A Hong Kong cargo shipper is suing a British Virgin Islands shipping company, alleging it failed to load cargo per a contract between the two parties.
Pacific Bulk Cape Company filed a lawsuit July 1 in the Houston Division for the Southern District of Texas against Refined Success, alleging breach of contract.
On Oct. 31, 2014, the suit states, Pacific Bulk entered into a voyage charter party agreement with Refined Success, in which Pacific Bulk agreed to carry and Refined Success agreed to load a cargo of iron ore aboard a vessel from Sierra Leone to China.
Pacific Bulk tendered a notice of readiness on Nov. 28, 2014, but Refined Success did not load any cargo between then and Dec. 31, 2014, the suit says.
The agreement provided for a rate of demurrage of $40,000 per day, and demurrage accrued for more than 26 days, therefore Pacific Bulk alleges Refined Success is liable to pay more than $1 million in demurrage, but it has failed to pay the outstanding balance.
Also as a result of the breached agreement, the suit alleges, Pacific Bulk lost earnings, which, together with the outstanding demurrage, total approximately $2.68 million.
Pacific Bulk seeks damages of more than $4 million, including attorney fees and court costs. It is represented by attorneys George M. Chalos and Briton P. Sparkman of Chalos & Co. in Houston.
Houston Division for the Southern District of Texas case number 4:15-cv-01881