ABSTRACT
The usual mode of exercise is to discharge into bonded warehouses. If local conditions make this impossible in practice, the lien can be exercised by waiting outside the discharge port.55 Such conduct will constitute a breach of the bill of lading contract if the lien is not validly incorporated into the bill of lading. It will also constitute a deviation which will vitiate P & I cover. What is less certain is whether it will also constitute a breach of the charter itself. There are conflicting first instance dicta on this point.56 Where freight is due to the charterer, there is no implied obligation on the shipowner to exercise its lien on the charterer’s behalf.57
