Senior Reporter
derek.achong@guardian.co.tt
ANSA McAL, and one of its subsidiaries, have emerged victorious in a multi-million dollar legal battle with the German shipping giant Hapag-Lloyd AG over a shipment of chemicals which spilled after leaving T&T.
In a decision delivered on Thursday, High Court Judge Margaret Mohammed dismissed an application from Hapag-Lloyd seeking a summary judgment against the local conglomerate and its subsidiary Alstons Shipping Ltd.
Justice Mohammed analysed the evidence presented by the both sets of companies and ruled that Hapag-Lloyd did not have a realistic prospect of proving that the local companies were responsible for the spill by misrepresenting information related to the shipment.
Based on her findings, Justice Mohammed struck out the case against the companies and ordered Hapag-Lloyd to pay them the significant legal costs they incurred in defending the litigation.
The lawsuit centred around three shipments to India, arranged by the companies for a third party West Indian Logistics Ltd in 2021.
Hapag-Lloyd claimed that West Indian Logistics overfilled the chemical in 24,000 litre flexible containers, which did not contain exhaust values to release pressure building within.
It claimed that ANSA McAL and its subsidiary improperly described the shipment as “fuel oil in flexibag (non-hazardous)” and failed to obtain its consent before facilitating such transport of dangerous goods.
It contended that the flexibags began leaking while en-route causing damage to other shipping containers on its vessels.
It claimed that the leaks delayed one ship by 81 days in Jamaica as it polluted an area of the Kingston Port and soiled other vessels.
Through the lawsuit, Hapag-Lloyd was seeking to have ANSA McAL, Alstons Shipping and West Indian Logistics compensate it for the losses it sustained as a result of the leaks, which it estimated to be US$7,289,622.45 and EUR 1,143,949.46.
In response to the lawsuit, ANSA McAL and its subsidiary denied any wrongdoing.
It claimed that it merely acted as the local agent for Hapag-Lloyd and only facilitated the shipments based on representations made by officials of Hapag-Lloyd’s United States subsidiary.
They also contended that they were not responsible for the wrong description of the goods and such information was provided by West Indian Logistics and an official of US-based Avani Environmental Group, which hired the former to assist with the shipment.
In determining the case, Justice Mohammed found merit in the claims made by ANSA McAL and its subsidiary, trading as ANSA Logistics.
She found that there was no contract of carriage between ANSA Logistics and Hapag-Lloyd and Alstons could not be held liable for the alleged misrepresentation over the nature of the shipments.
“The claimant has no realistic prospect of successfully proving the second defendant (Alstons) breached any common law duty of care or was negligent with respect to the contents of the goods in the containers as the Second Defendant’s participation in the transaction was limited, as agent for the claimant,” Justice Mohammed said.
“In this capacity, the second defendant facilitated the requests made by the claimant’s customer by making the bookings and the bills of lading based on information provided to it by Mr Haridat of Avani,” she added.
She also found that Hapag-Lloyd was not entitled to restitution from the companies as there was no evidence that the companies obtained by unjust benefit or gain as a consequence of the incidents.
The outcome means that the case will now continue only against West Indian Logistics.
ANSA McAL and its subsidiary were represented by Shiv Sharma, Asif Hosein-Shah, and Nyree Alfonso. Hapag-Lloyd was represented by Marguerite Woodstock-Riley, KC, and Curtis Cave.
