Port of Dispute: When Is a Port Truly Unsafe?

🚢 Port of Dispute: When Is a Port Truly Unsafe?

Understanding the Legal and Operational Impact of Refusing a Port Call

❓Curiosity Triggers:

• Can a Master legally refuse to berth at a nominated port?
• Does declaring a port “unsafe” protect Owners from delays and claims?
• What risks do Charterers face when overriding safety objections?

 

⚖️ Clause Breakdown – The “Safe Port” Principle in Charter Parties

In time or voyage charter parties, it's standard for Charterers to nominate the loading or discharge ports. However, a long-standing principle of English maritime law—rooted in cases like The Eastern City (1958)—holds that Charterers may only nominate a “safe port.” If a port is deemed unsafe, Owners or Masters can lawfully refuse to proceed—but this comes with conditions.

📄 Charterer Protest Example: Lagos Port Dispute

In our current case, Owners refused to proceed to Lagos, citing safety concerns. Charterers issued a Letter of Protest arguing:

• The port is safe, customary, and operational.
• Vessels regularly discharge there without incident.
• The berth was nominated in line with industry norms.
• The pilot had already contacted the vessel to initiate berthing.

They further claim that the refusal is unjustified, and they reserve full rights to claim damages for delays.

⚠️ Legal & Operational Implications

• Safety is a high bar: A port is considered unsafe if, during the relevant time, the vessel cannot safely reach, use, and leave the port without risk to ship, cargo, or crew, assuming good seamanship.
• Mere risk isn’t enough: Past piracy, congestion, swell, or political issues must pose real-time and unavoidable danger.
• Burden of proof lies with Owners: If they refuse a port call, they must clearly substantiate the risk, including evidence and expert input.
• Charterers’ liability ends if Owners/Master decline a safe port—delays and damages may be on the Owners.

 

🔍 Examples & Pitfalls

• Case Reference: In The Livanita (2008), the court ruled that even a port with a history of attacks was not necessarily unsafe if precautions were in place.
• Practical Pitfall: Masters occasionally act conservatively and reject a berth out of overcaution. This could expose Owners to LOPs, off-hire claims, or demurrage.
• Port Pilots as Evidence: If pilots or port authorities confirm safe berthing conditions, Owners’ argument may be considerably weakened.

 

🧭 Actionable Steps for Stakeholders

✅ Ship Operators / Masters

• Always document detailed reasons (with weather, pilot info, Notices to Mariners) before declaring a port unsafe.
• Coordinate closely with DPA and legal team before rejecting employment orders.
• Communicate early with Charterers if port safety is in question.

✅ Owners

• Include clear port safety clause wording in CP (e.g., “in Owners’ reasonable judgment”).
• Maintain P&I guidance on high-risk ports.
• Avoid blanket port refusals unless backed by solid justification and evidence.

✅ Charterers

• Issue written voyage orders referencing safe, customary port usage.
• Engage with agents/pilots to record local conditions and establish rebuttal evidence.
• Include protective wording to hold Owners liable for unjustified refusals.

 

⚓ Conclusion – Navigating the Thin Line Between Caution and Breach

Declaring a port unsafe isn’t a decision to take lightly. It has legal, operational, and reputational consequences. While safety must never be compromised, unjustified refusals—especially at ports like Lagos that are globally active—can backfire.

Charterers must document safety assurances, while Owners must defend refusals with evidence. Collaboration is the real lifeline.

 

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⚠️ Disclaimer:

This blog post is for informational purposes only and does not constitute legal advice. Readers should consult their legal or P&I advisors for specific situations.