Canpotex Shipping Services Ltd. et al. v. Marine Petrobulk Ltd. et al., 2015 FC 1108

• Judge: Russell, J.
• Court: Federal Court (Canada)
• Case Date: July 16, 2015
• Jurisdiction: Canada (Federal)
• Citations: 2015 FC 1108;[2015] F.T.R. TBEd. SE.070

Canpotex Shipping v. Marine Petrobulk, [2015] F.T.R. TBEd. SE.070

MLB being edited

Currently being edited for F.T.R. - judgment temporarily in rough form.

Temp. Cite: [2015] F.T.R. TBEd. SE.070

Canpotex Shipping Services Limited, Norr Systems Pte. Ltd., Oldendorff Carriers GmbH & Co. K.G. and Star Navigation Corporation S.A. (plaintiffs) v. Marine Petrobulk Ltd., O.W. Supply & Trading A/S, O.W. Bunkers (UK) Limited, ING Bank N.V., Ian David Green, Anthony Victor Lomas and Paul David Copley in their capacities as receivers of certain assets of the defendants O.W. Supply & Trading A/S and O.W. Bunkers (UK) Limited and Others (defendants)

(T-109-15; 2015 FC 1108)

Indexed As: Canpotex Shipping Services Ltd. et al. v. Marine Petrobulk Ltd. et al.

Federal Court

Russell, J.

September 23, 2015.

Summary:

This dispute arose from contracts for the purchase of marine bunkers by Canpotex Shipping Services Ltd. from O.W. Supply & Trading A/S for vessels that Canpotex chartered. The physical supplier of the fuel was Marine Petrobulk Ltd. Pursuant to an Order of Prothonotary Lafrenière (March 27, 2015), Canpotex paid USD$661,050.63 into trust which was to be treated as the equivalent to a payment into court. Canpotex applied for summary judgment to the effect that its payment into court has extinguished any liabilities against Canpotex. ING Bank and the receivers of O.W. Supply & Trading A/S applied for summary judgment for a declaration that ING was entitled to the funds. Marine Petrobulk Ltd. applied for summary judgment that it was entitled to the funds.

The Federal Court discussed the availability of interpleader under Federal Court Rule 108 in this type of situation. The court determined how the funds should be distributed.

Admiralty - Topic 8347.2

Practice - Action in rem - Liens - Maritime liens - Foreign vessels (Marine Liability Act, s. 139) - See paragraphs 138 to 147.

Practice - Topic 3412

Interim proceedings - Interpleader - When available - See paragraphs 90 to 109.

Practice - Topic 3678

Evidence - Affidavits - Use of - Affidavits made on information and belief - See paragraphs 110 to 116.

Practice - Topic 3679

Evidence - Affidavits - Use of - Affidavits - Evidence - Admissibility - See paragraphs 110 to 116.

Practice - Topic 3682

Evidence - Affidavits - Use of - Interlocutory applications and motions - Application for summary judgment - See paragraphs 110 to 116.

Shipping and Navigation - Topic 814

Ships - Charter of ships - Contracts for supply of bunkers - See paragraphs 120 to 147.

Counsel:

Jason Lattanzio and Steve Carey, for the plaintiffs;

H. Peter Swanson and Megan Nicholls, for the defendants, Marine Petrobulk Ltd.;

Warren B. Milman and Julia Lockhart, for the defendants, ING Bank N.V., Ian David Green, Anthony Victor Lomas and Paul David Copley in their capacities as receivers of certain assets of the defendants O.W. Supply & Trading A/S, and O.W. Bunkers (UK) Limited and Others.

Solicitors of Record:

Alexander Holburn Beaudin + Lang, LLP, Vancouver, British Columbia, for the plaintiffs;

Bernard, LLP, Vancouver, British Columbia, for the defendants, Marine Petrobulk Ltd.;

McCarthy Tetrault, LLP, Vancouver, British Columbia, for the defendants, ING Bank N.V., Ian David Green, Anthony Victor Lomas and Paul David Copley in their capacities as receivers of certain assets of the defendants O.W. Supply & Trading A/S, and O.W. Bunkers (UK) Limited and Others.

This application was heard in Vancouver, British Columbia, on July 16, 2015, before Russell, J., of the Federal Court, who delivered the following decision in Ottawa, Ontario, on September 23, 2015.