Farstad Supply AS v Enviroco Ltd  UKSC 18;  WLR (D) 113
“A requirement in a charterparty for the owner to indemnify the charterer against claims resulting from loss or damage in relation to the vessel was not limited to a requirement for the owner to reimburse claims against the charterer by third parties but precluded the owner from recovering damages from the charterer in respect of the charterer’s own negligence. It followed that where it was alleged that the charterer and a third party had jointly caused damage to the vessel whilst it was berthed in Scotland and, because of the indemnity agreement, the owner sued only the third party in the Scots courts, the third party would not be able to claim a contribution under s 3(2) of the Law Reform (Miscellaneous Provisions) (Scotland) Act 1940 from the charterer as a ‘person who, if sued, might also have been held liable’.”
WLR Daily, 6th May 2010
Please note once a case has been fully reported in one of the ICLR series the corresponding WLR Daily summary is removed.