Insight
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The SCMA polishes its rules to make Singapore arbitration more user-friendly
INSIGHT14 DEC 2021
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The Singapore Chamber of Maritime Arbitration (SCMA) is an independent arbitration institution with a dispute resolution framework for maritime and international trade. The SCMA has strived to respond to the needs to the industry by offering a panel of arbitrators with diverse commercial, technical, and legal backgrounds and ethnicities and including a significant number of women. The SCMA has now launched the 4th edition of the SCMA Rules which will apply in the new year.
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End of sea passage for “CMA CGM LIBRA”: UK Supreme Court upholds lower courts’ decisions
INSIGHT07 DEC 2021
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The long-awaited judgment from the UK Supreme Court in the “CMA CGM LIBRA” case was handed down on 10 November 2021, in which the 5-member panel of distinguished judges upheld the lower courts’ decisions that the vessel’s defective passage plan rendered the vessel unseaworthy. We expect that the decision will impact evidence collection and retention in general average and cargo claim litigation.
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The Eternal Bliss – Appellate decision clarifies the meaning of demurrage
INSIGHT02 DEC 2021
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Updated 15 September 2022
When negotiating a voyage charterparty the parties may not give much thought to the precise legal meaning of the word “demurrage”. If pressed to explain what it covers, one party might say “it's payment for time used by the charterer after laytime has finished”. If they then looked at a law book on the point, they might have added “it's liquidated damages for the delay”. That is right, however, it is highly unlikely that either party would go on to consider the question “but what damages does it liquidate?”.
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After COP 26 – where are we with decarbonisation of shipping?
INSIGHT25 NOV 2021
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International shipping emits 2-3 per cent of global GHG emissions whilst transporting close to 80 per cent of global trade by volume. The IMO target for reduction of GHG emissions from shipping is a 50 per cent reduction from a 2008 baseline by 2050. Many in the industry see this as too little, too late. The International Chamber of Shipping has proposed a net zero target for 2050. Zero -emission fuels and vessels must be deployed at scale over the next decade to achieve carbon neutrality in the shipping segment by 2050. This need is behind the “Green Shipping Corridor” initiative proposed by the Getting to Zero Coalition.
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Anchoring awareness revisited
INSIGHT18 NOV 2021
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Port Authorities today, most likely require lost anchors to be found and removed, thereby resulting in a “wreck removal” case. The more serious and very costly cases occur when dragging anchors leads to collisions, groundings, damage to subsea -cables and -pipelines, or pollution. Ship operators, Masters and crew need to be aware of the risks involved and thoroughly assess the limitations of a vessels’ anchoring equipment. Senior Loss Prevention Executive Jarle Fosen recently shared Gard’s experience and recommendations at the DNV sponsored webinar co-hosted by Gard and The Swedish Club.
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Pre-load steel surveys – recommended only for finished steel products
INSIGHT11 NOV 2021
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For our mutual Members, Gard covers the cost of pre-load steel surveys (after any contribution from charterers). Only finished steel cargos justify the costs. We outline in this article the type of cargo that is covered by the pre-load recommendation.
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Clearing of shore pipelines - a final step in cargo loading operations
INSIGHT03 NOV 2021
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Over pressurization of vessel tanks when shore pipelines are cleared can cause physical distortion and even rupture of the tanks. Overfill of tanks during pipeline clearing can also result in pollution or personal injury when product escapes through the pressure vacuum valve. Pre-planning, training and communication between ship and shore reduce these risks.
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The third pillar: a contractual architecture for maritime decarbonisation
INSIGHT20 OCT 2021
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In the run up to the UN climate conference – “COP26” in Glasgow, we are pleased to share guest author - Haris Zografakis’ thoughts on the need for a new contractual structure in shipping to immediately reduce GHG emissions rather than simply waiting for regulation. Our guest author explains why climate activist Greta Thunberg would hate demurrage and would not be too keen on privity of contract either when the climate crisis is here, and solutions are needed now.
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Draft surveys – a critical tool to defend dry bulk cargo shortage claims
INSIGHT14 OCT 2021
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Draft surveys of bulk cargoes are a means of checking that the shipper's figures inserted in the bill of lading are correct. The receiver has paid for the quantity stated in the bill and that figure is prima facie or even conclusive evidence that the amount stated was loaded aboard. A draft survey may be the best evidence to refute claims for shortage, so we recommend that members routinely order draft surveys for dry bulk cargo.
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Mental Health in an Unequal World
INSIGHT10 OCT 2021
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The theme for World Mental Health Day 2021 is ‘Mental Health in an Unequal World’. This theme was chosen by a global vote including members of the World Federation for Mental Health. It was chosen because of widening health, economic and social inequalities in the world we live in.
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Container Shipping: Winter is coming!
INSIGHT07 OCT 2021
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Container shipping has been a roller coaster ride during the pandemic. Some call it a shipping crisis; some see it as a record-breaking good market. The turbulent market comes at a cost, and now is the time to exercise diligence.
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Carriage of containers on bulk carriers
INSIGHT05 OCT 2021
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Are conventional bulk carriers suitable to carry containers? This question has been raised by several industry bodies in recent weeks and in this article we will look at the technical and legal implications of such conversions.
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Seafarers at the core of shipping's future
INSIGHT30 SEP 2021
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Today, 30 September 2021, we join with IMO and the global maritime community to commemorate the annual World Maritime Day, with a focus on this year's theme: "Seafarers: At the core of shipping's future".
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Bangladesh customs practice for assessing shortage of liquid bulk cargo now aligned with India
INSIGHT30 SEP 2021
The Appellate Division of Bangladesh Supreme Court upholds the decision of the High Court declaring penalties imposed by Customs Authorities on the basis of short landing in shore tanks unlawful and allowing 1% transit loss.
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Gard against conflict: treating Members fairly
INSIGHT23 SEP 2021
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The handling of conflict cases tends to be a sensitive subject and our recent webinar gave the audience a “fly on the wall” experience of the handling of such cases in real life. Through telephone conversations between the members (owners, charterers and sub-charterers), each member and their claims handler, and the claims handlers amongst themselves the audience was able to follow the case as it evolved.
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Incident hot spots - a global overview of navigation incidents
INSIGHT07 SEP 2021
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In a navigation incident, the first line of inquiry would normally cover the bridge watchkeepers. While the human element plays a significant role in these incidents, it is perhaps worth asking, what if some geographic areas are more prone to navigation incidents than others?
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Introducing Jessie Elizabeth Shifalo, this year’s winner of Gard co-sponsored writing competition
INSIGHT23 AUG 2021
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For the last six years, Gard (North America) has been a co-sponsor and a finalist judge in the annual American Bar Association Admiralty and Maritime Law Student Writing Competition, which solicits written articles on marine law topics from law students throughout the United States.
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Good news for Norwegian Cruise Lines – Passengers can be required to show documentation of COVID-19 vaccination
INSIGHT16 AUG 2021
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Norwegian Cruise Lines succeeded in the US District Court in enjoining the application of a Florida statute prohibiting Florida businesses from requiring patrons to document they have been vaccinated as a condition of service.
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Taking aim: reaching carbon emission reduction targets
INSIGHT12 AUG 2021
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At our recent webinars, special guest Prashanth Athipar, the Principal for Sustainability and Maritime Supply Chain Excellence at BHP, and speakers from Gard’s Charterers & Traders and Loss Prevention teams came together to discuss how GHG emissions reduction targets are being approached by regulators and the maritime industry. In this article, we follow up on some of the questions put to them during the webinars.
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Soya Bean claims in China - Wang Jing reports a positive outcome in appellate decision
INSIGHT05 AUG 2021
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Since the China-US trade war, China’s imports of soybeans from South America have been rising. In the meantime, Wang Jing & Co. has witnessed an increase in substantial soybean damage claims in recent years, where Chinese courts usually find carriers fully or at least primarily liable. This is even when inherent vice could be the most probable cause of soybean damage, or vessels encountered unavoidable delays before discharge, or, in some cases, where carriers have both defences in hand. In a recent appellate decision in the Shandong Province, the court reversed the first instance judgment reducing the liability on the carrier from 70% to 30%. This case offers some hope to ship owners of a more equitable outcome in Chinese courts in cases involving damage to soybeans caused or exacerbated by inherent vice.