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On Deck Cargo Exclusion Clauses

It is not that simple anymore Until recently, a carrier could place heavy reliance on the "on deck cargo" exclusion clauses contained in the contracts of carriage. Quite justifiably, so one might say, bearing in mind that there has been a long chain of case law (The Danah, The Imvros, The Darya Tara) upholding the position that a carrier would be adequately sheltered in case of deck cargo lost overboard, as long as an exemption clause was in place in the bill of lading.The wind started to change after The Imvros which was a case heavily criticised in an article by Simon Baughen, Scholar, Reader at the University of Bristol, in 2000. This was a case of cargo loaded, stowed and lashed by the crew acting as servants of the charterers, who were responsible for loading, stowage and lashing under an un-amended NYPE clause 8. The Panel of Arbitrators found that the effective cause of the loss was the insufficiency of lashings which rendered the vessel unseaworthy. It weighted heavily on the mind of the Tribunal that it was charterers who were the ones contractually responsible for lashing, and hence owners won the argument. Charterers appealed on the basis that ...

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Update on Carriage of Ore Cargoes

Carriage of Bulk Cargoes The recent loss of two vessels, one with significant loss of life, once again highlights the concern of the shipping industry to the continued dangers of the liquefaction of mineral ore cargoes shipped in bulk.January 2012 : MV SUN SPIRITSVarious public sources have reported that the Panama registered SUN SPIRITS sank off the eastern coast of the Philippines on 22 January during a laden voyage from Leyte (The Philippines) to China with a full cargo of iron ore. While the investigation into the casualty is not complete, the reports suggest that the cargo may have shifted during rough weather, and liquefaction has not been ruled out as a cause.Fortunately, the crew was rescued but the accident is another urgent reminder of the dangers involved.December 2011 : MV VINALINES QUEENThis casualty was far more tragic, as it appears to have led to the loss of 22 lives. The 2005 built Supramax was reported to have been carrying a cargo of nickel ore from Morowali, Indonesia, to China, and was reported as missing on 25 December 2011. Only one crewman was found alive.This accident brings back thoughts of the serious casualties that occurred in 2010 when, within a ...

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Regulations of China on the prevention and control of marine pollution from ships

Web-only circular issued by International Group clubs The Skuld P&I Club issues circular regarding Regulations of the People's Republic of China on the Prevention and Control of Marine Pollution from Ships as follows:We refer Members to previous circulars on the Regulations of the People's Republic of China (PRC) on the Prevention and Control of Marine Pollution from Ships ("the Regulations"), and the postponement of the requirement that owners/operators of (a) any ship carrying polluting and hazardous cargoes in bulk or (b) any other ship above 10,000 gt enter into a pollution clean up contract with a Maritime Safety Agency (MSA) approved pollution response company before the ship enters a PRC port.Members were previously informed, pursuant to advice received from the MSA, that the MSA would publish lists of all approved contractors by the end of November. The International Group (IG) has maintained contact with the MSA and visited Beijing in November to meet with the MSA, various 'ship pollution response organisations' (SPROs), shipowners and other interested parties. Although the IG has continued to draw the MSA's attention to the difficulty which Members will face in complying with the Regulations if the enforcement date of 1 January 2012 is not put ...

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Regulations of China on the prevention and control of marine pollution from ships

Guidance on the spill response contract and procedure The Skuld P&I Club issues circular No 31/11 regarding Regulations of the People's Republic of China on the Prevention and Control of Marine Pollution from Ships as follows:We refer Members to our Circular of 22 August and earlier circulars on the Regulations of the People's Republic of China (PRC) on the Prevention and Control of Marine Pollution from Ships ("the Regulations"), and the postponement of the requirement that owners/operators of (a) any ship carrying polluting and hazardous cargoes in bulk or (b) any other vessel above 10,000 gt enter into a pollution clean-up contract with a Maritime Safety Agency (MSA) approved pollution response company before the vessel enters a PRC port.Members were previously informed, pursuant to advice received from the MSA, that the lists of all approved contractors would be issued in October 2011.The International Group has maintained contact with the MSA and now understands that the list of all approved contractors has been delayed further as the process of approving responders in the various coastal local provinces is still ongoing and has yet to be finalised. The International Group understands that this has delayed the issue of the list of approved ...

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Deepening of the Channel Port of Santos – Brazil

Information provided by the Skuld P&I Club The Skuld P&I Club issues circular regarding Deepening of the Channel Port of Santos - Brazil as follows:In order to dredge and deepen the channel to the projected 15 meters depth, two rocks must be removed and the dredger YUANG DONG 007 arrived in port last week to perform the job which is expected to take about two months.The YUANG DONG 007 was designed and built for use on the Panama Canal expansion project and is the first of its kind to be self-propelled.Work will start now this month and during the breaking down of the Teffé and Itapema rocks, navigation in the channel will be suspended whilst blasting is performed. These periods will be of about three hours duration daily and the times of interdiction will be advised timely.Source: The Sculd P&I Club

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Substandard vessels port of Santos – Brazil

Information provided by the Skuld P&I Club The Skuld P&I Club issues Circular regarding Substandard vessels port of Santos - Brazil as follows:For some time now there has been discussion about vetting vessels over 25 years of age before they enter the port of Santos and at the end of July, the Advisory Council for the Port of Santos- CAP, using the power conferred on them under the Law 8630 of 25/02/1993 (Port Privatization Law) and:Considering that substandard vessels represent great risk to laborers, port installations and the environment; Considering that substandard vessels cause losses to the Port Operator (Stevedore entity) because they affect the efficiency and regularity of the operations; Considering that the Maritime Authority, in compliance with International Conventions cannot impede vessels that possess the necessary international certifications from entering the port; Considering that the Port Authority authorizes the entrance to, departure from as well as all the operations and movement within the port with the exception of the intervention of the maritime authority in movement considered priority in the case of assistance and safety of vessels; Considering that in order to programme and authorize the entrance and departure of vessels, the Port Administration needs to be well ...

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The Skuld P&I Club – Liability of Classification Societies

Classification Societies play an important role in maritime business Classification Societies play an important role in many respects of maritime business. For all intents and purposes, it is impossible for a vessel to operate and trade without being classed and certified by a classification society. Both port and flag states rely on classification and in some respects statutory certification has been delegated to these societies.Many parties will therefore have an interest in knowing that the vessel is classed : apart from port and flag states this include insurers (both Hull and P&I), charterers etc.. To take SKULD as an example, the SKULD Rule 28.4.1 that requires an entered vessel to remain fully classed with a classification society approved by the club and 28.4.2 which require that the vessels classification society is not changed without the clubs prior consent.According to the European Maritime Safety Agency (EMSA) there are at present more than 50 organisations worldwide that offer marine classification but only 13 are approved by the EU. EMSA carried out an assessment of the approved classification societies every second year (http://www.emsa.europa.eu/implementation-tasks/visits-and-inspections/assessment-of-classification-societies.html).With a fairly large number of parties, both private and public, relying (in one way or another) on the work of ...

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