BIG Port Service DMCC (BPS), a Russian bunker supplier, is seeking US$1.4 million from China Shipping Container Lines (CSCL) through arbitration in New York to recover the costs of supplying the carrier with 4,000 tonnes of bunker acquired through bankrupt OW Bunker.
According to Russia's BPS the fuel was delivered to CSCL's 5,670-TEU ship, Xin Chang Shu, at the Russian port of Kavkaz in the Sea of Azov, reports Tradewinds.
OW Bunker filed for bankruptcy days later and no payment has been forthcoming.
According to CSCL's US lawyers, Holland & Knight, the shipping line contracted with OW Bunker China to buy the fuel, OW Bunker China then contracted with OW Bunker Far East in Singapore, and the latter arranged for the supply with BPS, reported Vancouver's Ship & Bunker.
The Chinese ocean liner's lawyers have argued that BPS has no contractual right to payment and are said to have asked a US federal judge to halt the ongoing process through the Society of Maritime Arbitrators in New York.
"CSCL did not enter into any contract with Big Port, much less a contract to arbitrate any disputes with Big Port," said Holland & Knight lawyer Michael Frevola.
BPS's lawyer Stephen Simms has said CSCL is seeking to circumvent a decision by the Singapore High Court, which he says is already set to decide whether the case should go through arbitration.
WORLD SHIPPING
15 April 2015 - 20:27
OW Bunker aftermath: CSCL in court over US$1.4 million unpaid fuel bill
BIG Port Service DMCC (BPS), a Russian bunker supplier, is seeking US$1.4 million from China Shipping Container Lines (CSCL) through arbitration in New York to recover the costs of supplying the carrier with 4,000 tonnes of bunker acquired through bankrupt OW Bunker.
WORLD SHIPPING
15 April 2015 - 20:27
OW Bunker aftermath: CSCL in court over US$1.4 million unpaid fuel bill
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