Navigating Insurance and Contract Risks Amid Hormuz Crisis

Maritime attorneys Sean Pribyl and Chiara Kalogjera-Sackellares co-authored a Law360 article examining the contractual, insurance and compliance risks facing maritime stakeholders amid the blockage of the Strait of Hormuz. The article explores the legal uncertainty surrounding passage rights through the strait, as well as the implications for charter parties, bills of lading, war risk and protection and indemnity (P&I) coverage, force majeure claims and vessel deviation issues. The authors also address the added complexities posed by sanctions, flag state considerations and the growing role of the shadow fleet, underscoring the need for proactive contract review, careful insurance analysis and enhanced due diligence as operators, charterers and cargo interests navigate what is currently a volatile maritime and shipping chokepoint.

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