A ship had been charged. A third party sought to arrest the ship for a debt.
Held: ‘Where the owner makes a contract with a third party for the employment of the ship, of such a kind and made or performable in such circumstances, that the security of the mortgagee is not impaired, and the owner is both willing and able to perform such contract, the mortgagee is not entitled, by exercising his rights under the mortgage, whether by taking possession, or selling, or arresting the ship in a mortgage action in rem, to interfere with the performance of such contact.’
Brandon J
[1977] 2 Lloyd’s Rep 243
England and Wales
Cited by:
Cited – Den Norske Bank Asa v Acemex Management Company Ltd CA 7-Nov-2003
Money had been loaned for the purchase of three ships,and mortgages over the ships had been given given. The borrowers were in default, and the lender sought to arrest the vessels. The defendant argued that the way the arrest had been undertaken . .
Cited – Anton Durbeck Gmbh v Den Norske Bank Asa ComC 11-Nov-2005
The defendant bank arrested a ship carrying the claimant’s load of bananas. The cargo deteriorated while under arrest and was lost. It was not insured. The consignee sought damages from the arresting bank on the ground that it wrongfully interfered . .
Cited – Anton Durbeck Gmbh v Den Norske Bank Asa ComC 11-Nov-2005
The defendant bank arrested a ship carrying the claimant’s load of bananas. The cargo deteriorated while under arrest and was lost. It was not insured. The consignee sought damages from the arresting bank on the ground that it wrongfully interfered . .
Lists of cited by and citing cases may be incomplete.
Transport
Updated: 20 January 2022; Ref: scu.187670