Scotland | 01 September 2010
There have been two very interesting appeal court decisions recently arising out of the same incident of an engine room fire on board the vessel ‘MV Far Service’ (the vessel) in July 2002. The first stems from the Scots court proceedings raised by Farstad Supply AS (Farstad), the owners of the vessel against contractors Enviroco Ltd (Enviroco), whose employees were carrying out tank cleaning services on the vessel at the time of the engine room fire. The Supreme Court overturned the decision of the Inner House in Scotland and approved the opinion of the judge of first instance, Lord Hodge (Farstad Supply AS v Enviroco Ltd & anor  – ‘The Scottish Proceedings’). The second decision relates to proceedings issued in the Chancery Division of the High Court in London by Enviroco against Farstad, which were subject to an appeal to the Court of Appeal (Enviroco Ltd v Farstad Supply AS  – ‘The English Proceedings’).