obligations and liability- Hague, Hague-Visby and Hamburg rules. These are international conventions applicable to contracts of carriage. These contain minimum terms and conditions where a bill of lading is used. Intro contd. These set of rules contain: Carrier’s obligations Carrier’s exceptions from liability Extent of carrier’s liability to shipper Shipper’s responsibilities The amounts recoverable from the carrier in case of loss of or damage to the goods while in the carrier’s care. Intro contd. Hague Rules- adopted by majority of trading countries. Hague-Visby Rules- adopted by the UK and 30 other countries. Hamburg Rules- adopted by fewer countries. (not favoured by ship-owners since they are less to their advantage than the other rules) Where a set of rules is adopted by a particular state, the rules are incorporated by law into the domestic legislation of the State. In UK Hague – Visby rules are adopted in COGSA -71 Hague – Visby Rules Proper name - Hague rules as Amended by Brussels Protocol 1968 Applies to every Bill of Lading or document of title relating to carriage of goods between different states if: If B/L is issued in contracting state Carriage is from a port of contracting state In every other case, If incorporated in B/L Rules apply to B/L only and not the charter party. Carrier’s responsibilities Under HVR carrier has three basic obligations 1. To ensure the vessel’s seaworthiness 2. To care for the cargo 3. To issue a bill of lading where the shipper requests one. Seaworthiness Carrier must before and at the beginning of voyage, exercise due diligence to: Make the ship seaworthy Properly man, equip and supply the ship Make the parts of the ship in which goods are to be carried, fit and safe for their reception, carriage and preservation. Vessel needs to be seaworthy only at the beginning of the voyage. Care for the cargo Unlike the seaworthiness, duty of care for the cargo extends throughout the voyage. Carrier must carefully: Load Handle Stow Carry Keep Care for and discharge any goods carried.
Shipper must provide special instructions
where special care is required. 17 Exceptions from liability Carrier will not be responsible for loss or damage arising from: Act, neglect or default of the master, pilot, manager. Fire unless caused by actual fault of carrier. Perils, dangers and accidents of sea. Acts of God, war, public enemies. Arrest or restrain of princes, rulers. Quarantine regulations Carrier’s exceptions contd. Act or omission of shipper or his agents. Strikes lockouts etc. Riots and civil commotions. Saving or attempting to save life or property at sea. Wastage of cargo due to its inherent qualities, insufficient packing marks etc. Latent defects not discoverable by due diligence. Any other cause arising without the actual fault of owner. Carrier’s exceptions - dangerous cargo Goods of an inflammable, explosive or dangerous nature if not properly marker or are shipped without the knowledge and consent of carrier, may be landed, destroyed, jettisoned or rendered innocuous at any time before discharge. If carried with consent of carrier, but become dangerous at a later stage can also be dealt with likewise. Deck cargo and livestock Hague-Visby rules do not apply to deck cargoes and live animals. But COGSA-71 reverses this by stating that the rules will apply as if they do not exclude deck cargo and live animals. Hamburg rules Properly called united nations convention on the carriage of goods by sea 1978 Introduced in 1992 in response to shippers complaints that HVR were unfavourably weighted in favour of the carrier. Hamburg rule do not give carrier so many exceptions from liability. In particular, the carrier is not exonerated from liability arising from negligence in navigation or management of the ship. Hamburg rules cover live animals. Cargo can be carried on deck only when there is a custom of the trade to do so or by an agreement with the shipper. P&I normally refuse to cover cargo carried under Hamburg Rules