Ellerman Lines Ltd. v. Lancaster Maritime Co. Ltd. - Mr. Justice Robert Goff - Q.B.(Com.Ct.) - July 17, 1980

Equitable lien - Whether charterer has lien under time charter for hire paid and not earned

Under a charter-party on the New York Produce Exchange form the Lancaster was chartered to the plaintiffs by the first defendants. Hire was payable monthly in advance. Clause 18 provided that the charterers were to have a lien on the ship for all monies paid in advance and not earned. The vessel was subject to two mortgages and the proceeds of the insurances had been assigned to the mortgagees, the second and third defendants. The assignments were registered.