Liability of Classification Society for Negligent Misrepresentation

Tuesday, September 23, 2003
The U.S. Court of Appeals for the Fifth Circuit ruled that a classification society may be liable to a third party for negligent misrepresentation of a ship’s condition. In the instant case, plaintiff agreed to purchase a ship if, among other things, the ship possessed a current class certificate free from any outstanding recommendations. At the direction of the owner, defendant class society surveyed the ship and issued the necessary certificate. After purchasing the ship, plaintiff discovered numerous deficiencies. Plaintiff sued defendant class society to recover the costs of repairs. On appeal, the court held that liability of class societies must be carefully considered. In this case, though, the class society knew that plaintiff would rely on the results of its survey. Thus, the class society owed a legal duty to plaintiff to perform its obligations in a professional manner. Otto Candies, LLC v. Nippon Kaiji Kyokai Cor
Maritime Reporter March 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Legal

Italian Pleads Guilty to Marine-hose Price-fixing in US

A former executive of Parker ITR Srl pleaded guilty on Thursday to conspiring to rig bids for marine hose and was sentenced to two years in prison, the U.S. Justice Department said on Thursday.

Court: Japan's Mitsui Paid to Release Ship

China Supreme Court says Mitsui pays about $29 mln; Ship released about 0030 GMT Thursday. Ship was seized over dispute dating back to 1930s. Advisor to plaintiffs says will likely demand more money.

Lawyer: Korea Ferry Owners Accept Responsibilities

The family that has a major stake in companies that control the shipping operator whose ferry sank last week, likely to have killed hundreds, will take social and

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Standards Naval Architecture Offshore Oil Port Authority Ship Repair Ship Simulators Shipbuilding / Vessel Construction Winch
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: 0.1838 sec (5 req/sec)