Suez Canal Authority reduces damages claim against Ever Given owner

The Suez Canal Authority’s (SCA) claim against Japanese shipowner Shoei Kisen Kaisha over the grounding of the Ever Given, and subsequent six-day blockage of the waterway, has been reduced by some 30%.

Suez Canal Authority reduces damages claim against Ever Given owner

The Suez Canal Authority’s (SCA) claim against Japanese shipowner Shoei Kisen Kaisha over the grounding of the Ever Given, and subsequent six-day blockage of the waterway, has been reduced by some 30%.

 

SCA chairman Osama Rabie told Egyptian television channel MBC Masr the SCA had reduced its claim against the shipowner to $600m, from $916m.

 

After the vessel was re-floated at the end of March, it was towed to the Bitter Lake area of the canal where inspectors from classification society ABS found limited damage and said it could proceed to its next port of call.  However, an Egyptian court arrested the vessel after the SCA submitted the $916m claim. This included $300m for salvage and $300m for “loss of reputation”, but was rejected by the shipowner and its insurer, UK P&I Club, which described the claim as “largely unsupported”.

 

The next Egyptian court hearing is due to be held on 22nd May, which has been requested by the SCA to confirm the arrest of the vessel and its cargo and to validate their salvage claim.  There is a chance that the court may either appoint an expert to value the vessel and her cargo, or may order the auction of the vessel and her cargo.

 

Cargo insurers should be notified as soon as possible concerning this upcoming court case to safeguard cargo rights.

 

Sources : The Loadstar / CMA CGM