STRATHLORNE STEAMSHIP CO., LTD. v. ANDREW WEIR & CO.
(1934) 49 Ll L Rep 306
KING'S BENCH DIVISION.
Before Mr. Justice Roche.
Charter-party - Bill of lading - Conversion -Delivery by master without production of bills of lading-Liability of shipowners-Claim by shipowners to be indemnified by time-charterers-Time charter by S Co. to W Co.-No demise -Sub-charter to T for carriage of rice from Rangoon to Chinese ports - Arrival of vessel before bills of lading -Bills of lading pledged by shipper to Dutch Bank, who had discounted bills of exchange drawn by shipper on consignee -Delivery allowed or caused to be made by J M Co., agents appointed by W & Co. (or their agents) without production of bills of lading-No knowledge of pledge to Dutch Bank- Delivery made against letter of guarantee indorsed by native bank- Bills of exchange dishonoured-No recoupment under letter of guarantee- Action successfully brought by Dutch Bank against S Co. for conversion -Right of S Co. to indemnity by W Co. both at common law and under time charter-Position of J M Co. considered-Ambiguous instructions- Award that S Co. were entitled to be indemnified under both heads-Case stated.