Kolmar Group AG v Traxpo Enterprises Pvt Ltd [2010] EWHC 113 (Comm)

Economic duress - letter of credit - time to open letter of credit in relation to commencement of loading - waiver

The facts

Kolmar agreed to buy and Traxpo agreed to sell a quantity of either Qatari or Russian methanol - FOB Kandla for shipment within September 2007. Payment was to be at sight against an irrevocable documentary letter of credit payable against presentation of specified documents but there was no stipulation when the credit had to be opened. Laytime was to commence six hours from tendering Notice of Readiness or when the vessel was all fast at berth whichever first occurred. The laytime allowed and the demurrage rate were to be agreed upon vessel nomination. All other maritime conditions were to be in accordance with the Asbatankvoy Charter Party form and Incoterms 2000 were to apply where not in conflict with the other conditions of the contract.