DOCSLIB.ORG

Clause Paramount in a Nutshell

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Clause Paramount in a Nutshell Defence Guides Clause paramount in a nutshell Introduction: Delivering the vessel to satisfied. The duty would only be what is a clause paramount? charterers at the beginning satisfied if due diligence is shown by of the charterparty: how does every person to whom any part of the A clause paramount incorporates the work has been entrusted, whether United States Carriage of Goods by the incorporation of a clause paramount affect owners’ rights employees, agents or independent Sea Act or the Hague/Hague Visby contractors (see The Muncaster Castle and obligations? Rules (“the HV Rules”) into a contract. [1961] 1 Lloyd’s Rep 57). Although the HV Rules were designed a. The condition of the vessel: an The replacement of the absolute to regulate the legal relationship absolute obligation vs due diligence between carriers and shippers, and the warranty of seaworthiness by same would usually be found in the Under English common law, the an obligation to exercise due reverse sides of bills of lading, the HV obligation on ship owners is to diligence relieves ship owners from Rules can also be incorporated into provide a seaworthy ship. This is responsibility for latent defects in the charterparties. unconditional and, on delivery of ship. For example, ship owners will be the vessel to charterers, owners will protected against defects which could For instance, a clause paramount can usually be liable, irrespective of fault, not be discovered by the ship owner or be found in the NYPE time charter for any breach of the undertaking. by competent experts exercising due form. As for voyage charterparties, diligence. (See The Muncaster Castle However, when a clause paramount such clauses are in the Asbatankvoy, [1961] 1 Lloyd’s Rep 57). Under most incorporates the HV Rules into a Baltimore 1976, Amwelsh 1993 and charterparty forms, a ship has to be charterparty, ship owners are only in Norgrain 1989 forms. delivered, ready to receive cargo with breach of their duty if they fail, for clean swept holds which are “tight, Provided that the charterparty (either example, to exercise due diligence to staunch, strong, and in every way voyage or time charterparty) makes make the ship seaworthy before and at fitted for the service”. This is a strict it clear that the parties intended to the beginning of the voyage. (see The obligation. Thus, the ship owner is in incorporate a clause paramount into Fjord Wind [2000] 2 Lloyd’s Rep 191). the charterparty, the English courts breach if the vessel is not “in every will give effect to that intention, even b. Under a clause paramount, way fitted for service”, regardless of though this may involve manipulating how strict is owners’ obligation any fault on his part. of due diligence? the wording of the clause paramount However, as mentioned above, with the and even though it may mean that The notion of exercising due diligence incorporation of the clause paramount, some of the terms referred to in the entails two basic requirements. the absolute duty is converted to one clause paramount have to be ignored Firstly, ship owners must carry of merely exercising due diligence to (see The Saxon Star [1959] AC 133). out any inspections, repairs or make the ship seaworthy for loading other preparations which, in the and the cargo-carrying voyage. circumstances, a skilled and prudent For example, if the vessel’s cranes ship owner would reasonably carry out break down on delivery and the to ensure that the ship is seaworthy. charter does not include a clause Secondly, any work in fact carried out paramount, the owner will be in must be done with reasonable skill, breach, regardless of fault. If the care and competence (see Union of charter contains a clause paramount, India v Reederij Amsterdam [1963] the owner may be able to defend a 2 Lloyd’s Rep 223). claim from the charterers if he can Engaging competent contractors to demonstrate that he exercised due perform the necessary work does diligence to comply with his obligation not mean that ship owners’ duty to make the vessel “in every way fitted to exercise due diligence has been for service”. Defence Guides c. Under a clause paramount, do owners d. Does the clause paramount vary During the charterparty: how have to exercise due diligence at the the ship owner’s obligations when does the incorporation of a beginning of each voyage or just at tendering an NOR? clause paramount affect owners’ the beginning of the charter? Ship owners should note that the rights and obligations? Under time charters with consecutive presence of a clause paramount in a. Obligation to maintain the ship voyages, there is no obligation of a charterparty does not affect the seaworthiness at the beginning of requirements for tendering a valid As noted in 2) a) and c) above, the each voyage under the charter. The notice of readiness (“NOR”) (For more incorporation of a clause paramount obligation of seaworthiness only exists on NOR, please refer to our Notice into a time charter converts owners’ at the beginning of the charter when of readiness in a nutshell defence absolute obligation of seaworthiness the ship is delivered. However, if the guide. Therefore, even if due diligence when the ship is delivered to an clause paramount is incorporated in is exercised by ship owners but the obligation of due diligence at the the time charterparty, the ship owner vessel’s holds are nonetheless unclean beginning of each voyage under is bound to exercise due diligence at and not ready to receive cargo, the the charter. the beginning of every voyage. tendering of the NOR would not be This fresh obligation of due diligence effective to commence the running Notwithstanding the above, the courts is in addition to owners’ pre-existing of laytime nor would charterers have have yet to fully accept the above obligation under clause 1 of the to accept delivery of the vessel. proposition that due diligence must NYPE form to maintain the ship’s be exercised at the outset of every hull, machinery and equipment voyage in the event the HV Rules are throughout the entire charter period. incorporated into a charterparty (The As such, members should note that the Hermosa [1980] 1 Lloyd’s Rep 638). continuing duty to maintain the ship Consequently, ship owners should be would still exist under the NYPE form cautious and ensure that due diligence notwithstanding the clause paramount. is exercised at the beginning of every voyage if a clause paramount exists in the charterparty. Defence Guides b. Can ship owners use the exclusions Notwithstanding the above, members for financial losses due to delays in of liability contained in the HV Rules should note that the above cases loading the cargo, as well as expenses to avoid liability? are confined to their own facts and for extra tank cleaning and pumping members should not assume a similar of the cargo which were held to be i) Article IV rule 2 of the HV Rules: outcome would be found in a case losses and damages related to goods the HV Rules contain a list of with different facts. and therefore time barred due to the exclusions of liability under Article IV incorporation of the HV Rules into rule 2. One of the most important of ii) Deviation: certain standard form the charterparty (See The Ot Sonja these states: “Neither the carrier nor charter parties such as the NYPE only [1993] 2 Lloyd’s Rep 435 and The Stolt the ship shall be responsible for loss state that the vessel has the liberty Sydness [1997] 1 Lloyd’s Rep 273). or damage arising or resulting from... to deviate in order to save life and (a) act, neglect, or default of the property but does not specify that Moreover, claims in respect of master, mariner, pilot or the servants the ship owners’ liability resulting damaged or lost property belonging of the carrier in the navigation or in from such deviation is excluded. to charterers which are kept on board the management of the ship…”. the vessel may be caught by the one- The HV Rules on the other hand year time bar if they are regarded as Ship owners are entitled to rely on all specifically state that ship owners “goods” which are due to be delivered further exceptions provided by the HV would not be liable for any losses or at a later date. However, a claim for Rules so long as they are able to prove damages resulting from reasonable loss of charterers’ bunkers on board that they fall within such exceptions. deviation. As such, a clause paramount the vessel would not be caught by the which incorporates the HV Rules may An interesting use of this exception is one-year time bar as such bunkers be a useful means excluding liability illustrated in a case where charterers were meant to be consumed and not for reasonable deviation. had ordered the master to load as delivered (See The Seki Rolette [1998] much cargo as possible so as to have iii) Limitation of liability (financial limit): 2 Lloyd’s Rep 638). Equally, a claim sufficient draught to enable her to ship owners may also benefit from the by charterers for damages arising out go through the Panama Canal. Upon limitation regime afforded by the HV of owners’ delay in issuing bills of arrival, the ship was refused entry Rules. However, this is only confined lading will not be time-barred after into the Panama Canal because to ship owners’ liability in respect of one year due to the incorporation of she had exceeded her permitted loss of or damage to goods carried the HV Rules into the charterparty (see draught.
Load more

Recommended publications
  • Frequently Overlooked Risk Management Issues in Contracts of Affreightment and Sale Contracts
    Frequently overlooked risk management issues in contracts of affreightment and sale contracts 2021 AMPLA Queensland Conference Chris Keane MinterEllison 18 June 2021 The focus of today’s presentation - risk associated with two contracts used to facilitate the export of Australian commodities: . the sale contract / offtake agreement / supply agreement (sale contract) . the contract of affreightment / voyage charterparty / bill of lading (sea carriage contract) Specific focus is on risk and risk mitigation options that are frequently overlooked (both at the time of contract formation and also when disputes arise) 2 Risk arising out of seemingly straightforward issues . Duration of the sale contract - overarching issue that impacts on many other considerations; legal and commercial considerations will overlap . Port(s) of loading and port(s) of discharge - relevant considerations include: access to certain berths; special arrangements regarding loading and unloading; port congestion and other factors likely to cause delay; and the desirability of not requiring a CIF buyer to nominate a specific port of unloading (e.g. “one safe port and one safe berth at any main port(s) in China…”) . Selection of vessel - risk will depend on which party to the sale contract is responsible for arranging the vessel; CIF sellers need to guard against the risk of selecting an unsuitable vessel; FOB sellers need to ensure they have a right to reject an unsuitable vessel nominated by the buyer 3 Risk arising out of seemingly straightforward issues . Selection of contractual carrier - needs to be considered as an issue separate from the selection of the vessel; what do you know (and not know) about the carrier?; note the difficulties the contractual carrier caused for both the seller and buyer in relation to the ‘Maryam’ at Port Kembla earlier this year; proper due diligence is critical; consider (among other things) compliance with anti-slavery, anti-bribery and sanctions laws and issues concerning care of seafarers, safety and environment .
    [Show full text]
  • How to Win at Marine Cargo Claims: an English Perspective the Hague, Hague-Bisby and Hamburg Rules
    HOW TO WIN AT MARINE CARGO CLAIMS: AN ENGLISH PERSPECTIVE THE HAGUE, HAGUE-BISBY AND HAMBURG RULES Simon David Jones, English Solicitor Cozen O’Connor Tower 42, Level 27 25 Old Broad Street London, UK +44 (0) 20 7864 2000 [email protected] Atlanta Charlotte Cherry Hill Chicago Dallas Las Vegas* Los Angeles New York Newark Philadelphia San Diego San Francisco Seattle West Conshohocken Washington, DC Wilmington *Affiliated with the Law Offices of J. Goldberg & D. Grossman The views expressed herein are those of the author and do not necessarily represent the views or opinions of any current or former client of Cozen O'Connor. These materials are not intended to provide legal advice. Readers should not act or rely on this material without seeking specific legal advice on matters which concern them. Copyright (c) 2001 Cozen O'Connor ALL RIGHTS RESERVED 1 HOW TO WIN AT MARINE CARGO CLAIMS : AN ENGLISH PERSPECTIVE THE HAGUE, HAGUE-VISBY AND HAMBURG RULES Background At English common law the parties to a contract of affreightment covered by a Bill of Lading or similar document had complete freedom to negotiate their own terms as had the parties to a charterparty. Abuse of the carriers’ stronger bargaining position during the 19th century led to extremely onerous terms being placed in Bills of Lading. The first attempt to redress the balance between the interests of ship and cargo came from the United States in the form of the Harter Act of 1893. It soon became clear to the major marine trading countries that a single Convention binding all contracting parties was preferable to a system of similar but not identical Acts.
    [Show full text]
  • Maritime Carrier's Liability for Loss of Or Damage to Goods Under The
    Maritime Carrier's Liability for Loss of or Damage to Goods under the Hague Rules, Visby Rules and the Hamburg Rules, compared with his Liability as an Operator under the Relevant Rules of the International Multimodal Transport Convention. A Thesis Submitted for the Degree of Doctor of Philosophy by Hani M.S. Abdulrahim The School of Law, Faculty of Law and Financial Studies, University of Glasgow February 1994 © Hani M.S. Abdulrahim, 1994 ProQuest Number: 11007904 All rights reserved INFORMATION TO ALL USERS The quality of this reproduction is dependent upon the quality of the copy submitted. In the unlikely event that the author did not send a com plete manuscript and there are missing pages, these will be noted. Also, if material had to be removed, a note will indicate the deletion. uest ProQuest 11007904 Published by ProQuest LLC(2018). Copyright of the Dissertation is held by the Author. All rights reserved. This work is protected against unauthorized copying under Title 17, United States C ode Microform Edition © ProQuest LLC. ProQuest LLC. 789 East Eisenhower Parkway P.O. Box 1346 Ann Arbor, Ml 48106- 1346 “ILhl m i GLASGOW C>p I UNIVERr'T library ii To My mother, brothers, sisters and in memory of my father. Acknowledgements I wish with considerable enthusiasm to acknowledge and express my deepest grateful thanks and gratitude to Dr. W. Balekjian and Mr Alan Gamble for their invaluable guidance and encouragement in supervising this thesis. They have given unsparingly of their time to it. It gives me great pleasure to acknowledge the helpfulness of the Glasgow University library staff, and also my deep gratitude to Mrs Cara Wilson who kindly typed this work.
    [Show full text]
  • PERFORMANCE and CANCELLATION of CHARTERPARTIES SUSPENSION / WITHDRAWAL / TERMINATION Notices, Damages and Potential Pitfalls
    PERFORMANCE AND CANCELLATION OF CHARTERPARTIES SUSPENSION / WITHDRAWAL / TERMINATION Notices, damages and potential pitfalls A. INTRODUCTION The minds of owners and charterers alike are presently focused (as they should) on the Covid19 outbreak and how they can either utilise existing clauses or put together new clauses dealing with Covid19 in an attempt to refuse to perform or get out of a charter or prevent their contractual counterparty from doing so. Penningtons Manches Cooper has already issued a number of articles and circulars (as well as a contractual tool kit) in respect of the effect of Covid19, the business interruption aspects of it as well as the way forward. But what happens in circumstances where an existing contract is no longer desirable (or indeed financially viable) and one of the contractual counterparties wishes to no longer be bound it, either because of, for example, the state of the market or because the other party are not performing their end of the deal, whether as a result of Covid19 or otherwise? A number of other considerations will of course be relevant (amongst others, the parties’ commercial relationships, the state of the market, the ability to enforce against the non-performing party) but the purpose of this article is to act as a reminder of the various options available to an owner and charterer in the context of refusing to perform or getting out of a charterparty. The above will be considered against a background of seeking to resolve disputes before they even arise, with a view to limiting (to the extent feasible) the costs and delays incurred where the parties engage in arbitration/ litigation proceedings.
    [Show full text]
  • Rise of the Machines – a Legal Analysis of Seaworthiness in the Context of Autonomous Shipping
    FACULTY OF LAW Lund University Anders Kirchner Rise of the Machines – A Legal analysis of Seaworthiness in the context of autonomous shipping JURM02 Graduate Thesis Graduate Thesis, Master of Laws program 30 higher education credits Supervisor: Olena Bokareva Semester of graduation: Period 1 Spring Semester 2019 Contents SUMMARY 1 SAMMANFATTNING 3 PREFACE 6 ABBREVIATIONS 7 1 INTRODUCTION 9 1.1 History and background 9 1.2 Purpose and problem 11 1.3 Delimitations 12 1.4 Method, material and state of research 12 1.5 Outline 14 2 AUTONOMOUS SHIPS: EVOLUTION AND SELECTED PROJECTS 15 2.1 Introduction 15 2.2 Autonomous vessel projects 16 2.2.1 Svitzer Hermod 16 2.2.2 YARA Birkeland 16 2.2.3 Falco 17 2.2.4 ReVolt 17 2.2.5 MUNIN 18 2.2.6 Mitsui and Nippon Yusen project 18 2.2.7 Shone 19 2.2.8 Waterborne TP 19 2.3 Factors impacting autonomous vessels 20 2.3.1 Economy 20 2.3.2 Safety 23 2.3.3 Environment 25 2.4 Concluding remarks 27 3 THE CONCEPT OF AUTONOMOUS SHIPS: TERMINOLOGY AND LEGAL CONCEPT 29 3.1 Introduction 29 3.2 Definition of an autonomous ship 30 3.2.1 Waterborne project 30 3.2.2 MUNIN 30 3.2.3 NFAS 30 3.2.4 Lloyd’s Registers definitions of autonomy levels of vessels 31 3.2.5 IMO definitions of autonomy levels of ships 32 3.3 Shore control centre 32 3.4 Is an unmanned ship a ship? 33 3.4.1 UNCLOS 34 3.4.1.1 Background 34 3.4.1.2 Definition of a ship 34 3.4.2 MARPOL 73/78 35 3.4.2.1 Background 35 3.4.2.2 Definition of a ship 36 3.4.3 SOLAS and ISM Code 36 3.4.3.1 Background 36 3.4.3.2 Definition of a ship 37 3.4.4 COLREGs 37 3.4.4.1
    [Show full text]
  • Pleasure Boating and Admiralty: Erie at Sea' Preble Stolz*
    California Law Review VoL. 51 OCTOBER 1963 No. 4 Pleasure Boating and Admiralty: Erie at Sea' Preble Stolz* P LEASURE BOATING is basically a new phenomenon, the product of a technology that can produce small boats at modest cost and of an economy that puts such craft within the means of almost everyone.' The risks generated by this development create new legal problems. New legal problems are typically solved first, and often finally, by extension of com- mon law doctrines in the state courts. Legislative regulation and any solu- tion at the federal level are exceptional and usually come into play only as a later stage of public response.2 There is no obvious reason why our legal system should react differ- ently to the new problems presented by pleasure boating. Small boats fall easily into the class of personal property. The normal rules of sales and security interests would seem capable of extension to small boats without difficulty. The same should be true of the rules relating to the operation of pleasure boats and particularly to the liability for breach of the duty to take reasonable care for the safety of others. One would expect, therefore, that the legal problems of pleasure boating would be met with the typical response: adaptation of the common law at the state level. Unhappily this is not likely to happen. Pleasure boating has the mis- fortune of presenting basic issues in an already complex problem of fed- t I am grateful to Professor Geoffrey C. Hazard, Jr. for reading the manuscript in nearly final form, and to Professor Ronan E.
    [Show full text]
  • Marine Charter Default Insurance
    Marine Practice CHARTER DEFAULT INSURANCE In response to shipowners’ increasing concerns about charterers’ solvency, Marsh has developed an industry-first product that protects owners from damaging financial losses. Backed by both insurers and a leading financial institution, Marsh’s Charter Default product provides a mix of fixed recovery guarantee and credit insurance, tailored to the shipowner’s particular requirements. Covering both outstanding debt at the time of an insolvency and the loss of future revenue for a set period, the product de-risks important revenue streams, thereby assisting owners to attract better terms fr om lenders by reducing counterparty credit risk. i • Charter Default Insurance PRODUCT OVERVIEW PROTECTING REVENUE AGAINST THE RISK OF FINANCIAL DEFAULT f Financial default is a recurring problem. Recent high profile cases of shipping companies filing for bankruptcy have again highlighted counterparty risk in the shipping sector f Companies with ships on charter are exposed to loss of revenue if their charterer folds or, at best, to enforced renegotiation of charter hire terms f The risk of default increases at times of global financial uncertainty f Fixed Recovery Guarantees and Credit Insurance protect against the risk of charterer default f For a listed company, de-risking the revenue stream can improve stock prospects f De-risking the revenue stream can also attract better terms from lenders Marsh • 1 CREDIT INSURANCE FIXED RECOVERY GUARANTEE Key FeaTuRes • an insurance policy designed to compensate an owner
    [Show full text]
  • Seaworthiness in the Context of Marine Insurance and General Average
    _____________________ 海 運 學 會 Institute of Seatransport Seminar on Seaworthiness In the context of Marine Insurance and General Average Speakers: Capt. L C Chan – Risk Management & Loss Prevention Consultant of CM Houlder Insurance Brokers Ltd. Mr. Raymond T C Wong – Emeritus Chairman of Institute of Seatransport Date : 27th July 2016 AGENDA • Seaworthiness – Definition – Maritime Law concept – Governed by Ship Certificates – Description • What does it mean for a vessel to be “unseaworthy”? – With some cases for reference • ISM Code • Marine Insurance Implications – Warranties – Voyage & Time policies – Cargo Policies - Seaworthiness Admitted – Hull Policies – Wear & Tear, Latent Defect, Due Diligence and ISM Warranty – Burden of Proof • General Average – Cargo’s Refusal to Contribute – GA and Contract of Carriage – Consequences flow from Rule D of the York-Antwerp Rules – Burden of Proof 2 – Exercising due diligence to provide a seaworthy ship Capt LC Chan – Profile Sea Experience 1. 10 years as Deck Officers in bulkers, tankers & container vessels 2. 15 years as Master in bulker and container vessels In CM Houlder - Risk Management & Loss Prevention Consultant Before CM Houlder • Management team in a container liner – accident investigation, cargo operations, vessel claims matters, recruitment of senior officers, crew training & instructor in company simulator centre • Corporate Safety, Security & Environmental Protection Officer to set policy, implement and supervise • Corporate Emergency Response Team manager to handle ship and land
    [Show full text]
  • Documents of the Shipping Transport: Historical Origins, Legal Validity & Commercial Practice
    Journal of Shipping and Ocean Engineering 10 (2020) 47-56 Doi: 10.17265/2159-5879/2020.02.005 D DAVID PUBLISHING Documents of the Shipping Transport: Historical Origins, Legal Validity & Commercial Practice Ioannis Voudouris, and Evi Plomaritou Frederick University, Cyprus Abstract: The bill of lading and charterparty are vital for international trade and transport. To signify their enduring importance, this paper firstly seeks to illuminate the earliest historical evidence relating to the bill of lading and charterparty, and secondly, discuss their current legal and commercial nature and functions as well as their relationship with other transport documents such as the booking note, cargo manifest, mate’s receipt, and delivery order. In this context, the paper examines the lifecycle of transport as regards the documents used in the bulk and liner markets. Key words: Bill of lading, charterparty, sea waybill, booking note, delivery order, Mate’s receipt, Cargo manifest. 1. Introduction upon their shipment on board the ship (shipped bill of lading). The most important documents governing the commercial and legal relationships between the parties 2. Historical Origins of the Bill of Lading, in international sea transport are the bill of lading and Charterparty, Sea Waybill and Other the charterparty. Among other things, these Transport Documents documents define the obligations as well as the The (non-negotiable) sea waybill and the respective costs and earnings of the contracting parties, (negotiable) bill of lading are nowadays the primarily the shipowner or carrier and the charterer or best-known ocean transport documents that are still in shipper. In addition, other documents, such as booking use.
    [Show full text]
  • Cargo Liens for Unpaid Hire and Freight Due Under a Time Or Voyage Charterparty
    Cargo liens for unpaid hire and freight due under a time or voyage charterparty During periods in which the global shipping economy is volatile, the likelihood of unpaid freight or hire occurs with higher frequency. Recently, the Club has witnessed charterers facing difficulty in meeting their obligation to pay freight due under a charterparty. In such circumstances, the shipowner may want to know if he is able to exercise a lien on the cargo until he has been paid the freight or hire due under the charterer. There must be a right of lien in the charterparty By Gho Sze Kee, Deputy Claims Manager The shipowner needs to determine if the charterparty will grant him a possessory lien over the cargo for the unpaid freight and As such, where the bill of lading incorporates a lien clause for unpaid hire. The more clearly a lien clause is drafted, the easier it is for the hire (as opposed to freight), the shipowners then has a right under shipowner to determine the scope of the lien clause and therefore the bill of lading to lien the cargo regardless of whether it is owned exercise his possessory lien for the unpaid freight or hire. by the charterers. Examples of widely drafted lien clauses that extend to and protect the shipowners right to lien, are clause 8 of GENCON 1994 Clause 1 of CONGENBILL All terms and conditions, liberties and exceptions of the Charter charterparty and clause 23 of NYPE 93. Party, dated as overleaf, including the Law and Arbitration Only when hire or freight under a charterparty becomes ‘due’ and Clause, are herewith incorporated.
    [Show full text]
  • 59 the Concept of Shipwreck Among National and International Law
    The Concept of Shipwreck among National and International Law * Abstract This article aims to investigate the juridical concept of “shipwreck”. Italian law does not provide a legal definition of shipwreck (“ relitto ”) alt- hough the explanatory memorandum on Maritime Code states that the wreckage of a vessel implies an “intervened substantial modification of the physical con- sistence of the res ”; French law specifies that “ L’état d’épave résulte de la non-flotta- bilité, de l’absence d’équipage à bord et de l’inexistence de mesures de garde et de manoeuvre ” while, on the contrary, English law classifies wrecks in “jetsam”, “floatsam”, “lagan” and “derelicts”, giving relevance to the abandonment of the vessel sine spe recuperandi and sine animo revertendi . The significance and combination of objective criteria (physical stranding, sinking, submersion or destruction of the ship) and subjective criteria (abandon- ment of the ship without the intention to return and resume the possession) will be examined in order to determine what a shipwreck is from a legal point of view; in particular the analysis will focus on the concept of non-buoyancy and perishing of the ship (derived from the Latin notion of interitus rei ) and on the notion of “abandonment”. Furthermore the article will consider the definitions of shipwreck given by international conventions on Maritime Law, such as the International Conven- tion on Salvage (1989), the Nairobi International Convention on the Removal of Wrecks (2007) and the Unesco Convention on the Protection of the Under- water Cultural Heritage (2001), comparing the broader classifications of ship- wreck included in those treaties with the national definitions.
    [Show full text]
  • Charterer's Liability Insurance
    CHARTERER’S LIABILITY INSURANCE A TYPE OF P&I INSURANCE Candidate number: Supervisor: Wilhelmsen Trine-Lise Semester of submission: Spring 2007 Deadline for submission: September 1, 2007 Date of submission: 28 August 2007 Number of words: 15810 1 Introduction 1 1.1 What is charterer’s liability insurance? 1 1.2 Charter parties suitable to charterer’s liability insurance 1 1.3 Why did I choose this topic? 2 2 Legal Sources 2 2.1 Statutes 2 2.1.1 China 3 2.1.2 Norway and England 3 2.2 Contractual sources 3 2.2.1 P&I rules 3 2.2.2 Charter parties 4 3 Charterer’s Risks 4 3.1 Risk from “safe-port clause” 4 3.2 Liability for damage to the ship during loading and discharging 5 3.3 Liability for damage caused by the cargo 5 3.4 Obligation to pay general average contributions 6 3.5 Legal expenses 6 4 Overview of Charterer’s Liability Insurance Policy 6 5 Liability Cover 7 5.1 Cover for liability from the “safe-port clause” 7 5.1.1 Interpretation of this cover 7 5.1.2 Legal basis of liability of the charterer in relation to safe-port clause 8 5.1.2.1 Chinese law 9 5.1.2.2 Norway 9 5.1.2.3 England 10 5.1.3 Situation of “non-safety” in the port 10 5.1.3.1 Rough weather conditions 10 5.1.3.2 Political risks 12 5.1.3.3 The time of “non-safety” 14 5.1.4 Conclusion 16 5.2 Cover for liability during loading and discharging 17 5.3 Cover for liability of damage caused by the cargo 18 I 6 General Average Cover 21 6.1 P&I coverage for General Average 21 6.2 Charterer’s liability to pay General Average costs in the charter contract 22 6.3 Legal basis of liability to pay General Average 23 6.3.1 China 23 6.3.2 Norway 23 7 Legal Expenses Cover 24 7.1 P&I insurance 24 7.1.1 China 25 7.1.2 Norway 26 7.1.3 England 26 7.2 Freight, Demurrage and Defense Insurance (F.D.
    [Show full text]