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ARTICLE · 24 FEBRUARY 2009

Shifting Cargo - Who Is Responsible?

A recent London arbitration decision, LMLN 12/08 has examined the extent to which a charterer (or more specifically a charterer's local agents) can or cannot make a difference to the terms dealing with overall responsibility.

United KingdomTransport

Loading and discharging operations from ship to shore are in many ways a joint operation between the owner/manager of a vessel and those who charter it. Whilst the crew notionally oversee the operations, the Local stevedores appointed by charterers/shippers agents conduct the operations in line with local custom.

Many charterparty forms seek to define in very rigid terms which of the parties i.e. owners or charterers are ultimately responsible for the overall loading and discharge operations and any problems which arise from it.

A recent London arbitration decision, LMLN 12/08 has examined the extent to which a charterer (or more specifically a charterer's local agents) can or cannot make a difference to the terms dealing with overall responsibility. In time charterparties, it is usually the case that the full responsibility for loading and discharging operations fall on the charterers. The master/crew are given a supervisory role.

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