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87 Cards in this Set

  • Front
  • Back
Boucher v Lawson 1733
Limitation
shipowner held liable in full for theft by master of a cargo of portugese gold coins even though shipowner was in no way complicit in or personally at fault for the theft
--> call for change
The Aegean Sea 1998
claims subject to limitation
Limitation
the ship cannot be the object of the wrong
CMA Djakarta 2004
Limitation
art 2(1)(a) dies not include loss or damage to the ship itself
case of carrying dangerous goods

cargo liability claims - what if routed through shipowner?
cargo damaged aswell as vessel
cargo claimants sued shipowners in tort
could charterers assert limitation against shipowner's indemnity claim
YES - if claim brought in convention country - considered as claim against the fund
still a claim 'in respect of loss of or damage to property occurring on board'
The Breydon Merchant 1992
Limitation
engine room fire - salvors had claim against vessel and cargo
cargo owners claimed shipowners couldn't use HV rules and therefore sought indemnity against liability to salvors
shipowner could limit in respect of the indemnity claim
The Aegean Sea
claims subject to limitation - damage to property
some claims in respect of loss of profits consequential on loss of cargo in form of escaping oil

this is still damage to property even though not property of the claimant shipowner
Huntsman Chemical CO Australia Pty Ltd v SHip ALP Sydney 2009
Limitation
claims subject to limitation
pure economic loss - YES
thane pipe lines under water damaged by vessel - claims for pure economic loss as a result were admissible
The Aegean Sea
claims subject to limitation
limitation
operation of the ship

charter nominated unsafe port
was this within phrase 'operation of the ship'
argued that master navigated the ship, charterer wasn't concerned with the operation
NO - this was rejected - 'operation of the ship' encompasses all that goes into the operation of the ship - even port selection
Bouygues Offshore SA v Caspian SHipping Co (1998)
Limitation
characterisation of the claim
concerned with substance rather than wording
claim in respect of loss of barge while under tow
one basis for claim was misrepresentation of pulling capacity of the tug
limitation? YES - fundamentally the owner of the ship was suing because his ship was lost --> loss of property
The Leerort
Limitation
Breaking Limitation
it is only the personal act or omission of a shipowner which defeats right to limit
even if master deliberately targets another ship or was idiotic - not good enough

such loss - must foresee the particular loss that happens
The Marion
Limitation
breaking limitation
corporate shipowner - who acts for the company in the relevant matter?
may delegate a ship manager - ship manager will be the relevant person
Nugent v Goss Aviation (2000)
Limitation
breaking limitation
requisite state of mind
greater the obviousness of the risk, the more likely the tribunal is to infer recklessness and knowledge that danger would probably result
Margolle v Delta Marine Co ltd
limitation
breaking limitation
'such loss'
owner ignored channel rules and went below deck leaving inexperienced crew member in charge

recklessness? yes
such loss? - held that there was a real prospect of establishing at trial that the master knew there was a probability of collision
suggestion that knowledge of A collision would suffice, don't need to foresee a particular collision
The Bramley Moore (1964)
Limitation
the flotilla issue
rejects flotilla principle that limitation figure should be decided on an aggregate of the vessels in evolved in the flotilla
The Rajah 1872
Limitation
one distinct occasion

tug standing by preparing to take nearby steamer in tow - ship collided with tow and immediately afterwards the tug

this was one occasion - incidents took place 'substantially at the same time and on the same occasion and the whole damage appears to have been caused by one act of improper navigation
The Harlow 1922
Limitation
one distinct occasion
tug collided with vessel because of the tug's negligent navigation - collision jammed tug's steering gear resulting in collision with another vessel
ONE OCCASION
The Schwan (1892)
Limitation
one distinct occasion
was there time and opportunity, by use of ordinary care and skill to correct the original matter
if yes - 2 occasions
The Western Regent
Limitation
jurisdictions
claimants filed a complaint in Texas claiming damages
defendants applied of limitation decree in England with limitation determined in accordance with the 1976 Convention
this was allowed BUT liability proceedings will remain in Texas
Adler v Dickson (The Himalaya) 1955
Collisions
vicarious liability
personal injury claim by passenger - contract of carriage had exclusion clause protecting the shipping company but held entitled to sue master and crew member personally in tort
Simpson v Thomson 1877
COllisions
vicarious liability
shipowner remains vicariously liable for injury/loss qua employer of master of crew whose negligence causes loss
Baumwoll v Furness (1893)
Collisions
vicarious liability
chartered vessel - owners remain employers unless demise charter
The Devonshire
Collisions
vicarious liability
tug and tow
tow owner is not vicariously liable for tug's negligence - independent contractors
NB - can't assume tow is responsible
Morgan v Sim (The City of London) 1857
Collisions
claimant must prove its case on balance of probabilities
if at end leaves the case in even scales/ does not satisfy court of negligence/default of other party - he cannot succeed
The Verginia Dollar 1926
COllisions
proving negligence
not every collision results from negligence
vessel properly moored but bollard broke - failure of bollard not foreseeable
no negligence
The Merchant Prince (1892)
COllisions
proving negligence - not every collision results from negligence
'inevitable accident' - no negligence where the collision cannot be avoided by the exercise of ordinary care and caution and maritime skill
The Crown v Hessa 1922
Collisions
proving negligence
'inevitable accident' perhaps the wrong phrase to use
The Bywell Castle (1879)
COllisions
proving negligence
not every unwise act is negligent
'agony of the moment' - acted quickly and got it wrong - not negligent
BUT last min decision is not automatically non-negligent
The Winona 1944
Collisions
proving negligence
not every unwise act is negligent
BUT where vessel responsible for emergency arising in the first place - agony of moment claim was rejected
The Estrella 1977
COllisions
negligence - causal link required

vessel in wrong lane
collision occurred when still in wrong lane but courts disregarded this entirely because it was in the wrong lane for quite a while
the other vessel could see it from a long way off
there was no reason why the wrong positioning should have led to a collision
The Vysotsk 1981
Collisions
causation - reach of causative negligence

first collision led to second with no intervening act
fault for the first carried through to the second
Carslogie Steamship Co Ltd v Royal Norwegian Government (1952)
Collisions
causation
SUCCESSIVE LOSSES

facts
collision causing damage
subsequent storm damage necessitated dry docking for repairs
collision damage repaired while vessel undergoing these repairs
- no recovery for loss of hire by reason of collision damage - no time when vessel was not on hire because of the collision
Ruabon Steamship Co ltd v London Assurance
Collisions
causation
CONCURRENT OTHER WORK

the facts
vessel goes into dock for repair following collision
owner brings forward ship survey - should an allowance be made for the time the vessel was not being repaired but also being surveyed
HL - have to focus on the period of time vessel being repaired - without the collision would the vessel have been available to earn money during that period - claimant can only claim damages to extent that it would have been available but for the collision
The Hassel (1962)
COllisions
causation
CONCURRENT OTHER WORK

facts
vessel in collision - out of action whilst repaired
ship due a survey so this was carried out during the time when in dock repairs
vessel would not have been available during survey period to earn money --> reduction in damages for loss of earnings
The Fritz Thyssen 1976
Collisions
causation
novus actus intervenus

act of someone else intervenes - can displace the defendants as the legally relevant cause
R v Goodwin 2005
Collisions
apportionment of loss
ship? was a jet ski a ship for the purposes of MSA
NO - not used in navigation
The Norwhale 1975
Collisions
apportionment of loss - fault
section 187(1) applies whether the causative fault relates to management or navigation of the ship - any actionable fault will do - does not have to be navigational
The Miraflores and the Abedesa (1967)
Collisions
apportionment of loss
'each ship'
must assess independently - can't group tow and tug together etc

in this case - judge tried to assess 2 vessels together - this is not permitted legally and led the judge astray about proportions
The Calliope (1970)
Collisions
apportionment of loss
where a collision causes further consequential damage, it is open to the Court to make a second apportionment in respect thereof
The Khedive (No2)
Collisions
apportionment of loss
first established the single liability approach
The Anneliese 1970
Collisions
apportionment of loss
the default rule is not an excuse for a lazy tribunal
The Ellen M 1967
Collisions
apportionment of loss
can't apply 187(1) where one party isn't a ship
negligent ship and bridge operator led to a collision between the 2
ordinary common law applies
Law Reform (Contributory Negligence) Act 1945
same answer - 2 different routes
The Devonshire
Collisions
apportionment of loss

innocent party may recover in full against any one tortfeasor and there is no admiralty rule to the contrary
The Giacinto Motta 1977
collisions
apportionment of loss
rights of cargo

collision leading to damage to cargo - cargo sued non-carrying vessel in US court and recovered 100%
can't use 187(1) to circumvent HV - 187(5) states that cannot bring into apportionment any liability sums if that would impose liability removed by a defence
Owners of the MV Siboeva v Owners of the MV Vitastar
Collisions
negligence

claimants – owners of Siboeva
defendants – owners of Vivistar

collision – traffic separation zone in operation
– Vivistar at fault as allowed self to cross the separation zone and enter the southbound lane
– Siboeva – at fault for excessive speed and a failure to keep further starboard in her lane

→ blame apportioned one quarter to three quarters in favour of Siboeva
The Topaz and Irapua
collision between Topaz and Irapua
Crossing case:
Topaz – stand-on vessel
Irapua – give-way vessel

→ Rules 15-17 of the Collision Regulations 1972 were accordingly applicable

Irapua – failed to comply with the regulations in failing to keep a proper look out and were in breach of number of other rules

HOWEVER argued that Topaz was in breach of r17(a)(ii) – provided that stand-on vessel might take action to avoid collision by her manouvre alone, as soon as it became apparent to her that the vessel required to keep out the way was not taking appropriate action in complance with the rules
- if Topaz had altered course it was inadequate – in breach of r17(b)

HELD - Topaz could have taken better preventative action in accordance with the regulations – faults not so minor that they should attract only a de minimus share of the blame → 80/20 in favour of Topaz
The Torrey Canyon 1967
Salvage

major pollution incident when ship went aground
law at time couldn't cope with this sort of incident
PM asked RAF to bomb the boat - salvors realise that they could expend time and money etc on a salvage mission only for their efforts and potential reward to be blown up
this led to a real need to encourage salvage
The Nagasaki Spirit 1992
salvage
2 vessels attacked by pirates, they put one vessel on autopilot, the 2 vessels collide - massive explosion - salvors get involved, used LOF - worked hard but recovered little - HL judgement did not favour salvors - LOF wasn't enough in the eyes of the salvors

--> SCOPIC
The Beaverford v The Kafiristan 1938
salvage
whether entitled to salvage remuneration

LOF contract - if signed gives rise to contractual estoppel - can't sign a LOF contract and then deny salvage services
The Hamtun and St John (1999)
salvage
concept of danger

must be danger/apprehension of danger whereby no reasonable person would refuse help in exchange for remuneration should it be offered
The Mount Cynthos (1937)
salvage
concept of danger

danger doesn't have to be imminent - reasonable apprehension that, but for the assistance, the vessel would be subjected to peril will suffice
The Whippingham
Salvage
can danger be danger to bank balance?

for example, vessel itself not in danger but vessel could potentially cause liability, aka bumping into ships etc

- stated obiter in this case that such 'danger' will be admissible
Clan Steam Trawling Co ltd v Aberdeen Steam Trawling + Fishing Co ltd - 1908
salvage

2 vessels insured by the same mutual insurance company
rules required that any insured vessel must assist any other vessel insured by that company or 2 other companies
one vessel in distress, other rendered assistance
not entitled to salvage award - service was performed under existing contractual obligation
The Sava Star
Salvage
pre-exisitng duties

master and crew can be remunerated for salvage providing the services they render exceed their contractual obligations under employment
The Leon Blum 1915
salvage

pre-existing contractual duties

tug and tow - consequence of classification changing to salvage on towage contract is suspension thereof for the duration of the salvage
The Choko Star (No 2) 1990
salvage
authority and contract formation

master has no implied actual authority to bind cargo etc but OK if it is necessary

BUT this authority no longer needed - ICS 1989 art 6(2) - gives master the authority without need of necessity
The Tojomaru
Salvage

salvor duty - standard of liability is negligence
The Alenquer and The Rene (1955)
Salvage
salvor fault - negligence

engine failure left Rene in real danger of drifting on to the Rocks - requested tow from Alequer

an unsuccessful attempt by Alenquer to render the assistance led to a collision between the vessels - significant damage to Rene

Alenquer was held negligent
The Amoco Cadiz (1984)
Salvage
salvor fault - negligence

salvors were sued by the french authorities, the shipowners and the cargo owners alleging negligence in unsuccessfully attempting to prevent tanker from grounding

HELD - not liable - a fully laden tanker the size of this had never been previously towed
the towing strategy adopted by the tug master, although unsuccessful, was not to be legally condemned
The Minnehaha 1861
The Robert Dixon 1879
Salvage
salvor fault causing need for salvage

traditional approach is that salvor cannot claim reward
The Beaverford v The Kafiristan (1938)
salvage
salvor fault causing need for salvage

partial inroad on the traditional approach
vessel A caused emergency for vessel B
Vessel C rendered salvage services to B
it is no bar to C's claim for salvage award that vessel A and C are owned by the same person
salvage award allowed
The Tojo Maru 1972
salvage
consequences of salvor breach of duty or initial fault

salvor's potential prejudice is NOT confined to forfeiture of award - if negligence claim exceeds salvage award - salvor will be liable to pay difference
The Atlas
salvage
consequences of salvor breach breach of duty or initial

wilful misconduct -forfeit whole award
The Troilus (1951)
salvage
termination of salvage

salvor successfully got vessel to place of safety but this was not a place where sorting issue could take place
further towage to suitable place - was this paid under salvage or normal towage?
salvage - salvage lasts so long as the master acts reasonably for the combined benefits of the ship and cargo
The Ocean Crown
Salvage - art13 award

principles underpinning encouragement

NB - not encouragement by way of providing financial cushion against difficult economic times
The Queen Elizabeth
salvage
art 13 award

particularly high salved fund should be reflected in award
The Amerique 1874
salvage
art13 award - value of salved property

shouldn't go overboard with reward even where very highly successful
say 130 million saved - only cost the salvor 30,000 - in this case he got 950,000

moderating principle of proportionality
Dover Harbour Board v Owners of the Star Maria
salvage
art13 award - damage to environment
- has to be a genuine threat of damage as defined in art1
facts - there were pollutants on board but the chance of pollutants getting out and doing damage was very low indeed
The William Beckford 1801
salvage
art13 - degree of skill/danger

what enhances award most is the actual danger that they have incurred
The Glengyle (1898)
salvage
art13 - degree of skill/danger

salvage mission carried real possibility of loss of the 2 salvage tugs and the deaths of their crews

station keeping vessels --> this enhanced the award too
The Star Maria
Salvage
art13 - professional salvors

more handsomely rewarded
Owners of the Vessel Voutakos v Tsavliris Salvage Ltd 2008
Salvage
art13 - significance of commercial rates

commercial rates were admissible and relevant but only in a very limited capacity
- indicated the minimum that a salvor should receive
The Nagasaki Spirit 1995
art14
salvage
art14
if art14 is applicable at start of operation then it operates for whole operation
'fair rate' - HL - does not include a profit element
further complication in deciding what a fair rate is in practice

salvors not happy

relevant factors when deciding on uplift??
avoidance of major environmental disaster
dealing with a particularly dangerous substance
high risk to salvor's personnel/vessels
length of operation
skills or qualifications required
lack of cooperation by those requiring help
Reino de Espana v American Bureau of shipping 2008
CLC
channelling

In US - classification societies are immune
The Erika
CLC
channelling

In French courts - channelling societies not immune - do not fall under 4(b) because the services are for the states to fulfil their obligations as contracting states rather than services for the ship - despite the fact the shipowners pay for them
Black v Braer Corp 1999
oil pollution

psychological damage is an admissible claim - farmer
Landcatch
oil pollution
recoverable losses - pure economic loss - approach of courts

claimants fishing disrupted by an oil spill
many clients in Zetland who were established customers of the claimants declined to enter into contracts with them
on construction of the Merchant Shipping (oil pollution) Act it was held that these losses were not recoverable
the claimants activity that was affected (and led to loss) was not in the area of the pollution damage

also law excludes claims based on loss of opportunity to enter into contracts
Algrete Shipping Co
oil pollution
recoverable losses - pure economic loss - approach of courts

welks - supply damaged by pollution
had to change source - these weren't as good
business in south korea disappeared

not recoverable
the loss did not occur in the area of pollution damage
The Erika
re preventative measures
must be real danger of oil escaping in future where ship sinks
Simonds v White 1824
General Average

ancient principle of General average

all those whose property has been saved by the sacrifices of property of another shall contribute to make good his loss
The Makis
General Average
Peril
navigation going wrong on vessel, no imminent peril but if left then would have been in peril in future
this WAS enough
Daniolos v Bunge + co
General Average
Peril
vessel went aground in muddy field, no danger to ship or cargo, merely stuck
acts in trying to get vessel afloat were held not admissible under GA
not sure if this case is correct
The Alpha
General Average
sacrafice or expenditure must be reasonable

this case lead to rule paramount

vessel stuck on muddy bank, master overworked boilers - entirely wrong thing to do - master negligent
BUT Rule 7 which covered this type of damage did not mention reasonableness (like rule A did) so, as numbered rules take precedence over lettered, these losses were admissible under GA

this was not intended --> rule paramount
The Trade Green
General Average
losses allowable - port of refuge costs

fire broke out on board whilst unloading at port of destination
port authorities ordered the vessel to move away from berth whilst putting out fire as did not want fire to spread
some cargo still left on board
fire efficiently put out and the boat drove back into berth
towage costs - were these admissible under GA - aka was the cargo that was still on board liable to pay towards these costs

no suggestion that the moving of the vessel was necessary for fire fighting
its purpose was to fulfil orders by port authority
therefore these actions were not for the common safety
insufficient that incurred for completion of adventure
Chellew v Royal COmmission on Sugar Supply
General Average
contributory values
if cargo never unloaded as destroyed by peril number 2 then will never have a contributory value
Fletcher v Alexander
General average

need for success
The Carron Park
General average

fault must be actionable to give rise to a defence
contractual exclusion covering the negligence of servants - engineer negligently left valve open - damage to cargo - shipowner's contribution action was not barred because fault not actionable
Whitecross Wire + Iron v Savill
General average
time and place of termination

fire on board ship before all cargo unloaded
cargo had to contribute under GA for losses as the CMA had not ended
Republic of India v India Steamship Co
General Average

claim that cargo so damaged that nil contributory value
this is so UNLESS the cargo is entitled to GA contribution in which case retains a contributory value to the extent made good