MDL welcomes Admiralty Court judgement over disputed berthing fees by race organiser
Yachts heading towards The Needles
Marina operator MDL Marinas says it is pleased about the successful resolution of a commercial dispute that was heard in the Admiralty Court. The case, which concerned berthing fees for vessels participating in an international yacht race, has established important precedents for marina operators, yacht clubs and other maritime service providers, an MDL statement says.
Although MDL is cautious in what it has — and hasn’t said — the court records (available publicly online) set out a series of events. In MIN’s understanding, MDL Marinas expected to be paid berthing fees by the 2024 Ocean Globe Race which berthed at Ocean Village at the commencement of the race back in 2023.
At the time, press were told the race was due to also finish at Ocean Village — which it subsequently did not.
The other party in the case is named as Dom McIntyre, the founder and chairman of the race.
14 vessels left MDL’s Ocean Village with no berthing fees paid
According to the Admiralty Court transcript, there were 14 vessels involved, including McIntyre’s vessel SY Explorer.
The vessels arrived on dates between 22 and 28 August 2023 and departed on 10 September 2023. On departure, MDL refused to provide clearance forms because the berthing fees, amounting to some £25,830 (according to the transcript), had not been paid.
That marked the beginning of a ‘disputatious correspondence’, in the end leading to the arrest of the defendant’s vessel in May 2024.
According to the public transcript, McIntyre took the stance that either no fees were payable because MDL had agreed to provide berthing free of charge as part of an overall sponsorship deal or, if fees were payable, the counterparty was not the defendant, but rather an Australian company of which he was the chief executive officer. This company was Ocean Frontiers Pty Limited.
‘Scarcely arguable’ argument from defendant
“I regard the proposition that the berthing was to be free as scarcely arguable . . .” says Admiralty Registrar Davison in the transcript. “It is flatly contradicted by the defendant’s own statement in his email of 11 May 2023, in which he said ‘we are no longer offered free berthing fees’ and flatly inconsistent with his having asked for a quote for ‘the costs of 14 OGR entrants marina berthing between arrival morning 26 August through to departure morning 10 September’. In response to that email, a rough quote was indeed given on 25 May.”
Admiralty Court finds in favour of MDL on several points
The Admiralty Court found in favour of MDL on key points regarding contractual obligations for berthing services, highlighting significant considerations for businesses hosting maritime events involving international participants, says the marina chain’s statement. The court’s findings specifically addressed issues related to contractual capacity, personal liability, and the admiralty jurisdiction of English courts when dealing with international events.
That said, while MDL was seeking recompense for all the berthing fees, McIntyre was found responsible for berthing fees for his vessel. His legal team had challenged the argument that he – as founder and chairman of the race – was liable for the fleet’s charges. Thus, the security required to release the SY Explorer was some £2,000, rather than the £25,830 berthing fees, details the public transcript. The official High Court Judgement is also available online.
“With some reluctance, which stems from the lack of merit, as I see it, on the defendant’s side, I would resolve this part of the defendant’s jurisdictional challenge in his favour,” Davison says.
MDL pleased with outcome of case
“We are pleased with the outcome of this case, which validates our commercial position and operational practices,” says Tim Mayer at MDL.
“The judgment serves as an important reminder for all marina operators and yacht clubs to ensure clarity in their contractual arrangements, particularly when dealing with event organisers based overseas.
“I’d also like to express our sincere gratitude to Elliot Bishop, partner at Bargate Murray Solicitors and Joseph England of Counsel (Quadrant Chambers) for their excellent legal advice and representation throughout this case. Their expertise and diligence were instrumental in achieving this positive outcome.”
The case highlights the need for maritime service providers to implement robust commercial practices when hosting international events, particularly regarding contract formation, payment terms, and dispute resolution mechanisms.
