ENE Kos v Petroleo Brasileira SA – "The
Kos" – QBD (Comm Ct.) 23rd July
2009
Some interesting issues have been brought up by a dispute
involving the VLCC "Kos" which had been chartered out on
the Shelltime 3 form. The owners withdrew the vessel for
non-payment of hire but at the time the notice was given, at 1441
on 2nd June, the vessel had started loading cargo for
the charterers at Angra Dos Reis in Brazil. The case notes do not
indicate why the notice was given at that time. It would not be
unreasonable to assume that the original intention had been to
serve it before loading had commenced.
Charterers claimed the withdrawal was wrongful and then
threatened to arrest the ship unless the owners put up security for
USD18 million. The owners provided that security. Charterers still
wanted the ship and were trying to negotiate with the owners to
allow them to continue to use it. The owners refused to allow the
charter to continue and eventually the cargo which had
