Ship collision- Cargo damage
27.12.2017 |Articles
In May 1999, Vessel A registered in Cyprus collided with Vessel B in the Brazilian water area, causing serious damage to the Soya bean on board Vessel A. In July 1999, Vessel A was arrested by Guangzhou Maritime Court upon the cargo receiver’s application at the destination port – Chiwan Port, Shekou, Shenzhen, China, and the owner of Vessel A was forced to provide a LOU in the amount of USD 5.6 million. Mr. Huang Yaquan of our law firm handled the case on behalf of the ship owner and its P&I Club. The subject matter of the action taken by the cargo receiver was around USD 5.55 million.
This case had been tried by Guangzhou Maritime Court and Guangdong Provincial High People’s Court respectively in the first instance and the second instance. With the steady work and unremitting efforts of the lawyers in Huang & Huang Co. Law Firm, the ship owner only had to pay the cargo receiver and the cargo insurer the sum of USD 1.9 million as full and final settlement of the claim, which is merely one third of the claim amount.