HC TRADING MALTA LTD V SAVANNAH CEMENT LTD

[2020] EWHC 2144 (Comm), Queen's Bench Division, Commercial Court, Mr Justice Henshaw, 4 August 2020

Summary judgment – Sale contract price subject to settlement agreement – Demurrage claim subject under settlement agreement to expert determination

The claimant sought summary judgment on now undefended claims for the price of shipments of bulk clinker cement sold by the claimant to the defendant, as well as demurrage claims and also an interim order for payment of the demurrage claims. The claims had arisen under a settlement agreement dated 27 August 2019 which followed a sale contract dated 10 October 2018. The clinker had been delivered, but no letters of credit set up and the price was not otherwise paid. Demurrage had arisen under previous sale contracts and arose again under the sale contract at issue. The settlement agreement provided that Savannah must set up letters of credit in respect of the sums owed and that the historic demurrage, in relation to which Savannah admitted liability but disputed the amount, should be referred for expert determination if no agreement was reached within 45 days.