The lay-day and demurrage clause of the charter-party of a ship chartered for the carriage of pit props ran as follows,
the words in italics being written interlineations on a printed form-‘The cargo is to be loaded at the rate of 125 fathoms daily, and discharged at the rate of 125 fathoms daily, reversible, with customary steamship dispatch as fast as the steamer can receive and deliver, during the ordinary working hours of the respective ports, Sundays, general or local holidays (unless used) in both loading and discharging excepted. . . ‘
Held, in an action for demurrage, (1) that the charter-party was for a fixed number of days for loading and discharging, known as soon as the amount of cargo was known, and that the printed words so far as inconsistent therewith must be read as referring only to the manner of loading and discharging, and (2) that time lost owing to wet weather and Saturday half-holidays, when according to the custom of the port of discharge work was suspended, could not be read into the exception.
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The charterers of a vessel were entitled to thirteen days for loading and thirteen days for discharging ‘reversible,’ i.e., to twenty-six days for both operations. The shipper of the cargo, who was to deliver f.o.b., also acted as the charterers’ agent to load a full cargo and to make disbursements on account of freight for ship’s disbursements, and also as the ship’s agent to report and clear her at the custom-house and to do her business generally, including the engagement of her stevedores. By arrangement with the captain the shipper by working overtime loaded the cargo in nine instead of thirteen days, and took credit in the ship’s disbursements for the amount so earned, viz., pounds 31,10s. On the bill of lading was noted the amount of the ship’s disbursements, and on the margin-‘Thirteen days used for loading.’ The shipper included the amount of the ship’s disbursements in his invoice and in his bill, which was duly met by the charterers on taking up the bill of lading. In the knowledge that there had been an arrangement for dispatch, though not of its extent, and of the total of the ship’s disbursements, though not of how they were made up, the charterers took delivery of the cargo under the bill of lading.
In an action for demurrage, held that the charterers were entitled to seventeen days for unloading.
Judges:
Lord Parker, Lord Sumner, and Lord Wrenbury
Citations:
[1916] UKHL 706, 53 SLR 706
Links:
Jurisdiction:
England and Wales
Transport
Updated: 12 July 2022; Ref: scu.630688