A former partner plans to pursue million-dollar claim against World Marine Offshore and several profiles in spite of carrier’s bankruptcy.
Photo: World Marine Offshore
A former US partner to World Marine Offshore sticks to his million-dollar claim, in spite of the carrier’s recent bankruptcy filing.
The claim of close to USD 18.2m stem from a scuttled collaboration, which the Danish carrier decided to terminate in the start of 2022.
This event does not end the US lawsuit
David S. Smith, attorney, Farrell Smith O’Connell
The expensive lawsuit, along with deficits and disagreements among the circle of owners, are the reason for the offshore carrier’s bankruptcy.
However, the carrier shutting down won’t impact US legal proceedings, where former partner sues World Marine Offshore and several key executives.
”This event does not end the US lawsuit against the individuals or entities named, or that could or are likely to be added later,” informs David S. Smith, attorney with Farrell Smith O’Connell.
He represents business executive Michael Landry and potential investor Treadwell Franklin Infrastructure.
The parties entered into a partnership with World Marine Offshore in the procurement of vessels for a major offshore wind farm currently under installation off the US east coast and the state of Massachusetts.
The farm will consist of 62 turbines to power more than 400,000 homes upon its completion in 2023.
The farm is partially owned by Danish investment firm Copenhagen Infrastructure Partners, which was established ten years ago by a breakaway group from utility Ørsted – former Dong Energy – a major player in the market for sustainable energy.
Pulled the plug
World Marine Offshore, however, pulled the plug on the partnership in the start of 2022 – partially due to an owner’s spat as to whether or not the partnership was a good idea.
The lawsuit
”There were strategic disagreements among owners spanning across several points – including the US. Combined, it was part of promoting the change of direction in the company, ” chief exec Hans Schneider told WPO on an earlier occasion.
World Marine Offshore went bankrupt last week, and the estate is handled by insolvency administrator John Sommer Schmidt from law firm Gorrissen Federspiel.
It has not been possible to get immediately a comment from the insolvency administrator on the recent developments.
Last week, however, Sommer Schmidt confirmed that the lawsuit contributed in breaking the Esbjerg-based company.
”The company is affected by a large court case in the US. It doesn’t really matter whether it is fair or not. Even if won, expenses are linked to the case, and there is also a risk – no matter how small – of losing,” he told WPO.
The administrator is in the process of salvaging healthy scraps of the company and is already in dialog with a number of potential buyers.
According to legal documents, several US maritime firms, including Foss Maritime and Tidewater, allegedly showed an interest in investing in World Marine Offshore.
Americans showed an interest
Conversations with the Americans took place in the fall of 2021 and start of 2022, when the Danish carrier was hunting for capital injections.
They never came through, even though talks with Foss Maritime appear to have been extensive.
WPO has reached out to both companies to find out if they are featured on the list of potential buyers of the carrier’s estate, but both have so far failed to respond.
English edit: Simon Øst Vejbæk
