Collisions
Between Vessles
Claims for losses and damages to goods and property arising as a result of collisions between vessels are usually very complex matters. They can commonly involve damage to each of the vessels, General Average, Salvage, damage to cargo, security and limitation of liability. These issues will generally be very difficult and time consuming to resolve.
When vessels collide there is usually a degree of fault or responsibility on each of the vessels involved. When such an incident occurs, investigations need to take place and evidence be obtained in order to try to determine the circumstances surrounding the collision as well as the resulting losses to the vessels and any cargo involved. An apportionment of responsibility for the collision is then agreed or determined on a percentage basis between each of the vessels depending upon the circumstances surrounding the incident. Where a collision involves 2 vessels both at sea, responsibility is usually apportioned around 50-50 or 60-40 between the vessels, unless one of the vessels involved is more exceptionally at fault. If a collision involves 2 vessels where one of the vessels was anchored or berthed, then the majority of the responsibility will invariably be apportioned against the other vessel. However, even in such cases, it is unusual for responsibility to fall solely against one of the vessels and a degree of responsibility, however small, will generally fall against each of the vessels involved.
Once responsibility has been apportioned or determined between the vessels and the losses arising a result of the incident have been quantified, attempts can then be made to try to resolve the claims arising as a result of the incident. Generally, if vessel A is 60% responsible and vessel B is 40% responsible, then it may be possible for 40% of the losses associated with vessel A to be claimed from vessel B and 60% of the losses associated with vessel B to be claimed from vessel A. If the losses associated with vessel A are much higher than those associated with vessel B, then vessel B could end up paying much higher losses than vessel A even though it was less responsible for the actual incident. For example, if vessel A was 60% responsible and had losses of USD 1,000,000 and vessel B was 40% responsible and had losses of USD 500,000, the vessel A could face a liability of USD 300,000 (60% of USD 500,000) and vessel B could face a liability of USD 400,000 (40% of USD 1,000,000). We would stress that this is a very simple example and might not apply in all collision cases.
For losses and damages to cargo due to a collision between vessels there is a possible recovery claim against the vessel carrying the cargo and also against the other colliding vessel. Generally, in a collision case, the carrying vessel will attempt to try to defend liability on the basis of an “error in navigation” defence. Therefore, unless it is possible to prove that the collision was caused by un-seaworthiness of the carrying vessel say due to a mechanical failure or say a lack of crew or unqualified crew on the bridge, then it could be difficult to establish liability against the carrying vessel. However, if liability were proven against the carrying vessel, then it would not be capped by the level of responsibility of the vessel for the collision, although other limitations of liability could still apply. However, the colliding vessel would not be able to rely upon such an "error in navigation"
defence and could face difficulties in avoiding liability for the percentage of the losses for which they were to blame for the collision. Again, we would stress that this is a very simple example and might not apply in all collision cases.
As previously mentioned, collision cases can also commonly involve General Average, Salvage, security, limitation of liability and jurisdiction issues. Stean Shaw LLP can help. Our team has extensive experience and expertise in the handling, resolution and recovery of all types of claims at sea arising all over the world. We are situated very much “on the doorstep” of the P&I clubs that insure over 90% of the world’s ships, as well as other parties involved with these claims. We also have an extensive network of contacts throughout the world with whom we can liase in order to ensure the best outcome for our clients. Since we act on a “no win – no fee” basis, there is no cost “upfront” to our clients by using the services of Stean Shaw LLP and a charge will only be made by us when we succeed in obtaining a recovery for our clients. This is extremely beneficial as, for the reasons highlighted above, these types of claim can invariably involve considerable time, trouble and complexity to be finalised.
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| If you have any enquiries about Stean Shaw LLP, our services and fees, or questions on collision claims, our team would be happy to hear from you through our listed contact details. Alternatively, to e-mail us, please click here. | ||
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