Posts

Showing posts from January, 2021

Should reciprocal indemnities in shipbuilding contract be operative regardless of fault or qualified by exceptions?

In the shipbuilding and offshore industry, the risk of loss or damage to property, personal injury including fatal injury and disease are frequently allocated by means of "knock for knock" or reciprocal indemnity in the contract. Essentially, this means that respective parties undertake responsibility for loss or damage to their own property or for injury or death to their own employees and identified parties. Thus, in the case of Caledonia North Sea Limited v British Telecommunications Plc (Scotland) and others [2002] UKHL 4, Lord Bingham, commenting on the market practice to take account of the peculiar features of offshore operations, referred to an article on the standard practice during construction as described by Sharp, Offshore Oil and Gas Insurance (1994), p 108: "(iv) Injury or Death of Employees The position in respect of employers' liability is invariably dealt with by the exchange of mutual indemnities in respect of injuries to or deaths of employees. T

What is a Ship? ...a legal perspective.

What is a ship?   The status of a ship  or vessel is important for issues like tax, insurance, damages, personal injuries claim, maritime claim and time limitation. Some dictionary has defined a ship as a large boat used for carrying people or goods across the sea, a large spacecraft or an aircraft.  The Merchant Shipping Act of the UK provides that a “ship” includes every description of vessel used in navigation”.  In Halsbury's Laws, the meaning of “ship” reads: "Unless the context otherwise requires, 'ship' includes every description of vessel used in navigation. Whether a vessel comes within that meaning of a ship depends on the facts of each case; the statutory definition is intended to enlarge the meaning of “ship”. To be a ship, a vessel must be used in navigable waters, either inland or at sea, and, although she must be constructed for navigation, it is not necessary to the definition that she should be able to navigate under her own power. The presence of a ru