Ningbo Maritime Court hailed for efficient resolution of maritime dispute

(english.court.gov.cn)      Updated : 2024-05-16

Ningbo Maritime Court, a specialized court for hearing first-instance maritime disputes in East China's Zhejiang province, has successfully handled a case of international maritime dispute, which involved the collision of two foreign vessels in the Strait of the Malacca. 

A judgment made by the court on the case came into effect on April 23. 

The incident occurred in September 2022 in the bustling waters of the strait, involving a Liberian container ship owned by Company A and a Panamanian oil tanker owned by Company B, with both being severely damaged in the collision. 

Finding themselves in a judicial conundrum regarding jurisdiction, both companies opted to submit their case to Ningbo Maritime Court. 

The rich experience and high efficiency exhibited by Ningbo Maritime Court in handling international ship collision cases made it a preferred choice for the two parties, said the lawyer representing Company A, who is surnamed Tong. 

Delving into contentious issues such as liability determination and loss assessment, the court meticulously went through over 2,600 pages of case materials in both Chinese and English. After a thorough study of the arguments from both sides, the court issued a judgment that Company A and Company B were to bear the accident liability in a 1:9 ratio, with Company B ordered to compensate Company A over 34 million yuan ($4.7 million) for the losses incurred. 

"Throughout the whole adjudication process, we can sense the trust of the parties involved in the case in Chinese law and maritime justice," said Du Qian, president of the Ningbo Maritime Court. 

In such foreign-related civil disputes, parties can agree on which country's laws should apply to the case. Both parties responded with trust in the Chinese court and the Chinese legal system upon inquiry. 

Following the enforcement of the judgment, the lawyer surnamed Xu who represents Company B expressed appreciation for the court’s efficiency, its professional analysis of nautical charts, and application of international conventions, saying it demonstrates China's favorable environment governed by a sound legal framework. 

As China's institutional opening-up progresses further, the Zhejiang Free Trade Zone has attracted more foreign vessels for services like bonded ship repairs and bonded fuel oil filling, leading to an increase in foreign-related maritime disputes. Ningbo Maritime Court resolves various foreign-related disputes impartially and efficiently, leading more Chinese and foreign parties to voluntarily choose the court for dispute resolution. In 2023, the court saw a 36-percent year-on-year increase in the number of foreign-related maritime disputes it has handled, including those related to Hong Kong, Macao, and Taiwan. 

"Maintaining a high level of opening-up requires a world-class and market-oriented business environment governed by a sound legal framework," said Shen Qiuming, a professor from the School of Law at Shanghai Maritime University. 

Ningbo Maritime Court's commitment to innovation in foreign maritime adjudication and judicial services has positioned itself as a preferred destination for resolving international maritime disputes, enhancing China's influence in this field, and offering Chinese wisdom in resolving international maritime disputes, Shen said.