A. AVERAGES
The losses suffered by the cargo from
ARTICLE 806. For the purposes of this
code the following shall be considered
averages:
1. All extraordinary or accidental
expenses which may be incurred
during the voyage in order to preserve
the vessel, the cargo, or both.
2. Any damages or deteriorations
which the vessel may suffer from the
time it puts to sea from the port of
departure until it casts anchor in the
port of destination, and those suffered
by the merchandise from the time they
are loaded in the port of shipment until
they are unloaded in the port of their
consignment.
ARTICLE 807. The petty and ordinary
expenses incident to navigation, such
as those of pilotage of coasts and
ports, those of lighterage and towage,
anchorage, inspection, health,
quarantine, lazaretto, and other so-
called port expenses, costs of barges
and unloading until the merchandise is
placed on the wharf, and any other
usual expenses of navigation, shall be
considered ordinary expenses to be
defrayed by the shipowner, unless
there is an express agreement to the
contrary.
ARTICLE 808. Averages shall be:
1. Simple or particular.
2. General or gross.
ARTICLE 809. As a general rule, simple or
particular averages shall include all the
expenses and damages caused to the
vessel or to her cargo which have not
inured to the common benefit and
profit of all the persons interested in the
vessel and her cargo, and especially
the following:
1.
the time of its embarkation until it is
unloaded, either on account of
inherent defect of the goods or by
reason of an accident of the sea or
force majeure, and the expenses
incurred to avoid and repair the same.
2. The losses and expenses suffered by
the vessel in its hull, rigging, arms, and
equipment, for the same causes and
reasons, from the time it puts to sea
from the port of departure until it
anchors and lands in the port of
destination.
3. The losses suffered by the
merchandise loaded on deck, except
in coastwise navigation, if the marine
ordinances allow it.
4. The wages and victuals of the crew
when the vessel is detained or
embargoed by legitimate order or
force majeure, if the charter has been
contracted for a fixed sum for the
voyage.
5. The necessary expenses on arrival at
a port, in order to make repairs or
secure provisions.
6. The lowest value of the goods sold by
the captain in arrivals under stress for
the payment of provisions and in order
to save the crew, or to meet any other
need of the vessel, against which the
proper amount shall be charged.
7. The victuals and wages of the crew
while the vessel is in quarantine.
8. The loss inflicted upon the vessel or
cargo by reason of an impact or
collision with another, if it is accidental
and unavoidable.
If the accident should occur through
the fault or negligence of the captain,
the latter shall be liable for all the losses
caused.
9. Any loss suffered by the cargo
through the fault, negligence, or
barratry of the captain or of the crew,
without prejudice to the right of the
owner to recover the corresponding
indemnity from the captain, the vessel,
and the freightage.
ARTICLE 810. The owner of the goods
which gave rise to the expense or
suffered the damage shall bear the
simple or particular averages.
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.
6. The expenses caused in order to float
a vessel intentionally stranded for the
purpose of saying it.
7. The damage caused to the vessel
which had to be opened, scuttled or
broken in order to save the cargo.
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.
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.
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.
12. The expenses of the liquidation of
the average.
ARTICLE 812. In order to satisfy the
amount of the gross or general
averages, all the persons having an
interest in the vessel and cargo therein
at the time of the occurrence of the
average shall contribute.
ARTICLE 813. In order to incur the
expenses and cause the damages
corresponding to gross average, there
must be a resolution of the captain,
adopted after deliberation with the
sailing mate and other officers of the
vessel, and after hearing the persons
interested in the cargo who may be
present.
If the latter shall object, and the
captain and officers or a majority of
them, or the captain, if opposed to the
majority, should consider certain
measures necessary, they may be
executed under his responsibility,
without prejudice to the right of the
shippers to proceed against the
captain before the competent judge
or court, if they can prove that he
acted with malice, lack of skill, or
negligence.
If the persons interested in the cargo,
being on board the vessel, have not
been heard, they shall not contribute to
the gross average, their share being
chargeable against the captain, unless
the urgency of the case should be such
that the time necessary for previous
deliberations was wanting.
ARTICLE 814. The resolution adopted to
cause the damages which constitute
general average must necessarily be
entered in the log book, stating the
motives and reasons for the dissent,
should there be any, and the irresistible
and urgent causes which impelled the
captain if he acted of his own accord.
In the first case the minutes shall be
signed by all the persons present who
could do so before taking action, if
possible; and if not, at the first
opportunity. In the second case, it shall
be signed by the captain and by the
officers of the vessel.
In the minutes, and after the resolution,
shall be stated in detail all the goods
jettisoned, and mention shall be made
of the injuries caused to those kept on
board. The captain shall be obliged to
deliver one copy of these minutes to
the maritime judicial authority of the first
port he may make, within twenty four
hours after his arrival, and to ratify it
immediately under oath.
B. ARRIVAL UNDER STRESS
ARRIVALS UNDER STRESS
ARTICLE 819. If during the voyage the
captain should believe that the vessel
can not continue the trip to the port of
destination on account of the lack of
provisions, well-founded fear of seizure,
privateers, or pirates, or by reason of
any accident of the sea disabling it to
navigate, he shall assemble the officers
and shall summon the persons
interested in the cargo who may be
present, and who may attend the
meeting without the right to vote; and
if, after examining the circumstances of
the case, the reason should be
considered well-founded, the arrival at
the nearest and most convenient port
shall be agreed upon, drafting and
entering the proper minutes, which
shall be signed by all, in the log book.
The captain shall have the deciding
vote, and the persons interested in the
cargo, may make the objections and
protests they may deem proper, which
shall be entered in the minutes in order
that they may make use thereof in the
manner they may consider advisable.
ARTICLE 820. An arrival shall not be
considered lawful in the following
cases:
1. If the lack of provisions should arise
from the failure to take the necessary
provisions for the voyage according to
usage and customs, or if they should
have been rendered useless or lost
through bad stowage or negligence in
their care.
2. If the risk of enemies, privateers, or
pirates should not have been well
known, manifest, and based on
positive and provable facts.
3. If the defect of the vessel should
have arisen from the fact that it was not
repaired, rigged, equipped, and
prepared in a manner suitable for the
voyage, or from some erroneous order
of the captain.
4. When malice, negligence, want of
foresight, or lack of skill on the part of
the captain exists in the act causing the
damage.
ARTICLE 821. The expenses of an arrival
under stress shall always be for the
account of the shipowner or agent, but
they shall not be liable for the damages
which may be caused the shippers by
reason of the arrival provided the latter
is legitimate.
Otherwise, the ship agent and the
captain shall be jointly liable.
ARTICLE 822. If in order to make repairs
to the vessel or because there is danger
that the cargo may suffer damage, it
should be necessary to unload, the
captain must request authorization
from the competent judge or court for
the removal, and carry it out with the
knowledge of the person interested in
the cargo, or his representative, should
there be any.
In a foreign port, it shall be the duty, of
the Philippine Consul, where there is
one, to give the authorization.
In the first case, the expenses shall be
for the account of the ship agent or
owner, and in the second, they shall be
chargeable against the owners of the
merchandise for whose benefit the act
was performed.
If the unloading should take place for
both reasons, the expenses shall be
divided proportionately between the
value of the vessel and that of the
cargo.
ARTICLE 823. The custody and
preservation of the cargo which has
been unloaded shall be intrusted to the
captain, who shall be responsible for
the same, except in cases of force
majeure.
ARTICLE 824. If the entire cargo or part
thereof should appear to be
damaged, or there should be imminent
danger of its being damaged, the
captain may request of the competent
judge or court, or of the consul in a
proper case, the sale of all or of part of
the former, and the person taking
cognizance of the matter shall
authorize it, after an examination and
declaration of experts, advertisements,
and other formalities required by the
case, and an entry in the book, in
accordance with the provisions of
Article 624.
The captain shall, in a proper case,
justify the legality of his conduct, under
the penalty of answering to the shipper
for the price the merchandise would
have brought if they had arrived in
good condition at the port of
destination.
ARTICLE 825. The captain shall be
responsible for the damages caused by
his delay, if after the cause of the arrival
under stress has ceased, he should not
continue the voyage.
If the cause of arrival should have been
the fear of enemies, privateers, or
pirates, a deliberation and resolution in
a meeting of the officers of the vessel
and persons interested in the cargo
who may be present, in accordance
with the provisions contained in Article
819, shall precede the departure.
C. COLLISIONS
ARTICLE 624. A captain whose
vessel has gone through a
hurricane or who believes that
the cargo has suffered
damages or averages, shall
make a protest thereon before
the competent authority at the
first port he touches, within
twenty-four hours following his
arrival and shall ratify it within the
same period when he arrives at
his destination, immediately
proceeding with the proof of the
facts, and he may not open the
hatches until after this has been
done.
The captain shall proceed in the
same manner, if, the vessel
having been wrecked; he is
saved alone or with part of his
crew, in which case he shall
appear before the nearest
authority, and make a sworn
statement of facts.
The authority or the consul shall
verify the said facts receiving
sworn statements of the
members of the crew and
passengers who may have been
saved; and taking such other
steps as may assist in arriving at
the facts he shall make a
statement of the result of the
proceedings in the log book and
in that of the
sailing mate, and shall deliver to
the captain the original record
of the proceedings, stamped
and folioed, with a
memorandum of the folios,
which he must rubricate, in order
that it may be presented to the
judge or court of the port of
destination.
The statement of the captain
shall be accepted if it is in
accordance with those of the
crew and passengers; if they
disagree, the latter shall be
accepted, always saying proof
to the contrary.
ARTICLE 826. If a vessel should
collide with another, through or
the fault, negligence, or lack of
skill of the captain, sailing mate,
or any other member of the
complement, the owner of the
vessel at fault shall indemnify the
losses and damages suffered,
after an expert appraisal.
ARTICLE 839. If the collision
should take place between
Philippine vessels in foreign
waters, or if having taken place
in the open seas, and the vessels
should make a foreign port, the
Consul of the Republic of the
Philippines in said port shall hold
a summary investigation of the
accident, forwarding the
proceedings to the Secretary of
the Department of Foreign
Affairs for continuation and
conclusion.
D. SHIPWRECKS
SHIPWRECKS
ARTICLE 840. The losses and
deteriorations suffered by a
vessel and her cargo by reason
of shipwreck or stranding shall
be individually for the account
of the owners, the part which
may be saved belonging to
them in the same proportion.
ARTICLE 841. If the wreck or
stranding should be caused by
the malice, negligence, or lack
of skill of the captain, or
because the vessel put to sea
was insufficiently repaired and
equipped, the ship agent or the
shippers may demand
indemnity of the captain for the
damages caused to the vessel
or to
the cargo by the accident, in
accordance with the provisions
contained in Articles 610, 612,
614, and 621.
ARTICLE 842. The goods saved
from the wreck shall be specially
bound for the payment of the
expenses of the respective
salvage, and the amount
thereof must be paid by the
owners of the former before they
are delivered to them, and with
preference over any other
obligation if the merchandise
should be sold.
ARTICLE 610. The following
powers shall be inherent in the
position of captain, master or
patron of a vessel:
1. To appoint or make
contracts with the crew in
the absence of the ship
agent, and to propose said
crew, should said agent be
present; but the ship agent
may not employ any
member against the
captain's express refusal.
2. To command the crew and
direct the vessel to the port
of its destination, in
accordance with the
instructions he may have
received from the ship
agent.
3. To impose, in accordance
with the contracts and with
the laws and regulations of
the merchant marine, and
when on board the vessel,
correctional punishment
upon those who fail to
comply with his orders or are
wanting in discipline, holding
a preliminary hearing on the
crimes committed on board
the vessel on the seas, which
crimes shall be turned over to
the authorities having
jurisdiction over the same at
the first port touched.
4. To make contracts for the
charter of the vessel in the
absence of the ship agent or
of its consignee, acting in
accordance with the
instructions received and
protecting the interests of the
owner with utmost care.
5. To adopt all proper measures
to keep the vessel well
supplied and equipped,
purchasing all that may be
necessary for the purpose,
provided there is no time to
request instruction from the
ship agent.
 6. To order, in similar urgent
cases while on a voyage, the
repairs on the hull and
engines of the vessel and in
its rigging and equipment,
which are absolutely
necessary to enable it to
continue and finish its
voyage; but if he should
arrive at a point where there
is a consignee of the vessel,
he shall act in concurrence
with the latter.
ARTICLE 612. The following obligations
shall be inherent in the office of
captain:
1. To have on board before starting on
a voyage a detailed inventory of the
hull, engines, rigging, spare-masts,
tackle, and other equipment of the
vessel; the royal or the navigation
certificate; the roll of the persons who
make up the crew of the vessel, and
the contracts entered into with them;
the lists of passengers; the bill of health;
the certificate of the registry proving
the ownership of the vessel and all the
obligations which encumber the same
up to that date; the charter parties or
authenticated copies thereof; the
invoices or manifests of the cargo, and
the memorandum of the visit or
inspection by experts, should it have
been made at the port of departure.
2. To have a copy of this code on
board.
3. To have three folioed and stamped
books, placing at the beginning of
each one a memorandum of the
number of folios it contains, signed by
the maritime authority, and in his
absence by the competent authority.
In the first book, which shall be called
"log book," he shall enter day by day
the condition of the atmosphere, the
prevailing winds, the courses taken, the
rigging carried, the power of the
engines used in navigation, the
distances covered, the maneuvers
executed, and other incidents of
navigation; he shall also enter the
damage suffered by the vessel in her
hull, engines, rigging, and tackle, no
matter
what its cause may be, as well as the
impairment and damage suffered by
cargo, and the effect and importance
of the jettison, should there be any; and
in cases of serious decisions which
require the advice or a meeting of the
officers of the vessel, or even of the
crew and passengers, he shall record
the decisions adopted. For the
information indicated he shall make
use of the binnacle book and of the
steam of engine book kept by the
engineer.
In the second book called the
"accounting book," he shall record all
the amounts collected and paid for the
account of the vessel, entering
specifically article by article, the source
of the collection and the amounts
spent for provisions, repairs, acquisitions
of equipment or goods, fuel, food,
outfits, wages, and other expenses of
whatever nature they may be. He shall
furthermore enter therein a list of all the
members of the crew, stating their
domiciles, their wages and salaries,
and the amounts they may have
received on account, directly or by
delivery to their families.
In the third book, called "freight book,"
he shall record the loading and
discharge of all the goods, stating their
marks and packages, names of the
shippers and of the consignees, ports of
loading and unloading, and the
freightage they give. In this same book
he shall record the names and places
of sailing of the passengers, the number
of packages in their baggage, and the
price of passage.
4. Before receiving cargo, to make with
the officers of the crew and two
experts, if required by the shippers and
passengers, an examination of the
vessel, in order to ascertain whether it is
water-tight, with the rigging and
engines in good condition, and with
the equipment required for good
navigation, preserving under his
responsibility a certificate of the
memorandum of his inspection, signed
by all those who may have taken part
therein.
The experts shall be appointed, one by
the captain of the vessel and another
by those who request its examination,
and in case of disagreement a third
shall be appointed by the marine
authority of the port or by the authority,
exercising his functions.
5. To remain constantly on board the
vessel with the crew while the cargo is
being taken on board and to carefully
watch the stowage thereof; not to
consent to the loading of any
merchandise or matter of a dangerous
character, such as inflammable or
explosive substances, without the
precautions which are recommended
for their packing, handling and
isolation; not to permit the carriage on
deck of any cargo which by reason of
its arrangement, volume, or weight
makes the work of the sailors difficult,
and which might endanger the safety
of the vessel; and if, on account of the
nature of the merchandise, the special
character of the shipment, and
principally the favorable season in
which it is undertaken, merchandise
may be carried on deck, he must hear
the opinion of the officers of the vessel
and have the consent of the shippers
and of the ship agent.
6. To demand a pilot at the expense of
the vessel whenever required by the
navigation, and principally when he
has to enter a port, canal, or river, or
has to take a roadstead or anchoring
place with which neither he nor the
officers and crew are acquainted.
7. To be on deck on reaching land and
to take command on entering and
leaving ports, canals, roadsteads, and
rivers, unless there is a pilot on board
discharging his duties. He shall not
spend the night away from the vessel
except for serious causes or by reason
of official business.
8. To present himself, when making a
port in distress, to the maritime authority
if in the Philippines and to the consul of
the Republic of the Philippines if in a
foreign country, before twenty four
hours have elapsed, and to make a
statement of the name registry, and
port of departure of the vessel, of its
cargo, and the cause of arrival which
declaration shall be visaed by the
authority or the consul, if after
examining the same it is found to be
acceptable, giving the captain the
proper certificate proving his arrival in
distress and the reasons therefor. In the
absence of the maritime authority or of
the consul, the declaration must be
made before the local authority.
9. To take the necessary steps before
the competent authority in order to
record in the certificate of the vessel in
the registry of vessels the obligations
which he may contract in accordance
with Article 583.
10. To place under good care and
custody all the papers and belongings
of any members of the crew who might
die on the vessel, drawing up a
detailed inventory, in the presence of
passengers, or, in their absence, of
members of the crew as witnesses.
16. To comply with the obligations
imposed by the laws and regulations
on navigation, customs, health, and
others.

11. To conduct himself according to the

ARTICLE 614. A captain who, having
rules and precepts contained in the
made an agreement to make a
instructions of the ship agent, being
voyage, fails to perform his
liable for all that which he may do in
undertaking, without prevented by
violation thereof.
fortuitous accident or force majeure,
12. To inform the ship agent from the shall indemnify for all the losses which
port at which the vessel arrives, of the he may cause without prejudice to the
reason of his arrival, taking advantage criminal penalties which may be
of the semaphore, telegraph, mail, proper.
etc., as the case may be; to notify him
of the cargo he may have received,
stating the names and domiciles of the ARTICLE 621. A captain who borrows
shippers, freightage earned, and money on the hull, engine, rigging or
amounts borrowed on bottomry loan; tackle of the vessel, or pledges or sells
to advise him of his departure, and of merchandise or provisions outside of
any operation and date which may be the cases and without the formalities
of interest to him. prescribed in this Code, shall be liable
for the principal, interests, and costs,
13. To observe the rules with respect to
and shall indemnify for the damages he
situation, lights and maneuvers in order
may cause.
to avoid collisions.
He who commits fraud in his accounts
14. To remain on board, in case the
shall pay the amount defrauded and
vessel is in danger, until all hope to save
shall be subject to the provisions of the
it is lost, and before abandoning it, to
Penal Code
hear the officers of the crew, abiding
by the decision of the majority; and if
the boats are to be taken to, he shall
take with him, before anything else, the
books and papers, and then the
articles of most value, being obliged to
prove, in case of the loss of the books
and papers, that he did all he could to
save them.

15. In case of wreck, to make the

proper protest in due form at the first
port of arrival, before the competent
authority or the Philippine consul, within
twenty-four hours, specifying therein all
the incidents of the wreck, in
accordance with subdivision 8 of this
article.