which placed the order for the vessel missed its repayment to the bank. There was a dispute about payment guarantees, a late-delivery claim by the Scandinavian end-buyer, a claim by the yard for outstanding construction bills, and an argument over an advance VAT guarantee paid to the Romanian authorities. The dispute was settled quickly, despite the fact that it involved five different jurisdictions, three key languages, and several corporate and financial disciplines. Lawrence Graham partner Mike Lax says, "Even business deals with seemingly cast-iron financial guarantees should be closely monitored from the start. Once it becomes clear that there is a problem, immediate action should be taken to identify and manage the risk of financial loss. And careful consideration should be given to the choice of solution. While in many cases it may be more straightforward to abandon the original deal, it might be better to simply restructure the arrangement. It can be easier to tie up existing loose ends than risk creating new ones."
Maritime Reporter March 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Legal

Ex-BP Employee Settles Insider-trading Oil Spill Case

A former 20-year veteran of BP plc who oversaw the company's cleanup efforts from the Deepwater Horizon oil spill will pay more than $224,000 to settle civil charges

Somali Pirate Sentenced to 12 Years by German Court

A German court sentenced a Somali asylum-seeker to 12 years in jail on Thursday, for his involvement in the pirate hijacking of a tanker in the Indian Ocean in 2010.

DHL Expects Immunity in Price Fixing Investigation

Deutsche Post expects its DHL forwarding business to be granted immunity from prosecution and fines by Singapore antitrust authorities, who are investigating 11 companies for alleged price fixing,

Offshore

Ex-BP Employee Settles Insider-trading Oil Spill Case

A former 20-year veteran of BP plc who oversaw the company's cleanup efforts from the Deepwater Horizon oil spill will pay more than $224,000 to settle civil charges

Offshore Service Vessels Design Innovation

It could be argued that no other sector of the maritime market has experienced a design innovation revolution quite like the Offshore Service Vessel (OSV) market.

Offshore: Seacor Raises the Bar Again

Long acknowledged as a firm to watch in U.S. crewboat and fast supply boat innovation, Seacor Marine will be attracting industry attention once again when its latest

 
 
Maritime Security Naval Architecture Navigation Offshore Oil Pipelines Port Authority Ship Electronics Ship Repair Ship Simulators Winch
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: 0.0880 sec (11 req/sec)