Citgo Asphalt Refining Co. v. Frescati Shipping Co. (Athos I)
Supreme Court of the United States, March 30, 2020
The U.S. Supreme Court holds a safe berth clause in a voyage charter is a guarantee of ship’s safety and affirms liability in contractual safe berth clause. The Court rejected the argument by the terminal that the traditional safe berth warranty in charter parties is not absolute but is instead simply one of due diligence. In doing so, the Court accepted the Second and Third Circuits’ view of the warranty, which comports with the traditional analysis, and rejected that espoused by the Fifth Circuit Court of Appeals in the Zen-Noh case in 1990.
The full opinion is available at http://www.americanmaritimecases.com/