London Arbitration 10/22

Charterparty – NYPE Interclub Agreement – Shipowners compromising cargo claim brought by insurers of cargo receivers – Shipowners bringing claim against charterers for apportionment – Applicable version of Interclub Agreement – Whether shipowners’ claim was a “Cargo Claim” – Whether claim was “properly settled” – Whether shipowners entitled to 100 per cent apportionment on basis that damage was caused by inherent vice – Whether shipowners entitled to 100 per cent apportionment on basis that damage arose out of charterers’ act in loading an unstable cargo – Whether “clear and irrefutable evidence” that alleged damage was attributable to the act or neglect of either party – Whether apportionment should be 100 per cent or 50/50

The subject vessel was chartered on an amended NYPE 1946 form for a time charter trip via East Coast South America to Asia (intention China) with harmless grain/grain products. Pursuant to the charter, the vessel loaded and carried (simultaneously) two cargoes of soybeans for discharge at a port in China. The first cargo was loaded into holds 1, 3, 5 and 7 at a port in Uruguay (the Uruguayan cargo).