ROYAL GREEK GOVERNMENT v. MINISTER OF TRANSPORT.
(1949) 83 Ll.L.Rep. 228
KING'S BENCH DIVISION.
Before Mr. Justice Devlin.
Charter-party - Explosion in cargo on board - Detention for repairs - Liability of charterer for hire - Loss incurred by owners-Compliance with charterer's orders to load cargo-Right of owners to indemnity - Cause of explosion-Accident to cargo-Remoteness of damage-Findings of arbitrator -Charter of ship to load coal at Barry for Rio Janeiro-Full cargo loaded, ship then proceeding to Milford Haven to await convoy-Leakage discovered in fresh water tanks-Removal of trap door and hatch covers for inspection of tanks-Explosion owing to spark or flame introduced during repair of tank, followed by further explosions, causing damage to superstructure and necessitating repairs to ship - Damage to cargo negligible - Action brought by owners against charterer, claiming hire, etc., during repair, and/or an indemnity against loss caused by detention of ship for repair-Construction of charter-party, which provided (inter alia):
9. . . . The charterer to indemnify the owners against all consequences or liabilities, arising from the master, officers or agents signing bills of lading or other documents or otherwise complying with such orders . . .
11 (
A). In the event of drydocking or other necessary measures to maintain the efficiency of the vessel, deficiency of men or owners' stores, breakdown of machinery, damage to hull or other accident, either hindering or preventing the working of the vessel and continuing for more than twenty-four consecutive hours, no hire to be paid in respect of any time lost thereby during the period in which the vessel is unable to perform the service immediately required.
11 (
B). In the event of the vessel being driven into port or to anchorage through stress of weather,
trading to shallow harbours or to rivers or ports with bars or suffering an accident to her cargo, any detention of the vessel and/or expenses resulting from such detention to be for the charterer's account even if such detention and/or expenses, or the cause by reason of which either is incurred, be due to, or be contributed to by, the negligence of the owner's servants. Charterer not to be responsible for any expenses under this clause which are recoverable by owners from their marine insurance underwriters.
13. . . . The charterer to be responsible for loss or damage caused to the vessel or to the owners by goods being loaded contrary to the terms of the charter or by improper or careless bunkering or loading, stowing or discharging of goods or any other improper or negligent act on their part or that of their servants.
Arbitration - Finding by arbitrator that explosions were due to variety of causes (which included the nature of the cargo), but that the direct causes were (a) the act which caused the spark or flame, and (b) the explosive atmosphere; that the first explosion was not, but that the subsequent explosions were, an accident to cargo within Clause 11 (
B); that the damage to the superstructure was an accident within Clause 11 (
A) preventing the working of the ship; that the consequent detention was not a matter within Clause 11 (
B); and that therefore the owners were not entitled to recover - Case stated - Whether consequences of complying with charterer's order to load particular cargo within scope of indemnity provided by Clause 9-Limits of clause, bearing in mind implications from terms of other clauses-Right of Court to review arbitrator's findings on causation- Whether question of law or fact- Remoteness-Cause of detention.