The Shackleford: CA 2 Jan 1978

The Notice of Readiness was to discharge at the port of Constanza and was required ‘vessel also having been entered at the Customs House and the laydays will then commence on the next business day, whether in berth or not, whether in port or not, whether in free pratique or not’. The vessel arrived in Constanza Roads, immediately giving NOR on 15 October, which notice was accepted by the receivers on the same day by endorsing ‘accepted’ upon it. Customs entry could not be obtained until the vessel berthed and this did not occur until 26 November. The arbitrator held that the charterers were estopped from denying that they had accepted the NOR and made a finding that the owners and/or Master relied upon the acceptance of the NOR by the receivers in that they made no attempt to procure an earlier berth, such as a bunkering or watering berth, so that Customs entry might be obtained at an earlier date. Sir David Cairns said: ‘Acceptance of a notice of any kind usually means acceptance of the notice as an effective notice. The experienced arbitrator and the experienced commercial judge interpreted this acceptance without any indication that it had occurred to them that it could have any other meaning. In my judgment they were right to do so.’

Judges:

Sir David Cairns

Citations:

[1978] 2 Lloyds Rep 155

Jurisdiction:

England and Wales

Citing:

Appeal fromThe Shackleford ChD 1978
The charterers by the receivers had ‘accepted’ a notice of readiness which was ‘premature’ when given because customs entry had not been obtained as required by the relevant clause of the charterparty and so were estopped by their conduct from . .

Cited by:

CitedPersimmon Homes (South Coast) Ltd v Hall Aggregates (South Coast) Ltd and Another TCC 10-Oct-2008
The parties had agreed for the sale of land under an option agreement. The builder purchasers now sought to exercise rights to adjust the price downwards.
Held: The provisions had been intended and had achieved a prompt and binding settlement . .
Lists of cited by and citing cases may be incomplete.

Estoppel, Contract

Updated: 28 May 2022; Ref: scu.277764