Interlegal case: low-quality fuel, serious losses and quick reimbursement
3 February, 2026
23
A Client, a shipowner who had entered into a contract with a Turkish supplier on supply of 100 metric tons of marine fuel (VLSFO), recently applied to Interlegal. The Client’s problem was that after bunkering, off-specification bunkers were discovered, which certainly caused serious malfunctions in the vessel systems and significant deterioration in the vessel operational features. Furthermore, off-specification bunker quality was confirmed by laboratory tests and even acknowledged by the supplier. However, low-quality fuel was removed only after a long period of time, which ultimately caused additional damage to the vessel fuel system and significant financial losses for the Client.
In order to recover the losses incurred, Interlegal law team joined the case and initiated an effective claims handling process. Interlegal team collected the appropriate evidence base and prepared a formal claim. The amount of claims included fuel equipment repair and replacement costs, cleaning and degassing tanks, disposal of contaminated fuel, additional consumption of marine gas oil (MGO), overtime work of the crew, as well as loss of freight income.
During the claims handling process, the opponents actively pushed for settlement, invited additional evidence and delayed the dialogue. In order to strengthen the Client’s negotiating position and to influence the opponents, our team initiated arbitration proceedings by sending a corresponding notice of arbitration. Such measure was actually the last straw in negotiations: it quickly and significantly changed the situation in favor of the Client and forced the opponents to switch to more constructive and substantive communication.
As a result of negotiations conducted by our team, the dispute was settled by entry into amicable agreement, whereunder the opponents recognized the claims and paid appropriate monetary reimbursement in favor of the Client just within five days after its signing.
This case shows once again that professional, well-organized teamwork, correct strategy and strict notice of arbitration as an element of pressure in general facilitate an effective tool for protecting violated rights jointly with achievement of real and profitable financial result.
Interlegal lawyer Diana Mykhailova and senior associate Taras Dragan, managed by partner Karyna Gorovaya, led the case.
