In the Matter of the Arbitration between GREAT CIRCLE LINES, LTD., Petitioner-Appellee, v. MATHESON & CO., LTD., Respondent-Appellant., 681 F.2d 121

Summary

Petitioner sought arbitration in New York against respondent over a dispute regarding a charter party. When respondent failed to appoint an arbitrator, petitioner filed suit pursuant to 28 U.S.C.S. § 1333(1) and 9 U.S.C.S. § 1. Respondent appealed from a district court decision, which held that negotiations between the parties regarding a time charter resulted in a binding contract and ordered respondent to proceed to arbitration under the provisions of 9 U.S.C.S. § 4. The appeals court affirmed. The court ruled that pertinent proof to sustain the finding that a fixture was in place included a telex which stated that "we fixed sub details," a note made by one of respondent's representatives that same evening naming a price, and a telex sent the following day by respondent suggesting that the charterer conduct a survey of the ship. The court noted that the custom of the industry permitted a charterer to make such a survey only after a ship has actually been chartered. The court also ...