Speed warranties. “Good weather” need not last for 24 hours (and often doesn’t).

In December 2013 the Ocean Virgo [2015] EWHC 3405 (Comm) was trip chartered on the NYPE form. The charter contained speed and performance warranties on the basis of “good weather/smooth sea, up to max BF SC 4/Douglas sea state 3, no adverse currents, no negative influence of swell”. The charterers claimed damages, alleging that the vessel had failed to meet the warranties. The owner’s response was that for a period to be considered as being admissible “good weather” it had to constitute a period of 24 consecutive hours running from noon to noon. Lesser periods had to be excluded. The tribunal agreed.

However, Teare J. has now held that this constituted an error in law. The charterparty merely referred to “good weather” and contained no words which justified construing good weather as meaning good weather days of 24 hours from noon to noon. The award disclosed a further error of law by stating: “had the AWT report correctly identified the period of admissible ‘good weather’ charterer’s claim would have been restricted to the initial, leg 1, period”. Once a breach was established by looking at performance in good weather the consequential damages claim was assessed by having regard to the whole of the charter period, excluding any periods of slow steaming on charterers’ instructions excluding any periods of slow steaming on charterers’, whatever the weather, as had been stated by Bingham LJ in The Didymi [1988] 2 Lloyd’s Rep. 108 and by Lloyd LJ in The Gas Enterprise [1993] 2 Lloyd’s Rep. 352.

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Professor Simon Baughen

Professor Simon Baughen was appointed as Professor of Shipping Law in September 2013 (previously Reader at the University of Bristol Law School). Simon Baughen studied law at Oxford and practised in maritime law for several years before joining academia. His research interests lie mainly in the field of shipping law, but also include the law of trusts and the environmental law implications of the activities of multinational corporations in the developing world. Simon's book on Shipping Law, has run to five editions and is already well-known to academics and students alike as by far the most learned and approachable work on the subject. Furthermore, he is now the author of the very well-established practitioner's work Summerskill on Laytime. He has an extensive list of publications to his name, including International Trade and the Protection of the Environment. He has also written and taught extensively on commercial law, trusts and environmental law. Simon will be a member of the Institute of International Shipping and Trade Law, a University Research Centre within the School of Law, and he will teach on both the LLM (Carriage of Goods by Sea, Land and Air and Oil and Gas Law) and LLB programmes at Swansea.

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