A shipbroker’s failure to identify conflicting laycan clauses in a voyage charterparty led to a complex dispute and a US$100,000 claim, which ITIC has reimbursed. The case highlighted in ITIC’s recent Claims Review shows the importance of meticulous contract drafting and attention to detail in maritime agreements. Acting as the sole broker, the shipbroker was instructed by both the charterers and shipowners to include their preferred laycan (lay days and cancelling) clauses in the charterparty. Unfortunately, the broker inserted both clauses into the recap without realising they were contradictory. Neither ...

On 21 October 2024, the Price Cap Coalition (“Coalition”) issued an Updated Advisory for the Maritime Industry which sets out best practice recommendations for those involved in the trade of Russian origin crude oil and petroleum products. An Initial Advisory was published on 12 October 2023. The updated version provides new recommendations (Nos. 8-11) on meeting international maritime safety and environmental obligations, enhancing due diligence around tanker sales, avoiding interactions with sanctioned counterparties, and raising internal awareness. The Coalition confirms in the updated Advisory its commitment to facilitating the safe ...

While the industry continues its search for fuels that have less GHG emissions, the age-old method of utilising wind to propel ships is starting to come back into use with newer designs and technology. This is certainly a welcome development, but with new equipment comes new risks and responsibilities. If the risks are not adequately addressed in a charterparty, the good intentions to go green could quickly turn into a red-hot dispute. This article considers the impact of fitting wind-assisted propulsion systems (WAPS) on contractual arrangements between shipowners and charterers. ...

Regulation 1.4 – Recruitment and Placement To provide further protection to seafarers, it is now a requirement that prior to or in the process of their engagement they are told of their rights under the system of financial protection established by private recruitment and placement agencies to compensate seafarers for monetary losses. Regulation 2.5 – Repatriation There have been occasions where Clubs have sought to repatriate stranded crew but have been prevented by local authorities who refuse to allow crew to leave the vessel as national laws require the presence ...

The maritime industry is required to continue to reduce its GHG emissions. One way to achieve this is to use onshore electrical power (“OSP”), often referred to as “cold ironing” or “alternative marine power”. Some larger ocean-going vessels calling at the EU will soon need to be built or retrofitted to exclusively use electrical power from the onshore grid at berth and avoid running their auxiliary engines. Potential advantages are lower bunker consumption resulting in reduced GHG emissions, as well as less air and noise and localised pollution in the ...

Skuld’s Board of Directors met in Hamilton, Bermuda, on 5 November 2024 to discuss the upcoming P&I renewal for the policy year starting 20 February 2025. The Board noted and agreed the following: The mutual portfolio so far in 2024 reflects a general increase in higher-value claims in the industry compared with the prior year. At the same time, the investment portfolio has contributed positively year to date. Skuld’s growth strategy continues to deliver positive results and is enhancing its overall performance. Premium income is expected to exceed USD 565 ...

The incurred cost of the Club’s own claims for the 2024/25 Policy Year are higher than the positive experience of 2023/24 but remain within the initial forecast. Current Policy Year claims on the International Group Pool have increased after two years of benign experience, with eleven reported claims as at the end of October, with a noticeable increase in activity, albeit West’s exposure is mitigated by the Club’s own Pool performance, reflected in its current low Pool share. Back-year claims experience has been mixed, with projections having to be increased ...

This was announced by Gard’s Board of Directors meeting last week. Gard CEO Rolf Thore Roppestad said: “With this, we continue our streak of returning capital to our membership, providing stability and consistency in a volatile time. We ensure financial robustness and long-term resilience, while at the same time not holding more capital than is needed.” With 16 consecutive years of offering an OGD, this is a new record for Gard. The discount reflects the group’s current capital situation as well as its expected overall performance. It is given as ...

Safety of ships relating to the use of fuel oil The minimum 60 degrees Celsius (°C) flashpoint limit in SOLAS Regulation II-2/4.2.1.1 is not new, but the regulations designed to prevent the supply of oil fuel in breach of this limit are. In November 2022, the IMO MSC 106 adopted amendments to SOLAS requiring bunker suppliers to provide ships with a declaration prior to bunkering, stating that the flashpoint of the actual oil fuel batch is in conformity with the flashpoint requirements of SOLAS. They also clarify that the required ...

So far, most of the discussion on FuelEU has centred on a vessel’s fuel requirements and how shipowners can reduce their greenhouse gas (GHG) intensity. However, because of the way in which penalties are imposed under FuelEU, the regulations will also have an impact on agreements to buy and sell vessels that have operated in the EU after 1 January 2025. Issues to be aware of To ensure that all penalties are paid even after a sale, the FuelEU regulations provide that, when there is a change of ownership of ...

The Shipowners’ Club, the leading P&I insurer in the smaller and specialist vessel sector, is pleased to announce its acquisition of Lloyd’s Managing General Agent (MGA), Waterborne. As a mutual organisation, the Shipowners’ Club exists to serve its Membership, seeking to provide the cover that they require and to provide Members’ with a first class service – to ensure their peace of mind. In order to respond to Members needs and to maintain our market leading position, we are delighted to announce that we have completed the purchase of Waterborne ...

S&P Global Ratings expects most P&I clubs will achieve near-breakeven results in financial year 2025 (ends Feb. 20, 2025). The 12 P&I clubs in the IG, which underwrites about 90% of the oceangoing fleet’s liability insurance globally, benefited from a low level of pool claims over the two past financial years. IG members share claims of $10 million-$100 million under an excess-of-loss pooling arrangement. The historically low number of pool claims has improved operating performance in the P&I sector in financial years 2023 and 2024. In financial year 2025, however, ...

The English High Court has issued a judgment concerning a carrier’s duty when issuing a bill of lading to check the declared weight of a container. Maersk agreed to carry a number of containers onboard the Maersk Klaipeda said to contain valuable copper wire scrap. The shipper declared the gross and tare weight of each container. Maersk received the containers stuffed and sealed. SOLAS requires the shipper to verify the gross mass weight (VGM) of containers to be shipped. The VGM of the containers was measured by DP World at ...

Steady growth in flexitank usage around the world prompts container owners and specialist insurer to offer safety guidelines to assist shippers, forwarders, carriers and terminals to handle cargo carried in these units with minimal risk. Global freight insurance provider, TT Club has issued the latest in its series of Stop Loss publications together with the Container Owners Association (COA). Focusing on the increasingly popular flexitank unit to ship bulk liquid cargoes, Flexitanks in the supply chain – defining safe operations seeks to identify the applicable risks, highlight good practice and ...

The questionnaire has been developed by the Cefor Sanctions Forum, in line with practices and requirements already in place. The Cefor Sanctions Due Diligence Questionnaire is a resource to ensure that necessary voyage information is provided to the insurer. This applies to, for example, voyages requiring an Additional War or Ice Premium. Note that the questionnaire is a template standard and thus not binding to Cefor members. It is provided for information only. Cefor members are completely free to use and/or modify any part of the questionnaire. Source: Gard, https://www.gard.no/about-gard/company-news/hull-and-machinery-cefor-sanctions-due-diligence-questionnaire/