More Than 60 Million Yuan of Goods Detention at the Port, Maritime Injunction to Help Owners Timely Stop Loss

　　A dispute between a foreign shipowner and a charterer led to a company in Shanghai being implicated for no apparent reason, and goods worth more than RMB 60 million were detained at the port and could not be picked up.

　　"Please help us, If the problem is still unresolved, we"ll have to bear high stacking fees, and liquidated damages." In desperation, the company applied to Qingdao Maritime Court for a maritime injunction. After examination, the applicant holds a full set of original named bill of lading, and is the consignee of the bill of lading. Thus they have the right to request the other party to deliver the goods. The applicant filed a maritime injunction application in accordance with the provisions of the law. Then the Qingdao Maritime Court in accordance with the law to make a maritime injunction order a foreign shipowner to immediately deliver the goods to the owner of the goods. In this regard, the shipping agency said that they would unconditionally implement. Consequently, a difficult dispute was successfully resolved.

　　More Than $60 Million in Goods Detention at the Port

　　In the cargo stacking area of a port in Rizhao, two small mountains of petroleum coke are stacked in the site, covered with a green tarpaulin to prevent dust. "Due to the other party"s delay in handling the relevant formalities, now this batch of goods can only be piled up at the port." Mr Han, the freight forwarder of the Shanghai company, said that at the beginning of this year, the Shanghai company bought about 50,000 tonnes of petroleum coke from abroad, the total value of which was more than 60 million RMB, and it was carried by a foreign shipping company. In March this year, the carrier ship arrived at the port of Rizhao, but because of the foreign shipowner and charterers under the lease there are sea freight as well as demurrage disputes, the ship has not been port discharge.

　　It was not until the end of April that the ship docked to unload the cargo, but after unloading the foreign shipowner still refused to release the cargo to the Shanghai company. "We negotiated by sending lawyers" letters and many other ways, but there was no progress." Mr Han said.

　　The Owner of the Goods is Implicated in the Delay in Getting the Goods for No Reason.

　　"We are innocent in this matter, and the conflict between the foreign shipowner and the charterer should not be borne by us." Mr Han claimed that, firstly, even if there was a dispute over the unpaid sea freight and demurrage under the charter party in question. We, as the holder and consignee of the bill of lading in question and the owner of the goods in question, were not a party to the charter party in question, and had no relationship with, and were not obliged to bear the unpaid disputes over the aforesaid sea freight and demurrage under the charter party in question. Secondly, the Respondent, as the carrier of the bill of lading in question and as the shipping agent responsible for releasing the goods at the port of discharge on behalf of the carrier, was not entitled to and could not refuse to release the goods on the ground that the dispute over the unpaid ocean freight and demurrage under the lease in question had nothing to do with the Claimant. And thirdly, even if the refusal to release the goods was an act of lien of the goods by the respondent as the carrier, this lien is invalid because it violates the mandatory legal provisions of Article 87 of the Maritime Law of the People"s Republic of China, which stipulates that the carrier may retain its goods within a reasonable limit and other mandatory provisions. According to Article 87, "it" refers to the contractual debtor in arrears to the carrier"s charges, rather than an innocent third party in the article 87. Therefore, the respondent"s refusal to release the goods to the applicant constitutes a breach of the respondent"s obligation to deliver the goods to the applicant as the consignee under the bill of lading in question and the sea freight contract evidenced therein, and the respondent shall bear and compensate for the economic loss suffered by the applicant as a result of such a breach. "More importantly, foreign shipowner’s serious wrongful act of refusing to release the goods has already resulted in our inability to fulfil our delivery and other obligations to our downstream customers to deliver the goods in question in a timely manner, and we are facing the risk of suffering a huge loss claim and significant economic losses!" Mr Han said. Moreover, so many goods were refused to release the goods for a long time stockpiled in the unloading port terminal, will not only inevitably incur a considerable amount of stacking fees and other related costs, greatly increasing the goods involved in the occurrence of cargo loss and cargo difference of the additional significant potential risk, as well as the goods involved in the decline in the market price of the goods brought about by the significant economic losses but also has a serious impact on the end-users of the goods involved in the factory to disrupt the normal production of the order.

　　Maritime Injunction Helps the Company Seek Justice

　　"If you choose to litigate with the foreign shipowner to solve the problem, there will be no result in a short period of time, really worried about us." Mr Han said. When the company at a loss, they by chance through the lawyer to understand maritime litigation and maritime injunction can solve the current difficulties encountered by the company. In early June, they applied for maritime injunction to the Qingdao Maritime Court Rizhao Tribunal.

　　Upon receipt of the application, the case officer of the Rizhao Tribunal immediately examined the materials submitted by the Shanghai company. After examination, the Shanghai company holds a full set of original named bill of lading, and is the consignee stated in the bill of lading, has the right to request the carrier to deliver the goods. The maritime injunction application made by the applicant was in accordance with the law, and the Qingdao Maritime Court made a maritime injunction ordering the foreign shipowner to deliver the goods to the Shanghai company immediately.

　　In order to equally protect the rights and interests of Chinese and foreign parties, the Qingdao Maritime Court also innovated the implementation of maritime injunction process. Before formally making the maritime injunction, the court issued a maritime injunction pre-notification to the foreign shipowner and organized the hearing in time. On the one hand, it can urge the two sides to communicate in a timely manner as far as possible to negotiate a solution. On the other hand, it also facilitates the timely listening to the views of the shipowner to ensure that made the maritime injunction lawful and compliant.

　　Efficient Performance of Duties Wins Recognition from Both Chinese and Foreign Sides

　　After everything was properly handled, the judge in the case served the maritime injunction on the shipping agency in accordance with the law. "We, as the discharge port shipping agency, need to operate in accordance with the instructions of the shipowner, the shipowner directs us not to release the goods, we need to obey." The shipping agency company said, but Qingdao Maritime Court made a maritime injunction, they have to implement unconditionally. Except that, the maritime court has issued maritime injunction pre-notice to them before. "The practice of pre-notification is very humane, so that we can give timely feedback to our foreign shipowner, and also gain its understanding of our work."

　　"Qingdao Maritime Court Rizhao Tribunal made a maritime injunction quickly according to the law, which safeguarded the legitimate rights and interests of the enterprise, and we are very grateful to the judge who handled the case!" After learning that the matter was successfully resolved, the relevant person in charge of the Shanghai company also expressed his gratitude to the judge.

　　Next step, Qingdao Maritime Court will continue to give full play to maritime injunction, ship arrest order and other exclusive maritime judicial functions, committed to equally protect Chinese and foreign parties and endeavour to create a favourable rule of law environment，and strives to create a good environment for the rule of law and provides excellent maritime judicial guarantee for a high level of opening up and high-quality development of the marine economy.