On 19 June 2015, the Commercial Court gave judgment in DE-RENDITE FONDS NR. 106 VLCC TITAN GLORY GMBH & CO TANKSCHIFF KG & 7 Ors -v- TITAN MARITIME S.A, Panama & 8 Ors (“TITAN GLORY”) for sums exceeding USD 250 million in an application for summary judgment on the claims and strike out of the defence.
The claim is the second action brought by the Claimants against the Defendants arising from a series of time charterparties entered into between 2004 and 2007, when market rates were substantially higher than they are today.
Given the change in the market rates, the parties entered into a Charter Restructuring Agreement (CRA) which provided for lower rates of hire to be paid on an on-going basis and for the difference to be paid on redelivery.
The Defendants failed to pay hire at the newly agreed rates which led to an action which came before the Commercial Court in which judgment was given in November 2013 (DS-Rendite Fonds Nr. 106 VLCC Titan Glory GmbH & Co Tankschiff KG & Ors -v- Titan Maritime SA & Ors [2013 EWHC 3492]), with judgments in that action given in favour of the Claimants in excess of USD 50 million.