Thu 21 Jan 2010 07:26

MISC to pursue $500k legal claim against Equatorial


MISC Berhad to seek damages for the arrest of its vessel after US appeal win.



Malaysia's MISC Berhad is seeking around $500,000 in damages as a result of its vessel being arrested by bunker supplier Equatorial Marine Fuel Management Services, after a US Court ruled that the Singapore firm had no right to arrest one of its ships.

In a statement MISC Berhad said "Following the positive outcome of this case, MISC will now focus on pursuing a legal claim for approximately USD 500,000 against Equatorial for all damages caused as a result of wrongful attachment of MISC's vessel."

The United States Court of Appeals upheld an initial judgment of the district court that Equatorial had no basis for admiralty action against MISC Berhad as it had no legally binding bunker supply contract with the Malaysian firm.

Equatorial arrested the MISC Berhad vessel Bunga Kasturi Lima in Long Beach, California, in April 2008 after the supplier claimed not to have received $22 million in payment for bunker deliveries.

According to MISC Berhad, the company said it entered into a contract with the bunker-trader Market Asia Link (MA Link), and not Equatorial, to procure bunkers for its vessel. MISC said that it paid MA Link for all the bunkers it received, but MA Link later became insolvent, which resulted in Equatorial not receiving payment.

During the court process, MISC came forward with evidence showing that it contracted with MA Link, not Equatorial, and paid MA Link for the bunkers.

"Even though Equatorial arranged for the delivery of the bunkers which MISC accepted and used, MISC presented unrebutted evidence that it paid MA Link for the bunkers. Because MISC paid for the bunkers, it hasn't been unjustly enriched," Chief Judge Kozinski said in a published analysis of the case.

Commenting on the court's decision to uphold the district court's initial judgment, MISC said “This much awaited decision is warmly welcomed, as no physical supplier can now arrest vessels without presence of [a] proper legally binding contract supported by sufficient evidentiary documents, causing grave commercial strain on ship owners.


Marius Kairys, CEO of Elenger Sp. z o.o. Elenger enters Polish LNG bunkering market with ferry refuelling operation  

Baltic energy firm completes maiden truck-to-ship LNG delivery in Gdansk.

Samsung Heavy Industries (SHI) virtual reality (VR) training program developed in collaboration with Evergreen. SHI develops VR training solutions for Evergreen's methanol-fuelled ships  

Shipbuilder creates virtual reality program for 16,500 TEU boxship operations.

Illustratic image of Itochu's newbuild ammonia bunkering vessel, scheduled for delivery in September 2027. Itochu orders 5,000 cbm ammonia bunker vessel  

Japanese firm targets Singapore demonstration after October 2027, with Zeta Bunkering lined up to perform deliveries.

Bunkering of the Glovis Selene car carrier. Shell completes first LNG bunkering operation with Hyundai Glovis in Singapore  

Energy major supplies fuel to South Korean logistics firm's dual-fuel vessel.

Orient Overseas Container Line (OOCL) vessel. CPN delivers first B30 marine gasoil to OOCL in Hong Kong  

Chimbusco Pan Nation claims to be first in region to supply all grades of ISCC-EU certified marine biofuel.

The Buffalo 404 barge, owned by Buffalo Marine Service Inc., performing a bunker delivery. TFG Marine installs first ISO-certified mass flow meter on US Gulf bunker barge  

Installation marks expansion of company's digitalisation programme across global fleet.

Sogestran's fuel supply vessel, the Anatife, at the port of Belle-Île-en-Mer. Sogestran's HVO-powered tanker achieves 78% CO2 reduction on French island fuel runs  

Small tanker Anatife saves fuel while supplying Belle-Île and Île d'Yeu.

Crowley 1,400 TEU LNG-powered containership, Tiscapa. Crowley deploys LNG-powered boxship Tiscapa for Caribbean and Central American routes  

Vessel is the third in company's Avance Class fleet to enter service.

The inland LNG bunker vessel LNG London. LNG London completes 1,000 bunkering operations in Rotterdam and Antwerp  

Delivery vessel reaches milestone after five years of operations across ARA hub.

The M.V. COSCO Shipping Yangpu, China's first methanol dual-fuel containership. COSCO vessel completes maiden green methanol bunkering at Yangpu  

China's first methanol dual-fuel containership refuels with green methanol derived from urban waste.


↑  Back to Top


 Recommended