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Date: 19980619

Dossier: T-369-98

MONTREAL, QUEBEC, THIS 19th DAY OF JUNE 1998

                         AN ACTION IN REM AGAINST THE M.V. "HAIGHT" AND

IN PERSONAMAGAINST INTERLINES SHIPPING (CANADA) LTD.

AND HAIGHT STREET LTD. PARTNERSHIP

BETWEEN:

                                                               NOVOSTEEL SA

                                                                                                                                               Plaintiff

                                                                          AND

                                         INTERLINES SHIPPING (CANADA) LTD.

                                           HAIGHT STREET LTD. PARTNERSHIP

                                                           THE M.V. "HAIGHT"

                                                                                                                                         Defendants

                                                                     O R D E R

1.The disputes between Novosteel SA and Interlines Shipping (Canada ) Ltd. are referred to arbitration in London, United Kingdom in accordance with the governing booking note dated October 7, 1996;

2.All proceedings as and between Novosteel SA and Interlines Shipping (Canada) Ltd. are stayed until further order of this Court;

3.Costs in the cause.

Richard Morneau

                                                                                                                                         prothonotary


Date: 19980619

Dossier: T-369-98

                         AN ACTION IN REM AGAINST THE M.V. "HAIGHT" AND

IN PERSONAMAGAINST INTERLINES SHIPPING (CANADA) LTD.

AND HAIGHT STREET LTD. PARTNERSHIP

BETWEEN:

                                                               NOVOSTEEL SA

                                                                                                                                               Plaintiff

                                                                          AND

                                         INTERLINES SHIPPING (CANADA) LTD.

                                           HAIGHT STREET LTD. PARTNERSHIP

                                                           THE M.V. "HAIGHT"

                                                                                                                                         Defendants

                                                        REASONS FOR ORDER

RICHARD MORNEAU, ESQ., PROTHONOTARY

1�      Having heard counsel for both parties, I am satisfied that for the purpose of resolving all disputes between the parties in the case at bar the booking note dated October 7, 1996 ("the booking note") must be seen as the sole governing contract.

2�      Even if I am wrong and that one must also consider the bills of lading existing between the parties as relevant, I am satisfied that clause 16 found in the booking note has the effect of giving precedence to clause 15 found therein over clause 3 contained in the bills of lading. In that regard, I do not think that the word "terms" found in clause 16 of the booking note is incapable of embracing arbitration clause 15 found just prior to said clause 16.

3�      Therefore, in accordance with clause 15 of the booking note, all disputes between Novosteel SA and Interlines Shipping (Canada) Ltd. must be referred to arbitration in London, United Kingdom and all proceedings herein shall be stayed until further order of this Court.

4�      Despite Interlines Shipping (Canada) Ltd.'s request to be granted costs of this motion in any event of the cause, I believe it would be more appropriate to provide that costs be in the cause.

5�      An order will issue in accordance with these reasons.

Richard Morneau

                                                                                                         Prothonotary

MONTREAL, QUEBEC

June 19, 1998


                                  FEDERAL COURT OF CANADA

              NAMES OF COUNSEL AND SOLICITORS OF RECORD







COURT NO.:

STYLE OF CAUSE:


T-369-98

NOVOSTEEL SA

                                                                                Plaintiff

AND

INTERLINES SHIPPING (CANADA) LTD.

HAIGHT STREET LTD. PARTNERSHIP

THE M.V. "HAIGHT"

                                                                                Defendants


PLACE OF HEARING:                                                    Montreal, Quebec

DATE OF HEARING:June 15, 1998

REASONS FOR ORDER BY RICHARD MORNEAU, ESQ., PROTHONOTARY

DATE OF REASONS FOR ORDER:June 19, 1998

APPEARANCES:

Me Judith Harvie

for the Plaintiff

Me David G. Colford

for Defendant Interlines Shipping (Canada) Ltd.

SOLICITORS OF RECORD:

OGILVY RENAULT

Montreal, Quebec

for the Plaintiff

BRISSET BISHOP

Montreal, Quebec

for Defendant Interlines Shipping (Canada) Ltd.

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