Speakers- Ola Granhus Mediås, Nordisk Defence Club
- Dorte Christensen, Hafnia
- Ann Shazell, Cargill
Session DescriptionOne of the workshops at the MACN Spring Meeting 2024 focused on the allocation of risks and operational or commercial consequences when the company rejects a corrupt demand. It was agreed that there is a need to find a more balanced approach between cargo owners, ship owners, and managers in terms of being responsible for these risks. The importance of involving the full trade chain was discussed e.g., not only traders but also cargo owners. The discussion was also focused on how a corrupt demand needs to be defined and the burden of proof that may lay on the captains to demonstrate they have taken adequate efforts to reject the corrupt demands but have been punished due to the rejection. It was also discussed that port state control inspections should be a specific focus as these inspections often have a larger commercial impact due to scoring by various vetting organizations. It was agreed to continue to focus on this and establish a working group. The group has since then met and agreed to review and suggest potential changes to the standard clauses in the market, which type of clause to focus on (voyage or time charter), and agreed to start to review the BIMCO clause (BIMCO has been kept informed about this). The working group also agreed to engage with vetting agencies with a focus on discussing the consequences and risks of being downgraded when rejecting a corrupt demand. The working group has suggested changes to the BIMCO clause and for this meeting, MACN seeks further input on these suggestions.
How to prepare for this sessionPlease review Appendix 2 and come prepared with comments and reflect on the following questions:
- How commercially viable would you consider a clause worded like this?
- What would be the benefit of this clause compared to the current landscape?
- Which changes would you be concerned with / could be problematic to get through in a charter party?
- Which other recommendations do you have for the clause?
- Which are the main disputes / pushback you see when seeking to include the original BIMCO Anti Corruption Clause; and
- what changes, if any, do you typically try to incorporate in the original BIMCO Anti Corruption Clause.
