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Copyright (c) Society of Maritime Arbitrators, Inc.

In the Matter of the Arbitration between OSIT SHIPPING, LTD. as owner of the KITSA and CANPOTEX SHIPPING SERVICES, LTD. as Charterer Under a NYPE form of Time Charter dated August 9, 1990

No. 3119
NOVEMBER 2, 1994

PANEL: Thomas F. Fox, Arbitrator; Hammond L. Cederholm, Arbitrator; A. J. Siciliano, Chairman

COUNSEL: Lamorte Burns & Co., Inc.
Mr. George Tsagaris
Mr. George A. Ammon
For and on behalf of Osit Shipping, Ltd.

Burlingham Underwood
Michael Marks Cohen, Esq.
David O. Treadwell, Jr., Esq., Of Counsel

For and on behalf of Canpotex Shipping Services, Ltd.

DECISION: FINAL AWARD
BACKGROUND

This dispute arose under a time charter of M/V KITSA for five to seven month from Owners, OSIT SHIPPING, LTD. (hereinafter OSIT or Owners) to Charterers, CANPOTEX SHIPPING SERVICES, LTD. (hereinafter CANPOTEX or Charterers) under an amended NYPE form.

On December 17, 1990, while on a voyage from Vancouver, BC to Taiwan with a cargo of potash, the vessel was requested by the U.S. Coast Guard to assist M/ ELOUNDA DAY which was in distress and...

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No hearings were held. Instead, the arbitration was conducted solely on documents.

THE CLAIMS

Owners calculate that they are entitled to hire and bunkers from Charterers as follows:

Off-Hire Deducted:
118 hours 47 minutes X $ 7,900.00 $ 39,544.99
Less Address Commission:
$ 39,544.99 X 0.025 (988.62)
Bunkers during off-hire:
IFO: 30.78 MT X $ 110.00 3,385.80
MDO: 17.158 MT X $ 210.00 3,603.18
Total $ 45,545.35


ISSUE

Whether a vessel that assists a distressed vessel in order to save lives is considered "off hire" under the Charter Party terms and conditions.

RELEVANT CHARTER PARTY CLAUSES

Lines 21/24. Vessel on her delivery to be ready to receive cargo with clean . . . holds and tight, staunch, strong and in every way fitted for the service, having water ballast, winches and donkey boiler with . . . .

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