Insurer Entitled to Lien for Value of Insurance Provided

Thursday, September 28, 2006
The U.S. Court of Appeals for the Eleventh Circuit ruled that an insurer that provides marine insurance for a vessel is entitled to a maritime lien for the value of the insurance provided. In the instant case, claimant provided marine insurance for a cruise ship. Arrangements were that the premium was to be billed in six installments spread over several years. The ship owner went bankrupt and claimant filed its claim in the subsequent admiralty proceeding. The district court ruled that the insurer was only entitled to a lien in the amount of the premiums for which it had sent invoices prior to the bankruptcy. The appellate court reversed, holding that the maritime lien arises automatically upon the furnishing of the necessary, without regard to when an invoice may have been issued. On a related issue, the court held that the insurer is not entitled to a maritime lien for having insured the vessel while it was under arrest, because the insurer did not obtain prior approval from the court for providing such insurance. Dresdner Bank AG v. M/V Olympia Voyager, No. 05-12220 Source: HK Law
Maritime Reporter June 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Legal

AVEVA, DNV GL's Sesam Integration Cuts Cost

Integration of Aveva and DNV GL's Sesam Reduces Costs in Maritime and Offshore Engineering. Engineers designing ship hulls and offshore floaters can now save

FORAN for Pertamina's Future Ships

FORAN has been chosen by state-owned company PERTAMINA to review the design of their future oil product carrier ships, under construction in a shipyard with the FORAN System.

U.S. Draft Recovery Plan for Threatened Polar Bears

U.S. wildlife managers released on Thursday a draft plan for stemming the decline of polar bears threatened by melting Arctic sea ice linked to global warming,

 
 
Maritime Security Maritime Standards Naval Architecture Navigation Offshore Oil Pipelines Pod Propulsion Salvage Ship Repair Ship Simulators
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0790 sec (13 req/sec)