Carboex SA v Louis Dreyfus Commodities Suisse SA

Carboex SA v Louis Dreyfus Commodities Suisse SA

The strike exception in clause 9 of the COA covers delay in discharging caused by congestion due to the after effects of a strike, including where the vessel arrives after the strike has ended. The arbitral tribunal erred in law by concluding otherwise, as the proper construction of the clause, supported by authority, is that such delay is excused. WIBON does not affect the construction of the exceptions clause.

Parties
Claimant/appellant: Carboex SA; Defendant/respondent: Louis Dreyfus Commodities Suisse SA
Jurisdiction
England and Wales
Judgment Date
12 May 2011
Procedural Posture
Arbitration Appeal / Judgment on Appeal Under S. 69 Arbitration Act 1996
Outcome
Appeal allowed; arbitral award set aside
Legal Topics
Demurrage, Laytime, Charterparty Interpretation, Strike Exceptions, WIBON Clauses
Arbitration Shipping Law Commercial Law Demurrage Laytime Charterparty Interpretation Strike Exceptions WIBON Clauses

Case Brief

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Parties

Carboex SA

Claimant/appellant

Louis Dreyfus Commodities Suisse SA

Defendant/respondent

Procedural Posture

Arbitration Appeal / Judgment on Appeal Under S. 69 Arbitration Act 1996

Legal Issues

  1. 1 Whether clause 9 of the COA applies to a vessel delayed by after effects of a strike which has ended
  2. 2 Whether clause 9 applies to a vessel which has arrived after the strike has ended
  3. 3 Whether the strike exception in clause 9 applies to a vessel unable to berth due to berth congestion caused by a strike

Ratio Decidendi

The strike exception in clause 9 of the COA covers delay in discharging caused by congestion due to the after effects of a strike, including where the vessel arrives after the strike has ended. The arbitral tribunal erred in law by concluding otherwise, as the proper construction of the clause, supported by authority, is that such delay is excused. WIBON does not affect the construction of the exceptions clause.

Court Disposition

Appeal allowed; arbitral award set aside

Orders

  • The tribunal’s award is set aside; consequential orders to be determined after further argument.