WORLD Court says Suez authority can hold container ship


Court says Suez authority can hold container ship


22:50, May 24, 2021

The Ever Given, one of the world's largest container ships

An Egyptian court on Sunday rejected a complaint by the Japanese owner of a container ship that blocked traffic in the Suez Canal for six days in March against the vessel's continued detention by canal authorities, a lawyer said.

The Ever Given, one of the world's largest container ships, became jammed across the canal in high winds on March 23, halting traffic in both directions and disrupting global trade.

The complaint was attached to a case at the economic court in Ismailia in which the Suez Canal Authority sought US$916 million in compensation from the Ever Given's owner Shoei Kisen.

Also on Sunday, the head of the SCA suggested the canal could accept the reduced sum of US$550 million, slightly lower than the US$600 million he had mentioned earlier this month for a potential out of court settlement.

SCA Chairman Osama Rabie said a US$200 million deposit could be enough to secure the ship's release, with the rest payable separately.

The Ismailia court on Sunday referred the case back to a court of first instance, which is due to consider it on Saturday, said Ahmed Abu Ali, one of the lawyers representing the owner.

Any ruling by the lower court could trigger appeals, said another lawyer, Ahmed Abu Shanab, indicating that legal wrangling could drag on.

In a statement after Sunday's ruling the SCA said it bore no responsibility for the Ever Given's grounding, reasserting that responsibility lay with the ship's captain alone, and rebutting arguments made a day before by Shoei Kisen's legal team.

It also broke down its US$916 million claim, citing the costs of freeing the ship and a salvage bonus stipulated in maritime law, material and reputational damage, and the diversion of some shipping. One boat sank during the operation to free the ship, resulting in the death of a worker, the SCA said.

Terms of Service & Privacy Policy

We have updated our privacy policy to comply with the latest laws and regulations. The updated policy explains the mechanism of how we collect and treat your personal data. You can learn more about the rights you have by reading our terms of service. Please read them carefully. By clicking AGREE, you indicate that you have read and agreed to our privacy policies

Agree and continue