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Maritime and Offshore Emergency Response Team
Konkursbo
Innovation and digitalisation
Sustainability, Ocean Industries, Technology and digitalisation, Renewable energy and infrastructure, Shipping Offshore
Partner in the One Ocean Expedition
Wikborg Rein is proud to partner and fully support the United Nations Decade of Ocean Science for Sustainable Development in the project: The One Ocean Expedition.
Les vår Shipping Offshore Update Desember 2020
I denne Shipping Offshore Update tar vi opp den juridiske utviklingen knyttet til shipping og offshore markedene.
Read our Shipping Offshore Update December 2020
In this Shipping Offshore Update we seek to address the legal developments relating to the shipping and offshore markets
Shipping Offshore, Litigation and Arbitration
Arbitrator bias and the duty of disclosure: Supreme Court adopts a pragmatic approach
When parties agree in a contract that any disputes arising from that contract will be referred to arbitration, they hope that any tribunal that will be appointed will be free of bias and approach the matter fairly. One of the long running debates, particularly in specialist fields where there has traditionally been a limited pool of arbitrators, is to what extent arbitrators need to disclose previous relationships with the parties to an arbitration or their lawyers.
Marine liquid hydrogen value chain– considerations
A complete liquid hydrogen value chain is currently in development on the west coast of Norway. What are the key issues affecting the development of such a large scale cooperation project?
Shipping Offshore, Maritime and Offshore Emergency Response
"Full City" – 5 key takeaways from the limitation fund proceedings
In November 2020, the limitation fund established following the grounding of the "Full City" near Langesund, Norway, in 2009 was finally distributed. The limitation fund proceedings, which ran in parallel with the proceedings concerning the limitation fund established following the "Server" casualty in 2007, have helped clarify several procedural aspects of limitation funds.
Shipping Offshore, Ocean Industries
The London Dumping Regime – taking a lead in developing a legal framework for ocean fertilization activities
Contracting Parties to the Convention on the Prevention of Marine Pollution by Dumping of Wastes and Other Matter 1972 (the London Convention) and the 1996 London Protocol have taken steps to address potential harm to the marine environment from the evaluation of new experimental technologies designed to reduce carbon dioxide in the atmosphere.
Shipping Offshore, Fisheries and Aquaculture
Offshore floating wind turbines and deepwater fish farms – different frameworks for success
The regulatory framework that exists within the shipping and offshore industries is long established. Whilst the existing framework effectively extends to also encompass the offshore floating wind sector in Norway, the same cannot be said for deepwater fish farms.
"Fisktrans" – withdrawal of wreck removal order following consideration of proportionality
In a recent administrative appeal decision, the Norwegian Coastal Administration (the "NCA") Head Office reversed the wreck removal order issued by the NCA Emergency Response Centre in respect of the "Fisktrans" which sank in Northern Norway in 2017. The decision confirms that the pollution authorities shall consider the proportionality of the measures ordered when exercising their administrative discretion.
BIMCO: SHIPLEASE
September 2020 has seen the recent publication of the new "SHIPLEASE" indicative term sheet by the Baltic and International Maritime Council (BIMCO). SHIPLEASE has been drafted to provide the first set of standard terms and conditions for sale and leaseback transactions of second-hand vessels.
International enforcement of arbitral awards
The New York Convention allows for recognition and enforcement of international arbitral awards in most states. In this article, we outline the main steps of the process of enforcing international arbitral awards, adding our practical insight on the peculiarities of specific jurisdictions
Imposing conditions to contractual consent – is it reasonable?
In the recent decision in Apache North Sea Ltd v INEOS FPS Ltd [2020] EWHC 2081 (Comm), the Commercial Court has provided guidance on the interpretation of consent provisions in a contract where such consent is not to be "unreasonably withheld".
Navigating floating LNG projects – hints and tips for owners
In this article, we explore some of the key issues facing vessel owners when bidding for and negotiating floating LNG projects, whether for FLNG units (floating liquefaction) or FSRUs (floating storage and regasification)
When is the law applying to an arbitration agreement not the same as the law applying to the contract?
In Enka Insaat Ve Sanayi AS v OOO Insurance Company Chubb [2020] UKSC 38 the UK Supreme Court has (by a 3:2 majority) recently clarified that, in the absence of an express choice of law, the law governing the validity and scope of the arbitration agreement is that of the seat of the arbitration and not the law applicable to the contract.
Shipping Offshore, Litigation and Arbitration, Oil and gas
ICC launches revised Rules for Arbitration: Considerations for commercial parties in the offshore sector
Due to the coronavirus pandemic, conducting arbitration proceedings in 2020 has been challenging for many parties. As a result, several institutions have recognised the need for further developments in procedure and thus this year has resulted in numerous revisions to rules; including the most recent updates of the ICC Arbitration Rules (the "Rules").
Shipping Offshore, Maritime and Offshore Emergency Response, Ocean Industries, Environmental Law
Maritime casualties in the High North
As noted in the white paper on Norway's Arctic policy (the High North Report), maritime activities in the High North are expected to increase as a result of improved accessibility resulting from melting sea-ice, the high potential for increased commercial exploitation of marine and offshore resources, and successful marketing of the Arctic as a tourist destination. With increased activities comes an increased risk of accidents.
Shipping Offshore, Environmental law, Sustainability, Ocean Industries
The High North Report – an "ocean of opportunities"?
On 27 November 2020 the Norwegian government presented a white paper on the High North with the title "People, opportunities and Norwegian interests in the Arctic" (the "High North Report"). The report is the first white paper on the Northern region in nine years, and sets out the government's policy on foreign relations, climate change and environmental concerns, community development, business, infrastructure, transport and safety.
Beefing up emission and fuel standards in the Arctic
It has been a long time coming, and on 20 November 2020 the 75th session of the IMO Marine Environment Protection Committee (MEPC 75) approved a "ban" on the use and carriage of so-called heavy fuel oil ("HFO") in the Arctic. The new regulation makes amendments to the Polar Code, as implemented in MARPOL. It is expected that the proposed amendments will be formally adopted at the next MEPC session in June 2021. However, more stringent standards have already been proposed by the Norwegian government for the area surrounding Svalbard.
Norwegian ocean management – modern or still very traditional?
With Jens Evensen in the forefront, Norway was a pioneer in the development of the law of the sea in the 70s. However, the traditional law of the sea as we know it, with its zonal and sectoral approach, is not sustainable. Through the High North Report, the Norwegian government is laying the foundations for what will be Norwegian foreign policy for the next 10 years. Is Norway once again capable of being a pioneer in the development of a modern law of the sea?
Shipping Offshore, Technology and IT Law, Renewable energy, Sustainability
Main Blue Economy Partner
Wikborg Rein has recently entered into a partnership as a Blue Economy Main Partner at Nor-Shipping together with Gard. Norwegian Energy Partners (NORWEP) and Telenor Maritime are joining as Partners. The biannual conference will take place from 1 to 4 June 2021.
Wikborg Rein supports the Sailors' Society
There are 1.6 million seafarers around the world and due to COVID-19, 2020 has been a particularly difficult year for them all. Wikborg Rein feel very proud to support the Sailors' Society in their work to help all seafarers.
Shipping Offshore, Sustainability, Ocean Industries
Green investments in ocean industries
The intersection between green investments and ocean industries continue to attract increased attention from investors, financiers and companies in search of new business opportunities.
Shipping Offshore webinar series
We are delighted to invite you to the first webinar in our Shipping Offshore webinar series. Throughout the next months, we will be holding live webinars from Oslo, Bergen/Stavanger, London and Shanghai/Singapore covering current topics related to the shipping and offshore industries.
Read our Shipping Offshore Update June 2020
Environmental protests against rigs in Norwegian waters
Rig owners and operators will be all too familiar with environmental protests against rigs where climate activists attempt to disrupt drilling activities. With increased global attention on the environment and global warming, the frequency of such protests would appear to be increasing.
Electrification projects on the Norwegian continental shelf – legal challenges and opportunities
Electrification of the Norwegian continental shelf ("NCS") will significantly reduce Norway's carbon emissions, and we expect to see a future increase in investments in electrification projects in the coming years. However, important clarifications from the Norwegian authorities are required in order to establish more predictability for such high value offshore grid investments
A hard-fought victory for the rule of law
The multi-billion dollar Gazprom-Naftogaz settlement shows how persistent resort to legal means can defeat apparently superior opponent.
When are e-mails to your team and your in-house lawyers disclosable?
In The Civil Aviation Authority v R (Jet2.Com Ltd, [2020] EWCA Civ 35), the Court of Appeal in London has recently given judgment on a dispute about disclosure of some of Civil Aviation Authority's ("CAA's") internal documents and e-mails which CAA claimed were privileged due to the inclusion of their in-house lawyers as addressees. The judgment covered many points, but of particular interest was its finding on how legal advice privilege applies to multi-addressee emails.
Arbitration in Norway – benefits of NOMA vs. ad hoc arbitration
Arbitration is the most commonly used dispute resolution mechanism in shipping and offshore contracts. Very often however, parties tend to spend little or no effort reflecting on the type of arbitration solution chosen, i.e. ad hoc vs. institutional arbitration. In this article, we will highlight the benefits of agreeing to arbitration under the rules of NOMA – the Nordic Offshore and Maritime Arbitration Association vs. ad hoc arbitration.
Shipyards' right of retention for non-payment
Under the Norwegian Maritime Code, a shipyard which constructs or repairs a ship may retain physical possession of that ship until it has been paid by the relevant shipowner for works done. This retention right creates a security or lien over the vessel which has priority over secured creditors, and may therefore be of great value to a shipyard in incentivising owners to pay.
Bareboat registration in Norway – a new initiative to retain Norway's position as a leading maritime nation
To meet the existing and future needs of the maritime industry in Norway, the Norwegian ship registers (NIS and NOR) have finally decided to permit bareboat registration in and out of the Norwegian flag.
Limitation of liability – the English courts consider the meaning of the terms "operator" and "manager"
The Stema Barge II [2020] EWHC 1294 This judgment, handed down in the Admiralty Court on 22 May 2020, looks in detail at the scope and meaning of the 1976 Limitation Convention, in particular the meaning of the phrase "the operator of the ship" in Article 1(2). In determining the meaning of "operator", it was necessary for the court to also examine the meaning of "manager". This is the first time that the English courts have been called upon to consider this issue.
Passage plans – fail to prepare, prepare to fail
The CMA CGM Libra [2020] EWCA Civ 293 (Alize 1954 and CMA CGM SA v Allianz Elementar Versicherungs AG and 16 Ors) The Court of Appeal of England & Wales has recently endorsed the first-instance Admiralty Court decision that a failure to properly prepare a passage plan or to properly mark-up navigational charts to reflect navigational dangers, may amount to a failure to exercise due diligence to make the vessel seaworthy, leading to an actionable fault defence for cargo interests who had refused to contribute to general average.
Should public authorities be entitled to higher interest when claiming clean-up costs under the Pollution Control Act?
What happens if a vessel has an accident involving oil spill and public authorities clean up, but wait almost three years before claiming the clean-up costs from the shipowner? Can the public authorities claim interest, and if so, from when and at what rate?
Norwegian Supreme Court clarifies time bar rules applicable to direct actions against P&I insurers
In its decision in the "Mineral Libin" (HR-2020-257-A) the Norwegian Supreme Court provides clarification on the mandatory scope of the Insurance Contract Act and the application of the general Norwegian Time Bar Act in direct actions against P&I insurers under Norwegian law.
SUPPLYTIME – new special tasks annexes
For decades, SUPPLYTIME has been the industry standard time charter for offshore support vessels. However, in recognition of its broader usage within the offshore and renewables sector as a whole, BIMCO has recently published four new annexes for special tasks that can be incorporated into this popular standard contract.
COVID-19, Shipping Offshore, Litigation and Arbitration
The effects of Covid-19 on scheduled court and arbitration hearings in England
The effects of the current outbreak of Covid-19 on ongoing court and arbitration proceedings have been profound ranging from general court closures, adjournment of cases and potential increases to costs (as well as some potential savings) and a corresponding rise in remote hearings. The following article sets out basic guidance regarding the conduct of a remote hearing, addresses frequently asked questions and also reviews the potential costs consequences.
Shipping Offshore, China
Notification is the key: The prevention principle, delay and extensions of time under shipbuilding contracts
The decision in Jiangsu provides an in-depth analysis of how, if at all, the prevention principle applies to shipbuilding contracts and the importance of good contract management to notify and seek extensions for events of delay.
Shipping Offshore, COVID-19
Navigating the liquidity squeeze
The COVID-19 virus and its countermeasures, the plunge in the oil price and extreme currency fluctuations are adding to the pain of a prolonged downturn in several shipping / offshore segments with imminent risk of liquidity loss. Decisive response is thus crucial to preserve value for the stakeholders involved.
The COVID–19 virus: Legal challenges for the shipping and offshore industry
The fast spreading of the COVID-19 virus world-wide and actions by regulatory bodies create challenges for all industries, and particularly the shipping and offshore industry, being of international character.
Wikborg Rein Singapore advises AG&P on long-term FSU charter from ADNOC for new Karaikal LNG terminal
We have advised global downstream gas and LNG logistics company, AG&P, on its long-term charter from the Abu Dhabi National Oil Co (ADNOC) of a Floating Storage Unit (FSU) for AG&P's new LNG import terminal located within Karaikal Port in Puducherry, India.
The impact of coronavirus on global trade and contracts
Headlines across the world are currently dominated by news of a new strain of coronavirus originating from the city of Wuhan, China. The virus is spreading rapidly, and has already resulted in numerous deaths.
Wikborg Rein London advises BW on El Salvador's first LNG-to-power project
Wikborg Rein advised long-standing client BW Gas Ltd (BW LNG) in respect of its provision of a Floating Storage and Regasification Unit (FSRU) as part of the first integrated Liquefied Natural Gas (LNG)-to-Power project at the Port of Acajutla in the Department of Sonsonate in El Salvador, led by Invenergy and its project subsidiary Energía del Pacífico (EDP).
Awilco LNG Sale and Leaseback
Wikborg Rein acts for Awilco LNG on US$350m Sale and Leaseback transaction of two LNG Carriers
Andreas Fjærvoll-Larsen: New Partner in Oslo
With comprehensive experience from international shipping/offshore transactions and an extensive international network, Andreas Fjærvoll-Larsen is ready to take on the role as Partner in Wikborg Rein from 1 January 2020.
Andreas Fjærvoll-Larsen: Ny partner i Oslo
Med omfattende erfaring fra internasjonale shipping/offshore-transaksjoner og et bredt internasjonalt nettverk, er Andreas Fjærvoll-Larsen klar til å innta rollen som partner i Wikborg Rein fra 1. januar 2020.
Shipping Offshore, Renewable energy
Public consultation on offshore wind power in Norway
In July 2019, the Norwegian Ministry of Petroleum and Energy (the "Ministry") presented a proposal to open up certain areas offshore Norway for the development and construction of offshore wind farms. In this article we will provide an overview of certain characteristics of those areas as well as the proposed new regulations related to offshore renewable energy production.
How many attacks does it take to make the Strait of Hormuz unsafe?
Since May 2019, there have been six oil tankers attacked in the Strait of Hormuz, four on 12 May 2019 and two on 13 June 2019, all allegedly with limpet mines or drones/missiles. Despite these attacks, vessels are however still taking orders to sail through the Strait albeit at higher war risk insurance rates and no doubt heightened crew concerns. Whilst the occurrence of such attacks might lead to war risk clauses in the governing charterparties being invoked and the war risk insurers applying their own approach to the situation, at what point, under English law, can owners refuse such voyage orders on the basis that the Strait is contractually unsafe?
Shipping Offshore, Financing
Shipping project finance – new regulatory intricacies
Project financing has historically been a popular investment scheme and source of capital in Norway for shipping projects. The Norwegian regulatory authorities have however recently published guidelines regarding the application of the alternative investment fund regime on project finance entities and it is important that issuers, advisors, arrangers and investors are aware of the pitfalls of being captured by the wide definition of an alternative investment fund, and what steps they can take in order to adapt to the regulations.
Shipping Offshore, Capital Markets
Teekay shuttle tankers issues the first Nordic maritime green bond
In early October 2019 Teekay Shuttle Tankers LLC ("Teekay") successfully placed its USD 125 million inaugural green bond, the first green bond to be issued in the Nordic markets by the maritime industries.
Shipbuilding – the consequences of disruption by buyers
In the lead-up to delivery under shipbuilding and offshore fabrication contracts where delivery is delayed, buyers may, from time to time, face claims that they have disrupted the contractor's progress in such a way that the contractor is entitled to an extension of the delivery date and/or damages for the additional costs incurred. A recent ruling from the Norwegian Supreme Court involving land-based construction clarifies the requirements as to causation for such a claim to succeed.
Contractual options for stranded assets
The downturn in the offshore markets has clearly been deeper and more longer lasting than had originally been expected following the collapse of the oil price back in 2014. This article takes a brief look at the current situation and at some of the contracting solutions that we are seeing in these markets.
Shipbuilding from A to Z
Øystein Meland has worked with shipbuilding related matters on behalf of Wikborg Rein for more than 30 years, acting for both Norwegian and international clients. Capitalising on this experience, Meland launched the latest edition of his book "Shipbuilding Contracts – A commentary based on SHIP 2000" on 30 October 2019.
Les vår Shipping Offshore Update June 2015
Norwegian Court of Appeal strikes another blow against forum shopping in direct action case
In a recent decision, the Court of Appeal held that Norwegian courts do not have jurisdiction under the Lugano Convention in a direct action concerning a ship collision in the Singapore Strait. The decision follows the Supreme Court's decision last year which set aside the Court of Appeal's previous decision which had found that there was jurisdiction.
Poseidon Principles – Global framework for responsible ship finance
Major international shipping banks have recently launched a collaboration for integration of climate considerations into their lending decisions. The "Poseidon Principles" establish a common, global baseline to quantitatively assess and disclose whether financial institutions' lending portfolios are in line with adopted climate goals.
Britiske Høyesteretts avgjørelse "Renos"-saken om kondemnasjon og reguleringen under den nordiske sjøforsikringsplanen
The UK Supreme Court's decision in the "Renos" on CTL and the position under the Nordic Plan
The UK Supreme Court's recent decision in the "Renos" (Sveriges Angfartygs Assurans Forening (The Swedish Club) and others v Connect Shipping Inc and another, [2019] UKSC 29) will be a landmark case on marine insurance under the English Institute Time Clauses Hulls (1/10/83) ("ITCH") conditions. It clarifies that when determining whether a vessel is a constructive total loss ("CTL") under the ITCH conditions, regard should be had to (a) the costs incurred prior to the owners' notice of abandonment, but not (b) remuneration payable under the SCOPIC clause. The decision will have significant importance in the insurance market because of the financial and practical implications. But what would be the position under the Nordic Marine Insurance Plan of 2013 version 2019 ("Nordic Plan")?
Shipbuilding Portal – digital building contracts
The Shipbuilding Portal is a user-friendly online solution for the drafting of shipbuilding contacts based on the Standard Form Norwegian Shipbuilding Contract 2000, often referred to as "Ship 2000". It simplifies the drafting process and provides access to relevant practical information.
Skipsbyggingsportal - digitale byggekontrakter
Wikborg Rein lanserer en ny digital tjeneste som retter seg mot shipping-industrien. Skipsbyggingsportalen gir enkel tilgang til praktisk informasjon om skipsbyggingskontrakter og gjør det enklere å opprette byggekontrakter. Portalen er en nettbasert og brukervennlig løsning for opprettelsen av standard byggekontrakt «Skip 2000».
Read our Shipping Offshore Update June 2019 Nor-Shipping
Wikborg Rein is launching a new digital service aimed at the shipping industry. The Shipbuilding Portal is a user-friendly online solution for the drafting of shipbuilding contacts based on the Standard Form Norwegian Shipbuilding Contract 2000, often referred to as "Ship 2000". It will simplify the drafting process and provide access to relevant practical information.
Quiet enjoyment letters – benefit to lenders?
Quiet enjoyment letters ("QEL"s) are often used where a ship, rig or other unit being financed is subject to a long-term charterparty to govern the inter-relationship between the owner, its financiers and the charterer. But what is a QEL and do they have any benefit for the lenders?
Finance and operating leases in the Chinese market – key differences
Chinese sale and leaseback deals are now a well established financing option in the shipping sector. Whilst Chinese leasing companies have traditionally opted to go down the finance lease route, they are increasingly assuming more risk and opting for either a full operating lease arrangement or a hybrid structure adopting elements of both finance and operating leases.
Worldwide freezing orders upheld in multi-national shipping fraud case
In a recent decision by the English High Court (Manchester Shipping Ltd v Balfour Worldwide Ltd & Anor [2019] EWHC 194 (Comm).) two worldwide freezing orders in a multi-national shipping fraud case were upheld, rejecting the defendant's allegations of breaches of full and frank disclosure and provided useful confirmation of the standing of an intermediary charterer to claim for the full value of the hire.
Court underlines charterers' obligation to maintain class under bareboat charter
A recent decision of the High Court in London means that shipowners will have a decisive right in remedy against bareboat charterers who fail to maintain the class status of a vessel. It will also serve as a reminder to charterers of the importance of documentary obligations under such charters.
Insolvency in China – how to minimise risk when a customer is facing bankruptcy
Ever since China strengthened its legal framework for bankruptcy proceedings in 2007, the number of Chinese bankruptcies has increased significantly. For the seller in a supply contract, protection against bankruptcies should be considered when drafting the contract and suitable protections built in, to the extent possible.
Improving arbitration in Norway
There are a number of ways to make arbitration more attractive and efficient and the inherent flexibility of arbitration provides practitioners with the necessary tools to achieve just this aim without resorting to the development and adoption of further written "guidelines" or "best practices".
Oslo – an efficient market for capital raisings
The Norwegian capital markets offers a flexible, time- and cost efficient process for equity issues (private placements). A key consideration for investors is, however, tradeable securities. The N-OTC can offer instant low threshold listings of shares with a minimum of reporting requirements.
Norway prepares for ratification of the Nairobi Wreck Removal Convention
The Norwegian Parliament has recently decided that Norway shall ratify the Nairobi Wreck Removal Convention and that the Convention shall be given effect not only in Norway's exclusive economic zone, but also in its territorial waters. The Norwegian Parliament has also adopted legislation to implement the Wreck Removal Convention into Norwegian law once ratified.
The bunker balance – owners consider LNG in advance of 2020
Using LNG rather than fuel oil is one of a range of options available to owners seeking to comply with IMO 2020. Given that shipbrokers have long predicted the emergence of a two-tier shipping market with 'greener' ships commanding a premium over older less eco-friendly vessels, what then is the future for LNG bunkering and what challenges does it present?
Readiness for the global sulphur cap - BIMCO's new IMO 2020 clauses
Most of those involved in the shipping industry will by now have a clear picture of the requirements under the IMO 2020 global sulphur cap on marine fuels. Attention has therefore turned to the steps that need to be taken to put those requirements into practice. Two clauses recently introduced by BIMCO are aimed at addressing certain contractual aspects of the IMO 2020 requirements as they apply to time charterparties.
Autonomous ships in unchartered waters
Unmanned ships are sailing onto the horizon and the Norwegian maritime cluster is uniquely positioned to take a leading role internationally in the development and commercialisation of this new technology. But is the legal framework keeping pace?
Charter terminated for want of class
This decision will provide comfort for Owners, and serve as a reminder to Charterers of the importance of documentary obligations within a bareboat charter.
New version of Nordic Marine Insurance Plan braces for Brexit – bolstering Nordic arbitration
The 2019 version of the Nordic Marine Insurance Plan of 2013 (the ''Plan'') has been approved by the Plan's Standing Revision Committee and will formally enter into force on 1 January 2019. The revisions include a clearer borderline between war and marine risks, an automatic reinstatement clause for loss of hire and several other amendments. It also introduces an arbitration clause.
Nordic Offshore and Maritime Arbitration
NOMA – the Nordic Offshore and Maritime Arbitration Association – was launched earlier this year with the aim at providing high-quality, cost-effective and quick dispute resolution as an alternative to the ordinary courts, ad hoc arbitrations as well as London arbitration.
Legal digital innovation: The future is here
One of the benefits of the digital innovation revolution is the potential to implement solutions that eliminate labour intensive tasks e.g. large volumes of documents in due diligence or disclosure exercises can now increasingly be analysed and categorized far more efficiently by AI-driven systems. The new eDiscovery system is one of these solutions, and has recently been used by Wikborg Rein in a number of cases.
Guidance on drafting and interpreting contractual sanctions clauses
In this article, we discuss the first UK case dealing with the scope of a sanctions exclusion clause in the context of the re-imposed US sanctions on Iran and the EU Blocking Regulation. We also provide some pointers for in-house counsel drafting sanctions exclusion clauses.
When are the owners obliged to commence the approach voyage to the loading port?
CSSA Chartering and Shipping Services SA v Mitsui OSK Lines Ltd [2018] EWCA Civ 2413 (The Pacific Voyager) In this important decision the Court of Appeal (England and Wales) held that where a voyage charterparty contains no provision as to the vessel's expected time of arrival or readiness to load in the loading port, the inclusion of the expected time of arrival at the last discharge port under the previous charterparty provides the basis for an absolute obligation on the owners to commence the approach voyage to the loading port.
Norwegian Supreme Court clarifies distribution of interest component in global limitation fund
In a recent judgment in the "Full City" limitation fund proceedings, the Norwegian Supreme Court clarified how a global limitation fund established pursuant to the Norwegian Maritime Code is to be distributed. The Supreme Court held that the interest component in the limitation fund should only be distributed on the claims for interest and not on the other claims filed in the fund because the owners' limitation of liability should remain the same regardless of whether a limitation fund is established or not.
Unit limitation for bulk and liquid cargoes
A recent Court of Appeal decision confirms that Article IV(5) of Hague Rules does not apply to bulk and liquid cargoes
Ship and rig recycling
International conventions and local regulations combine to create a complex regime, which is often overlooked. The sale of a ship or rig to an intermediate buyer, who then sells the asset on to a shipbreaking facility, will not necessarily insulate the original owner from future liability or reputational damage.
For Wikborg Rein, digital innovation means implementing solutions that eliminates labour intensive tasks to the clients benefit. Multiple documents can be analysed and categorized far more efficiently by AI-driven systems.
Wikborg Rein appoints two new partners in London
We have appointed two new partners to our Shipping, Trade, Energy & Infrastructure team in London.
Read our Green Shipping articles
Who's liable anyway? – Allocation of liability in Maritime Environmental Law
Regulation of environmental liability in a maritime context first received international attention in the aftermath of the Torrey Canyon and Exxon Valdez incidents.
Shipping Offshore, Ship and rig recycling
Recycling – where ships go to die
A ship's life cycle ends with it being dismantled and recycled. Up to 95 % of a ship's weight is made up of steel, which can be sold and reused. A modern recycling process, which also includes the recycling of other materials, can be very efficient and is a positive step towards a greener shipping industry.
Retrofits – the approach to innovative technology and new equipment
Support schemes for green and sustainable shipping in Norway
The Norwegian government has on several occasions reiterated how green solutions within shipping and the maritime industry are of high importance and its ambition that Norway should be front-runner in developments of green technology and low-emission solutions.
Green funding for shipping in the Norwegian Capital Markets
The Norwegian capital markets have been and continue to be attractive and a widely used sources of equity and debt funding for shipping and offshore companies from around the globe.
Ballast water – managing risks of zoological pollution
Zoological pollution is becoming an increasing concern for commercial shipping worldwide. The threat of invasive species spreading through the intake and discharge of ballast water has resulted in the IMO adopting the International Convention for the Control and Management of Ships' Ballast Water and Sediments in force as of 8th of September 2017 (the "Convention").
New emission regulations in shipping
The push for the international shipping industry to reduce its role in global air emissions has resulted in new environmental rules and regulation being introduced at an accelerated pace.
Who bears the risk of concurrent delay?
The English Court of Appeal has now spoken.
ESA has closed its assessment of the Norwegian International Ship Register
In 2014, ESA commenced an audit of the Norwegian International Ship Register. Subsequently, the EFTA Surveillance Authority (the "ESA") opened a case against Norway for a possible breach of the EEA Agreement. The case concerned a geographical trade limitation applicable to ships flying the flag of the Norwegian International Ship Register.
Chinese financial leasing – an increasingly viable alternative to bank debt for a capital intensive industry
Shipowners require vast amounts of liquidity in order to fund the CAPEX costs of acquiring new and second-hand tonnage as well as to fund their operations on a day to day basis and Chinese lease finance offers an increasingly viable alternative to the more traditional bank finance that shipowners have traditionally relied on.
The Inter-Club Agreement – A "NO FAULT" REGIME?
In Transgrain Shipping (Singapore) Pte Ltd v Yangtze Navigation (Hong Kong) Ltd [2017] EWCA Civ 2107 the Court of Appeal recently provided important clarification in relation to the apportionment of liability for cargo claims as between shipowners and charterers under the Inter-Club Agreement ("the ICA").
"Kvitnos" – when is a commercial agreement entered into for towage assistance to a distressed vessel?
A recent judgment from Agder Court of Appeal in Norway regarding remuneration for towage of the vessel "Kvitnos" underscores that in circumstances where commercial terms have been discussed a party wishing to claim a salvage award should expressly reserve their rights to do so.
New FIDIC Yellow Book
In December 2017, FIDIC launched the second editions of its Red, Yellow and Silver Books to reflect legal and practical developments since the first editions were issued in 1999. In this article we will look at the key changes introduced to the FIDIC Yellow Book, which is widely used in offshore projects.
Letters of indemnity for delivery of cargo without production of a bill of lading
In the SONGA WINDS [2018] EWHC 397, The High Court, London decides that LOIs requesting delivery without production of bills of lading to an intermediate trader of the cargo are still triggered even though delivery was to the trader's buyer.
High chairs and high stakes: Limitation of liability clauses in Norwegian law offshore contracts
Disputes are expensive, particularly those involving large construction projects where there may have been changes to the scope of work and cost overruns. Contractors therefore face a difficult choice when trying to close the final account, either negotiating a resolution on any terms available or funding litigation which they may not be able to afford.
US withdrawal from the Iran Nuclear Deal – what now for shipping and maritime trade with Iran?
On 8 May 2018, President Trump announced that he was withdrawing the US from the Iran Nuclear Deal, otherwise known as the Joint Comprehensive Plan of Action ("JCPOA"). The US sanctions regime is now likely to return to the state it was in before the JCPOA, with clear ramifications for shipping and maritime trade with Iran.
New Proposed Program for Offshore Drilling in the US
On January 4, 2018, the Trump administration unveiled a draft program for increased development of U.S. offshore oil and gas resources. The 2019-2024 National Outer Continental Shelf Oil and Gas Leasing Draft Proposed Program (the "DPP") calls for the Bureau of Ocean Energy Management to offer leases for offshore acreage in 25 regions along America's coast. If instituted, the DPP would open up almost the entirety of the U.S. continental shelf to drilling (see map below):
BARECON 2017 – a broad brush revision of a widely used form
BIMCO has today, 13 December, released the new BARECON 2017 – a revision of its 16 year old predecessor BARECON 2001. This represents an important update to one of the most commonly used maritime contracts – regularly applied for all types of maritime assets across all sectors in the shipping and offshore industries.
Bareboat registration in and out of Norwegian Ship Registries
On 5 December 2017 the Norwegian Ministry of Trade, Industry and Fisheries issued a consultation paper with proposed changes to the legislation for registrations of vessels in the Norwegian International Ship Registry (NIS) and the Norwegian Ordinary Ship Registry (NOR). The two Norwegian Ship Registries does not currently allow bareboat registration of vessels, but the proposal suggests to open up for such registration both into and out of NIS and NOR. The proposal is intended to meet the practical needs of the maritime industry and make the rules for vessel registration in Norway more flexible and internationally competitive.
Norwegian Supreme Court strikes a blow against forum shopping in direct action
In a landmark decision, the Norwegian Supreme Court has set aside a decision from the Court of Appeal which had concluded that Norwegian courts have jurisdiction under the Lugano Convention in a direct action concerning a ship collision in the Singapore Strait.
We assisted Songa Bulk in its combination with Star Bulk
Wikborg Rein assisted Songa Bulk ASA (OSE: SBULK) in its transaction to combine its fleet with Star Bulk Carriers Corp. (NASDAQ: SBLK) against consideration in shares of Star bulk and cash.
This is how Nina is sailing to the top in shipping
Nina M. Hanevold-Sandvik(35) originally wanted to follow in her father's footsteps and become a diplomat. But after studying admiralty during studies abroad, she chose a career in maritime law instead. At Wikborg Rein she works in the cross-section between shipping and law – two traditionally male-dominated industries, and last year she was listed as one of "10 Women to Watch" by YoungShip. In this article, Nina shares her best tips on how to succeed.
BAREBOAT CHARTERS – charterer's maintenance and redelivery obligations
Difficult market conditions motivate cost savings wherever possible and this includes expenditure relating to the general maintenance of vessels. There has been an increase in disputes concerning the condition of vessels at the time of redelivery under a bareboat charter. Questions arise as to what is the charterers' duty of maintenance under a bareboat charter and how can the parties best position themselves to avoid disputes?
Shipping Offshore, Skatterett
ESA godkjenner den justert rederiskatteordning
ESA har nå godkjent regjeringens forslag til rederiskatteordning for de neste 10 årene, regnet fra 1. januar 2018. De faktiske lovendringene vil Finansdepartementet foreslå i løpet av våren 2018.
A recent decision of the English Court has endorsed a decision by parties to "contract out" of responsibility for concurrent delay. This decision is important because, where parties agree to "contract out" of this responsibility, contractors may not be able to rely on the prevention principle as grounds for obtaining an extension of time for delay in construction contracts.
An overview of the health, safety and environmental regime in Nigeria's offshore oil and gas sector
As a result of tightening up of the health, safety and environment (HSE) standards applicable to Nigeria's offshore oil and gas sector, operating companies embarking on new projects in Nigerian waters need to carefully assess the risk and financial burden of these new requirements before committing themselves or their assets to these projects.
Third party funding of disputes
Disputes are expensive particularly when involve large construction projects where there have been changes to the scope of work and cost overruns. Contractors face a difficult choice when trying to close the final account of either negotiating a resolution on any terms available or funding litigation which they cannot afford.
Autonomous vessels and the digital future
With reports that the first fully automated cargo ship will be launched in 2018 and, after a period of manned operation, will begin operating fully autonomously by 2020, the unmanned future for vessels appears to be just over the horizon. The success of such a technological leap will depend on public perception being able to adapt and accept unmanned vessels. It will also require applicable laws and regulations to be rewritten.
Management of foreign owned ships in the NIS
In some transactions a non-Norwegian company may wish to register its ship in the Norwegian International Ship Register ("NIS"). This can only be done if the ship is managed by a shipping company who has its head office in Norway. This requirement has a bearing on the contractual structures and financing schemes that can be put in place and also raises issues concerning enforcement.
CARGO CONSIDERATIONS - owners' lien on cargo
In another cargo-related development, the English High Court has confirmed when it will order the sale of liened cargo which is the subject of arbitration proceedings.
"Export financing" for non-export shipbuilding
In its recent National Budget Proposal for 2018, the Government has proposed a NOK 10 billion state loan and guarantee program for the construction of vessels at Norwegian shipyards intended for use in Norway.
A choice with consequences – progressive title transfer versus refund guarantees
Irrespective of how the construction of a vessel is financed, the yard and its financiers will require that the buyer prepays a percentage of the contract price prior to delivery. This prepayment may be lost to the buyer if proper security for that prepayment is not put in place. Provision of refund guarantees is the most common way this is achieved, but progressive title transfer may in some cases be an alternative method for securing the buyer's position.
Update on Independent Guarantees under Chinese law
In China, independent guarantees are widely used. However, until recently there has been little or no guidance under Chinese law as to how these guarantees are to be interpreted.
Jurisdiction clauses and choice of law in direct actions
In significant decisions by the European Court of Justice (ECJ C-368/16) and the Danish Supreme Court (dated 9 October 2017) in a direct action brought in Denmark against a marine liability insurer, the validity of jurisdiction clauses and choice of law in such actions has been considered.
The New Flamenco – the Supreme Court dances in a different direction
In the Court of Appeal ([2016] 1 LLR 383), time-charterers of the New Flamenco successfully overturned the High Court judgment against them, reinstating the arbitration award in their favour. The question was whether charterers liability for loss of profit should be extinguished by the profit that owners were able to make in selling the vessel earlier than would have been the case because of charterers' repudiation.
Innovation within marine renewables
Marine renewables is still a relatively young industry and provides a setting where innovative thinking and entrepreneurship can and does flourish.
BIMCO windtime
The installation and maintenance of offshore wind farms require personnel and equipment which has to be transported to and from offshore sites. Specialised vessels, typically small monohulls or catamaran vessels that carry up to 12 passengers, offer such services.
FIDIC – the potential pitfalls moving from onshore to offshore
There is no standard contract in use in offshore construction projects.
Contracting in the marine renewables industry
Contracts within the marine renewables industry often offer interesting opportunities for owners of offshore and installation vessels traditionally operating within the offshore oil and gas space.
NORWAY: Future hub for funding of green projects?
Norwegian financial institutions, investment banks and governmental funding institutions have played a significant role in the growth of the shipping and offshore industry, developing a tradition of close partnerships with Norwegian industrial entrepreneurs.
China: Opportunities in an emerging wind jurisdiction
China's demand for electricity continues to grow voraciously and whilst China's energy supply continues to be dominated by coal fired power stations, more recently the Chinese government has shown a stronger commitment towards using renewable sources of energy.
Policy framework for the offshore wind industry
The policy framework for the offshore wind industry has to a large extent been linked to available government support schemes. The industry is however evolving quickly and growing larger by the day and the level of subsidies is dropping. A current trend seen in all major markets is an ongoing shift from feed-in-tariff and certificate based systems, to more competitive auctions often involving Contracts for Difference (CFDs). The main reason for this shift is cost reductions made possible due to factors such as industry maturity, rapid technology advancement, economies of scale and political cycle.
Read our Marine Renewables articles
Commercial Arbitration in Africa
Historically, most commercial arbitrations involving African parties have been resolved by non-African tribunals in places far from the African continent. As commercial disputes involving African parties have become more frequent, a new generation of arbitration institutes may result in an increase of arbitrations in Africa.
New realities for LNG carrier time charters
In keeping pace with the changing sentiment and nature of the LNG sector, the traditional long term LNG time charter market is evolving and charter periods are becoming shorter. This trend has a number of commercial, financial and legal implications which we consider in this article.
Risks of deliberately delaying discharge
A recent Commercial Court decision in Transgrain Shipping (Singapore) Pte Ltd -v- Yangtze Navigation (Hong Kong) Co Ltd [2016] EWHC 3132 (Comm), has held that a charterer is 100% responsible under the Inter-Club Agreement for damage to cargo arising from an order to the vessel to delay discharge until the receivers were able to pay for the cargo.
Getting ready for the recovery
It has been a brutal few years in the shipping and offshore markets with over-capacity, declining demand and the dramatic fall in the oil price, all contributing to historically low charter rates and plummeting asset values. It is no wonder that owners and operators in these markets have adopted defensive strategies in recent years.
Dismantling of offshore units
The number of offshore drilling and production units due to retire has grown substantially as a result of the reduction in drilling activity and the challenge of dismantling offshore units has become increasingly relevant for owners and operators. Cost, liability, selection of a recycling or scrapping yard, as well as corporate social responsibility, are just some of the considerations an owner needs to bear in mind when considering scrapping offshore units.
Wreck removal in China
When a ship has reached the end of its life, the owners are inevitably faced with the decision of how to dispose of it in a manner that is both commercially viable and environmentally sustainable. The controversial practice of beaching vessels in low cost countries has spurred initiatives to tighten regulations on the recycling of ships. In the following pages we look at the current legal framework as well as what is to come.
Recycling of ships – what is the legal status?
"Server" – landmark judgment of the Supreme Court on wreck removal
The Norwegian Supreme Court has in a recent judgment in the "Server" case clarified a number of unsettled issues that will have an impact on other wreck removal cases, including whether the owners can use their right to limit liability as a defence against a wreck removal order. Wikborg Rein acts for the vessel's owners, managers and P&I insurers.
Read our Shipping Offshore Update Nor-Shipping May 2017
Read our Shipping Offshore Update Nor-Shipping December 2017
When charterers fail to pay hire: owners' dilemma finally resolved, but still be careful!
The downturn in the shipping and offshore sector has spurred a significant number of financial workout and insolvency proceedings over the last years. Wikborg Rein is involved in a significant number of the on-going restructurings within the OSV segment in Norway and also several international companies in the UK, US, Brazil, China and Mexico. The international nature of the shipping and offshore industry may complicate the financial workout when a company goes into distress, however, the global presence of a company may also present opportunities as the rules of statutory debt reorganisations vary.
Singapore Shipping and Offshore – Restructuring and Reflection
Recognition of foreign insolvency proceedings in Norway
Forum shopping when restructuring
Norway considers ratification of the Nairobi Wreck Removal Convention
Claims against or from third parties to an agreement containing an arbitration clause often give rise to the question of whether such third parties are bound by, or whether they can invoke, the arbitration clause.
Arbitration clauses and third parties
How not to start an arbitration
Two recent London decisions have highlighted problems that can be encountered in starting an arbitration.
In the spotlight – public investigations in the Norwegian petroleum industry
The continued market downturn has led to a concern that cost cutting by the offshore industry may lead to a corresponding decline in safety standards. In response to this concern, the Norwegian Petroleum Safety Agency (the "PSA") have announced that they will increase their audit and investigation activities to ensure that the very high standards of safety expected of companies operating in the Norwegian sector of the North Sea will continue to be adhered to.
Mediating complex disputes
Resolving disputes through litigation and arbitration comes at a high cost. Written submissions and preparations, sometimes over several years, lengthy hearings, expert witnesses and arbitrators' fees, are just a few examples of the many contributors increasing the final bill. And in the end, many complex disputes will end up without any party being awarded costs – if the relevant jurisdiction has limited scope to make such an order. There is however an alternative with increasing popularity; mediation. How do you get the most out of mediation in a complex dispute?
Shipping Offshore seminar 2018
Welcome to the annual Shipping Offshore Seminar in Oslo 20 September.
International arbitration rules – differences matter
Commercial agreements require careful consideration of the proposed treatment of disputes before they arise. Both the forum for dispute resolution and the rules to be applied should be agreed as part of the contractual negotiation.
Laying up the lay up agreement
The first reported London arbitration decision in 2016 raises a number of interesting points in connection with lay up agreements and how much can be claimed for continuing to provide services after the original contract has been terminated.
THE NEW FLAMENCO – keeping in step with damages and mitigation
The Court of Appeal's decision in The New Flamenco acknowledges the difficulties of laying down general principles of law in connection with an innocent party's obligation to mitigate its loss following a repudiatory breach of contract. The case arose in the context of assessing damages for early redelivery where there was no available market at the time of the breach against which to measure the loss.
A penalty shoot out
One of the significant differences between civil and common law jurisdictions is that whereas the former generally see no objection to fixed sums being paid in the event of a breach that may not reflect a loss that is incurred, common law jurisdictions will strike down such clauses where they amount to a penalty rather an a genuine pre-estimate of a loss likely to flow from a breach.
NYPE 2015 – a major revision
On 15 October 2015, the Association of Ship Brokers and Agents, Baltic and International Maritime Council ("BIMCO") and the Singapore Maritime Foundation jointly published a revised New York Produce Exchange ("NYPE") 2015 form.
SUPERMAN – a new BIMCO contract is born
January 2016 saw the publication of the new SUPERMAN agreement published by BIMCO which governs the contractual relationship between third party ship managers and shipowners for the provision of technical supervisory services during construction, repair and conversion projects.
All change in the London insurance market
The insurance landscape in England is about to change fundamentally with the biggest shake-up for over a century. On 12 August 2016 the Insurance Act 2015 will come into force and will amend the Marine Insurance Act 1906 in areas such as warranties and disclosure. Furthermore, the Enterprise Act 2016 will come into force on 4 May 2017, and will, among other things, impose an obligation on insurers to pay claims promptly.
NORWAY – BRAZIL: maritime transport cooperation
The bilateral cooperation between Norway and Brazil is extensive within several industry sectors as well as in connection with matters relating to the environment and education. New areas of cooperation are constantly being developed and the most recent step forward is the signing of a memorandum of understanding on maritime transport.
PETROBRAS – the wounded giant seeks a way forward
Over a period of the last three years Petrobras, the Brazilian state-run oil company has reached both the unprecedented heights of success and some terrible blows. Corruption scandals, government interference in management and low oil prices have come together to form the perfect storm that has severely wounded the oil giant as well as the supply chain which both supports and depends on it.
IRANIAN SANCTIONS – a six month review
On 2 June 2016 the governments of the US, EU, UK, France and Germany issued a joint statement confirming that there are now extensive economic opportunities for companies and financial institutions to do business in Iran. The EU is actively exploring areas of cooperation with Iran, including the use of export credits to facilitate trade, project financing and investment.
Some relief for offshore contractors
There was some relief for offshore contractors when the Court of Appeal recently handed down its judgment on the construction of a consequential loss exclusion clause in a drilling contract on an amended LOGIC form between Transocean Drilling UK Limited and Providence Resources Plc.¹
OW Bunkers – the final say
On 11 May 2016, the Supreme Court handed down judgment in the long running OW Bunkers case. The decision is unlikely to be welcomed by owners who now face the prospect of having to pay twice for bunkers: once to their immediate supplier, who, as in the OW Bunkers case may be insolvent, and again to the physical supplier of the bunkers.
The ballast water convention
Having now achieved the required number of signatories, the new International Maritime Organisation (IMO) International Convention for the Control and Management of Ships' Ballast Water and Sediments (the "Convention") originally adopted in 2004 will enter into force on 8 September 2017. The Convention is expected to have a significant impact on ships engaged in international trade by requiring them to manage their ballast water and sediments to certain minimum standards, and eventually to install onboard ballast water management systems.
New opportunities in Iran following sanctions relief
Following the Joint Comprehensive Plan of Action (JCPOA) signed in Vienna on 14 July, Iran might be able to resume supplying oil to western markets. This will add even more pressure to an already depressed oil price, but perhaps also open up new opportunities.
The OW Bunker bankruptcy – bunker supply contract is not a contract for the sale of goods
The shipowners' bid to avoid the risk of having to pay twice for bunkers supplied has been thwarted by the English High Court which held that a contract for the supply of bunkers is not a sale contract falling within the English Sale of Goods Act. (PST Energy 7 Shipping LLC v OW Bunker Malta Ltd [2015] ("Res Cogitans") EWHC 2022 (Comm))
The Hague Convention on Choice of Court Agreements 2005
A global enforcement regime for judgments handed down under exclusive choice of court agreements
WELL BOAT CHARTERPARTIES – liability for cargo damage
As the Norwegian fish farming industry continues to grow, so does the demand for well boats. These sophisticated vessels transport fish, but also undertake complex tasks such as delousing and sorting fish. Damage to or loss of the fish handled by these vessels can result in substantial losses. Therefore, owners and charterers of well boats are advised to regulate the risks associated with such services in their charterparties.
LIENING CARGO – which lien clause applies to the bill of lading?
In a dry bulk market where some charterers are not paying freight or hire, their counterparties are often left to consider if they can lien the cargo on board the chartered vessel to obtain payment voluntarily, or by court sale if necessary.
NTK MOD 2015 – what is new and will it be used?
After three years of negotiations, the Norwegian Oil and Gas Association and the Federation of Norwegian Industries have agreed on a new revision to the Norwegian Total Contract for modification work. A primary objective has been to produce a standard which will be used more widely by the industry.
Inconsistent contractual provisions and erroneous industry standards – WHO IS TO BLAME?
A recent English case MT Højgaard A/S v E.ON Climate and Renewables UK ([2015] EWCA Civ 407) has highlighted the significant risk contractors can be exposed to when taking on complex offshore construction projects under contracts containing inconsistent provisions.
FORCE MAJEURE – a comparison of the English and the Norwegian approach
Force majeure refers to exceptional events which prevent or hinder the performance of an obligation. Generally, these are events beyond the parties' control, which could not have been foreseen at the time the contract was entered into, and which could not have been prevented by the affected party. In this article we will look at force majeure clauses and the legal position under English and Norwegian law.
English Commercial Court remains a strong choice despite introduction of new fees
The cost of commencing proceedings in the English Commercial Court has recently increased. Despite of this, there are still real advantages of having the Commercial Court as forum for commercial disputes.
Read our Shipping Offshore Update November 2015
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text:
Campbell Union superintendent announces her…
Campbell Union superintendent announces her retirement
By Chris Vongsarath | Campbell Reporter, Los Gatos Weekly-Times, Cupertino Courier, Bay Area News Group, Saratoga News, Mercury News
September 8, 2009 at 9:05 a.m.
Dr. Johanna VanderMolen, superintendent of the Campbell Union School District, announced recently that she will retire in early 2010.
"I'm at that age and it's just time for me to go," VanderMolen said in a phone interview. "My husband is retired and I want to spend time with family now. It was a hard decision to get to."
VanderMolen said she discussed retirement with school board members for more than a year and it came down to a matter of when and not if. With the state budget situation, she did not want to leave at an inopportune time, but decided that the district was in good enough shape at this point.
"We talked about when's the best time to leave a school district in the middle of a California economic mess," said VanderMolen, who began her tenure in August 2000. "But we're in good shape. The kids are doing well, the district is doing well, and so I think this is the best time to pass the baton, so-to-speak."
VanderMolen is targeting Jan. 31 as her official last day and in the meantime will aid the district as it goes through a transition process that will likely solicit plenty of community input.
Born in Holland, VanderMolen came to the United States at the age of 4. She earned a master's degree from Pepperdine University and a doctorate at the University of San Francisco, according to the school district's website.
Prior to coming to Campbell, VanderMolen was the associate superintendent of curriculum and assessment for the Acalanes Union High School District in Contra Costa County.
Although she is retiring from an administrative position, VanderMolen gained field experience as an elementary and middle school teacher and principal. That's where colleagues say she developed her passion for teaching and caring for students.
"She's not the kind of person that's going to tell you everything when you first walk into a room — she's going to be listening," said retired Campbell Union deputy superintendent Dale Thurston, who worked with VanderMolen for eight years. "She doesn't have all the answers to all the issues, but she's always listening."
Thurston, who calls VanderMolen "by far the best superintendent I've ever worked with," says he was proud to work with VanderMolen on the bond measures and budget situations that have made the district what it is today.
"Campbell Union School District has been truly fortunate to have had the benefit of Johanna's leadership for the last nine-plus years," said Danielle Cohen, president of the district's governing board, in a news release. "Her innovative thinking and focus on what is best for children have allowed our district to make tremendous progress on so many levels."
Before she leaves, VanderMolen says there's still work to be done. In addition to assisting with the transition process, VanderMolen hopes to keep the district's finances in order for when her successor takes over.
VanderMolen and other Campbell Union teachers and administrators have agreed to furlough two non-school days this school year, once already in August and again in May. The district is looking to close a $7.5 million gap in its budget this year and the furloughs are expected to save more than $380,000.
"The goal is to keep up the fiscal situation the way we are and keep all our programs in place," VanderMolen said. "I anticipate there will be mid-year cuts again, it's one of the reasons I'm staying on."
During VanderMolen's time as superintendent, student progress has risen and the district has managed to maintain many of its programs. The district oversees 7,300 students from the communities of Campbell, Los Gatos, Monte Sereno, San Jose, Santa Clara and Saratoga.
"Our student achievement has really jumped in 10 years and I'm very proud of that," VanderMolen said. "I'm proud that we decided not to have the future dictate us, but to look to the future and decide how it's going to be for us."
As for what's next for her, VanderMolen says she's going to get some rest in first and then decide.
"I'm going to sleep for about 30 days and then do some traveling," she said, following up with a laugh.
Chris Vongsarath

redpajama_set_name: RedPajamaCommonCrawl


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Cells contain an ocean of twisting and turning RNA molecules. Now researchers are working out the structures — and how important they could be.
When Philip Bevilacqua decided to work out the shapes of all the RNA molecules in a living plant cell, he faced two problems. First, he had not studied plant biology since high school. And second, biochemists had tended to examine single RNA molecules; tackling the multitudes that waft around in a cell was a much thornier challenge.
Bevilacqua, an RNA chemist at Pennsylvania State University in University Park, was undeterred. He knew that RNA molecules were vital regulators of cell biology and that their structures might offer broad lessons about how they work. He brushed up on plant anatomy in an undergraduate course and worked with molecular plant biologist Sarah Assmann to develop a technique that could cope with RNAs at scale.
In November 2013, they and their teams became the first to describe the shapes of thousands of RNAs in a living cell — revealing a veritable sculpture garden of different forms in the weedy thale cress, Arabidopsis thaliana. One month later, a group at the University of California, San Francisco, reported a comparable study of yeast and human cells. The number of RNA structures they managed to resolve was "unprecedented", says Alain Laederach, an RNA biologist at the University of North Carolina at Chapel Hill (UNC).
Scientists' view of RNA has transformed over the past few decades. Once, most RNAs were thought to be relatively uninteresting pieces of limp spaghetti that ferried information between the molecules that mattered, DNA and protein. Now, biologists know that RNAs serve many other essential functions: they help with protein synthesis, control gene activity and modify other RNAs. At least 85% of the human genome is transcribed into RNA, and there is vigorous debate about what, if anything, it does.
But a key mystery has remained: its convoluted structures. Unlike DNA, which forms a predictable double helix, RNA comprises a single strand that folds up into elaborate loops, bulges, pseudo-knots, hammerheads, hairpins and other 3D motifs. These structures flip and twist between different forms, and are thought to be central to the operation of RNA, albeit in ways that are not yet known. "It's a big missing piece of the puzzle of understanding how RNAs work," says Jonathan Weissman, a biophysicist and leader of the yeast and human RNA study.
In the past few years, researchers have begun to get a toehold on the problem. Bevilacqua, Weissman and others have devised techniques that allow them to take snapshots of RNA configurations en masse inside cells — and found that the molecules often look nothing like what is seen when RNA folds under artificial conditions. The work is helping them to decipher some of the rules that govern RNA structure, which might be useful in understanding human variation and disease — and even in improving agricultural crops.
The bulk of the RNA world is like unexplored, shifting sand. "We know next to nothing about the structure of most RNAs," says Robert Spitale, a chemist at the University of California, Irvine. RNA molecules typically exist as a linear string of nucleotides — or bases — for only an instant after they are produced from their template DNA. They quickly fold back on themselves, and complementary nucleotides pair up. They then contort further into complex 3D configurations, interact with proteins and other RNAs and change shape to carry out different jobs.
Most techniques for probing RNA structure make use of the reactivity of the nucleotides, or their sensitivity to certain enzymes: regions that are paired up tend to respond differently from those that remain single-stranded. Computer algorithms then help to model the overall structure of the molecule. But these experiments are painstaking and laborious because researchers could interrogate only one part of one molecule at a time.
hat changed five years ago, with the arrival of a technique called PARS (parallel analysis of RNA structure), developed by genome scientist Howard Chang at Stanford University in California and computational biologist Eran Segal at the Weizmann Institute of Science in Rehovot, Israel. PARS uses one enzyme to cut RNA where it is single-stranded and another to cleave it at double-stranded sites. Researchers treat a sample of RNA with each enzyme independently to produce two libraries of chopped-up RNA; they then sequence and analyse both collections to work out which nucleotides are paired, and can do this for thousands of RNA types at once.
Chang and Segal first used PARS in the budding yeast Saccharomyces cerevisiae to reveal the structures of more than 3,000 messenger RNAs (mRNAs), which bear instructions for building proteins. As well as some weird and wonderful shapes, the scientists also found one of the first clues to the laws that dictate RNA structure: the regions that code for proteins generally contain more base-pairing and have more-elaborate structures than do flanking sequences known as untranslated regions. This pattern makes sense, Chang says, because untranslated regions often interact with regulatory proteins and so need to be in a more-open, accessible orientation.
The pair followed this up last year with a study of human mRNA. Led by graduate student Yue Wan, the researchers looked at more than 20,000 mRNA structures from blood cell lines generated from two parents and their child, and discovered around 1,900 single-nucleotide variations in regions that do not code for protein that had altered RNA structure. The question now is whether these affect what the RNAs do, or whether they are mostly background noise.
At least some evidence suggests that they matter. In May, Laederach and his team reported on variants in the untranslated region of an mRNA that is linked to a rare form of eye cancer called retinoblastoma. In healthy individuals, this mRNA simultaneously adopts three structures, but in two people with the disease, nucleotide variants force the molecule to collapse into a single conformation. Laederach thinks that such variations in mRNA folding could be a general mechanism of disease and a source of human variation in common traits such as height.
A major limitation of the PARS method is that the enzymes used cannot easily penetrate the cell membrane, so scientists must extract the RNA from the cell and, in doing so, disrupt the native structure. In principle, base-pairing should ensure that RNAs spring back into roughly the same shape when they are allowed to refold in a test tube. But in fact, the technique strips away RNA-binding proteins, a process that can dramatically alter a molecule's structure.
To get at RNA structures in vivo, many scientists have turned to dimethylsulfate (DMS). This chemical penetrates cells, where it reacts with two of the four RNA nucleotides — adenine and cytosine — but only when they are in an unpaired state. Researchers then convert the RNA into DNA and sequence it. Any nucleotides that have been altered by DMS block the conversion into DNA, so scientists can use prematurely shortened bits of DNA to identify nucleotides that were unpaired.
Weissman and his colleagues deployed this method to analyse the full complement of mRNAs in yeast and humans, both in living cells and after the molecules had been extracted and allowed to refold. "It was very exciting at first because we really didn't know what the differences would be in vivo and in vitro," says Silvi Rouskin, a graduate student who worked on the project and is now at the Whitehead Institute in Cambridge, Massachusetts.
Many scientists had expected to see more RNA folding inside a cell because they thought that interacting proteins would stabilize RNA structures there. But Weissman and his team saw the opposite. This, they now think, could be because mRNAs inside cells are actively generating proteins — and looser molecules are more available to the cell's protein-building machinery.
Bevilacqua and Assmann saw something curious when they used the DMS approach in their study of mRNA in A. thaliana. mRNAs from genes that are involved in stress responses — ones activated during drought, say — tended to be folded more loosely inside a cell than predicted by computer modelling. By contrast, mRNAs of 'housekeeping' genes, which are involved in essential cell maintenance, mostly matched the predictions. The team proposes that stress-response RNAs are folded loosely so that they can shift shape easily inside a cell and thereby change the level of protein production in the face of changing conditions. By contrast, the housekeeping RNAs have to churn out relatively stable levels of protein. "That was just an amazing moment to see that dichotomy," Assmann says.
The trouble with the DMS method is that it reveals the pairing of only two types of nucleotide, and computer modelling fills in the rest. To obtain pairing information for every letter of RNA inside the cell, Chang and Spitale adapted a structure-probing technique called SHAPE. This allowed them to deduce the structures of more than 19,000 RNAs in mouse embryonic stem cells, an effort they published earlier this year. The researchers showed that a common chemical modification to mRNA unfurls the molecule's structure, and they detected distinctive structural 'signatures' that predict where proteins will bind to control RNA shape.
Some researchers are already mulling over ways to put these revelations to use. Assmann and Bevilacqua are probing the structures of RNAs in rice, one of the world's most important staple foods, and plan to do the same for other agriculturally important plants. They would like to find ways to manipulate RNA shapes to improve stress tolerance and ultimately crop yield.


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Archives|Prof. Leon Lipson, 75, Authority on Soviet Law
Prof. Leon Lipson, 75, Authority on Soviet Law
By ERIC PACE SEPT. 26, 1996
Prof. Leon Lipson, a Russian-speaking authority on Soviet law who taught at Yale Law School, died on Friday in his sleep at his home in New Haven. He was 75.
He had heart trouble, his son Michael said.
Professor Lipson retired in 1992 as the Henry R. Luce Professor of Jurisprudence at the law school, where he began teaching in 1957. From 1992 until his death, he was the Paul C. Tsai Professorial Lecturer at Yale. A scholar in comparative and international law, Professor Lipson also specialized in space law. He also concentrated on aspects of Soviet law like the administration of justice.
He was also a connoisseur of the peculiar language that he called Soviet and others might call Marxist-Leninist rhetoric. In an interview in 1969, he said: ''Take the concept of 'our side.' In Soviet, 'our side' is firm, principled and, above all, calm. The adversary, while he may be cunning (as with the ruling bourgeoisie), is never calm. He is frenzied, close to hysteria, spiritually incontinent.''
Professor Lipson was president of the American Association for the Advancement of Slavic Studies, chairman of the Social Science Research Council, an adviser to the United States Mission to the United Nations and head of the Council of Soviet and Eastern European Studies at Yale.
His writings include ''Report on the Law of Outer Space'' (1961), which he and Nicholas deB. Katzenbach, later the Attorney General, wrote for the National Aeronautics and Space Administration. He was also a co-editor of ''Papers on Soviet Law'' (1977 and 1979) and ''Law and the Social Sciences'' (1987).
Professor Lipson was born in Chelsea, Mass. He received a bachelor's degree in 1941, a master's degree in Slavic languages in 1943 and a law degree in 1950, all from Harvard, where he was an editor of The Law Review.
Early in his career, he had Government posts in Washington and Berlin and was with the law firm that is now Cleary, Gottlieb Steen & Hamilton in Manhattan.
His first wife, the former Dorothy Ann Rapoport, died in 1987.
Besides his son Michael, of Brooklyn, he is survived by his wife, Rita; another son, James, of Claremont, Calif.; a daughter, Abigail, of Cambridge, Mass.; a stepdaughter, Yvette Brackman of Brooklyn; two stepsons, Peter and Alex Brackman, both of Manhattan; two grandchildren and a stepgrandchild.
A version of this obituary; biography appears in print on September 26, 1996, on Page D00023 of the National edition with the headline: Prof. Leon Lipson, 75, Authority on Soviet Law. Order Reprints| Today's Paper|Subscribe