Lukoil Asia Pacific Pte Ltd v Ocean Tankers (Pte) Ltd (Ocean Neptune)

A claim for time lost waiting for orders under LITASCO Clause 4 is a demurrage claim within the meaning of LITASCO Clause 2B. Therefore, such claims are subject to the same documentary and time bar requirements as other demurrage claims. The Tribunal erred in holding otherwise, and the appeal is allowed.

Parties: Claimant: LUKOIL ASIA PACIFIC PTE LIMITED; Defendant: OCEAN TANKERS (PTE) LIMITED
Jurisdiction: England and Wales
Judgment Date: 02 February 2018
Procedural Posture: Commercial Arbitration Appeal / Judgment on Appeal From Arbitral Award
Outcome: Appeal allowed
Legal Topics: Demurrage, Charterparty Interpretation, Time Bar Clauses, Supporting Documentation Requirements

Commercial Law Arbitration Shipping Law Demurrage Charterparty Interpretation Time Bar Clauses Supporting Documentation Requirements

Case Brief

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Parties

LUKOIL ASIA PACIFIC PTE LIMITED

Claimant

OCEAN TANKERS (PTE) LIMITED

Defendant

Procedural Posture

Commercial Arbitration Appeal / Judgment on Appeal From Arbitral Award

Legal Issues

1 Whether a claim for time lost waiting for orders under LITASCO Clause 4 is a 'demurrage claim' subject to the documentary and time bar requirements of LITASCO Clause 2B
2 Proper construction of the charterparty and incorporated clauses regarding demurrage and supporting documentation

Ratio Decidendi

Court Disposition

Appeal allowed

Orders

The arbitral award is set aside to the extent inconsistent with this judgment. Further relief to be determined after hearing the parties.