Question
On 1 January 2016 a fully laden ship, M/V Theon was on its maiden journey to Port Rockfort, England, where she ran into a storm
On 1 January 2016 a fully laden ship, M/V Theon was on its maiden journey to Port Rockfort, England, where she ran into a storm and suffered extensive damage to her hull. The ship was carrying High Quality Malaysian rice and Dates The Dates had been shipped under bills of lading making the freight payable upon delivery. Due to damages sustained, M/V Theon sunk during her course of the voyage and was subsequently refloated by Cool Savers Company. On arrival at the port of discharge it was found that the Dates did not retain the appearance of Dates and has started fermenting. The consignee noting this refused the shipment. The rice was wetted as a result of the sinking of M/V Theon, additionally, because of the fermenting of the Dates, there was some seepage into the holds of the rice, thus further contaminating some of the shipment. Following its discharge at Port Rockfort, M/V Theon was enroute to a shipyard in England to commence repairs when rough seas caused the vessel to sink once more dislocating sections of her superstructure to mere steel and aluminum alloys. MIV Theon sustained damages totalling US$16,500. The particulars being that the assessed value of a ship before damage was US$17,500, its insured value was only US$15,000. It was so badly damaged that it would have cost US$16,500 to repair, but it was assessed that its value after those repairs would be only US$10,000. Contacts were made with the insurance company on January 03,2016, state what is inherent vice in Maritime insurance, and how it could be used in the defense of the shipowner in this particular case?
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