23 August 2017

Supplier of components wins long-term arbitration case

Horten has conducted and won a comprehensive international arbitration case on behalf of Bollfilter Nordic ApS. Bollfilter Nordic ApS is part of the German group BOLL & KIRCH Filterbau GmbH, which is one of the world’s leading suppliers of filtration solutions, including to the maritime industry.

The proceedings concerned delivery of filtration machines with wire mesh for filtration of ballast water on tankers. The filtration machines were delivered to the Norwegian company OceanSaver AS as a component to the company’s ballast water treatment system, which was to be installed on a large number of newly-built tankers in Korea and China.  

After installation, the filtration machines did not work satisfactorily, and OceanSaver commenced arbitration proceedings in 2013. During the proceedings, OceanSaver claimed substantial compensation stating that the wire mesh filters were defective, and that Bollfilter Nordic ApS had acted with gross negligence. The parties’ contractual relationship was governed by NL 92.  

Several expert opinions were obtained, and after the main trial lasting six days in July 2017, the arbitration tribunal, headed by a Danish Supreme Court judge, delivered its award. The arbitration tribunal found in favour of Bollfilter Nordic, and OceanSaver was ordered to pay the costs of the proceedings and costs to Bollfilter Nordic.

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