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Gard News 179 - The unusual case of the enforceable letter of indemnity


An article in issue 178 of Gard News1 reported on the LAEMTHONG GLORY case, in which the English High Court had decided that, given the circumstances of that case, the shipowner could enforce against the receiver the terms of the letter of indemnity (LOI) given by the receiver to the charterer, even though the shipowners was not, directly, a party to that LOI.

The receiver appealed this decision to the Court of Appeal, but the Court of Appeal has upheld both the reasoning and the decision of the High Court.

It remains to be seen whether the receiver attempts to appeal to the House of Lords.

1 The unusual case of the enforceable letter of indemnity”.

 

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Gard News is published quarterly by Gard AS, Arendal, Norway.