Shore Strikes: Overtime ban causes delays and diversions

An Assured operated a regular liner service between Northern Europe and the Iberian Peninsula. There was a period during which the stevedores at Lisbon at various times were either on strike or operating an overtime ban. The Assured already had one vessel caught in Lisbon as a result of this action, causing a delay of some 6½ days, and had another vessel also due to berth at Lisbon to discharge cargo.

Transmarine compensated the Assured at the agreed daily sum insured in respect of the delay suffered by the first vessel. To avoid delays being encountered at Lisbon, the Assured took the decision to divert the second vessel to an alternative discharge port, Leixoes. Whilst some receivers were persuaded to collect their cargo at Leixoes, other cargo had to be trucked, at the Assured’s expense, to Lisbon. Since the Assured was able to demonstrate that a 5 day delay had been avoided as a result of the diversion to Leixoes, Transmarine was able to reimburse the Assured for the additional expenses that had been incurred in forwarding the cargo to Lisbon.