The German KG owner of a container ship has arrested a Chinese bulker in what lawyers believe is the first Indian court case involving a collision that happened outside the country’s territorial waters.
Elbsun GmBH & Co KG has arrested ATL Shipping’s 93,100-dwt New Legend (built 2012) to recover €2.26m ($2.45m) in costs it claims to have suffered when the post-panamax collided with its 889-teu feeder-size boxship Elbsun (built 2012) when it was anchored off Istanbul on 17 September 2023.
An arrest warrant was issued against the New Legend on Tuesday by Justice Abdul Quddhose in the High Court of Madras on Tuesday. The bulker, which is owned by a Hong Kong-registered special-purpose vehicle, is docked in Chennai.
Elbsun GmBH contends that it is owed full damages stemming from the collision due to the reckless navigation of the New Legend while manoeuvring in the Istanbul anchorage, which led to it colliding with the stationary container ship.
The shipowner told the court that despite assurances given by the New Legend’s owner that it would provide a letter of undertaking for the loss suffered by Elbsun GmBH, it has failed to do so for more than five months.
Elbsun GmBH’s claim includes €1.56m for repairs to the vessel, €527,833 for 51 days of loss of hire and interest calculated at 18%.
S&P Global data indicates that protection and indemnity coverage for the New Legend was provided by the American Club at the time of the collision but was switched to Skuld this month.
TradeWinds was unable to reach senior managers at ATL Shipping for comment
Shashank Agrawal of SSA Legal, along with counsel Parth Contractor, who acted for the interests of the Elbsun’s owners, told TradeWinds the arrest was “rightfully granted to secure the claims arising due to the significant damages on account of this collision”.
The two lawyers said they will continue to “aggressively pursue all legal remedies available before the Indian courts”.
17 September was a busy day for Turkey’s Directorate General of Coastal Safety. It also had to deal with a collision between Yasa Shipping’s 82,800-dwt bulk carrier Yasa Pioneer (built 2006) and the 18,300-gt ropax ferry Patria Seaways (built 1991), owned by Denmark’s DFDS.
Damage to both vessels required shipyard repairs.
