Case details

Daiichi Chuo Kisen Kaisha (Appellant) v Gard Marine and Energy Limited and another (Respondents)

Case ID: UKSC 2015/0038

Case summary

  1. The Safe Port Issue: whether as a matter of law in the circumstances there was a breach of a safe port warranty.
  2. The Recoverability Issue: whether Clause 12 of the demise charter precludes the Owners from recovering damages against the Demise Charterers for breach of the safe port warranty?

In 2006, whilst under a time charter from Bareboat Charterers to the respondent and a sub-time charter from the respondent to the Third Party, the Vessel "OCEAN VICTORY" was ordered to Kashima, Japan to discharge a cargo of iron ore. Swell and high winds led the Master of the Vessel to halt the discharging operation and attempt to leave the port, whereupon the Vessel was driven back by the prevailing conditions into the breakwater wall and became a total loss. The appellant, the hull insurer and assignee of the bareboat charter, brought a claim against the respondent for damages for breach of a safe port warranty in the time charter. The respondent joined the Third Party to the proceedings on the basis that any liability it had to the appellant would be passed down the contractual chain to the Third Party.

Judgment appealed

[2015] EWCA Civ 16



Daiichi Chuo Kisen Kaisha

  1. Gard Marine and Energy Limited
  2. China National Chartering Co Ltd



Lord Mance, Lord Clarke, Lord Sumption, Lord Hodge, Lord Toulson

Hearing start date

01 Nov 2016

Hearing finish date

03 Nov 2016

Watch hearing
01 Nov 2016 Morning session Afternoon session
02 Nov 2016 Morning session Afternoon session
03 Nov 2016 Morning session Afternoon session