Hyundai Merchant Marine Co Ltd v Furness Withy (Australia) Pty [2006] EWCA Civ 599 (25 January 2006)

Hyundai Merchant Marine Co Ltd v Furness Withy (Australia) Pty [2006] EWCA Civ 599 (25 January 2006)

The vessel's detention arose from its status as a first-time caller to the United States, a matter of owners' responsibility, not from charterers' trading or nomination of port. Therefore, the risk falls on owners and the vessel was off-hire under the main part of clause 85.

Citation
[2006] EWCA Civ 599
Parties
Claimant/respondent: Hyundai Merchant Marine Co Limited; Defendant/appellant: Furness Withy (Australia) PTY
Jurisdiction
England and Wales
Judgment Date
25 January 2006
Procedural Posture
Appeal / Court of Appeal (civil Division)
Outcome
appeal dismissed
Legal Topics
Time Charter, Off Hire Clause, Detention, Risk Allocation

Case Brief

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Parties

Hyundai Merchant Marine Co Limited

Claimant/respondent

Furness Withy (Australia) PTY

Defendant/appellant

Procedural Posture

Appeal / Court of Appeal (civil Division)

  1. 1 Whether vessel's detention under US security legislation falls within the off-hire clause or its proviso in the time charter
  2. 2 Allocation of risk between owners and charterers under clause 85

Ratio Decidendi

The vessel's detention arose from its status as a first-time caller to the United States, a matter of owners' responsibility, not from charterers' trading or nomination of port. Therefore, the risk falls on owners and the vessel was off-hire under the main part of clause 85.

Court Disposition

appeal dismissed

Orders

  • Appeal dismissed. Vessel was off-hire under clause 85. US$257,732.77 not payable as hire for the period of detention.