Hague Visby News

The International Group of P&I Clubs and the shipping line members of the Cargo Incident Notification System (CINS) have recently produced a new set of guidelines for the carriage of calcium hypochlorite in containers. UK Club risk assessor, David Nichol, discusses why it was considered necessary to update guidance for a cargo with a history of being implicated in ship fires as well as the wider problem of the mis-declaration of dangerous goods. If a fire breaks out at sea, the crew do not have the option of simply evacuating the building and waiting for the fire brigade to turn up. The crew have to deal with it themselves. Locating…

ICS, East India Branch conducted conference on Legal matters pertaining to Maritime Sector prior to joining hands with M/s Hinode Events a Knowledge Partner to serialise this an Annual Conference on Legal Maritime Legal matters. The Branch takes pride to state that "The Ministry of Shipping" &  "The Directorate General of Shipping" have taken the view of the Branch in several legislative matters. Capt.K.G.Ramakrishnan,FICS, Past  Chairman acted as the Convenor for this Conference. Capt. K.P.Rajagopal,FICS(Chairman) welcomed  the  audience, introduced the speakers and Chaired the inaugural session. The Key note speech was delivered by the veteran Barrister at Law Capt.A.K.Bansal, who gave the history of Maritime Law dating back to the ancient times and the journey until the current times.

A master’s authority to clause bills of lading issued by or on his behalf can sometimes become the cause of disagreement between shippers, charterers and carriers. Under Article III Rule 3 of the Hague/Hague Visby Rules after receiving the cargo, and on the demand of the shipper, the master is obliged to issue a bill of lading evidencing the quantity and apparent order and condition of goods to be carried. The buyer of cargo, the consignee in an international trade, will want the subject bill of lading to be  accurate and contain unambiguous remarks as to the quantity, quality and condition of the said cargo – so he knows exactly what he is purchasing.

What’s the problem? On one side the owner has an obligation to follow the charterer’s slow-steaming instructions under the charterparty yet on the other the owner has the usually implied obligation under the Bill of Lading to proceed with due dispatch. Due dispatch means the most direct route at the fastest speed. There is legal authority that an unreasonable delay is a deviation. A deviation in this respect is a departure from the contractually agreed voyage that deprives the carrier of the defences and rights of limitation that are usually available under The Hague or Hague Visby Rules.

The North of England P&I club has warned its members to keep a closer watch on draught surveys to avoid costly cargo shortage claims. According to Tony Baker, head of North of England’s loss-prevention department, ‘We have recently witnessed a number of incidents where draught surveys have been manipulated to show short delivery of bulk cargoes. In the latest issue of its loss-prevention newsletter Signals, the club says masters in some regions are being asked to stamp and sign initial draught figures in such a way that allows a third party to falsify final draught results. ‘Subsequent allegations of shortage are then difficult to defend as they are supported by a signed and stamped draught survey…

In an awkward decision, the US Court of Appeals for the Sixth Circuit ruled that the US Carriage of Goods at Sea Act (COGSA) applies to a claim by a shipper against a carrier for goods damaged at sea on a voyage from Le Havre to Montreal. The goods were being shipped from Blanquefort, France to Detroit. They traveled overland from Blanquefort to Le Havre, where they were loaded aboard ship. The through bill of lading called for the goods to be shipped overland from Montreal to Detroit. The court held that COGSA would not normally apply since no seaport of the United States was involved in the shipment. Thus, the court found that the Hague-Visby Rules would normally apply, since both France and Canada subscribed thereto.

The U.S. Court of Appeals for the Fifth Circuit ruled that inclusion in a bill of lading of a clause providing for U.S. jurisdiction does not require application of the U.S. Carriage of Goods by Sea Act (COGSA) where the goods were shipped from Spain to China and the General Paramount Clause provided for application of the Hague-Visby Rules. In the instant case, the goods were damaged en route and the shipper brought suit against the vessel and the carrier. The carrier argued that the jurisdiction clause in the bill of lading required application of COGSA, greatly limiting the maximum recovery. The court held that the jurisdiction clause could not override the specific provisions of the General Paramount Clause. Foster Wheeler Energy Corp. v. M/V AN NING JIANG, No. 03-30038 (5th Cir.