OCM Maritime Nile LLC & anr (claimants/respondents) v Courage Shipping Company & ors (defendants/appellants)
Thursday 21st July 2022
By Appellant’s Notice filed on 25th March 2022, the Defendants/Appellants appeal the Order of Sir Andrew Smith dated 9th March 2022.
Background: The parties are incorporated in the Marshall Islands and entered to agreements relating to the financing and chartering of vessels. Under the charterparty agreements the vessels were demised to the charterers, so that possession and controls was given to the charterers who were responsible for maintenance, crewing and insurance of them. On 10 June 2021, the United States authorities designated Mr Mallah a “Specially Designated Global Terrorist” (“SDGT”) under an Executive Order, and he was included on the “Specially Designated Nationals and Blocked Persons List” (“SDN List”). His property and property interests were “blocked”, and, being owned by Mr Mallah, the Defendants’ assets were also blocked. The Claimants say that, when and after Mr Mallah was so designated, various “Events of Default” under the charterparties occurred, whereby they were entitled to terminate the charterparties. They served Notices of Events of Default in respect of each charterparty dated 18 June 2021, 19 July 2021 and 26 August 2021, and they claim that they were entitled to take possession of the vessels. The Claimants sought declarations that the charterparties have been lawfully terminated and that they are entitled to possession of the vessels. Both Claimants also sought damages from all the Defendants.