MV 'PrivGulf' v ING Bank N.V and Others (A72/2015) [2016] ZAKZDHC 23 (20 July 2016)

MV 'PrivGulf' v ING Bank N.V and Others (A72/2015) [2016] ZAKZDHC 23 (20 July 2016)

The court found that the applicant had not established any common question or issue between itself and Sinopec that would arise in the action in rem, as Sinopec's claim was not contractual and Sinopec expressly disavowed any intention to pursue proceedings against MV 'Privgulf'. The demands from Sinopec related to conversion or tort and were addressed to Privmed Shipping Limited, not MV 'Privgulf'. Therefore, the rule nisi for Sinopec's joinder was discharged with costs. In contrast, the applicant faced real competing claims for payment for the same bunker fuel from ING Bank and Great American Insurance Company, and Great American Insurance had not disavowed any potential claim against...

Citation
[2016] ZAKZDHC 23
Parties
Applicant: MV 'PrivGulf'; Respondent: ING Bank N.V; Respondent: Aegean Marine Petroleum SA; Respondent: Sinopec Zhejiang Zhoushan Petroleum Company Limited; Respondent: Deutsche Bank AG, New York Branch; Respondent: Great American Insurance Company
Court
Kwazulu-Natal High Court, Durban
Jurisdiction
South Africa
Judgment Date
20 July 2016
Case Number
A72/2015
Procedural Posture
Admiralty Joinder Application / Order on Joinder Applications Following Rule Nisi
Outcome
Joinder of Sinopec as a party to the action in rem is refused and the rule nisi discharged with costs. Joinder of Great American Insurance Company as a party to the action in rem is confirmed, with costs reserved for determination by the trial court.
Judges
Koen
Legal Topics
Joinder of Parties, Maritime Claims, Action in Rem, Assignment of Claims, Conversion, Competing Jurisdictions
Admiralty and Maritime Joinder of Parties Maritime Claims Action in Rem Assignment of Claims Conversion Competing Jurisdictions

Case Brief

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Parties

MV 'PrivGulf'

Applicant

ING Bank N.V

Respondent

Aegean Marine Petroleum SA

Respondent

Sinopec Zhejiang Zhoushan Petroleum Company Limited

Respondent

Deutsche Bank AG, New York Branch

Respondent

Great American Insurance Company

Respondent

Procedural Posture

Admiralty Joinder Application / Order on Joinder Applications Following Rule Nisi

Legal Issues

  1. 1 Whether Sinopec and Great American Insurance Company should be joined as parties to the action in rem under s 5(1) of the Admiralty Jurisdiction Regulation Act.
  2. 2 Whether there are common questions or issues between the applicant and the parties sought to be joined that require determination binding on all.
  3. 3 Whether the applicant faces competing claims for payment in respect of the same bunker fuel deliveries.

Ratio Decidendi

The court found that the applicant had not established any common question or issue between itself and Sinopec that would arise in the action in rem, as Sinopec's claim was not contractual and Sinopec expressly disavowed any intention to pursue proceedings against MV 'Privgulf'. The demands from Sinopec related to conversion or tort and were addressed to Privmed Shipping Limited, not MV 'Privgulf'. Therefore, the rule nisi for Sinopec's joinder was discharged with costs. In contrast, the applicant faced real competing claims for payment for the same bunker fuel from ING Bank and Great American Insurance Company, and Great American Insurance had not disavowed any potential claim against...

Court Disposition

Joinder of Sinopec as a party to the action in rem is refused and the rule nisi discharged with costs. Joinder of Great American Insurance Company as a party to the action in rem is confirmed, with costs reserved for determination by the trial court.

Orders

  • The rule nisi issued on 21 September 2015 for the joinder of Sinopec is discharged in respect of the Third Respondent with costs.
  • The rule nisi issued on 12 January 2016 for the joinder of Great American Insurance Company as a party in the action in rem under case no A72/2015 is confirmed. Costs relating to that joinder are reserved for determination by the court hearing the action in rem.