PART ONE: THE SHIP 1
1 LEGAL DISPUTES INVOLVING SHIPS 3
1.1 Introduction 3
1.2 Arbitration 3
1.3 Jurisdiction of the courts 4
1.3.1 Actions in personam 5
1.3.2 Actions in rem 6
1.4 Arrest 7
1.5 Mareva injunctions 8
1.6 Sovereign immunity 10
1.7 Forum shopping 11
1.8 Jurisdiction clauses 13
1.9 Choice of law clauses 14
2 INTERNATIONAL LAW AND SHIPS 15
2.1 The law of the sea 15
2.2 Nationality 19
2.3 Flag discrimination 22
2.4 Code of Conduct for Liner Conferences 23
3 REGISTRATION OF SHIPS 26
3.1 Introduction 26
3.1.1 The Register 26
3.1.2 Flags of convenience 27
3.1.3 Small Ships Register 28
3.2 Co-ownership 29
3.3 Name 31
3.4 Tonnage 32
3.5 Beginning and end of registration 33
3.6 British ships requiring registration 33
3.7 Effects of registration 35
3.8 Means of registration 35
4 ACQUIRING OWNERSHIP 37
4.1 Miscellaneous methods 37
4.1.1 Transmission 37
4.1.2 Capture 37
4.1.3 Judicial sale 38
4.2 Sale and purchase 38
4.2.1 Introduction 38
4.2.2 Sale of Goods Act 1979 40
4.2.3 Exemption clauses 42
4.2.4 The Saleform Agreement 45
5 SHIPBUILDING CONTRACTS 50
5.1 Property in the ship 50
5.2 Price increases 54
5.3 Sellers' obligations 54
5.4 Responsibility of purchaser for defects 56
6 SHIP MORTGAGES 58
6.1 Financing and security 58
6.2 Nature of the mortgage 59
6.3 Creation and registration 60
6.4 Priority of registered mortgages 61
6.5 Certificates of mortgage 62
6.6 Remedies of the mortgagee 63
6.6.1 General 63
6.6.2 Use of the ship by the mortgagee 64
6.6.3 Sale of a mortgaged ship 64
6.6.4 Rights of charterers 65
6.7 Unregistered mortgages 66
6.7.1 General 66
6.7.2 Unfinished ships 66
6.8 Bottomry and respondentia 68
7 LIENS 69
7. 1 Maritime liens 70
7.1.1 General 70
7.1.2 Categories of maritime lien 71
7.2 Statutory rights in rem 74
7.2.1 Introduction 74
7.2.2 When the rights may be exercised 74
7.2.3 Effect of the provisions 75
7.2.4 Charterers 75
7.2.5 Claims giving rise to the rights 76
7.2.6 Procedure 77
7.2.7 'Beneficial' ownership 77
7.3 Priority 78
7.3.1 Priority between different types of lien 78
7.3.2 Priority between maritime liens 80
8 CONSTRUCTION, MAINTENANCE AND EQUIPMENT 82
8.1 Background 82
8.2 Unseaworthiness 84
8.3 Construction and equipment 85
8.4 Load lines 89
8.5 Special ships 91
8.5.1 Tankers 91
8.5.2 Nuclear powered ships 95
8.5.3 Submersible craft 96
8.6 Crew accommodation 97
8.7 Health and safety on board ship 98
8.8 Policing the Regulations 100
8.8.1 Inspection and detention 100
8.8.2 Improvement and prohibition notices 102
8.8.3 Dangerous vessels 103
8.9 Reporting 104
8.10 Inquiries into casualties 107
9 MASTER AND CREW 109
9.1 Employment and welfare law 109
9.1.1 General employment law 109
9.1.2 Unlawful discrimination 113
9.1.3 Social security 115
9.2 General merchant shipping provisions 117
9.2.1 Manning and certification generally 117
9.2.2 The STCW Convention 1978 118
9.2.3 The UK watchkeeping requirements 120
9.2.4 The UK certification requirements 120
9.2.5 The UK manning requirements 124
9.2.6 Miscellaneous requirements 126
9.2.7 Unregistered ships 126
9.2.8 Inquiries into fitness or conduct 127
9.3 The master 129
9.3.1 Contract of service 129
9.3.2 Log books 131
9.3.3 Authority on board 133
9.4 The seaman 134
9.4.1 Mode of hiring seamen 134
9.4.2 The contract of employment 135
9.4.3 Remuneration of seamen 137
9.4.4 Hazardous voyages 141
9.4.5 Repatriation 142
9.4.6 Strikes 143
9.4.7 Discipline 147
9.5 Mariners' civil liability 151
9.6 Compensation for injuries at work 153
9.7 Mariners' wills 161
PART TWO: THE CARRIAGE OF GOODS BY SEA 165
10 THE CONTRACT OF AFFREIGHTMENT 165
10.1 Introductory 165
10.1.1 The business basis 165
10.1.2 Common and private carriers 166
10.1.3 Absolute liability 167
10.1.4 Exception clauses 168
10.1.5 Limitation by statute 168
10.2 Carriage of Goods by Sea Act 1971 169
10.2.1 Where the Act applies 171
10.2.2 No contracting out 173
10.3 The two forms of contract 174
10.3.1 The charterparty 177
10.3.2 Bill of lading 177
10.3.3 Relationship between charterparty and bill of lading 179
11 RIGHTS AND DUTIES OF THE PARTIES TO THE CONTRACT OF AFFREIGHTMENT 181
11.1 Express and implied terms 181
11.1.1 Seaworthiness 182
11.1.2 Due dispatch 182
11.1.3 Proper route 183
11.2 Conditions, warranties and intermediate terms 183
11.2.1 Name and nationality of the ship 184
11.2.2 Whereabouts of the ship 184
11.2.3 Class of ship 185
11.2.4 Tonnage 185
11.3 Seaworthiness 186
11.3.1 Seaworthiness pure and simple 187
11.3.2 Cargo worthiness 188
11.3.3 Bad stowage 189
11.3.4 Excluding liability for seaworthiness 191
11.3.5 Statutory seaworthiness 192
11.3.6 The seaworthiness undertaking and bills of lading 193
11.3.7 Time of seaworthiness 196
11.3.8 Effect of breach of the sea worthiness obligation 199
11.3.9 Proof of unseaworthiness 200
11.4 Carrier's immunities 201
11.4.1 Excepted perils and burden of proof 201
11.4.2 The catalogue of excepted perils in the Rules 203
11.5 Limitation of liability under the Hague-Visby Rules 210
11.6 Lower liability by special contract 215
11.7 Limitation of actions 216
12 PRELIMINARY VOYAGE AND LOADING 218
12.1 Cancelling date 218
12.2 Exception clauses and the preliminary voyage 219
12.3 Nomination of loading port 220
12.3.1 Safe port 221
12.3.2 As near as she can safely get 222
12.4 Shipper's duty to load 222
12.4.1 Provide a cargo 223
12.4.2 Dangerous goods 224
12.5 Time taken for loading 225
12.5.1 When laytime starts - the arrived ship problem 226
12.5.2 Length of laytime 228
12.5.3 Level of liability to load within laytime 229
12.5.4 Once on demurrage always on demurrage 231
12.5.5 No fixed time agreed 232
12.5.6 Demurrage and damages for detention 233
12.6 Stowage 236
12.6.1 Deck cargo 237
13 THE BILL OF LADING 239
13.1 The bill of lading as a receipt 239
13.1.1 Evidentiary value of the receipt 240
13.1.2 Statements as to quantity 242
13.1.3 Apparent order and condition - clean bills of lading 247
13.2 The bill of lading as evidence of contract with the carrier 249
13.3 The bill of lading as a document of title at common law 250
13.3.1'Received for shipment' bills 251
13.3.2 Bills in sets 252
13.3.3 Modes of transfer 253
13.4 The bill of lading and the transfer of the contract of carriage 254
13.4.1 The Bills of Lading Act 1855 254
13.4.2 The rule in Brandt v. Liverpool 255
13.4.3 Actions in tort 257
13.5 Documents of title under the Sale of Goods Act 1979 259
13.6 Identity of shipper 260
13.7 Bills of lading under charterparties - identity of terms and of carrier 261
13.7.1 Identity of terms 262
13.7.2 Identity of the carrier 267
13.8 Bills of lading and combined transport 270
14 THE VOYAGE 274
14.1 Deviation 275
14.1.1 Effect on excepted perils 275
14.1.2 Effect on freight 278
14.1.3 Justifiable deviation 278
14.1.4 Damages 282
14.2 Stoppage in transitu 283
14.3 Authority of the master 284
14.3.1 Carrier's agent 284
14.3.2 Cargo-owner's agent 284
15 GENERAL AVERAGE 286
15.1 History - The York-Antwerp Rules 287
15.2 Conditions of general average - general average act 289
15.2.1 Danger 289
15.2.2 General average acts 290
15.2.3 Voluntary or intentional act 293
15.2.4 Reasonable act 295
15.2.5 Common safety 295
15.2.6 Time of loss 296
15.2.7 Loss direct consequence 296
15.2.8 Success 297
15.3 Who must contribute? 298
15.3.1 Lives 298
15.3.2 Passengers' luggage 299
15.3.3 Seamen's wages 299
15.3.4 The ship 299
15.3.5 Cargo 299
15.4 General average and carrier's fault 300
15.5 General average bond 300
15.6 Assessment of contribution 301
16 JOURNEY'S END:DISCHARGE, DELIVERY AND PAYMENT 304
16.1 Discharge 304
16.2 Delivery 308
16.3 Payment: freight and hire 310
16.3.1 When payable 310
16.3.2 Exemptions 314
16.3.3 Who is entitled to sue? 318
16.3.4 Who is liable? 319
17 THE HAMBURG RULES 321
PART THREE: THE RUNNING OF THE SHIP 325
18 THE CARRIAGE OF PASSENGERS 327
18.1 General principles 327
18.2 The Athens Convention 1974 329
18.2.1 Introduction 329
18.2.2 Application 330
18.2.3 Liability 331
18.2.4 Limitation 332
18.2.5 Jurisdiction and exemption clauses 334
18.3 Other liabilities to passengers 335
18.4 Hovercraft 337
18.5 Combined transport 338
19 PILOTAGE 342
19.1 Pilotage administration 342
19.1.1 Local administration 342
19.1.2 Central administration 343
19.1.3 Pilotage commission 343
19.1.4 Licensing and certification of pilots 344
19.1.5 Pilotage charges 345
19.2 Compulsory pilotage 347
19.2.1 The 'old' regime 347
19.2.2 The 'new' regime 349
19.3 Pilot's responsibilities 350
19.4 Pilotage liabilities 351
19.4.1 Pilot's liability 351
19.4.2 Shipowner's liability for pilot 351
19.4.3 Master's liability 354
20 HARBOUR AND ANCILLARY SERVICES 355
20.1 Stevedores 355
20.1.1 Employment 355
20.1.2 The stevedoring contract 356
20.1.3 Stevedores and liability 357
20.2 Harbour and associated facilities 359
20.2.1 Liability of operators 359
20.2.2 Navigable highways 361
20.2.3 Wreck raising 362
20.2.4 Liability of shipowners 363
20.3 Lighthouses 363
21 COLLISIONS 365
21.1 Vicarious liability 365
21.1.1 Servants 366
21.1.2 Scope of employment 368
21.2 Collision regulations 369
21.2.1 Introduction 369
21.2.2 Contents of the Rules 370
21.2.3 Breach of the Regulations 373
21.3 Duty to assist 375
21.4 Liability for collision damage 376
21.4.1 Admiralty Court procedure 376
21.4.2 Statutory presumption of fault 377
21.4.3 Causation 378
21.4.4 Inevitable accident 380
21.5 Contributory negligence 381
21.5.1 Division of loss 382
21.5.2 Alternative danger 383
21.5.3 Plaintiff's negligence subsequent to defendant's 384
21.5.4 The 'clear line' rule 385
21.5.5 Loss of life, personal injury and cargo claims 385
21.5.6 Collision other than between two ships 386
21.6 Damages 387
21.6.1 Remoteness of damage 387
21.6.2 Measure of damage 388
21.6.3 Economic loss 390
21.5.4 Interest 392
21.6.5 Damages in foreign currency 392
22 LIMITATION OF SHIPOWNERS' LIABILITY 394
22.1 Introduction 394
22.2 The 1957 Limitation Convention: Merchant Shipping Act 1894 396
22.2.1 Persons entitled to limit 396
22.2.2 Craft subject to limitation 397
22.2.3 Claims subject to limitation 398
22.2.4 Loss of the right to limit 399
22.2.5 Amount of limitation 403
22.2.6 Dock owners: harbour and pilotage authorities 407
22.3 The 1976 Limitation Convention; Merchant Shipping Act 1979 409
22.3.1 Persons entitled to limit 409
22.3.2 Craft subject to limitation 409
22.3.3 Claims subject to limitation 410
22.3.4 Loss of the right to limit 410
22.3.5 Amount of limitation 411
22.3.6 Dock owners; pilotage and harbour authorities 415
22.4 Exclusion of liability 415
23 TOWAGE 417
23.1 Introduction 417
23.2 Implied terms 418
23.3 Standard towage contracts generally 419
23.4 The UKSTC (1983) 421
23.4.1 Parties to the contract 421
23.4.2 Duration of the cover 422
23.4.3 Exclusions and indemnities 423
23.5 International ocean towage contracts 424
23.5.1 TOWHIRE 425
23.5.2 TOWCON 426
24 SALVAGE 427
24.1 Introduction 427
24.2 Maritime property 429
24.2.1 General 429
24.2.2 Life salvage 430
24.3 Danger 432
24.4 Voluntary character of the service 433
24.4.1 Statutory duties 434
24.4.2 Towage 435
24.4.3 Harbour authorities 436
24.4.4 Pilots 436
24.4.5 Ships' agents and passengers 437
24.4.6 Crew of salved vessel 437
24.4.7 Royal Navy 438
24.4.8 Coastguards 439
24.4.9 Lifeboat crews 439
24.4.10 Naval orders 439
24.5 Success 440
24.6 The salvage reward: liability and entitlement 441
24.6.1 Liability for salvage 442
24.6.2 Relations between several salvors 442
24.6.3 Salvors' rights 443
24.7 Negligent salvors 444
24.7.1 Negligence before services 444
24.7.2 Negligence during services 445
24.8 The salvage reward: assessment 446
24.8.1 General principles 446
24.8.2 Value of salved property 447
24.8.3 Value of salving property 449
24.8.4 Contribution of salved property interests inter se 450
24.8.5 Apportionment 450
24.9 Salvage agreements 453
24.9.1 General 453
24.9.2 Supervision of the Admiralty Court 455
24.9.3 Parties to the contract 456
24.10 Lloyd's Open Form Salvage Agreement 459
24.10.1 Introduction 459
24.10.2 Effect of agreeing to LOF 459
24.10.3 Supersession of salvor 460
24.10.4 Termination of LOF 461
24.10.5 Salvage security 462
24.10.6 Arbitration 463
24.10.7 Pollution prevention 463
24.10.8 Salvor's limitation 464
24.11 The draft Salvage Convention 465
24.12 Wreck 466
24.12.1 Administration of wrecks 466
24.12.2 Salvage of wrecks 468
24.12.3 Protection of wrecks 469
25 MARINE POLLUTION 473
25.1 Prevention 473
25.1.1 Construction and safety rules 473
25.1.2 Discharges 474
25.1.3 Government intervention 477
25.1.4 Dumping 479
25.2 Compensation 482
25.2.1 Common law liability 482
25.2.2 Oil pollution damage 483
25.2.3 Non-oil pollution damage 490
26 TIME BARS 492
26.1 Specific time bars 492
26.1.1 Carriage of goods 492
26.1.2 Collision and salvage 493
26.1.3 Pollution and passengers 493
26.2 General time bars 494
26.3 Overlap of time bars 495
26.4 Contractual time bars 496
PART FOUR: MARINE INSURANCE 497
27 THE MARINE INSURANCE MARKET 499
27.1 History 499
27.1.1 Who engages in insurance business? 501
27.2 Course of business at Lloyd's 502
27.3 The premium 504
27.3.1 Responsibility for premiums 504
27.3.2 'Premium to be Arranged' and 'Held Covered' Clauses 505
27.3.3 Return of premium 506
27.4 Supervision and control of the market 507
27.4.1 Insurance companies 507
27.4.2 Lloyd's 508
28 PRINCIPLES OF MARINE INSURANCE 510
28.1 Insurable interest 510
28.1.1 Interests which may be insured 511
28.1.2 When must the interest exist? 515
28.1.3 Value of insurable interest 516
28.1.4 Rights against third parties 517
28.1.5 Wagering policies 517
28.2 Indemnity 519
28.2.1 Subrogation 519
28.2.2 Problems arising from subrogation 520
28.3 Utmost good faith (uberrimae fidei) 524
28.3.1 Good faith in all contracts 524
28.3.2 Contracts 'uberrimae fidei' 525
28.3.3 Non-disclosure 525
29 THE MARINE INSURANCE CONTRACT 532
29.1 Formation of the contract 532
29.1.1 The slip and issue of the policy 532
29.1.2 Moment of formation of the contract 533
29.1.3 Legal effect of the slip 534
29.2 Types of policy 536
29.2.1 The subject-matter of marine insurance policies 536
29.2.2 Unvalued and valued policies 539
29.2.3 Voyage and time policies 544
29.2.4 Floating policies and open covers 546
29.3 Form, structure and development of marine policies 548
29.3.1 Lloyd's S.G. Policy 550
29.3.2 MAR Form of Policy 551
29.3.3 The Institute Clauses 552
29.4 Attachment and duration of risk 557
29.4.1 Commencement of risk 557
29.4.2 Duration of risk 558
29.5 Assignment 559
29.5.1 Assignment of marine policies 559
29.5.2 Form of assignment 561
29.5.3 Effect of assignment 562
30 OBLIGATIONS OF THE PARTIES 564
30.1 General obligations of the assured 564
30.1.1 Warranties 564
30.1.2 Implied warranties 566
30.1.3 Express warranties 571
30.2 General obligations of the insurer 572
30.2.1 Insurer's liability for losses 572
30.2.2 The proximate cause rule 573
30.3 Particular risks covered in marine policies 575
30.3.1 Hull clauses 576
30.3.2 Cargo clauses 581
30.3.3 War clauses 584
30.4 S.G. form exceptions 586
30.4.1 Memorandum 586
30.4.2 'Warranted free of average'(FPA) 587
30.4.3 'F.C'.＆S.'clause 588
31 LOSSES 590
31.1 Actual total loss 590
31.2 Constructive total loss 593
31.2.1 Deprivation of possession 593
31.2.2 Damage in excess of repaired value 595
31.3 Abandonment 597
31.3.1 Ship and cargo 597
31.3.2 Freight 598
31.4 Partial loss 598
31.5 Proof of loss 600
31.5.1 Loss by accident or wear and tear 600
31.5.2 War or marine loss 601
31.5.3 Scuttling 603
Further reading 605
APPENDICES 609
PART Ⅰ- THE SHIP 611
1 Supreme Court Act 1981, ss. 20-21 611
2 Bill of Sale (XS 79) 616
3 SALEFORM 1983 617
4 Mortgage to Secure Account Current: Body Corporate (XS 81a) 621
PART Ⅱ- CARRIAGE OF GOODS BY SEA 623
5 Gencon Charterparty 623
6 ACL Bill of Lading 626
7 GCBS Waybill 631
8 Bills of Lading Act 1855 634
9 Carriage of Goods by Sea Act 1971 636
PART Ⅲ - THE RUNNING OF THE SHIP 648
10 UK Standard Conditions for Towage and Other Services (Revised 1983) 648
11 Lloyd's Standard Form of Salvage Agreement (LOF 1980) 652
PART Ⅳ- MARINE INSURANCE 658
12 Insurance Market Slip 658
13 Lloyd's Marine Policy (MAR) 659
14 Institute Clauses 662
15 Lloyd's S.G. Policy 686
16 Institute Cargo Clauses (FPA), 1963 689
17 Institute Cargo Clauses (WPA), 1963 cl.5. 691
Index 692