Insurance Payment News

This article will focus on conflicts of laws stemming from the EU Blocking Statute and U.S. antiboycott law, both of which are intended to prevent parties from complying with a disfavored sanctions regime. The article will highlight some of the inherent conflicts in dealing with multiple conflicting sanctions regimes. It follows our comprehensive summary of sanctions and shipping, which covered several of the issues herein in some detail.Antiboycott law: in generalAntiboycott law is essentially the inverse of sanctions law.

An interview with Rich Hobbie, the leader of the Water Quality Insurance Syndicate (WQIS), the largest underwriter of pollution liability insurance for marine vessels in the United States. Can you give our readers an overview of your business today. The Premium income and growth factors in the marine insurance industry are very stagnant right now. And competition is quite heavy in all areas. In the U.S. market and in the marine market in general, there are new players. The London market has gotten more aggressive over here.

Odyssey Marine Exploration (Nasdaq:OMEX), announced it has successfully recovered approximately 48 tons of silver bullion from a depth of approximately three miles. This initial recovery of bullion from the SS Gairsoppa, a 412-foot steel-hulled British cargo ship that sank in February 1941, totals 1,203 silver bars or approximately 1.4 million troy ounces of silver and has been transported to a secure facility in the United Kingdom. After unloading the cargo, taking on fuel and changing  personnel, recovery operations will continue and are expected to be completed in the third quarter of 2012.This record-breaking operation has so far produced the heaviest and deepest recovery of precious metals from a shipwreck.

British Columbia Ferry Services Inc. reported a first-quarter profit of $76.2m due to insurance proceeds of $67.9m in connection with the sinking of the Queen of the North ferry. The ferry operator said Thursday that excluding the one-time gain, it would have earned $14.9 million on revenue of $146.3 million. That compared to a profit of $14.4 million on revenue of $145.2 million a year ago. The company said the money from the insurance payment will be used to buy a replacement ship. The Queen of the North sank March 22 after striking Gil Island in Wright Sound in 430 metres of water. Two people remain missing and are presumed dead after the late-night incident in which 99 people were safely removed from the stricken vessel. Two lawsuits are pending as a result of the sinking. B.C.

The Baltic Exchange -- the world's oldest shipping market -- is seeking mutual status as a means to overcome conflicts between shareholders over the use of assets. "The board feels that a company moving toward mutual mode is the best for the future of the Baltic Exchange," chairman Hugh McCoy said. Under proposals to be put out for consultation, the shipping market would be restructured so that existing shareholders became members of a new corporate body limited by guarantee. A one-off dividend would be paid to existing shareholders with remaining assets transferred to allow the new company to continue operating the market for trading members. The proposals were designed to end conflict between existing shareholders and trading members, McCoy said.

The Baltic Exchange -- the world's oldest shipping market -- is seeking mutual status as a means to overcome conflicts between shareholders over the use of assets. "The board feels that a company moving toward mutual mode is the best for the future of the Baltic Exchange," chairman Hugh McCoy said. Under proposals to be put out for consultation, the shipping market would be restructured so that existing shareholders became members of a new corporate body limited by guarantee. A one-off dividend would be paid to existing shareholders with remaining assets transferred to allow the new company to continue operating the market for trading members. The proposals were designed to end conflict between existing shareholders and trading members, McCoy said.

The Baltic Exchange is dropping plans to restructure the world's oldest shipping market as a mutual body. "The board has decided not to develop detailed proposals for a change in the governance of the organization," a Baltic Exchange spokesperson said. The decision reflects excessive financial expectations held by a minority of shareholders for their holdings in the existing company. A 75 percent majority by share value is required to change the Baltic's articles of association. In October the Baltic revealed plans to adopt mutual status to overcome conflicts between shareholders over the use of assets. Shareholders were split between those seeking a commercial return and those wanting to retain the exchange's status as an institution serving the wider maritime community.