Legal Updates

A ship shifted from one pier to another at the port’s initiative is also to pay shifting fees

July 26, 2018
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A ship owned by a company incorporated in the Marshall Islands anchored in the port of Ashdod, but the port captain ordered it to move to another pier, which was being renovated at that time and therefore access to it was problematic. The ship did not request to receive services from the port but was nevertheless charged with a shifting fee (the cost of transferring the ship to another pier), berthage fees (payment for the stay of a ship by the pier), garbage removal fees and bilge water removal fees (payment for removal of water and other liquids gathered at the bottom of a ship).

The Court held that payment for garbage and bilge water removal does not require the ship's request for service and the fact that the port provides the services is sufficient to collect payment for it. Berthage fees are levied because a ship was located at the pier and therefore even if the access was problematic due to renovations, the port may charge a fee.  With regard to the shifting, the port has the authority to order the transfer of a vessel from a pier to pier in order to prevent an obstacle to another ship entering the pier for the purpose of loading or reducing danger and damage to other vessels.  In such a case, the port is may collect shifting fees from the ship.