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HIGH COURT OF GUJARAT
BIREN VAISHNAV, DEVAN M. DESAI
Hind Offshore Private Limited – Appellant
Versus
Praxis Energy Agents DMCC – Respondent
ORDER :
(BIREN VAISHNAV, J.)
1. This OJ Appeal has been filed by the original defendant in Admiralty Suit No. 26 of 2017. The appellant had filed an application before the learned Single Judge to vacate and/or set aside the ex-parte order of arrest dated 07.10.2017 in the present suit. The learned Single Judge by an IA judgement dated 14.11.2022 dismissed the application.
2. Facts in a nutshell have been set out by the learned Single Judge which read as under:
“3. The facts in nutshell are that the applicant is the registered owner of the defendant-vessel which is an Indian Flagged Vessel. The applicant is a company incorporated under the laws of India and has entered appearance before this Court under protest for the limited purpose of vacating the order of arrest dated 07.10.2017 passed against the defendant-vessel.
4. It is the case of the applicant that the plaintiff has no maritime lien against the defendant-Vessel as per the provision of section 9 of the Admiralty (Jurisdiction And Settlement Of Maritime Claims) Act, 2017 [for short ‘the Admiralty Act’] as the applicant has already given the vessel on time charter basis to one Asiana Offshore PTE Limited on 01.02.2017, who, in tur
A maritime lien for bunker supplies requires a direct contractual relationship between the supplier and the vessel owner; the absence of such a relationship negates liability.
A maritime claim can be pursued in rem against a vessel owned by a time charterer, provided the owner is liable for the claim, regardless of applicable insolvency laws.
Maritime liens can attach to a ship despite ownership changes, but claimants must prove supply and contractual relationships clearly.
The supply of bunkers constitutes a maritime claim enforceable in rem under the Admiralty Act, justifying the arrest of the vessel for non-payment.
A breach of contract in maritime agreements may support claims for damages and penalties under the Admiralty Act 2017, classifying such disputes as maritime claims.
The court affirmed that a breach of contract under the Admiralty Act justifies a maritime claim, requiring the defendant to furnish security for damages due to failure in contractual obligations.
The court confirmed that maritime claims under the Admiralty Act, 2017 allow arresting a vessel for dues irrespective of ownership, emphasizing the ship's distinct legal personality.
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