Sang Stone Hamoon Jonoub Co Ltd v Baoyue Shipping Co Ltd "Bao Yue" [2015] EWHC 2288 (Comm) (31 July 2015)

Sang Stone Hamoon Jonoub Co Ltd v Baoyue Shipping Co Ltd "Bao Yue" [2015] EWHC 2288 (Comm) (31 July 2015)

The claimant expressly and impliedly authorised discharge and storage of the cargo, including the creation of a warehouse lien, as a reasonable and foreseeable incident of storage; there was no denial of access or conversion, and the claimant is liable for reasonable storage charges.

Citation
[2015] EWHC 2288 (Comm)
Parties
Claimant: Sang Stone Hamoon Jonoub Co Ltd; Defendant: Baoyue Shipping Co Ltd
Jurisdiction
England and Wales
Judgment Date
31 July 2015
Procedural Posture
Commercial Court Claim for Conversion and Counterclaim for Storage Charges / Judgment After Trial
Outcome
Claim dismissed; counterclaim succeeds
Legal Topics
Conversion, Bailment, Bills of Lading, Lien, Storage Charges, Sub Bailment, Mitigation of Loss
Commercial Law Shipping Law Tort Law Conversion Bailment Bills of Lading Lien Storage Charges +2 more

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Parties

Sang Stone Hamoon Jonoub Co Ltd

Claimant

Baoyue Shipping Co Ltd

Defendant

Procedural Posture

Commercial Court Claim for Conversion and Counterclaim for Storage Charges / Judgment After Trial

Legal Issues

  1. 1 Whether the defendant shipowner converted the claimant's cargo by creating a warehouse lien without authority
  2. 2 Whether the defendant converted the cargo by denial of access
  3. 3 Whether the claimant is liable for storage charges incurred after discharge of cargo without bill of lading

Ratio Decidendi

The claimant expressly and impliedly authorised discharge and storage of the cargo, including the creation of a warehouse lien, as a reasonable and foreseeable incident of storage; there was no denial of access or conversion, and the claimant is liable for reasonable storage charges.

Court Disposition

Claim dismissed; counterclaim succeeds

Orders

  • Declaration that claimant is liable to reimburse defendant for reasonable storage charges as and when paid to TQST, amounting to US $2,146,763.11 as at 21 July 2015
  • Claimant must deliver the original bill of lading to the defendant to enable sale of the cargo