Ship Owners' / Managers' Typical Disputes

Maritime / Marine / Cargo / Shiping Disputes

freight diputes

Charter party disputes, e.g., Outstanding hire freight and Demurrage claims

Marine Insurance Policy Disputes, e.g., Denial or reduction of claims by H&M and P&I insurers

Other non or self insured claims. (e.g. below the deductible) against third parties

Cargo Damage claims

Stowage assessments and resulting damages

Damage to fixed and floating objects

hull damage

Personal injury

Collision and groundings, Salvage

Hull and Machinery Damage

Maintenance disputes

Nautical based claims

For Ship Owners / Managers / Exporters / Companies indeed there is no typical dispute. Each claim has different issues and different parties. A common factor however is an inability to recover legitimate claims from defaulting third parties where insufficient legal support and funding is in place. The cost and sheer hassle of pursuing such claims in litigation is also often more difficult than the factual issues in dispute

A Case Study

The Owner's vessel had a fire whilst the vessel was at sea, destroying the accommodation. The Owner's survey report concluded that the vessel was a constructive total loss, but the HSM insurer refused to pay out under the HSM policy (total loss or CTL only), arguing that the vessel could be more cost effectively repaired.

GRS with its partner, on behalf of the Owner, requested QLP to arrange an ATE insurance policy, and also arranged for a solicitor, barrister and expert to pursue the case on part funded, part contingency fee terms. Legal proceedings were issued in London and when all subsequent settlement negotiations failed, a High Court date was applied for. The claim was ultimately settled in full for USD 1 .3M a few days before the trial.

Please Note !

The defendants also had to pay all the Owner’s incurred costs: the lawyer's and counsel's fees, the expert’s costs and the ATE premium.

GRS were only then paid their "no cure, no pay" fee from the net recovered amount. From the Ship owner’s initial referral of the claim to conclusion, he had no financial risk, because there was no requirement to pay any upfront fees and costs. Ultimately, all the fees and costs incurred in pursuing the claim were paid by the defendant.

Had the case lost, the owner's and defendant's legal costs and disbursements would have been paid by the ATE insurance cover.

GRS and its international partners work together to solve the Ship owner’s problem of pursuing their claims in litigation/arbitration when all commercial avenues have been exhausted

marine grounding disputes