*MSC Mediterranean Shipping Company SA v Cottonex Anstalt

Shipping – Demurrage. The claimant carriers contracted with the defendant shippers to carry goods in containers to a port in Bangladesh. The containers were not removed from the port, and the carriers claimed demurrage from the shippers. The Commercial Court held that, although the shippers had been in repudiatory breach of the contract, there had been no basis for supposing that the carrier had been suffering financial loss as a result of the detention of the containers. In the circumstances, keeping the contracts alive when the only purpose of doing so could be to claim demurrage had been wholly unreasonable.

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