The Law of Shipbuilding Contracts examines the principles of English contract law as these apply to shipbuilding. The leading text on shipbuilding and marine construction, widely used by the global maritime community, this new edition is updated to account for the "long tail" effects of the global economic crisis on the sector.
The authors provide expert analysis on the key shipbuilding contract forms, including sections dealing with agreements ancillary to the shipbuilding contract and ship conversion contracts, together with — for the first time — contracts for the construction of offshore oil and gas vessels and units. The new edition has been comprehensively updated, including commentary on recent High Court decisions on shipbuilding contracts and, in particular, associated refund guarantees. The contractual and legal consequences of global economic turbulence and the resultant increase in the number and size of disputes in the shipbuilding sector are discussed, alongside coverage of other contemporary regulatory and legal issues resulting from environmental pressures and the trend for "cleaner", more efficient tonnage.
A comprehensive and authoritative resource, this book is essential reading for buyers and charterers of newbuilding tonnage, shipbuilders and offshore construction yards, shipbrokers, banks and other finance providers, lawyers and insurers working in the maritime and offshore oil and gas sectors, as well as students of maritime law.
About the Author
Simon Curtis is a Senior Counsel at Haynes and Boone CDG, LLP. Prior to this he was a Partner at Watson, Farley & Williams between 1986-1996 before becoming a founding Partner of Curtis Davis Garrard LLP in 1996. Simon is one of London’s most experienced maritime lawyers and lectures regularly on a range of shipbuilding and offshore issues, including contracts for the construction and employment of FPSOs and FSOs. He is also an elected Fellow of the Chartered Institute of Arbitrators.
Ian Gaunt is a Barrister (non-practising) and a Full Member of the London Maritime Arbitrators Association. He has been a full-time Arbitrator since 2008. He was previously a partner of a firm of London solicitors specialising in ship finance and shipbuilding transactions. From 1999 to 2008 he was Senior Vice President-International of Carnival Corporation where he was responsible to the Group CEO for the execution of the group shipbuilding programme. He is a board member of Maritime London, a member of the Baltic Exchange, a Fellow of the Chartered Institute of Arbitrators and a member of the arbitrator panels of several Chinese arbitral institutions. He has been President of the LMAA since 2017.
William Cecil is a Partner and London Head of Dispute Resolution at Haynes and Boone CDG, LLP. He has extensive experience in litigation and arbitration matters for clients in the shipping, offshore oil and gas and energy industries. Alongside his litigation and arbitration practice, he also assists clients in the drafting and negotiation of various forms of offshore contracts.
Table of Contents
PART ONE: Chapter One- Nature of the shipbuilding contract
PART TWO: Chapter Two- Formation of the shipbuilding contract
PART THREE: Chapter Three- Preamble
Chapter Four- Article I - Description and class
Chapter Five- Article II - Contract price and terms of payment
Chapter Six- III - Adjustment of contract price
Chapter Seven - Approval of plans and drawings and inspection during construction
Chapter Eight- – Modifications
Chapter Nine- – Trials
Chapter Ten- Article VII – Delivery
Chapter Eleven- Article VIII - Delays and extensions of time for delivery
Chapter Twelve- Article IX - Warranty of quality
Chapter Thirteen- Article X - Rescission by buyer
Chapter Fourteen- Article XI - Buyer's default
Chapter Fifteen- Article XII – Insurance
Chapter Sixteen- Article XIII - Dispute and arbitration
Chapter Seventeen- Article XIV - Right of assignment
Chapter Eighteen- Article XV - Taxes and duties
Chapter Nineteen- Article XVI - Patents, trademarks, copyrights etc
Chapter Twenty - Article XVII - Buyer's supplies
Chapter Twenty One- Article XVIII - Notice
Chapter Twenty Two- Article XIX - Effective date of contract
Chapter Twenty Three- Article XX – Interpretation
Chapter Twenty Four- Article XXI - Sundry provisions
Chapter Twenty Five- Guarantee
Chapter Twenty Six- Other typical shipbuilding contract terms
PART FOUR: Chapter Twenty Seven- Agreements ancillary to the shipbuilding contract
PART FIVE: Chapter Twenty Eight- Ship conversion contracts
Appendix A BIMCO NEWBUILDCON FORM
Appendix B ILU Institute Clauses for Builders’ Risks