NAVALMAR UK LTD V KALE MADEN HAMMADDELER SANAYI VE TICART AS [2017] EWHC 116 (COMM) – The MV “ARUNDEL CASTLE”

In this case the Commercial Court considered the meaning of “within port limits” in the context of a charterparty on an amended Gencon 94 form which provided that:

“[Notice of readiness] to be tendered at both ends even by cable/telex/telefax on vessels arrival at load/disch ports within port limits. The [notice of readiness] not to be tendered before commencement of laydays.”

The underlying decision

In the arbitration which was subject to appeal, the arbitrators had held that as the Vessel had tendered NOR outside the port limits as identified on an Admiralty chart of the port, the NOR was invalid.

The arguments

Owners argued that any area within which vessels are customarily asked to wait by the port authorities and over which the port authorities exercise authority or control over the movement of shipping is within port limits. Alternatively, Owners argued that any place where vessels load or discharge cargo, including places outside the legal, administrative or fiscal area where vessels are “ordered to wait for their turn no matter the distance from that area”, is within port limits.

Continue Reading Within Port Limits