Arbitration- Laytime Deductions Due to Fog

Loading Delays Due To Fog

The Charterers claimed that loading delays at the K-2 installation due to fog came under the exception for weather working days of 24 hours. The panel noted that during certain periods, the vessel did load cargo even though there was fog on the river, because there were barges with cargo brought alongside prior to the fog setting in. The fog did not prevent the Vessel from loading, but it did prevent the Charterers from bringing more cargo forward. It is the nature of this midstream operation that the fog can prevent loading to continue when no barges can be dispatched, contrary to a shore installation where this would be no problem. Since there were no provisions in this charter party to cover this situation, the panel held that time counted during loading delays due to fog.

Navigation Delays Due To Fog

The Charterers claimed that the vessel could not shift on December 30 because the K-2 berth was occupied by another vessel, which had completed loading but could not vacate the berth due to fog. Charterers maintained this was an excepted period under the same principle of weather working days of 24 hours. Both parties referred to another arbitration decision to support their position, but this was distinguished as it contained clause 6 of the ASBATANK VOY Charter:  “… However where delay is caused to vessel getting into berth after giving notice of readiness for any reason over which Charterer has no control, such delay shall not count as used laytime.”

The charter in this procedure did not contain such a clause, and the panel rejected the charterers’ argument.

Editor’s Note: While there are relatively few reported LMAA awards addressing interruptions caused by FOG ( about 2-3), a significant number of SMA awards have been published on this issue. In my experience handling laytime and demurrage disputes both under bulkers and tankers, such interruptions frequently arise and are often the subject of debate. It is not always the case that the presence of fog suspends laytime. In a recent case, the stevedores reported that fog affected their ability to discharge the cargo using the ship's cranes. Both parties presented conflicting evidence, as the SOF was unclear on this point.

SMA NO 3451