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Incorporation – date and names of parties to charterparty to be incorporated left blank in bill of lading – head charter held to have been incorporated

The Facts

Molasses was shipped from Recife, Brazil to two US Gulf ports at charterers’ option.

The head charter was a tank motor vessel voyage charterparty. Head charterers sub-chartered to sub-charterers who were also the purchasers of the cargo and holders of the bills of lading.

Sub-charterers sub-sub-chartered the vessel.

The head charter contained an English choice of law clause and a London arbitration clause.

The head charter and first sub-charter were back to back but the sub sub charter stipulated that the proper law was to be the law of the flag of the vessel i.e. Liberia.

The vessel went down with the Master and Chief Officer.

Sub charterers / cargo owners were given leave to serve outside British jurisdiction by Donaldson J.

The vessel owners appealed.


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Charter Party Casebook