The Commercial Court recently settled a longstanding debate in the case of Star Axe I LLC v. Royal and Sun Alliance Luxembourg S.A. & Others (Star Antares) [2023] EWHC 2784 regarding the application of York-Antwerp Rules (YAR) in relation to general average (GA) adjustments. The dispute arose when a claimant vessel, covered by the standard Congenbill 1994 form, suffered damage, leading to a GA declaration.

The central question was whether YAR 1994 or YAR 2016 governed the rights and obligations of the parties, as per clause (3) of Congenbill 1994. The claimant argued for YAR 1994, while the defendants contended that an 'inbuilt updating mechanism' made the most recent version, YAR 2016, applicable.

The Court sided with the defendants, emphasizing the reasonable anticipation of further YAR versions after the drafting of Congenbill 1994. The decision highlighted that the term 'any subsequent modification' in clause (3) encompasses new versions of YAR, supporting the idea that YAR 2004 and YAR 2016 could be considered as 'modifications' of YAR 1994. The Court's interpretation aimed to align GA adjustments with evolving developments in shipborne commerce, in line with the objectives of the Comite Maritime International.

This legal resolution provides clarity on the applicable YAR version, marking a significant decision for the maritime industry and ensuring that GA adjustments remain synchronized with the dynamic landscape of shipping commerce.**

SOURCE:GOOGLE