This case arose from an explosion and fire on the MV Maersk Seoul. The plaintiff argued that this was caused by the violent decomposition of calcium hypochlorite in containers shipped by the defendant, and claimed more than USD 13 million, plus interest, for its losses arising from the explosion and fire, as well as further damages and a final anti-suit injunction in respect of legal proceedings brought by the defendant before the Indian courts in breach of an exclusive English jurisdiction agreement incorporated into the contracts of carriage, and in breach of an interim anti-suit injunction.

Held: Judgment for the plaintiff.

The goods were shipped on the Safmarine Terms of Carriage which provided that the

liabilities of the Carrier for loss of or damage to the Goods occurring between the time of acceptance by the Carrier of custody of the Goods at the Port of Loading and the time of the Carrier tendering the Goods for delivering at the Port of Discharge shall be determined in accordance with Articles 1-8 of the Hague Rules save as is otherwise provided in these Terms and Conditions. These articles of the Hague Rules shall apply as a matter of contract.

The plaintiff was obligated to: (a) exercise due diligence before and at the beginning of the voyage to make the vessel seaworthy pursuant to art 3.1; and (b) subject to the provisions of art 4, properly and carefully to load, handle, stow, carry, keep, care for, and discharge the cargo on board pursuant to art 3.2. The plaintiff operated a policy for the acceptance of dangerous goods on its vessels. This required (among other things) that only official UN-proofed drums were permitted, and that strong dunnage or plywood was to be inserted between each tier of drums to ensure that the bottom tier was not crushed. The containers stuffed by the defendant did not comply with these requirements.