One-Off Pilot Error Did Not Render Port Unsafe

• Published date: 24 March 2023
• Subject Matter: International Law, Litigation, Mediation & Arbitration, Transport, Marine/ Shipping, International Courts & Tribunals, Arbitration & Dispute Resolution
• Law Firm: Quadrant Chambers
• Author: Mr Thomas Macey-Dare

OVERVIEW

London Arbitration 2/23, (2023) 1129 LMLN 2
In this charterparty dispute, the arbitral tribunal rejected the Owners' claim for damages for breach of the safe port warranty in a time charterparty, after a laden bulk carrier grounded at the entrance to the port of Chaozhou, China, while under compulsory pilotage. It also held that the vessel was unseaworthy, in breach of Article III.1 of the Hague Rules, due to lack of proper charts, but found on the facts that this was not causative of the grounding.

The background facts

The Owners chartered their Panamax bulk carrier to the Charterers for a time charter trip via safe ports from Indonesia to China with bulk coal. They ordered her to load at Muara Satui and discharge at Chaozhou.

Ships entering the port of Chaozhou are required to proceed along a buoyed approach channel and then make a turn to starboard into the harbour basin. The port entry is not difficult and does not require tug assistance.

Because of her laden draft, the Vessel had to remain within the dredged deepwater channel which runs along the centre of the buoyed channel. The channel buoys mark the fairway, which is wider than the dredged channel.

The Vessel was required by SOLAS Chapter V Regulation 19 to navigate with paper charts. She also had an electronic chart system for situational awareness. During loading at Muara Satui, the Master arranged for a copy of the latest UKHO chart covering Chaozhou to be brought onboard. This chart was too small scale for navigation, lacked important details and was evidently out of date.

A large scale, up to date, Chinese chart was also available. This showed the limits of the dredged deepwater channel. It also made it clear that the channel buoys lay outside the edges of the deepwater channel and marked the fairway, not the deepwater channel itself.

The Master did not obtain the Chinese paper chart. Instead, during the voyage to Chaozhou, he downloaded a mid-scale electronic chart. That electronic chart was up to date but lacked important detail. In particular, it did not show the limits of the dredged deepwater channel or make it clear that the buoys marked the fairway rather than the deepwater channel.
On arrival at the discharge port, the Vessel anchored, and the deck team prepared a rudimentary in-port-passage-plan from the pilot station to the berth using the materials available on board.

The Vessel entered the port the following day with a compulsory pilot on board, and three tugs made fast...