Insights

As cyber crime is becoming an ever more prevalent risk for the shipping industry, BIMCO have published a Cyber Security Clause for use in charterparties and other contracts. The clause has been drafted in general terms so that it can easily be adopted into any contract and also, for instance, in a chain of charterparties to ensure that the various parties’ obligations are back to back.

The SUPPLYTIME 2017 form has been considered by the English courts for the first time since its publication. The case of Boskalis Offshore Marine Contracting BV v Atlantic Marine and Aviation LLP1 [2019] EWHC 1213 (Comm), related to the construction of the payment obligations under the SUPPLYTIME 2017, though the judgment could be relevant to similar payment provisions in other contracts.

Last week at the 74th MEPC Summit, the IMO considered a number of matters relating to the 0.5% sulphur limit taking effect on 1st January, 2020 and provided welcome guidance and clarity on various key issues. We summarise some of the key takeaways in this Soundings update.

On 8th May, 2019, a new US Executive Order (E.O.) was issued which imposes sanctions with respect to the iron, steel, aluminium, and copper sectors of Iran. Essentially, the new EO seeks to cut off trade to and from the Iranian metals industries and deny Iran access to nuclear weapon capabilities. There is a wind-down period of 90 days for any pre-existing business, but any new contracts after 8th of May, 2019 will be considered sanctionable.

OFAC have produced a “Framework for OFAC Compliance” which is said to apply to all OFAC imposed sanctions. OFAC suggests that compliance with these guidelines may ultimately influence OFAC's decision as to whether to designate a relevant person or entity to the SDN List.