Cancellation confusion

Shipbrokers had arranged a voyage charter. They noted that the ship appeared to be delayed and would not make the original laydays. After discussing the options the broker understood that both the owners and charterers agreed to cancel the fixture.

The confirmation message recording the cancellation was - by mistake - only sent to the charterers.

Five days later it became apparent that the ship could still deliver within the originally agreed laydays and owners maintained the fixture had not been cancelled, while charterers had in the meantime fixed an alternative ship to cover the position.

The ship was eventually fixed after 10 days waiting without employment, for a less attractive destination and at a rate substantially lower than the original fixture. The owners claimed US$ 100,000 damages.

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