Results for category "Maritime Law"

10 Articles

How adjustment and Settlement of general average contribution is done among the parties involved in a common maritime adventure

Adjustment and Settlement of general average contribution is a very complicated task and an average adjuster accomplishes the job with high standard of professionalism and adhering to its strict code of conduct. The marine communities now a day deem it necessary to seek the expertise services of average adjuster to adjust & settle the general average claim due to their unique role.

The basic principle of general average is that when an extraordinary sacrifice is made to save the interests of all the parties involved in a maritime adventure, the sacrifice or loss made by ship or cargo interest must be compensated by the contribution of all.

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Steps to be taken at the ‘Port of Delivery’ after a casualty happens & general average is declared

Once casualty happens & general average is declared, it is the ‘Port of Delivery’, where necessary steps are to be taken on priority basis.

Under this situation, the master/ agent has to take necessary steps as per instructions of shipowner and the average adjuster. to ensure delivery of goods after obtaining appropriate securities and documentation from consignees towards settlement of general average claim. It is important on the part of shipowner to retain lien on the cargo through the securities before final delivery of cargo to the receivers.

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Steps to be taken at the ‘Port of Refuge’ after a casualty happens & general average is declared

When a vessel falls into a casualty at Sea during maritime adventure, the Master of the vessel considering gravity of the casualty, declares general average and takes decision to proceed to ‘Port of Refuge’ for safeguarding the vessel and the cargo. That means ‘Port of Refuge’ is the safe port where master takes recourse to encounter the outcome of casualty.

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Events of sea peril that give rise to general average & application of York-Antwerp Rule

 Events of sea peril that give rise to general average, must have valid ground of sacrifice as explained under lettered & numbered rules of York-Antwerp Rule.

Any damage of ship or cargo caused by any sea peril in maritime adventure cannot be considered as general average. We know that in a maritime adventure, there are three interests involved viz the cargo, the ship and the freight. General average sacrifice arises on any of these three interests.

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Why York-Antwerp Rule has come into force? Main components/clauses of York-Antwerp Rule 1994

York-Antwerp Rule has come into force to provide detail interpretation and guideline for the global shipping industry, aiming to handle & settle the general average sacrifice and expenditure on the basis of internationally accepted standard rules applicable to common danger in a maritime adventure. That means the Rule has established a codified set of rules to determine the rights and obligations of all parties involved in a maritime adventure, if general average is declared.

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Difference between General Average and Particular Average loss – an introductory idea.

‘General average’ differs from ‘particular average’ losses, so far as the basic features, scope and sharing of ultimate burden of losses are concerned. In a maritime adventure, a loss can either be total or partial and as such any loss other than total loss would be classified as partial. Under marine insurance, the second category of loss i.e. partial loss again includes both the general average & particular average loss.

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General Average – an overview

The Shipping Companies working under present global shipping environment are very much familiar with the term ‘General Average’. The term refers to a situation / event where the ship and cargo are exposed to common danger and some part of the cargo or of the ship is intentionally sacrificed, or extra expenditure is incurred, to avert such danger. Such loss or extra expenditure is addressed within the per view of general average contribution and the contribution is apportioned between ship and cargo in proportion to their saved values.

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International Maritime Organization(IMO) – a specialized agency for safety in shipping & sea

Introduction to IMO

IMO – the International Maritime Organization – is the United Nations specialized regulatory agency with responsibility for ensuring safety and security of shipping and prevention of marine pollution by ships at sea.

As a specialized regulatory agency of the United Nations, IMO is entrusted with the task of setting global standard for the safety, security and maintenance of pollution free environment at sea which is conducive to the growth of shipping in the international trade. . Its main role is to create a regulatory framework for the shipping industry that is workable, effective and universally adopted and implemented by all stakeholders.

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Define Maritime Law and highlights the area / subjects dealt by the law.

Define the concept of “Maritime Law”

The concept of “Maritime Law” has been defined by some group of authors as the body of law which provides legal framework for maritime transportation. This is a very conservative and narrow view of the concept. Another group holds the view that maritime law refers to the entire body of laws, rules, legal concepts, and processes that relate to the use of marine resources, ocean commerce and navigation. This is a broader view of the concept which is close to the modern interpretation of the maritime law. However it is generally accepted that the maritime law is a body of laws adopted purposely to control all relevant fields which come under the per view of “maritime activities”.

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