THE SPARTI

THE SPARTI

Maritime lien for seafarers' wages is a personal privilege incapable of voluntary transfer by assignment (legal or equitable); therefore the Assignee did not acquire the crew's maritime lien and ranks behind the mortgagee; consequently the mortgagee (Bank) has priority to the fund in court.

Citation
THE SPARTI
Parties
Plaintiff (mortgagee): Macedonia Thrace Bank S.A.; Plaintiff (assignee): Anna Marine Concern (PVT) Ltd.; Plaintiffs (crew): T.R.F. Ponahenedige; D.C.J. Pattiyage; M.E.U. Dharmasena; S.M.F. Maddumage; Victor Sinnadurai; S. Nanayakkara; P.F. Ichachampulige; R. Ratnasingham; S.W.R. Prasantha Silva; S.D. Malapage; A.K. Dewamuni; R.P.G. Manamarakalage; S.P.F. Arumapurage; A.N.N.K.S. Singapuli; M.R.S. Cooray; M.H.M. Rila; R.A.D. Edward; K.W.S.K. Fonseka; M.F. Hamza; I.A.N. S. Eathige; S. Periyasamy; Petros Petrou; Suraweera Anil; Defendants: The Owners of the ship SPARTI
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
27 July 2000
Case Number
HCAJ269/1998
Procedural Posture
Admiralty Action in Rem / Judgment on Priority Dispute Following Sale of Vessel Proceeds
Outcome
Judgment for Macedonia Thrace Bank S.A.; Assignee's claim does not outrank mortgagee
Legal Topics
Maritime Lien, Assignability, Priority of Claims, Seafarers' Wages, Subrogation, Assignment
Source Language
EN
Admiralty Maritime Law Contract Statutory Interpretation Maritime Lien Assignability Priority of Claims Seafarers' Wages +2 more

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Parties

Macedonia Thrace Bank S.A.

Plaintiff (mortgagee)

Anna Marine Concern (PVT) Ltd.

Plaintiff (assignee)

T.R.F. Ponahenedige; D.C.J. Pattiyage; M.E.U. Dharmasena; S.M.F. Maddumage; Victor Sinnadurai; S. Nanayakkara; P.F. Ichachampulige; R. Ratnasingham; S.W.R. Prasantha Silva; S.D. Malapage; A.K. Dewamuni; R.P.G. Manamarakalage; S.P.F. Arumapurage; A.N.N.K.S. Singapuli; M.R.S. Cooray; M.H.M. Rila; R.A.D. Edward; K.W.S.K. Fonseka; M.F. Hamza; I.A.N. S. Eathige; S. Periyasamy; Petros Petrou; Suraweera Anil

Plaintiffs (crew)

The Owners of the ship SPARTI

Defendants

Procedural Posture

Admiralty Action in Rem / Judgment on Priority Dispute Following Sale of Vessel Proceeds

Legal Issues

  1. 1 Whether maritime lien for seafarers' wages is assignable
  2. 2 Whether Section 93(1) Merchant Shipping (Seafarers) Ordinance prohibits the assignment and renders any assignment void

Ratio Decidendi

Maritime lien for seafarers' wages is a personal privilege incapable of voluntary transfer by assignment (legal or equitable); therefore the Assignee did not acquire the crew's maritime lien and ranks behind the mortgagee; consequently the mortgagee (Bank) has priority to the fund in court.

Court Disposition

Judgment for Macedonia Thrace Bank S.A.; Assignee's claim does not outrank mortgagee

Orders

  • Order payment out of the fund in Court to Macedonia Thrace Bank S.A.
  • Bank awarded costs of the hearing