A dispute under a charterparty (FD&D)
A straightforward demurrage claim was rejected by Charterers/Sub-Charterers for all the wrong reasons and they simply refused to pay. Arbitration proceedings were expensive so our FD&D cover gave our customer comfort, in the knowledge that a successful legal recovery would not cost him too much. And should the award have turned out to be unfavourable, the costs of obtaining the award as well as the legal costs incurred by the opponents would have been covered by Charterers Liability too.
Back to Charterers Liability in practice.