Charters of Ships
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The database contains 24 case summaries relating to Charters of Ships. The summaries are sorted in reverse date order with 20 summaries per page. If there are more than 20 summaries, use the navigation links at the bottom of the page.
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Charters - Brokerage Fee
Spellacy v. Marine Management Inc., 1998 No.4141, (Nfld. S.C.)
The issue in this case was the brokerage fee to which the Plaintiff was entitled. The Plaintiff had negotiated a two year charter of a tug at $1,100.00 per day with an option to purchase for $900,000.00. The option to purchase was exercised. The Plaintiff argued that he was entitled to a 5% commission on the basis that he was acting for both parties to the transaction and, pursuant to industry practice, was therefore entitled to a double fee. The Court held, however, that he acted only for the owner of the tug and was therefore only entitled to a fee of 2.5% of the sum of the total charter payments and the purchase price.
Charter party - Cancellation - right to damages
Melsa International Inc. v. Adecon Shipping Lines Inc. et.al., 1997 CanLII 5001
This was an application by the defendant for summary judgment dismissing the Plaintiff's action. The Plaintiff's action was for breach of a charter-party agreement. The Plaintiff and Defendant had entered into a charter-party agreement in the Gencon form. The Defendant was not able to meet the agreed upon loading date and, as a consequence, the Plaintiff exercised its right to cancel the charter-party and found another vessel to carry the cargo. The Plaintiff claimed the difference in the freight payable under the two charter parties. The Defendant argued that pursuant to the charter-party the Plaintiff's remedy was to cancel the charter and that it had no right to claim damages. The Court reviewed the authorities and noted that a charterer who cancels a charter-party has a claim in damages if the failure of the ship to arrive by the cancelling date was a result of a breach on the part of the shipowner of his obligation to load by a particular date. In result, the Court found that there was a genuine issue for trial and dismissed the motion for summary judgment.
Charter Hire- Demurrage - Set-Off
Halla Merchant Marine Co. Ltd. v. The "Lok Maheshwari" et. al., 1997 No. T-279-96 (F.C.T.D.)
This was an application for summary judgment by the disponent owner of the Defendant ship against the charterer for charter hire. The charterer defended the application on the grounds that it had a right of set off in respect of a claim for demurrage. The Court held that there was no valid right of set off because the hire claim was for a different time period than the demurrage claim. The disponent owner was not, however, completely successful. The Court held that there was a genuine issue for trial in respect of some of the periods for which hire was claimed.
Stays of Proceedings - Arbitration Clause - Charter Party
Arbella S.A. v. The "Aghia Markella", 94 F.T.R. 229
The subject matter of this dispute was whether the Defendant had breached a charter party when it failed to supply the ship on the date specified. The reason the Defendant could not supply the ship is that it had been detained by Canadian Coast Guard. The Plaintiff argued that the arbitration clause was inoperative because, at the time it was entered into, the parties did not contemplate that the dispute would relate to Canadian Coast Guard. The Court disagreed and referred the matter to arbitration in London.