Stemcor (A/sia) Pty Ltd v C.V. Scheepvaartonderneming Ankergracht [2005] FCA 1808

Stemcor (A/sia) Pty Ltd v C.V. Scheepvaartonderneming Ankergracht [2005] FCA 1808

The carriers did not exercise due diligence to make the vessels seaworthy or to make the holds fit and safe for the carriage and preservation of the coils because the vessels did not have dehumidification systems or heating systems installed and failed to sufficiently prevent or remove water, resulting in...

Source-derived case information.

Parties
First Plaintiff: Stemcor (A/sia) Pty Ltd; Second Plaintiff: Tsuda Corporation; Defendant: C.V. Scheepvaartonderneming Ankergracht; Defendant: C.V. Scheepvaartonderneming Archangelgracht
Jurisdiction
Australia
Judgment Date
16 December 2005
Procedural Posture
Admiralty/shipping Claim / Final Judgment After Trial
Outcome
Judgment for the plaintiffs
Legal Topics
Carriage of Goods by Sea, Sea Carriage of Goods, Cargo Damage, Insufficiency of Packing, Seaworthiness, Carrier's Obligations, Measure of Damages
Maritime Law Carriage of Goods by Sea Sea Carriage of Goods Cargo Damage Insufficiency of Packing Seaworthiness Carrier's Obligations Measure of Damages

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Summary, issues, holding and outcome

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Parties

Stemcor (A/sia) Pty Ltd

First Plaintiff

Tsuda Corporation

Second Plaintiff

C.V. Scheepvaartonderneming Ankergracht

Defendant

C.V. Scheepvaartonderneming Archangelgracht

Defendant

Procedural Posture

Admiralty/shipping Claim / Final Judgment After Trial

Legal Issues

  1. 1 Whether corrosion damage to coils was due to insufficiency of packaging by shipper or failure by carrier to exercise due diligence
  2. 2 Whether carrier exercised due diligence to make vessel seaworthy and holds fit and safe
  3. 3 Whether carrier properly and carefully carried, kept and cared for the coils

Ratio Decidendi

The carriers did not exercise due diligence to make the vessels seaworthy or to make the holds fit and safe for the carriage and preservation of the coils because the vessels did not have dehumidification systems or heating systems installed and failed to sufficiently prevent or remove water, resulting in condensation and corrosion damage. Packaging was consistent with industry standard and not insufficient. The carriers are liable for the corrosion damage to the coils.

Court Disposition

Judgment for the plaintiffs

Orders

  • Verdict and judgment for the plaintiffs in the sum of $513,947.91 (NSD1245/2002).
  • Defendant to pay plaintiffs' costs of the action as agreed or assessed (NSD1245/2002), subject to application to vary.