ST Shipping And Transport Pte Ltd v Space Shipping Ltd [2017] EWHC 2808 (Comm) (10 November 2017)

ST Shipping And Transport Pte Ltd v Space Shipping Ltd [2017] EWHC 2808 (Comm) (10 November 2017)

The arbitrator applied the correct legal test for causation, considering whether the employment order remained an effective cause of detention, and made a factual finding that the chain of causation was not broken. The deduction of a provisional sum for potentially saved drydocking expenses in an interim award was a...

Source-derived case information.

Citation
[2017] EWHC 2808 (Comm)
Parties
Claimant (respondent in the Arbitration): ST Shipping and Transport Pte Ltd; Defendant (claimant in the Arbitration): Space Shipping Ltd
Jurisdiction
England and Wales
Judgment Date
10 November 2017
Procedural Posture
Arbitration Appeal Under S.69 Arbitration Act 1996 / Judgment on Applications for Permission to Appeal Fourth Partial Final Award
Outcome
Both applications for permission to appeal refused.
Legal Topics
Causation in Damages, Interim Awards, Assessment of Damages, Chain of Causation, Deduction for Saved Expenses
Arbitration Shipping Law Commercial Law Causation in Damages Interim Awards Assessment of Damages Chain of Causation Deduction for Saved Expenses

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Parties

ST Shipping and Transport Pte Ltd

Claimant (respondent in the Arbitration)

Space Shipping Ltd

Defendant (claimant in the Arbitration)

Procedural Posture

Arbitration Appeal Under S.69 Arbitration Act 1996 / Judgment on Applications for Permission to Appeal Fourth Partial Final Award

Legal Issues

  1. 1 Whether the arbitrator applied the correct legal test for causation in continuing detention losses after July 2015
  2. 2 Whether the arbitrator was entitled to provisionally deduct $1.4 million for potentially saved drydocking expenses in an interim award

Ratio Decidendi

The arbitrator applied the correct legal test for causation, considering whether the employment order remained an effective cause of detention, and made a factual finding that the chain of causation was not broken. The deduction of a provisional sum for potentially saved drydocking expenses in an interim award was a proper exercise of arbitral case management, consistent with legal principles and the parties' agreement to a 'wait and see' approach.

Court Disposition

Both applications for permission to appeal refused.

Orders

  • Permission to appeal refused to charterers on causation issue.
  • Permission to appeal refused to disponent owners on deduction for drydocking expenses.