Darshini books space on King’s ship Celebration for the carriage of Darshini’s cargoes (30,000 bags of fertilizer and 10,000 bags of sugar) from Liverpool, UK, to Naples, Italy. The contract provides that freight is deemed earned on shipment, 50% payable on loading the cargoes at Liverpool, the balance payable at destination. There is a clause in the contract which states that King is not responsible for any damage to any cargo caused by “perils of the seas”.
The Master of Celebration correctly stows the sugar and the fertilizer in separate cargo holds – the 10,000 bags of sugar are stowed in lower cargo hold 2 and the 30,000 bags of fertilizer in upper cargo hold 1.
King suggests to Darshini that as Darshini is sending the fertilizer and sugar to Naples for her own uses, no bills of lading will be required. Darshini agrees.
During the voyage, Celebration encounters a severe storm in the Bay of Biscay which causes damage to the ship’s hatch covers (which were in perfect condition when Celebration left Liverpool). The Master puts into Gibraltar to carry out essential repairs to the damaged hatch covers. The voyage is delayed by three weeks.
When Celebration finally reaches Naples, it is revealed that water has leaked into upper cargo hold 1 through the hatch covers during the Bay of Biscay storm and damaged the fertilizer stowed there. Some fertilizer has leaked from its packaging and damaged the structure of the ship herself. It is also noticed that some water and fertilizer has leaked from upper cargo hold 1 into lower cargo hold 2 through some worn out/rusted ship’s welding, resulting in damage to the bags of sugar stowed in lower cargo hold 2. King is surprised about the reports of worn out/rusted ship’s welding because he has done everything he could to ensure that Celebration is properly maintained.
Darshini refuses to pay the full balance of freight due on the fertilizer and the sugar, deducting sums for the damage caused to these cargoes during the voyage and for the ship’s delayed arrival at Naples.
King has complained to Darshini about the damage caused to Celebration by Darshini’s fertilizer cargo, but Darshini has rejected any responsibility because she says that she did not know that the fertilizer contained a corrosive element.
Would your answer be any different if Darshini had received a bill of lading for the consignment of 10,000 bags of sugar in hold 2, and if Darshini had then sold this consignment to John on CIF Naples terms, and endorsed the bill of lading to John with the sale documents so that it is John, not Darshini, who is claiming damages from King?
I WOULD LIKE TO ANSWER BOTH QUESTIONS …. FIRST OF ALL I WOULD LIKE AN OSCOLA STYLE .. OSCOLA STYLE IS THE STYLE THAT YOU MAKE FOOTNOTES UNDER EVERY PAGE AND REFERENCE AND INFORM ME THE PAGE NUMBER …. I WOULD LIKE TO KNOW WHATEVER YOU USED AND PAGE NUMBER AND WEBSITES AND ACTS … MAKE REFERENCE FOR EVERYTHING … ALSO IT IS IMPORTANT TO USE MY SOURCES … AND ESCPECIALLY TO USE THE FOLLOWING 2 BOOKS : 1) Chuah, Law of International Trade: Cross-Border Commercial Transactions (Sweet & Maxwell)
2) Carr, International Trade Law (Routledge)
it is necessary to use that books ..
also the book ..Schmitthoff, Export Trade: The Law and Practice of International Trade (Sweet & Maxwell)
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