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Mediolanum Shipping Co v Japan Lines Ltd (The Mediolanum”): CA 1984″

References: [1984] 1 Lloyds Rep 136
Coram: Kerr LJ
Ratio: The charterers had contracted to provide and pay for fuel. They ordered her to a safe port but she was directed to an unsafe place in that port by the refinery with whom the charterer had contracted for the supply of bunkers. The court was asked to construe the safe port warranty.
Held: The charterer was not in breach of the safe port warranty because even on the assumption that the refinery’s authority as agent extended to designating a bunkering place, it was not at fault in designating this particular bunkering place.
However, Kerr LJ said: ‘Although, in relation to the charterers, the refinery was in the position of an independent contractor, we naturally accept that for the purposes of the charterers’ obligation, under clause 2 of the charter-party, to provide the fuel, the refinery was the agent of the charterers as between the charterers and the owners. The reason is that, in that respect, the refinery was used by the charterers in order to perform one of the charterers’ obligations under the contract.’
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Jurisdiction: England and Wales

Last Update: 13-Jun-18
Ref: 616909

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