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BIMCO New Jason Clause

In the event of accident, danger, damage or disaster before or after the


commencement of the voyage, resulting from any cause whatsoever,
whether due to negligence or not, for which, or for the consequence of
which, the Carrier is not responsible, by statute, contract or otherwise, the
goods, Shippers, Consignees or owners of the goods shall contribute with the
Carrier in general average to the payment of any sacrifices, losses or
expenses of a general average nature that may be made or incurred and
shall pay salvage and special charges incurred in respect of the goods.
If a salving ship is owned or operated by the Carrier, salvage shall be paid
for as fully as if the said salving ship or ships belonged to strangers. Such
deposit as the Carrier or his agents may deem sufficient to cover the
estimated contribution of the goods and any salvage and special charges
thereon shall, if required, be made by the goods, Shippers, Consignees or
owners of the goods to the Carrier before delivery.
Rule 1 Application
(a) These Rules shall apply to all vessels upon the high seas and in all waters
connected therewith navigable by seagoing vessels.
(b) Nothing in these Rules shall interfere in the operation of special rules
made by an appropriate authority for roadsteads, harbors, rivers, lakes or
inland waterways connected with the high seas and navigable by seagoing
vessels. Such special rules shall conform as closely as possible to these
Rules.
Rule 2 Responsibility
(a) Nothing in these Rules shall exonerate any vessel, or the owner, master,
or crew thereof, from the consequences of any neglect to comply with these
Rules or of the neglect of any precaution which may be required by the
ordinary practice of seamen, or by the special circumstances of the case.
(b) In construing and complying with these Rules due regard shall be had to
all dangers of navigation and collision and to any special circumstances,
including the limitations of the vessels involved, which may make a
departure from these Rules necessary to avoid immediate danger.
Rule of Good Seamanship

Contributory negligence applied to owner, captain and/or crew.

Requirement to depart from the rules to avoid danger.

Also known as the General Prudential Rule or the Rule of Special


Circumstance.
Rule 3 General Definitions
For the purpose of these Rules, except where the context otherwise requires:
(a) The word "vessel" includes every description of watercraft, including
non-displacement craft and seaplanes, used or capable of being used as a
means of transportation on water.
(b) The term "power driven vessel" means any vessel propelled by
machinery.
(c) The term "sailing vessel" means any vessel under sail provided that
propelling machinery, if fitted, is not being used.

(d) The term "vessel engaged in fishing" means any vessel fishing with
nets, lines, trawls, or other fishing apparatus which restrict maneuverability,
but does not include a vessel fishing with trolling lines or other fishing
apparatus which do not restrict manageability.
(e) The term "seaplane" includes any aircraft designed to maneuver on the
water.
(f) The term "vessel not under command" means a vessel which through
some exceptional circumstance is unable to maneuver as required by these
Rules and is therefore unable to keep out of the way of another vessel.
(g) The term "vessel restricted in her ability to maneuver" means a
vessel which from the nature of her work is restricted in her ability to
maneuver as required by these Rules and is therefore unable to keep out of
the way of another vessel.
The term "vessel restricted in her ability to maneuver" shall include
but not be limited to:
(i) A vessel engaged in laying, servicing, or picking up a navigational
mark, submarine cable or pipeline;
(ii) A vessel engaged in dredging, surveying or underwater operations;
(iii) A vessel engaged in replenishment or transferring persons, provisions
or cargo while underway;
(iv) A vessel engaged in the launching or recovery of aircraft;
(v) A vessel engaged in mineclearance operations;
(vi) A vessel engaged in a towing operation such as severely restricts the
towing vessel and her tow in their ability to deviate from their course.
(h) The term "vessel constrained by her draft" means a power driven
vessel which because of her draft in relation to the available depth and
width of navigable water is severely restricted in her ability to deviate from
the course she is following.
(i) The word "underway" means a vessel is not at anchor, or made fast to
the shore, or aground.
(j) The words "length" and "breadth" of a vessel mean her length overall
and greatest breadth.
(k) Vessels shall be deemed to be in sight of one another only when one can
be observed visually from the other.
(l) The term "restricted visibility" means any condition in which visibility
is restricted by fog, mist, falling snow, heavy rainstorms, sandstorms and
any other similar causes.
Part B - Steering and Sailing Rules
Section I - Conduct of Vessels in any Condition of Visibility
Rule 4 Application
Rules in this section apply to any condition of visibility.
Rule 5 Look-out
Every vessel shall at all times maintain a proper look-out by sight and
hearing in order to make a full appraisal of the situation and risk of
collision.
Rule 6 Safe Speed

Speed that allows proper and effective action to avoid collision.


Visibility

Traffic density and characteristics.

Maneuverability, draft.

Background clutter.
Weather, wind, current, navigational hazards
Rule 7 Risk of Collision
(a) Every vessel shall use all available means appropriate to the prevailing
circumstances and conditions to determine if risk of collision exists. If there
is any doubt such risk shall be deemed to exist.
(b) Proper use shall be made of radar equipment if fitted and operational,
including long-range scanning to obtain early warning of risk of collision and
radar plotting or equivalent systematic observation of detected objects.
(c) Assumptions shall not be made on the basis of scanty information,
especially scanty radar information.
(d) In determining if risk of collision exists the following considerations shall
be among those taken into account:
(i) Such risk shall be deemed to exist if the compass bearing of an
approaching vessel does not appreciably change;
(ii) Such risk may sometimes exist even when an appreciable bearing
change is evident, particularly when approaching a very large vessel or
a tow or when approaching a vessel at close range.
Rule 8 Action to Avoid Collision

Must be positive and done in ample time.

Rule of good seamanship.

Readily apparent, use large gross actions!

Leave no doubt what your intention is!


(a)Any action taken to avoid collision shall, if the circumstances of the case
admit, be positive, made in ample time and with due regard to the
observance of good seamanship.
(b) Any alteration of course and/or speed to avoid collision shall, if the
circumstances of the case admit be large enough to be readily apparent to
another vessel observing visually or by radar; a succession of small
alterations of course and/or speed shall be avoided.
(c) If there is sufficient sea room, alteration of course alone may be the most
effective action to avoid a closequarters situation provided that it is made in
good time, is substantial and does not result in another closequarters
situation.
(d) Action taken to avoid collision with another vessel shall be such as to
result in passing at a safe distance. The effectiveness of the action shall be
carefully checked until the other vessel is finally past and clear.
(e) If necessary to avoid collision or allow more time to asses the situation, a
vessel may slacken her speed or take all way off by stopping or reversing
her means of propulsion.
Rule 9 Narrow Channels
(a) A vessel proceeding along the course of a narrow channel or fairway shall
keep as near to the outer limit of the channel or fairway which lies on her
starboard side as is safe and practicable.

(b) A vessel of less than 20 meters in length or a sailing vessel shall not
impede the passage of a vessel which can safely navigate only within a
narrow channel or fairway.
(c) A vessel engaged in fishing shall not impede the passage of any other
vessel navigating within a narrow passage or fairway.
(d) A vessel shall not cross a narrow passage or fairway if such crossing
impedes the passage of a vessel which can safely navigate only within such
channel or fairway. The latter vessel may use the sound signal prescribed in
Rule 34(d) if in doubt as to the intention of the crossing vessel.
(e)
(i) In a narrow channel or fairway when overtaking can take place only
when the vessel to be overtaken has to take action to permit safe
passing, the vessel intending to overtake shall indicate her intention by
sounding the appropriate signal prescribed in Rule 34(c)(i). The vessel
to be overtaken shall, if in agreement, sound the appropriate signal
prescribed in Rule 34(c)(ii) and take steps to permit safe passing. If in
doubt she may sound the signals prescribed in Rule 34(d).
(ii) This rule does not relieve the overtaking vessel of her obligation
under Rule 13.
(f) A vessel nearing a bend or an area of a narrow channel or fairway where
other vessels may be obscured by an intervening obstruction shall navigate
with particular alertness and caution and shall sound the appropriate signal
prescribed in Rule 34(e).
(g) Any vessel shall, if the circumstances of the case admit, avoid anchoring
in a narrow channel.
Rule 10 Traffic Separation Schemes
(b) A vessel using a traffic separation scheme shall:
(i) Proceed in the appropriate traffic lane in the general direction of traffic
flow for that lane.
(ii) So far as is practicable keep clear of a traffic separation line or separation
zone.
(iii) Normally join or leave a traffic lane at the termination of the lane, but
when joining or leaving from either side shall do so at as small an angle to
the general direction of traffic flow as practicable.
(c) A vessel shall so far as practicable avoid crossing traffic lanes, but if
obliged to do so shall cross on a heading as nearly as practicable at right
angles to the general direction of traffic flow.
(e) A vessel, other than a crossing vessel or a vessel joining or leaving a lane
shall not normally enter a separation zone or cross a separation line except:
(i) in cases of emergency to avoid immediate danger;
(ii) to engage in fishing within a separation zone.
(g) A vessel shall so far as practicable avoid anchoring in a traffic separation
scheme or in areas near its terminations.
(h) A vessel not using a traffic separating scheme shall avoid it by as wide a
margin as is practicable.
(i) A vessel engaged in fishing shall not impede the passage of any vessel
following a traffic lane.
(j) A vessel of less than 20 meters in length or a sailing vessel shall not
impede the safe passage of a power driven vessel following a traffic lane.

ENCOUNTERING OTHER VESSELS


RULE 13 OVERTAKING - Vessel that is passed by another from a position
more than 22.5 degrees abaft of its beam is the overtaken vessel. The
overtaking vessel should not see the green or red navigation sidelights.
(a) Notwithstanding anything contained in the Rules of Part B, Sections I and
II, any vessel overtaking any other shall keep out of the way of the vessel
being overtaken.
(b) A vessel shall be deemed to be overtaking when coming up with a
another vessel from a direction more than 22.5 degrees abaft her beam, that
is, in such a position with reference to the vessel she is overtaking, that at
night she would be able to see only the sternlight of that vessel but neither
of her sidelights.
(c) When a vessel is in any doubt as to whether she is overtaking another,
she shall assume that this is the case and act accordingly.
(d) Any subsequent alteration of the bearing between the two vessels shall
not make the overtaking vessel a crossing vessel within the meaning of
these Rules or relieve her of the duty of keeping clear of the overtaken
vessel until she is finally past and clear.

(d) This Rule does not relieve the give-way vessel of her obligation to keep
out of the way.

RULE 14 HEAD ON - When two power-driven vessels are on reciprocal


courses, so as to prevent collision, vessels will steer to starboard so each
shall pass on the port of each other. (Port-Hem Rule) At night, vessels in a
head-on situation should observe masthead light(s) in a line and one or both
sidelights.

(l) "Pollution Damage" means:

RULE 15 CROSSING - A vessel which has another vessel on her starboard


side shall keep out of the way of the other and if necessary, avoid crossing
ahead of the other vessel. On the Great Lakes and Western Rivers, a vessel
crossing a river shall keep out of the way of an ascending or descending
vessel.
Rule16 Action by Give-way Vessel
Every vessel which is directed to keep out of the way of another shall so far
as possible take early and substantial action to keep well clear
Rule 17 Action by Stand-on Vessel
(a)
(i) Where one of two vessels is to keep out of the way of the other shall
keep her course and speed.
(ii) The latter vessel may however take action to avoid collision by her
maneuver alone, as soon as it becomes apparent to her that the vessel
required to keep out of the way is not taking appropriate action in
accordance with these Rules.
(b) When, from any cause, the vessel required to keep her course and speed
finds herself so close that collision cannot be avoided by the action of the
give-way vessel alone, she shall take such action as will best aid to avoid
collision.
(c) A power driven vessel which takes action in a crossing situation in
accordance with subparagraph (a)(ii) of this Rule to avoid collision with
another power driven vessel shall, if the circumstances of the case admit,
not alter course to port for a vessel on her own port side.

Rule 18 Responsibilities Between Vessels


(R.O.W. Pecking Order)
Privileged
Not under command (NUC)
Restricted in ability to maneuver (RAM dredging, mine sweeping)
Constrained by draft
Fishing/trawling (not trolling)
Sail or manually powered boat
Power-driven
Seaplane
Burdened

RA 9483 Oil Pollution Act of 2007

(1) Loss or damage caused outside the Ship by contamination resulting from
the escape or discharge of Oil from the Ship, wherever such escape or
discharge may occur: Provided, That compensation for impairment of the
environment other than loss of profit from such impairment shall be limited
to costs of reasonable measures of reinstatement actually undertaken or to
be undertaken; and
(2) The costs of preventive measures and further loss or damage caused by
preventive measure;
(n) "Ship" means any sea-going vessel and sea-home craft of any type
whatsoever constructed or adapted for the carriage of Oil in bulk as cargo:
Provided That a Ship capable of carrying Oil and other cargoes shall be
regarded as a Ship only when it is actually carrying Oil in bulk as cargo and
during any voyage following such carriage unless it is proved that it has no
residues of such carriage of Oil in bulk aboard;
SEC. 4. Incorporation of the 1992 Civil Liability Convention and 1992 Fund
Convention. - Subject to the provisions of this Act, the 1992 Civil Liability
Convention and 1992 Fund Convention and their subsequent amendments
shall form part of the law of the Republic of the Philippines.
SEC. 5 Scope of Application. - This law shall apply exclusively to Pollution
Damage caused in Philippine territory, including its territorial sea and its
exclusive economic zone, and to preventive measures, wherever taken, to
prevent or minimize such damage.
CHAPTER II

STRICT LIABILITY FOR OIL POLLUTION DAMAGE


SEC. 6. Liability on Pollution Damage. - The Owner of the Ship at the time of
an Incident, or where the Incident consists of a series of occurrences, at the
time of the first such occurrence, shall be liable for any Pollution Damage
caused by the Ship as a result of the Incident. Such damages shall include,
but not limited to:
(a) Reasonable expenses actually incurred in clean-up operations at sea or
on shore;
(b) Reasonable expenses of Preventive Measures and further loss or damage
caused by preventive measures;
(c) Consequential loss or loss of earnings suffered by Owners or users of
property contaminated or damaged as a direct result of an Incident;
(d) Pure economic loss or loss of earnings sustained by persons although the
property contaminated or damaged as a direct result of an Incident does not
belong to them;
(e) Damage to human health or loss of life as a direct result of the Incident,
including expenses for rehabilitation and recuperation: Provided, That costs
of studies or diagnoses to determine the long-term damage shall also be
included; and
(f) Environmental damages and other reasonable measures of environmental
restoration.
SEC. 7. Exempting Circumstances. - No liability as stated in the immediately
preceding section shall attach to the Owner or his insurer if he proves that
the damage:
(a) Resulted from an act of war, hostilities, civil war, insurrection or a natural
phenomenon of an exceptional, inevitable and irresistible character;
(b) Was wholly caused by an act or omission done with intent to cause
damage by third party; and
(c) Was wholly caused by the negligence or other wrongful act of the
government or other enforcement agencies responsible for the maintenance
of lights or other navigational aids in the exercise of that function. If the
Owner proves that the Pollution Damage resulted wholly or partially either
from an act or omission done with intent to cause damage by the person
who suffered the damage or from the negligence of that person, the Owner
may be exonerated wholly or partially from his liability to such person.

SEC. 8. Persons Exempted from Claims for Compensation for Pollution


Damage. - No claim for compensation Pollution Damage under this Act may
be made against:
(a) The servants or agents of the Owner or the members of the crew;
(b) The pilot or any other person who, without being a member of the
crew, performs services for the Ship;
(c) Any charterer, howsoever described, including a bareboat charterer,
manager or operator of the Ship;
(d) Any person performing salvage operations with the consent of the
Owner or on the instructions of a competent public authority;
(e) Any person taking Preventive Measures; and
(f) All servants or agents of persons mentioned in paragraphs (c), (d)
and (e) hereof, unless the damage resulted from their personal act or
omission, committed with the intent to cause such damage, or
committed recklessly and with knowledge that such damage would
probably result: Provided, That nothing in this Act shall prejudice any
right of recourse of the Owner against third parties.
SEC. 9. Joint and Several Liability. - When an Incident involving two or more
Ships occurs and Pollution Damage results therefrom, the Owners of all the
Ships concerned, unless exonerated under Section 7 hereof, shall be jointly
and severally liable for all such damage which is not reasonably separable,
without prejudice, however, to the right of recourse of any of such Owners to
proceed against each other or third parties.
CHAPTER III
SYSTEM OF LIMITATION OF LIABILITY
SEC. 10. Limitation of Liability. - The Owner shall be entitled to limit his
liability under this Act with respect to a particular Incident to a total amount
calculated as follows:
(a) Three million (3,000,000) units of account for a Ship not exceeding five
thousand (5,000) units of tonnage;
(b) For a Ship with a tonnage in excess thereof, for each unit of tonnage, four
hundred twenty (420) units of account for each unit in addition to the
amount mentioned in paragraph (a): Provided, however, That this aggregate
amount shall not, in any event, exceeds 59.7 million units of account:

Provided, further, That the limit of liability of the Owner as aforementioned


shall be subject to adjustment according to subsequent amendments to the
1992 Civil Liability Convention.
The limited liability, under this Section may not be availed of by the Owner if
it has been established that such Pollution Damage resulted from his
personal act or omission, committed with intent to cause such damage, or
committed recklessly and with knowledge that such damage would probably
result.

SEC. 13. Issuance of a Certificate. - A certificate attesting that an insurance


or any other financial security is in force in accordance with the provisions of
this Act shall be issued to each Ship carrying more than two thousand
(2,000) tons of Oil in bulk as cargo by the MARINA. With respect to a Ship not
registered in a convention-member State, such certificate may be issued or
certified by the MARINA. This certificate shall be in the form established by
the 1992 Civil Liability Convention and shall contain the following
particulars:
(a) Name of Ship and port of registration;

The "unit of account" referred to in this Section is the Special Drawing Right
(SDR) as defined by the International Monetary Fund as set forth in the 1992
Civil Liability Convention. The said amount shall be converted into national
currency on the basis of the value of the currency by reference to the SDR
on the date that the fund is constituted under Section 11 of this Act.
The SDR is an international reserve asset, created by the IMF in 1969 to
supplement the existing official reserves of member countries. SDRs are
allocated to member countries in proportion to their IMF quotas. The SDR
also serves as the unit of account of the IMF and some other international
organizations. Its value is based on a basket of key international currencies.

(b) Name and principal place of business of the Owner;


(c) Type of security;
(d) Name and principal place of business of the insurer or other person
giving security and, where appropriate, place of business where the
insurance or security is established; and
(e) Validity period of the certificate which shall not be longer than the period
of validity of the insurance or other financial security.

SEC. 11. Constitution of a fund. - For the purpose of availing himself of the
benefit of limitation provided for under Section 10 of this Act following the
occurrence of a particular Incident, the Owner shall be required to constitute
a fund for the total sum representing the limit of his liability with the
Maritime Industry Authority (MARINA) to cover Incidents causing Pollution
Damage: Provided That any claim for compensation from Pollution Damage
shall be brought directly to the Regional Trial Courts (RTC).

SEC. 14. Enforcement. - Ship carrying more than two thousand (2,000) tons
of Oil in bulk as cargo shall not be allowed entry into Philippine territory or
its exclusive economic zone without a valid certificate of insurance or
financial security for Pollution Damage required by this Act.

The fund can be constituted by depositing the sum or by producing a bank


guarantee or other financial guarantee acceptable under existing laws and
considered to be adequate by the Department of Transportation and
Communications (DOTC).

If any such Ship is found within the said territory or zone without such
certificate, said Ship shall be prevented from loading or unloading its cargo
until it is able to produce the appropriate insurance or financial security duly
certified by the State of its registry if such country is a convention- member
State, otherwise, issued or certified by the MARINA or any conventionmember State.

* The International Oil Pollution Compensation Funds are three


intergovernmental organisations (the 1971 Fund, the 1992 Fund and the
Supplementary Fund) which provide compensation for oil pollution damage
resulting from spills of persistent oil from tankers.
CHAPTER IV
SYSTEM OF COMPULSORY INSURANCE AND CERTIFICATION
SEC. 12. Maintenance of Compulsory Insurance or Other Financial Security. AU Owners shall be required annually by the MARINA to maintain insurance
or other financial security for Pollution Damage in the sums fixed by applying
the limits of liability under Section 10 of this Act.

For this purpose, the PPA or any other port authorities shall deny port
services to said Ship without such certificate.

The Owner and master of the Ship referred to in the immediately preceding
paragraph shall be jointly and severally liable to the fines set forth in this
Act. Such Ship shall be prevented from leaving unless the appropriate fines
shall have been paid to the full satisfaction of the MARINA.
The PCG shall conduct inspections of certificates of Ships entering the
territory of the Philippines, or, in the case of Ships registered in the
Philippines voyaging within the said territory: Provided That such inspections
shall not cause undue delay to the Ships.
CHAPTER V

CONTRIBUTION TO THE INTERNATIONAL OIL POLLUTION COMPENSATION


FUND
SEC. 15. Contributions to the International Oil Pollution Compensation (IOPC)
Fund. - Any person who has received more than one hundred fifty thousand
(150,000) tons of contributing Oil in a calendar year in all ports or terminal
installations in the Philippines through carriage by sea, shall pay
contributions to the International Oil Pollution Compensation (IOPC) Fund in
accordance with the provisions of the 1992 Fund Convention.
A person shall be deemed to have received contributing Oil, for contribution
purposes, if he received the same:
(a) From another country; or
(b) From another port or terminal installation within the Philippines,
notwithstanding that it had already been previously received by him.
Where the quantity of contributing Oil received by any person in the
Philippines in a calendar year, when aggregated with the quantity of
contributing Oil received in the Philippines in that year by its subsidiary or
affiliate corporation, exceeds one hundred fifty thousand (150,000) tons,
said person, including its subsidiaries, shall pay contributions in respect of
the actual quantity received by each, notwithstanding that the actual
quantity received by each did not exceed one hundred f a y thousand
(150,000) tons.
SEC. 16. Reporting of Contributing Oil. - Any person who, in a calendar year,
has received in the territory of the Philippines contributing Oil, as defined in
this Act, shall, not later than February 1 of the following year, report to the
Department of Energy (DOE) the quantity of such Oil received. The DOE,
through the Department of Foreign Affairs, shall communicate the data at a
time and in the manner prescribed by the 1992 Fund Convention.
CHAPTER VI

appropriate government agencies, providing such insurance or financial


security for Pollution Damage shall be considered transacting or doing
business in the Philippines and shall be subject to the jurisdiction of the
regular judicial courts of the country.
Such action shall be filed within three years of the date on which the
damage occurred, but not later than six years of the date of the Incident.
The PCG shall investigate, motu proprio or through compensation or
violation of this Act, and shall forthwith file appropriate action with the RTC.
It shall likewise provide the complainant necessary technical evidence or any
assistance, whether or not testimonial or documentary, insofar as the claim
for compensation or violation of this Act is concerned.
Filing of the action under this section shall only require payment of filing fees
equivalent to ten percentum (10%) of the regular rates established therefore
by the Supreme Court of the Philippines. However, indigent plaintiff shall be
exempt from payment of docket and other lawful fees, and of transcripts of
stenographic notes which the court may order to be furnished him. The
amount of the docket and other lawful fees which the indigent was
exempted from paying shall be a lien on any judgment rendered in the case
favorable to the indigent, unless the court otherwise provides.
SEC. 18. Adjudication or Settlement of Claims. - The RTC shall decide claims
for compensation or certify the compromise agreement by the parties within
a reasonable period.
Where compensation was not obtained or satisfied under the 1992 Civil
Liability Convention, the claimant may seek compensation under the 1992
Fund Convention. The RTC shall furnish the IOPC Fund with its certified
decision, together with pertinent documents, on a claim for Pollution
Damages.

ACTION FOR COMPENSATION

Where the fund under the 1992 Civil Liability Convention is insufficient to
satisfy the claims of those who are entitled to compensation, the amount of
compensation of each claimant shall be distributed pro rata.

SEC. 17. Action for Compensation. - An action for compensation on account


of Pollution Damage resulting from the Incident which occurred in the
territory may be brought before the RTC against the following persons:

SEC. 19. Intervention by the IOPC Fund - The IOPC Fund may intervene as a
party to any legal proceedings instituted against the Owner of a Ship or his
guarantor under Article IX of the 1992 Civil Liability Convention.

(a) Owner of the polluting Ship; or

1992 International Convention on Civil Liability for Oil Pollution


Damage

(b) Insurer or other person providing financial security of the said Owners
liability for pollution.
For this purpose, foreign corporation, partnership, association or individual,
whether or not licensed to transact business in the Philippines by any

Article 3 CLC par 4


4. for compensation for pollution damage may be made against the owner
otherwise than in accordance with this Convention. Subject to paragraph 5

of this Article, no claim for compensation for pollution damage under this
Convention or otherwise may be made against:
(a) the servants or agents of the owner or the members of the crew;
(b) the pilot or any other person who, without being a member of the
crew, performs services for the ship;
(c) any charterer (how so ever described, including a bareboat
charterer), manager or operator of the ship;
(d) any person performing salvage operations with the consent of the
owner or on the instructions of a competent public authority;
(e) any person taking preventive measures;
(f) all servants or agents of persons mentioned in subparagraphs (c), (d)
and (e);
unless the damage resulted from their personal act or omission,
committed with the intent to cause such damage, or recklessly and with
knowledge that such damage would probably result.
5. Nothing in this Convention shall prejudice any right of recourse of the
owner against third parties.
Art 5 CLC
5. If before the fund is distributed the owner or any of his servants or agents
or any person providing him insurance or other financial security has as a
result of the incident in question, paid compensation for pollution damage,
such person shall, up to the amount he
has paid, acquire by subrogation the rights which the person so
compensated would have enjoyed under this Convention.
6. The right of subrogation provided for in paragraph 5 of this Article may
also be exercised by a person other than those mentioned therein in respect
of any amount of compensation for pollution damage which he may have
paid but only to the extent that such subrogation is permitted under the
applicable national law.
7. Where the owner or any other person establishes that he may be
compelled to pay at a later date in whole or in part any such amount of
compensation, with regard to which such person would have enjoyed a right
of subrogation under paragraphs 5 or 6 of this Article,
had the compensation been paid before the fund was distributed, the Court
or other competent authority of the State where the fund has been
constituted may order that a sufficient sum shall be provisionally set aside to
enable such person at such later date to enforce his claim against the fund.
8. Claims in respect of expenses reasonably incurred or sacrifices reasonably
made
Art 9 CLC
1. The Fund shall, in respect of any amount of compensation for pollution
damage paid by the Fund in accordance with Article 4, paragraph 1, of this
Convention, acquire by subrogation the rights that the person so
compensated may enjoy under the 1992 Liability
Convention against the owner or his guarantor.

2. Nothing in this Convention shall prejudice any right of recourse or


subrogation of the Fund against persons other than those referred to in the
preceding paragraph. In any event the right of the Fund to subrogation
against such person shall not be less favourable than that of an insurer of
the person to whom compensation has been paid.
3. Without prejudice to any other rights of subrogation or recourse against
the Fund which may exist, a Contracting State or agency thereof which has
paid compensation for pollution damage in accordance with provisions of
national law shall acquire by subrogation the rights which the person so
compensated would have enjoyed under this Convention.
Art 7 CLC
1. Subject to the subsequent provisions of this Article, any action against the
Fund for compensation under Article 4 of this Convention
shall be brought only before a court competent under Article IX of the 1992
Liability Convention in respect of actions against the
owner who is or who would, but for the provisions of Article III, paragraph 2,
of that Convention, have been liable for pollution
damage caused by the relevant incident.
2. Each Contracting State shall ensure that its courts possess the necessary
jurisdiction to entertain such actions against the Fund as are referred to in
paragraph 1.
3. Where an action for compensation for pollution damage has been brought
before a court competent under Article IX of the 1992 Liability Convention
against the owner of a ship or his guarantor, such court shall have exclusive
jurisdictional competence over any action against the Fund for compensation
under the provisions of Article 4 of this Convention in respect of the same
damage. However, where an action for compensation for pollution damage
under the 1992 Liability Convention has been brought before a court in a
State Party to the 1992 Liability Convention but not to this Convention, any
action against the Fund under Article 4 of this Convention shall at the option
of the claimant be brought either before a court of the State where the Fund
has its headquarters or before any court of a State Party to this Convention
competent under Article IX of the 1992 Liability Convention.
4. Each Contracting State shall ensure that the Fund shall have the right to
intervene as a party to any legal proceedings instituted in accordance with
Article IX of the 1992 Liability Convention before a competent court of that
State against the owner of a ship or his guarantor.
5. Except as otherwise provided in paragraph 6, the Fund shall not be bound
by any judgment or decision in proceedings to which it has not been a party
or by any settlement to which it is not a party.
PIRACY

ARTICLE 661. Neither merchandise lost by reason of shipwreck or stranding


nor those seized by the pirates or enemies, shall pay freightage. If the
freightage should have been paid in advance, it shall be returned, unless
there is an agreement to the contrary.

10. The wages and victuals of the crew of a vessel chartered by the month,
during the time that it is embargoed or detained by force majeure or by
order of the government, or in order to repair the damage caused for the
common benefit.

ARTICLE 668. If the consignee should not be found or should refuse to


receive the cargo, the judge or court, at the instance of the captain, shall
order its deposit and the sale of what may be necessary to pay the
freightage and other expenses on the same.
The sale shall likewise be allowed when the goods deposited run the risk of
deteriorating, or by reason of their condition or other circumstances the
expenses of preservation and custody should be disproportionate.

11. The depreciation resulting in the value of the goods sold at arrival under
stress in order to repair the vessel by reason of gross average.

ARTICLE 811. As a general rule, general or gross averages shall include all
the damages and expenses which are deliberately caused in order to save
the vessel, its cargo, or both at the same time, from a real and known risk,
and particularly the following:
1. The goods or cash invested in the redemption of the vessel or of the cargo
captured by enemies, privateers, or pirates, and the provisions, wages, and
expenses of the vessel detained during the time the settlement or
redemption is being made.
2. The goods jettisoned to lighten the vessel, whether they belong to the
cargo, to the vessel, or to the crew, and the damage suffered through said
act by the goods which are kept on board.
3. The cables and masts which are cut or rendered useless, the anchors and
the chains which are abandoned, in order to save the cargo, the vessel, or
both.
4. The expenses of removing or transferring a portion of the cargo in order to
lighten the vessel and place it in condition to enter a port or roadstead, and
the damage resulting therefrom to the goods removed or transferred.
5. The damage suffered by the goods of the cargo by the opening made in
the vessel in order to drain it and prevent its sinking.

All States shall cooperate to the fullest possible extent in the repression of
piracy on the high seas or in any other place outside the jurisdiction of any
State.

6. The expenses caused in order to float a vessel intentionally stranded for


the purpose of saying it.

Article102 Piracy by a warship, government ship or government aircraft


whose crew has mutinied

7. The damage caused to the vessel which had to be opened, scuttled or


broken in order to save the cargo.

The acts of piracy, as defined in article 101, committed by a warship,


government ship or government aircraft whose crew has mutinied and taken
control of the ship or aircraft are assimilated to acts committed by a private
ship or aircraft.

8. The expenses for the treatment and subsistence of the members of the
crew who may have been wounded or crippled in defending or saying the
vessel.
9. The wages of any member of the crew held as hostage by enemies,
privateers, or pirates, and the necessary expenses which he may incur in his
imprisonment, until he is returned to the vessel or to his domicile, should he
prefer it.

12. The expenses of the liquidation of the average.


UNCLOS High Seas
Article100 Duty to cooperate in the repression of piracy

Article101 Definition of piracy


Piracy consists of any of the following acts:
(a)
any illegal acts of violence or detention, or any act of depredation,
committed for private ends by the crew or the passengers of a private ship
or a private aircraft, and directed:
(i) on the high seas, against another ship or aircraft, or against persons
or property on board such ship or aircraft;
(ii) against a ship, aircraft, persons or property in a place outside the
jurisdiction of any State;
(b)
any act of voluntary participation in the operation of a ship or of an
aircraft with knowledge of facts making it a pirate ship or aircraft;
(c)
any act of inciting or of intentionally facilitating an act described in
subparagraph (a) or (b).

Article103 Definition of a pirate ship or aircraft


A ship or aircraft is considered a pirate ship or aircraft if it is intended by the
persons in dominant control to be used for the purpose of committing one of
the acts referred to in article 101. The same applies if the ship or aircraft has
been used to commit any such act, so long as it remains under the control of
the persons guilty of that act.

Article104 Retention or loss of the nationality of a pirate ship or aircraft


A ship or aircraft may retain its nationality although it has become a pirate
ship or aircraft. The retention or loss of nationality is determined by the law
of the State from which such nationality was derived.
Article105 Seizure of a pirate ship or aircraft
On the high seas, or in any other place outside the jurisdiction of any State,
every State may seize a pirate ship or aircraft, or a ship or aircraft taken by
piracy and under the control of pirates, and arrest the persons and seize the
property on board. The courts of the State which carried out the seizure may
decide upon the penalties to be imposed, and may also determine the action
to be taken with regard to the ships, aircraft or property, subject to the rights
of third parties acting in good faith.
Article106 Liability for seizure without adequate grounds
Where the seizure of a ship or aircraft on suspicion of piracy has been
effected without adequate grounds, the State making the seizure shall be
liable to the State the nationality of which is possessed by the ship or
aircraft for any loss or damage caused by the seizure.

(b) the State of registry of the installation;


(c) the State of which the person is a national;
(d) any State where the transmissions can be received; or
(e) any State where authorized radio communication is suffering
interference.
4.
On the high seas, a State having jurisdiction in accordance with
paragraph 3 may, in conformity with article 110, arrest any person or ship
engaged in unauthorized broadcasting and seize the broadcasting
apparatus.
Article110 Right of visit
1.
Except where acts of interference derive from powers conferred by
treaty, a warship which encounters on the high seas a foreign ship, other
than a ship entitled to complete immunity in accordance with articles 95 and
96, is not justified in boarding it unless there is reasonable ground for
suspecting that:
(a) the ship is engaged in piracy;
(b) the ship is engaged in the slave trade;
(c) the ship is engaged in unauthorized broadcasting and the flag State
of the warship has jurisdiction under article 109;
(d) the ship is without nationality; or
(e) though flying a foreign flag or refusing to show its flag, the ship is, in
reality, of the same nationality as the warship.

Article107 Ships and aircraft which are entitled to seize on account of piracy
A seizure on account of piracy may be carried out only by warships or
military aircraft, or other ships or aircraft clearly marked and identifiable as
being on government service and authorized to that effect.
Article108 Illicit traffic in narcotic drugs or psychotropic substances
1.
All States shall cooperate in the suppression of illicit traffic in
narcotic drugs and psychotropic substances engaged in by ships on the high
seas contrary to international conventions.
2.
Any State which has reasonable grounds for believing that a ship
flying its flag is engaged in illicit traffic in narcotic drugs or psychotropic
substances may request the cooperation of other States to suppress such
traffic.
Article109 Unauthorized broadcasting from the high seas
1.
All States shall cooperate in the suppression of unauthorized
broadcasting from the high seas.
2.
For the purposes of this Convention, "unauthorized broadcasting"
means the transmission of sound radio or television broadcasts from a ship
or installation on the high seas intended for reception by the general public
contrary to international regulations, but excluding the transmission of
distress calls.
3.
Any person engaged
prosecuted before the court of:
(a) the flag State of the ship;

in

unauthorized

broadcasting

may

be

2.
In the cases provided for in paragraph 1, the warship may proceed
to verify the ship's right to fly its flag. To this end, it may send a boat under
the command of an officer to the suspected ship. If suspicion remains after
the documents have been checked, it may proceed to a further examination
on board the ship, which must be carried out with all possible consideration.
3.
If the suspicions prove to be unfounded, and provided that the ship
boarded has not committed any act justifying them, it shall be compensated
for any loss or damage that may have been sustained.
4.

These provisions apply mutatis mutandis to military aircraft.

5.
These provisions also apply to any other duly authorized ships or
aircraft clearly marked and identifiable as being on government service.
*IMO MSC.1/Circ.1334 23 June 2009
Clause 59: Firearms
With respect to the carriage of firearms on board, masters, shipowners and
companies should be aware that ships entering the territorial sea and/or
ports of a State are subject to that States legislation. It should be borne in
mind that importation of firearms is subject to port and coastal State
regulations. It should also be borne in mind that carrying firearms may pose

an even greater danger if the ship is carrying flammable cargo or similar


types of dangerous goods.
Clause 60 and 61: Non-arming of Seafarers
Non-arming of seafarers
60 The carrying and use of firearms by seafarers for personal protection or
for the protection of a ship is strongly discouraged. Seafarers are civilians
and the use of firearms requires special training and aptitudes and the risk
of accidents with firearms carried on board ship is great. Carriage of arms on
board ship may encourage attackers to carry firearms or even more
dangerous weapons, thereby escalating an already dangerous situation. Any
firearm on board may itself become an attractive target for an attacker.
61 It should also be borne in mind that shooting at suspected pirates may
impose a legal risk for the master, shipowner or company, such as collateral
damages. In some jurisdictions, killing a national may have unforeseen
consequences even for a person who believes he or she has acted in self
defence. Also the differing customs or security requirements for the carriage
and importation of firearms should be considered, as taking a small handgun
into the territory of some countries may be considered an offence.
Clause 62: Use of unarmed security personnel
62 The use of unarmed security personnel is a matter for individual
shipowners, companies, and ship operators to decide. The use of unarmed
security personnel to provide security advice and an enhanced lookout
capability could be considered.
Clause 63: Use of privately contracted armed security personnel
63 If armed security personnel are allowed on board, the master, shipowner,
operator and
company should take into account the possible escalation of violence and
other risks. However, the use of privately contracted armed security
personnel on board merchant ships and fishing vessels is a matter for flag
State to determine in consultation with shipowners, operators and
companies.
Masters, shipowners, operators and companies should contact the flag State
and seek clarity of the national policy with respect to the carriage of armed
security personnel. All legal requirements of flag, port and coastal States
should be met.
Clause 64: Military teams or law enforcement officers duly authorized by
Government
64 The use of military teams or law enforcement officers duly authorized by
the Government of the flag State to carry firearms for the security of
merchant ships or fishing vessels is a matter for the flag State to authorize
in consultation with shipowners, operators and companies. The carriage of
such teams may be required or recommended when the ship is transiting or
operating in areas if high risk. Due to rules of engagement defined by their

Government, or in coalition with other Governments, boarding conditions


should be defined by the States involved, including the flag State.
The shipowner, operator and company should always consult the flag State
prior to embarking such teams.
* MSC.1/Circ.1333 26 June 2009
Clause 3: Self protection
3 Ships can and should take measures to protect themselves from pirates
and armed robbers. These measures are recommended in MSC.1/Circ.1334.
While security forces can often advise on these measures, and flag States
are required to take such measures as are necessary to ensure that owners
and masters accept their responsibility, ultimately it is the responsibility of
owners, companies, ship operators and masters to take seamanlike
precautions when their ships navigate in areas where the threat of piracy
and armed robbery exists. Flag States should make shipowners/companies
aware of any UN Security Council, IMO, or any other UN resolutions on piracy
and any recommendations therein relevant for the shipowner, ship operator,
the master and crew when operating in areas where piracy or armed robbery
against ships occur.
BIMCO Piracy Clause for Consecutive Voyage Charter Parties and
COAs 2013
(a) If, in the reasonable judgement of the Master and/or the Owners, any
port, place, area or zone, or any waterway or canal (hereinafter Area) on
any part of the route which is normally and customarily used on a voyage of
the nature contracted for is dangerous to the Vessel, cargo, crew or other
persons on board the Vessel due to any actual, threatened or reported acts
of piracy and/or violent robbery and/or capture/seizure (hereinafter Piracy),
whether such risk existed at the time of entering into this Charter Party or
occurred thereafter, the Owners shall be entitled to take a reasonable
alternative route to the discharging port and, if they so decide, immediately
give notice to the Charterers that such route will be taken. In respect of
consecutive voyages the Owners shall be entitled to take a reasonable
alternative route to the loading port in accordance with the provisions of this
Clause. Should the Vessel be within any such place as aforesaid which only
becomes dangerous after entry, it shall be at liberty to leave it.
(b) In any event, if the Vessel proceeds to or through an Area exposed to the
risk of Piracy the Owners shall have the liberty:
(i) to take reasonable preventative measures to protect the Vessel, crew and
cargo including but not limited to re-routeing within the Area, proceeding in
convoy, using escorts, avoiding day or night navigation, adjusting speed or
course, or engaging security personnel and/or deploying equipment on or
about the Vessel (including embarkation/disembarkation);
(ii) to comply with the requirements of the Owners insurers under the terms
of the Vessels insurance(s);

(iii) to comply with all orders, directions, recommendations or advice given


by the Government of the Nation under whose flag the Vessel sails, or other
Government to whose laws the Owners are subject, or any other
Government, body or group (including military authorities) whatsoever
acting with the power to compel compliance with their orders or directions;
and
(iv) to comply with the terms of any resolution of the Security Council of the
United Nations, the effective orders of any other Supranational body which
has the right to issue and give the same, and with national laws aimed at
enforcing the same to which the Owners are subject, and to obey the orders
and directions of those who are charged with their enforcement.
(c) Costs
(i) If in accordance with Sub-clause (a) the Owners take an alternative route,
they shall be entitled, if the total extra distance exceeds one hundred (100)
miles, to additional freight which shall be the same percentage of the freight
contracted for as the percentage which the extra distance represents to the
distance of the normal and customary route taking into consideration any
savings or adjustments made by using this alternative route;
(ii) If the Vessel proceeds to or through an Area where due to risk of Piracy
additional costs are incurred by Owners, including but not limited to
additional personnel and preventative measures to avoid piracy attacks,
then half such costs shall be reimbursed by the Charterers to the Owners;
(iii) If the Vessel proceeds to or through an Area exposed to risk of Piracy,
the Charterers shall reimburse to the Owners half of any additional
premiums required by the Owners insurers and half the cost of any
additional insurances that the Owners reasonably require in connection with
Piracy Risks which may include but not be limited to War Loss of Hire and/or
maritime K&R;
(iv) All payments arising under Sub-clause (c) shall be settled within fifteen
(15) days of receipt of Owners supported invoices or on completion of
discharge, whichever occurs first.
(d) If the Vessel is attacked or seized as a result of Piracy any time so lost
shall be shared equally between the Owners and the Charterers. The
Charterers shall pay the Owners an amount equivalent to half the
demurrage rate for any time lost as a result of such attack or seizure. Such
payments shall fall due day by day and be payable latest fifteen (15) days
after receipt of the Owners invoice or on completion of discharge, whichever
occurs first. If the Vessel is seized the Owners shall keep the Charterers
closely informed of the efforts made to have the Vessel released.
(e) This Clause shall be incorporated into any bill of lading, waybills or
documents evidencing contracts of carriage (hereinafter Contracts of
Carriage) issued pursuant to this Charter Party. The Charterers shall

indemnify the Owners against all consequences or liabilities that may arise
from the Master signing Contracts of Carriage as presented to the extent
that the terms of such Contracts of Carriage impose or result in the
imposition of more onerous liabilities upon the Owners than those assumed
by the Owners under this Clause.
(f) If in compliance with this Clause anything is done or not done, such shall
not be deemed a deviation, but shall be considered as due fulfilment of this
Charter Party. In the event of a conflict between the provisions of this Clause
and any implied or express provision of the Charter Party, this Clause shall
prevail.
BIMCO Piracy Clause for Single Voyage Charter Parties 2013
(a) If, after entering into this Charter Party, in the reasonable judgement of
the Master and/or the Owners, any port, place, area or zone, or any
waterway or canal (hereinafter Area) on any part of the route which is
normally and customarily used on a voyage of the nature contracted for
becomes dangerous, or the level of danger increases, to the Vessel, cargo,
crew or other persons on board the Vessel due to any actual, threatened or
reported acts of piracy and/or violent robbery and/or capture/seizure
(hereinafter Piracy), the Owners shall be entitled to take a reasonable
alternative route to the discharging port and, if they so decide, immediately
give notice to the Charterers that such route will be taken. Should the Vessel
be within any such place as aforesaid which only becomes dangerous, after
entry, it shall be at liberty to leave it.
(b) In any event, if the Vessel proceeds to or through an Area exposed to the
risk of Piracy the Owners shall have the liberty:
(i) to take reasonable preventative measures to protect the Vessel, crew and
cargo including but not limited to re-routeing within the Area, proceeding in
convoy, using escorts, avoiding day or night navigation, adjusting speed or
course, or engaging security personnel and/or deploying equipment on or
about the Vessel (including embarkation/disembarkation);
(ii) to comply with the requirements of the Owners insurers under the terms
of the Vessels insurance(s);
(iii) to comply with all orders, directions, recommendations or advice given
by the Government of the Nation under whose flag the Vessel sails, or other
Government to whose laws the Owners are subject, or any other
Government, body or group (including military authorities) whatsoever
acting with the power to compel compliance with their orders or directions;
and
(iv) to comply with the terms of any resolution of the Security Council of the
United Nations, the effective orders of any other Supranational body which
has the right to issue and give the same, and with national laws aimed at

enforcing the same to which the Owners are subject, and to obey the orders
and directions of those who are charged with their enforcement.
(c) This Clause shall be incorporated into any bill of lading, waybills or other
documents evidencing contracts of carriage (hereinafter Contracts of
Carriage) issued pursuant to this Charter Party. The Charterers shall
indemnify the Owners against all consequences or liabilities that may arise
from the Master signing Contracts of Carriage as presented to the extent
that the terms of such Contracts of Carriage impose or result in the
imposition of more onerous liabilities upon the Owners than those assumed
by the Owners under this Clause.
(d) If in compliance with this Clause anything is done or not done, such shall
not be deemed a deviation, but shall be considered as due fulfilment of this
Charter Party. In the event of a conflict between the provisions of this Clause
and any implied or express provision of the Charter Party, this Clause shall
prevail.
BIMCO Piracy Clause for Time Charter Parties 2013
(a) The Vessel shall not be obliged to proceed or required to continue to or
through, any port, place, area or zone, or any waterway or canal (hereinafter
Area) which, in the reasonable judgement of the Master and/or the
Owners, is dangerous to the Vessel, cargo, crew or other persons on board
the Vessel due to any actual, threatened or reported acts of piracy and/or
violent robbery and/or capture/seizure (hereinafter Piracy), whether such
risk existed at the time of entering into this Charter Party or occurred
thereafter. Should the Vessel be within any such place as aforesaid which
only becomes dangerous, or may become dangerous, after entry into it, the
Vessel shall be at liberty to leave it.
(b) If in accordance with sub-clause (a) the Owners decide that the Vessel
shall not proceed or continue to or through the Area they must immediately
inform the Charterers. The Charterers shall be obliged to issue alternative
voyage orders and shall indemnify the Owners for any claims from holders of
the Bills of Lading or third parties caused by waiting for such orders and/or
the performance of an alternative voyage. Any time lost as a result of
complying with such orders shall not be considered off-hire.
(c) If the Owners consent or if the Vessel proceeds to or through an Area
exposed to the risk of Piracy the Owners shall have the liberty:
(i) to take reasonable preventative measures to protect the Vessel, crew and
cargo including but not limited to re-routeing within the Area, proceeding in
convoy, using escorts, avoiding day or night navigation, adjusting speed or
course, or engaging security personnel and/or deploying equipment on or
about the Vessel (including embarkation/disembarkation).
(ii) to comply with the requirements of the Owners insurers under the terms
of the Vessels insurance(s);

(iii) to comply with all orders, directions, recommendations or advice given


by the Government of the Nation under whose flag the Vessel sails, or other
Government to whose laws the Owners are subject, or any other
Government, body or group (including military authorities) whatsoever
acting with the power to compel compliance with their orders or directions;
and
(iv) to comply with the terms of any resolution of the Security Council of the
United Nations, the effective orders of any other Supranational body which
has the right to issue and give the same, and with national laws aimed at
enforcing the same to which the Owners are subject, and to obey the orders
and directions of those who are charged with their enforcement;
and the Charterers shall indemnify the Owners for any claims from holders of
Bills of Lading or third parties caused by the Vessel proceeding as aforesaid,
save to the extent that such claims are covered by additional insurance as
provided in sub-clause (d)(iii).
(d) Costs
(i) If the Vessel proceeds to or through an Area where due to risk of Piracy
additional costs will be incurred including but not limited to additional
personnel and preventative measures to avoid Piracy, such reasonable costs
shall be for the Charterers account. Any time lost waiting for convoys,
following recommended routeing, timing, or reducing speed or taking
measures to minimise risk, shall be for the Charterers account and the
Vessel shall remain on hire;
(ii) If the Owners become liable under the terms of employment to pay to the
crew any bonus or additional wages in respect of sailing into an area which
is dangerous in the manner defined by the said terms, then the actual bonus
or additional wages paid shall be reimbursed to the Owners by the
Charterers;
(iii) If the Vessel proceeds to or through an Area exposed to the risk of
Piracy, the Charterers shall reimburse to the Owners any additional
premiums required by the Owners' insurers and the costs of any additional
insurances that the Owners reasonably require in connection with Piracy
risks which may include but not be limited to War Loss of Hire and/or
maritime K&R.
(iv) All payments arising under Sub-clause (d) shall be settled within fifteen
(15) days of receipt of Owners supported invoices or on redelivery,
whichever occurs first.
(e) If the Vessel is attacked by pirates any time lost shall be for the account
of the Charterers and the Vessel shall remain on hire.
(f) If the Vessel is seized by pirates the Owners shall keep the Charterers
closely informed of the efforts made to have the Vessel released. The Vessel

shall remain on hire throughout the seizure and the Charterers obligations
shall remain unaffected, except that hire payments shall cease as of the
ninety-first (91st) day after the seizure until release. The Charterers shall
pay hire, or if the Vessel has been redelivered, the equivalent of Charter
Party hire, for any time lost in making good any damage and deterioration
resulting from the seizure. The Charterers shall not be liable for late
redelivery under this Charter Party resulting from the seizure of the Vessel.
(g) If in compliance with this Clause anything is done or not done, such shall
not be deemed a deviation, but shall be considered as due fulfilment of this
Charter Party. In the event of a conflict between the provisions of this Clause
and any implied or express provision of the Charter Party, this Clause shall
prevail.
BIMCO GUARDCON
SECTION 3 Obligations and Responsibilities
6. Contractors Obligations and Responsibilities
There is no established best industry practice in the maritime security
sector as yet. Consequently, the contract requires the contractors to use all
reasonable skill and care as the benchmark for providing the agreed
security services.
Sub-clause (a)(ii) requires the contractors to advise on and/or help the
owners implementing security measures on board the vessel (hardening) but
makes it clear that such hardening is based on the owners instructions. This
has been done to avoid situations where the contractors might attempt to
claim that the level of hardening does not meet their requirements and use
that as an excuse to not board their team. However, it should be noted that
the employment of private security guards on ships is not a substitute for
other security measures it is simply another layer on top of existing
security. Reference is made to BMP in this respect, but BMP will only apply
where the transit is through the High Risk Area and not to other areas such
as the Gulf of Guinea (this also applies to the provisions of sub-clause 6(a)
(v)).
Sub-clause (a)(iv) relates to advice provided by the security team to the
Master in respect of routeing. The clause makes it clear that such advice is
strictly limited to security related matters concerning the routeing of the
vessel and does not undermine the Masters overall authority in respect of
the navigation of the vessel.
Sub-clause (a)(ix) requires the contractors to have sufficient shore based
resources to provide operational and administrative backup to the security
team during the transit. It is essential that security firms are adequately
resourced to be able to manage and advise their guards during deployment
and for the owners to have a round-the-clock point of contact for the
contractors.
Sub-clause (a)(x) deals with the contractors responsibility for their sick or
injured personnel. Deviating to a place where the sick or injured personnel

can be taken ashore for medical attention and repatriation is the owners
responsibility under Clause 7 (Owners Obligations and Responsibilities) sub-clause 7(i) - and will be covered by their P&I Club; however, arranging
for the transportation of the injured personnel to shore and then home is a
cost to be met by the contractors and they will need to be appropriately
insured to cover this cost (see Clause 12 (Insurances)).
Sub-clause (b) sets out the qualifications, training and experience required
of the security guards. Sub-clause (b)(i)(2) refers to STCW training this is
intended to cover basic shipboard fire-fighting skills, personal safety and
survival craft proficiency. It is not intended that the security guards should
be STCW qualified or certified. The sub-clause also refers to BMP training
but it should be noted that this will only apply where the owners require
security guards for transits through the High Risk Area.
Sub-clause (b)(i)(6) relates to the background experience of the guards it
does not limit the guards to only ex-military personnel but recognises that
ex-law enforcement personnel and also those from other relevant
backgrounds may be equally suited to the task. It is not intended that the
reference to or other service acceptable to the Owners is a back-door to
allowing security contractors to provide personnel ill-suited to the task;
GUARDCON is not a substitute for the exercise of due diligence by ship
owners to ensure that the security contractors are able to provide personnel
that are appropriately qualified and experienced.
Sub-clause (b)(i)(8) covers working languages. It is important that the
guards are able to communicate effectively with the Master of the vessel
and, of course, among each other.
Sub-clause (b)(ii) requires that the team leader has some prior experience of
providing shipboard security services and that at least one of the guards has
had advanced first aid training (which in military terms would be the ability
to provide first aid to victims of gunshot and other similar life-threatening
wounds).
Sub-clause (c) emphasises one of the key principles of the contract that
the contractors must have and maintain adequate insurance.
The contractors do not have an automatic right to sub-contract. Owners will
have carried out due diligence on the company that they have contracted
with to provide security services. Sub-clause (d) reflects that it would be
unreasonable to allow contractors under these circumstances to farm out
the contract to another company that the owners have not checked.
Sub-clause (d)(ii), however, addresses the fact that it is common practice in
the security industry for individual guards to be sub-contracted by security
companies rather than being directly employed. In some cases, for tax
reasons, individual guards will set themselves up as a company (where
they are the sole shareholder/employee). This provision allows subcontracting in these specific circumstances and does not require the owners
approval.

7. Owners Obligations and Responsibilities


The nature of the GUARDCON contract dictates that the owners obligations
will be a shorter list than those of the contractor however, the Subcommittee has done its best to balance the obligations of the parties.
The key obligation is the payment of all sums due to the contractors. Other
notable obligations include the notification of all relevant parties that the

vessel will be carrying armed/unarmed security guards; the provision of a


secure location for the storage of firearms, if carried (It is common practice
for the bridge of the ship to be used for this purpose where the locked
firearms containers used by the guards to transport their weapons can be
stored); and the entering of the guards on the crew manifest as
supernumeraries and giving them shipboard familiarisation training. Listing
the guards as supernumeraries on board the vessel is done to avoid issues in
certain ports as to the status of non-crew on the ship if not listed as
supernumeraries they could be considered as passengers that might create
difficulties

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