Voyage Charters
Page 501
Chapter 16
Demurrage
7. | Demurrage | 101 |
Ten running days on demurrage at the rate stated in Box 18 per | 102 | |
day or pro rata for any part of a day, payable day by day, to be | 103 | |
allowed Merchants altogether at ports of loading and discharging. | 104 |
General
16.2 If the vessel is detained in loading or discharging beyond the agreed laytime, the charterer is in breach of charter and the suggestion to the contrary implicit in the word “allowed” does not alter this analysis. The charterer’s liability may sound in damages at large or, where a demurrage rate is agreed, in demurrage, which is liquidated damages for that breach. Viscount Finlay stated the principle in William Alexander v. Akt. Hansa:2If the charterer has agreed to load or unload within a fixed period of time … he is answerable for the non-performance of that engagement, whatever the nature of the impediments, unless they are covered by exceptions in the charterparty or arise through the fault of the shipowner or those for whom he is responsible.