ARTICLE · 04 OCTOBER 2010

Unsafe Berths – Demurrage and Damages Issues

LA Marine - Lester Aldridge LLP

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London arbitrators and an English High Court Judge have recently had to unpick the legal issues surrounding considerable delays caused by berthing at Itaguai in Brazil.

United KingdomTransport

London arbitrators and an English High Court Judge have recently had to unpick the legal issues surrounding considerable delays caused by berthing at Itaguai in Brazil.

The owners of the "Vine", a Capesize bulk carrier had been chartered from its owners, Emeraldian Ltd by Wellmix Shipping, to carry 120,000 mts of iron ore between one or two safe berths, one safe port Itaguai Brazil to China. Within the port of Itaguai (also known as Sepetiba) there are separate terminals for loading containers, alumina, coal, iron ore and solid and liquid bulk cargoes. The charterers, Wellmix, had nominated a loading berth in Itaguai which was operated by Compannia Portuaria Baia de Sepetiba ("CPBS") who are a subsidiary of Vale S.A.

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