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Don’t Demur on Demurrage

In April-May 2017’s Bunkerspot Magazine, firm Principal Steve Simms addresses some of the details of demurrage situations that bunker buyers, sellers and brokers often face and understanding the operation of demurrage in bunker purchases and deliveries. Most bunker deliveries involve bunker barges or tankers, or deliveries to or from bunkering piers. Bunker barge and tanker and pier operators, typically will have a certainly limited amount of time that the bunkers can be delivered. After that time runs there will be a demurrage charge which many bunker buyers and sellers have learned, can be significant.

A bunker buyer or seller should not delay in gaining some familiarity with these often unexpected or unexplained extra costs. Knowing in advance how and when demurrage is charged, and the amounts properly that can be charged, is essential to avoid surprises once receiving a bill for the bunkers.

Demurrage charges, expected or unexpected, also can cause problems for sellers who must consider whether they should pass the charges onto their customers, or customers (which can include traders buying from a physical supplier) presented with a bill passing through demurrage charges.

A full version of the article is available here.

For information and advice on navigating the upcoming developments in the bunkering industry, contact Steve Simms.

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Simms Showers LLP is conveniently located next to the Loudoun County Courthouse and other courthouses. Our criminal defense firm offers a free phone consultation for criminal or personal injury cases. Se habla español. Call Simms Showers LLP for quality legal counsel today at 703-771-4671 or contact us online.

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