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London Arbitration-“All details about, without guarantee”

In this LMAA Arbitration, the tribunal also considered three minor counterclaims. One related to a dispute about the vessel’s speed and performance.

The Underperformance claim

The charterers claimed $23,524.82 on the basis that there was underperformance on a voyage from Ponta Madeira to the South West Pass. They relied upon a X company’s report. D’s first response was that there was no speed or consumption warranty in the charter and therefore no claim could lie. This was because in Appendix A to the charter, which set out the description of the ship’s performance, appeared the words “all details about and without guarantee”.Y sought somehow to suggest that the charter did not accurately reflect the parties’ agreement. However, they did not claim rectification, a failure which itself would seem to be fatal to this contention. In any event, there was no basis for the argument. The fixture recap, although not containing the phrase in question, confirmed that all the terms and details were to be as per the “BTB” charter, i.e. the head charter which itself incorporated the “without guarantee” provision. That is enough to dispose of this point

In addition, the X report did not approach the matter properly. Y referred to D’s
criticisms of this report as being “doubtless well-trodden”. Whilst that description may be correct, if somewhat sarcastic, it is right because the criticisms are right. So, even absent the “without guarantee” point, Y had no basis for this claim.

Final Award, 13 March 2012

Note: For more information, please check on Jus Mundi awards mostly come into the public domain through enforcement under the NYC 1958.

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