SUPPLEMENTARY NOTES MARITIME LAW COC 1&2

The documents listed below are required for registration of a Singapore Ship, in accordance with the Singapore Merchant Shipping Act. Arrange the documents in the proper sequence in the space provided below to show the procedure of obtaining a Certificate of Registry. (a) Certificate of Registry; (b) Application for ship's name; (c) Appointment of agent; (d) Certified Carving & Marking Note; (e) Evidence of ownership; (f) Evidence of seaworthiness; (g) Carving & Marking note; (h) Application for ship's signals letters & confirmation of installation of radio equipment; (i) Registration fees/Tonnage fees; (j) Engine Particulars.

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List the main reasons why ship owners register their ships under Flags of Convenience. List the four main technical committees of IMO which report to the Council and carry out the work of IMO. Name the Committee in which conventions, codes and amendments are thrashed out and agreed upon before submission to the Assembly for formal approval. List the training records on board that the master maintain: Familiarisation Checklist for Newly Joined Crew Emergency Drills Record Annual Drill Log Training and Performance Record Ship and Shore Drill Record Special Training by Shore Staff Training Video Viewing Records SMS Training Shipboard Management Meeting

State five check lists/record that a tanker chief officer should maintain: Enclosed space entry permit Hot and Cold Work Permit Tank Cleaning and Gas Freeing Record IGS Condition on Deck IGS Operation Log COW Log COW Checklist Discharging and COW Plan Working Aloft and Overside Safety Officer Inspection Checklist Proom Entry Checklist

Tanker Vessels Checklist Pre-Arrival Terminal 7 State five records/files that a 2nd/3rd Officer should maintain: Passage Plan Checklist & Way Point Plan Bridge Checklists for Arr/Dep Bridge Inventories Chart Correction Log Companys and Shipping Circulars/Notices Weather reports Medical Records Hand over/Take over Reports GMDSS Radio Log book Your vessel MT POLY under voyage charter arrived at the fairway buoy at 0100 hours local mean time 18 Nov 2005 and was cleared by health and customs at 0800 hours before she was moored alongside at 1100 hours on the same day for loading. As the master of the vessel above write a notice of readiness as follows: _______________________________________________________________________ ________________________________________________________________________ ____________________________________________

In determining the time for demurrage or despatch, state at least five important information that need to be specified in the lay time statement and/or statement of facts.

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While approaching berth under pilotage, your fully loaded ship was badly hit by the mooring tug. After your vessel was securely alongside you inspected the ships side and found no visible damage. As the master write a simple note of protest. After completion of loading a full cargo of crude oil, the chief officer reported that there is some amount of water found in the cargo tanks. As the master write a simple letter of protest. State at least five types of ISPS drills that should be conducted and reported: Action on bomb threat Action when a bomb exploded Action on finding a suspicious device or package Evacuation of ship Action on a suspect vessel approaching the ship Action on stowaway Searches after leaving port Search Plan Procedure

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Establish a search plan Response to hijacking or hostile boarding Action in event or anticipation of military action. 13 Describe briefly the types of NCR that need to be reported.

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Types of near miss reports. The usual companys policy on drug and alcohol testing requirement of the crew. Prior to joining vessel Unannounced random testing to be conducted for selected crewmembers Where cause exists to suspect alcohol and drug abuses Post incidence testing to be carried out for any incident, which endangers life or safe operation of ship and risk environmental pollution. The company may also conduct unannounced searches for drugs and alcohol on Company operated vessels. Consumption of alcohol is strictly prohibited within 4 hours prior and during the watches and duties. Random checks by master and chief engineer on the inventory of beer possessed by crewmembers

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State five excuses for deviation or delay under the Marine Insurance Act: (a) (b) (c) (d) (e) (f) (g) where authorised by any special term in the policy where caused by circumstances beyond the control of the master and his employer where reasonably necessary in order to comply with an express or implied warranty where reasonably necessary for the safety of the ship or subject matter insured for the purpose of saving human life, or aiding a ship in distress where human life may be in danger where reasonably necessary for the purpose of obtaining medical or surgical aid for any person on board the ship; or where caused by the barratrous conduct of the master or crew, if barratry be one of the perils insured against.

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State five statute laws which Singapore ships need to comply with: MSA 179 MPA 170A Carriage of Goods by the Sea Act Infectious Disease Act Prevention of Pollution of the Sea Act Workmens Compensation Act CLC

18 Under the GENCON charter party, damages to any part of the ship caused by stevedores will be borne by the: (a) the ship owner (b) the stevedores (c) the charterer (d) the P&I Club 19 Under the General Ice Clauses of the Gencon Charter, state some of the of the master: 20

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Describe briefly the clauses under the Gencon charter which protect the ship owner: Stevedore damages under Loading/Discharging Lien Clause Both to Blame Collision Clause General Average and New Jason Clause General Strike Clause General Ice Clauses Law and Arbitration Clause.

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Explain how IMO Conventions are being developed. - Usually an IMO Committee would raise the need for a new convention - Its proposal will go to the Council or as necessary to the Assembly - Authorised by the Council or Assembly, the concerned Committee will consider the matter in greater detail & supported by sub-committee. Inter-governmental and non-governmental organisations with a working relationship with IMO would also contribute. - The draft Convention is reported to the Council or Assembly - A conference will be convened to consider the draft convention for formal adoption; - IMO Member states and all UN member states, specialised agencies of UN are invited to the conference. The draft Convention is circulated to governments and organisations for comments - The Conference examines the draft Convention and comments. Necessary changes are made before producing a draft acceptable to the majority of governments present. The Convention thus agreed on is adopted by the conference and deposited with the Secretary-General. The SG. will then send copies to all Member State governments. - The Convention is opened for signature by States, usually for12 months. Signatories may ratify or accept the Convention. - The Convention is not binding on any ratifying State until formally accepted by the State.

(The Convention has no legal effect in accepting State until it has been incorporated by statute into the national law of the State).

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Describe briefly the two classes of lien which concern shipmasters: possessory liens and maritime liens. Examples of possessory liens: unpaid freight expenses incurred in protecting cargo (master as agent of necessity for the benefit of the cargo owner) GA from cargo Contractual Lien in B/L or C/P : deadfreight, demurrage and damages for detention. A Lien Clause in B/L or C/P would normally cover: deadfreight, demurrage and damages for detention.

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Examples of maritime lien: on a ship at fault in a collision in which a property has been damaged of a salvor on a ship and/or cargo of seamen on a ship for their wages of a master on a ship for his wages and disbursements (i.e. his outgoings on behalf of the owners) of a ship repairer in respect of work done on a ship. Ranking of liens: Although no statutory ranking for maritime liens Courts expenses; Maritime liens; mortgages and any statutory rights in rem and common law possessory liens. Baltic and International Maritime Conference has an international membership of normally: - shipowners, shipbrokers, agents and P&I Clubs. - charterers, shipbrokers, hull and machinery insurers - hull and cargo underwriters and P&I Clubs - general average adjusters, ship surveyors and shipmasters. BIMCOs work: - acts as spokesman for the shipping industry - helps members avoid costly business mistakes

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- publishes approved commercial documents incl. charter parties and b/l - formulate modern charter forms with boxed layouts - publishes BIMCO Bulletin (an information-packed journal of interest to shipmasters - runs shipping business courses and seminars - operates BIMCOM, an international computer network linking main shipping centres Address in Denmark. Website: www.bimco.dk 28 The Baltic Exchanges membership includes shipbrokers of all types as well as nontrading individuals such as maritime lawyers, insurers, financiers, classification societies and marine consultants who wish to mix with key players in the bulk shipping market and take advantage of the Baltics facilities. Many operators in dry and wet bulk trades are members of the Baltic, particularly international commodity traders in grain, oils, seeds and fats. Market information in various forms published by BE is internationally recognised and serves barometers of the cost of transporting dry and wet cargoes. Brokers in thebe collect market data from major broking houses around the world, from which five daily indices are built up and published. Involve in about half the worlds sale and purchase of ships. Billions in freight commissions and chartering costs. Website:www.balticexchange.co.uk

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Benefits of flag of convenience: - freedom to employ foreign officers and crew - low taxes on cos earnings - low registry fees - low statutory survey fees - limitation of owners liability - relaxed or non-existent foreign exchange controls on owners earnings - non-restrictive ownership qualifications allowing a foreign company or foreign national to register there - freedom to raise a loan by mortgaging the ship; and/or - benefits from bilateral or multilateral agreement on trade, cargo sharing, port entry or taxation. A valid Certificate of Class is a requirement of: - H/M insurer - P&I club, for an entered ship - cargo insurer, for the carrying ship - the flag state Registrar - Port or Imm authority, for port clearance urposes

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Multiple load lines are being used usually by: a. ships which seldom submerge their assigned freeboards.

b. some tankers and bulk carriers which normally do not load to their maximum drafts allowed. c. some tankers and bulk carriers which regularly use cargo terminals with water depth restrictions. d. ships whose initial assigned freeboards are less than their actual freeboards attained.

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Conditions imposed when using additional set of load line would include: the ship must comply fully with all the requirements appropriate for a ship of maximum deadweight for which minimum freeboards could be assigned; there must be no reduction in safety standards when sailing at a reduced deadweight; only one set of load line marks should be on display at any time, and the other sets should be effectively obliterated with paint; the master must ensure that, with a class surveyor in attendance, the correct set of marks are displayed together with the corresponding Load Line Certificate, and that the other set of marks are properly obliterated and the other Load Line Certificate are in safe keeping and not on display; the master is to make an OLB entry on every occasion when the load line marks are changed. the master is to ensure that all marks are verified and that their corresponding Load Line Certificate are endorsed at each annual survey of the load line inspection. (Describe the masters responsibilities when using additional set of load lines).

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Ships X and Y collide in American waters. Ship X is the cargo-carrying ship, ship B is the non-carrying ship. Ship X is held by a US court to be 40% to blame for the collision, and ship Y 60% to blame. Shipper X loses $10000 worth of cargo damaged. Explain how the cargo damage claim be settled. Excepted peril under Hague & Hague-Visby Rules Both to Blame Collision Clause to get round the US law.

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Laydays refers to: a. the period allowed for loading and/or discharging. b. the period during which the charterer has to decide whether to accept the ship. c. the period during which the ship owner must present the vessel for loading. d. the period during which the shipowner has the right to cancel the charter.

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The laycan 9/16 June usually written in voyage charter parties means: a. the laytime allowed for the charterer to load and/or discharge b the cancelling date is between 9 to 16 June c. 9 June is the first layday and 16 June is the cancelling date d. Notice of Readiness must be tended between 9 and 16 June.

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In a berth charter party the owners would protect themselves and convert it into a port charter party by inserting the following abbreviations: a. WIPON whether in port or not b. WIBON whether in berth or not c. WCCON whether customs cleared or not d. WIPPON whether in free pratique or not The essential elements of a general average act are as follows: There must be a sacrifice or expenditure. They must be extraordinary. They must be intentionally made or incurred. They must be reasonable made or incurred. They must be made for the common safety. They must be made for the purpose of preserving the property from peril. Special Compensation Art 14 Salvage Convention 1989 Salvor may earn Art 14 compensation if the salvage operations are in respect of vessel which by itself or its cargo threatened the environment provided that: a. the salvage operations have been successful b. such compensation is more than the salvage award or if there is no salvage award at all. c. the property is recovered to enjoy the proceeds. d. Any of the above.

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What is considered to be a lawful marine adventure that may be a subject of a contract of marine insurance? where any ship, goods or other movables are exposed to maritime perils; where the earning or acquisition of any freight, passage money, commission, profit or other pecuniary benefit is endangered by the exposure of insurable property to maritime perils; where any liability to a third party may be incurred by the owner of the insurable property by reason of maritime perils. (in short where there is an exposure to maritime perils in relation to an

insurable property; earnings/profit; or a third party/third party property). 40 When a salvor has invoked the Scopic Clause, he can claim remuneration of his expenses: a. when the salvage operations have been successful. b. only when the threat to the environment has been minimised. c. when he could not receive the salvage award under Art 13 Lloyds Standard Form of Salvage Agreement. d. whether or not there is recovery or if Art 14 of Lloyds Standard Form of Salvage Agreement cannot be invoked.

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Scopic Clause If it is incorporated into a LOF contract, the salvor is entitled to invoke the use of such clause in suitable cases. Whether or not there is recovery or if Art 14 of Lloyds Standard Form of Salvage Agreement cannot be invoked. Where there is likely to be salvage involve involving no recovery or low value recovery and high expenses involved. Where there is no threat to the environment. Scopic remuneration It is based on a fixed rate of tariffs for the men and equipment used by the salvors If the Art 13 award is less than the Scopic remuneration, salvors keep the Scopic remuneration. However, if the Scopic remuneration is less than the Art 13 reward, the salvors will be paid the Art 13 reward less 25% the difference between the Art 1 reward and the Scopic remuneration under Clause 7 Scopic. This is the risk that the salvors have to take when they invoke the Scopic clause. P&I covers the liability of member to pay the salvor the Scopic remuneration.

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P&I Club Provide cover for any contributions to general average or special charges; Covers liability of member for reasonably incurred expenses by the salvor; l Covers liability of member to pay to the salvor special compensation under Art 14 of the Lloyds Standard Form of Salvage Agreement; Covers liability of member to pay to salvor for Scopic remuneration; Letter of undertaking to provide security as demanded by the salvor. If security is not provided within 2 days, the salvors can withdraw from Scopic and revert to the main salvage agreement

Outside the Scopic Clause, the Clubs may also provide similar security for members liability to the salvors for the salvage generally. 44 When live animals and deck cargoes are being carried, the carrier must ensure that: a. the Bill of Lading stipulate that Hague-Visby Rules shall apply. b. the shipper agrees that the contract shall be governed by the carriers standard terms, conditions and exceptions. c. his P&I Club will provide cover for the on deck Bill of Lading. d. the Bill of Lading is stated carried on deck at shippers risk.

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The Bill of Lading for the carriage of containerised cargo on deck on other than purposebuilt container ships: a. should have a clause stating carried at shippers risk. b. should be properly claused for deck stowage and/or inserted a proper liberty clause. c. should have a clause by customary of the trade. d. should have a special agreement other than the carriers standard terms, conditions and exceptions. (OR CARRIED ON DECK WITHOUT LIABILITY TO THE CARRIER FOR LOSS OR DAMAGE HOWSOEVER CAUSED. Container line Bills of Lading usually give the carrier the option of stowing the cargo either on or under deck. The hull & machinery insurance policy would normally cover the ship owner against: actual total loss or constructive total loss of ships hull, machinery and equipment; accidental (particular average) damage to the ships hull, machinery & equipment; three-fourths of his liability to owners of other vessels (or their cargoes) with which his ship collides (collision liability); liability for general average charges; liability for salvage charges.

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A deductible in a hull and machinery policy is a claim or threshold (e.g. $50000) which must be reached before any claim will be met by the insurer No claims arising from an insured peril are payable unless the aggregate of all such claims exceeds the deductible. In return, the shipowners premium is reduced. The more claims the shipowner makes for the year, the higher the deductible is likely to be the in the next policy year. The main reason for a deductible in a P&I club policy is that:

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the ship owner contribute less into the P&I club fund the P&I club has less to pay to third party claims the ship owner will be more careful in the management of the ship since he has to bear the deductible value. the first part of the third party claim, the deductible value, will be paid first by the ship owner before P&I settle the remaining claims

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Some International Trade Terms (INCOTERMS) FAS - Free Alongside Ship (named port of shipment) Seller is to place goods, cleared for export, alongside vessel at named port of shipment. Title and risk pass to buyer alongside ship. FOB Free On Board (named port of shipment) Seller delivers goods, cleared for export, when they pass ships rail at named loading port. Title and risk pass to buyer as goods pass ships rail. Cost and Freight (named port of destination) Seller delivers goods when they pass ships rail at named loading port and must pay costs and freight necessary to bring goods to named port of destination. Buyer bears all additional costs and risks after goods have been delivered over ships rail at loading port. Title and risk pass to buyer when goods delivered on board ship. Cost, Insurance and Freight (named port of destination) Sellers obligations same as under CFR with addition that seller must obtain insurance against buyers risk of loss/damage during sea carriage. Title and risk pass to buyer when goods delivered on board ship. Carriage Paid To ( named place of destination) Seller delivers goods to nominated carrier and pays cost of carriage to named destination. Buyer bears all additional costs and risks after goods delivered to carrier. Title, risk and insurance cost pass to buyer when goods delivered to carrier.

CFR -

CIF

CPT

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Which of the following does not apply to a Cargo Insurance Policy that provides open cover: a. It has a fixed aggregate limit which is gradually reduced as each shipment is made. b. It is usually fixed at 12 months with a set limit on the amount at risk in any one vessel or in any one location. c. It requires the assured to declare and insure all his shipments during the term of the policy. d. It is issued in which a nominal premium is specified by way of consideration. Some International Trade Terms (INCOTERMS)

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FAS

Free Alongside Ship (named port of shipment) Seller is to place goods, cleared for export, alongside vessel at named port of shipment. Title and risk pass to buyer alongside ship. Free On Board (named port of shipment) Seller delivers goods, cleared for export, when they pass ships rail at named loading port. Title and risk pass to buyer as goods pass ships rail. Cost and Freight (named port of destination) Seller delivers goods when they pass ships rail at named loading port and must pay costs and freight necessary to bring goods to named port of destination. Buyer bears all additional costs and risks after goods have been delivered over ships rail at loading port. Title and risk pass to buyer when goods delivered on board ship. Cost, Insurance and Freight (named port of destination) Sellers obligations same as under CFR with addition that seller must obtain insurance against buyers risk of loss/damage during sea carriage. Title and risk pass to buyer when goods delivered on board ship. Carriage Paid To ( named place of destination) Seller delivers goods to nominated carrier and pays cost of carriage to named destination. Buyer bears all additional costs and risks after goods delivered to carrier. Title, risk and insurance cost pass to buyer when goods delivered to carrier.

FOB -

CFR -

CIF

CPT

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Which of the following does not apply to a Cargo Insurance Policy which provides open cover: a. It has a fixed aggregate limit which is gradually reduced as each shipment is made. b. It is usually fixed at 12 months with a set limit on the amount at risk in any one vessel or in any one location. c. It requires the assured to declare and insure all his shipments during the term of the policy. d. It is issued in which a nominal premium is specified by way of consideration.

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The Harmonised System of Survey and Certification covers the survey and certification requirements of the following instruments: a. SOLAS 74/78 & MARPOL 73/78/90. b. SOLAS 74/78, ILLC 66/88 & MARPOL 73/78/90. c. SOLAS 74/78, ILLC 66/88 & MARPOL 73/78/90 and IBC & BCH Codes. d. SOLAS 74/78, ILLC 66/88 & MARPOL 73/78/90 and IBC, BCH & IGC Codes.

A new Cargo Ship Safety Certificate (CSSC) which includes provision for recording all the surveys required for the Cargo Ship Safety Equipment Certificate, Cargo Ship Safety Radio Certificate and Cargo Ship Safety Construction Certificate, may be issued as an alternative to the three existing cargo ship safety certificates.

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List the certificates covered by the Harmonised System of Survey and Certification:

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State the different survey types under the Harmonised System of Survey and Certification: An initial survey is a complete inspection before a ship is put into service of all the items relating to a particular certificate. A periodical survey is an inspection of all the items relating to a particular certificate to ensure that they are in a satisfactory condition and fit for the service for which the ship is intended. A renewal survey is the same as a periodical survey but also leads to the issue of a new certificate. An intermediate survey is an inspection of specified items relevant to a particular certificate to ensure that they are in a satisfactory and fit for the service for which the ship is intended. An annual survey is a general inspection of the items relating to a particular certificate to ensure that they have been maintained and remain satisfactory for the service for which the ship is intended. An inspection of the outside of the ships bottom is an inspection of the underwater part of the ship and related items to ensure that they are in satisfactory condition and fit for the service for which the ship is intended. An additional survey is an inspection, either general or partial according to the circumstances, to be made after a repair resulting from investigations or whenever any important repairs or renewals are made. The scope of each of these surveys depends on whether the ship is a passenger ship or a cargo ship.

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Essential requirements of the ISPS Code: Carriage of AIS Marking of ships IMO number. Continuous Synopsis Record on board International Ship Security Certificate. Company Security Officer. Ship Security Officer Ship Security Plan. Training for CSO & SSO. ISPS Drills.

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When there is crew change of more than 25% when should the ISPS Drill be conducted and how often must the ISPS drills be conducted? within one week of the crew change and at least once in every three months. A port security level is at 2. Can a ship proceed alongside while under security level 1. When information supplied by the ship before arrival is suspect, the PSC may apply control measures to ensure compliance for ships intending to enter a port on security only. Reg 4 Chap XI of SOLAS 1974: makes it possible for port State control officers inspecting foreign ships to check operational requirements when there are clear grounds for believing that the master or crew are not familiar with essential shipboard procedures relating to the safety of ships. New Chapter XI-2/5 (Special measures to enhance maritime security): All ships are to be provided with a ship security alert system, when activated shall initiate and transmit a ship-to-shore security alert to a competent authority designated by the Administration, identifying the ship, its location and indicating that the security of the ship is under threat or it has been compromised. The system will not raise any alarm on-board the ship. The ship security alert system shall be capable of being activated from the navigation bridge and at least one other location. New Reg XI-1/5 requires ships to be issued with a Continuous Synopsis Record (CSR) which is intended to provide an on-board record of the history of the ship. The ISPS Code requires that the ship is to provide an on-board record of the ships history through: a. the Ships Register. b. the Official Log Book. c. the Continuous Synopsis Record. d. the Ships Record Book.

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When the security of the ship is under threat, the ship security alert system, when activated shall: a. initiate the coast guard alert system and transmit ships identification. b. initiate and transmit a ship-to-shore security to a competent authority. c. initiate the port to raise its security level to 3. d. initiate the coast guard to standby and escort the ship to a designated

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Charters will claim against shipowner for compensation or off-hire under the following circumstances: under-performance due to slower than chartered speed, agreed rated of loading and/or discharge vessel go out of service due to excess time spent at the repair yard/drydocking shortage of crew or stores machinery breakdown hull and/or machinery damage deviation for carriers purposes ISM Code: applies to safety at sea and pollution prevention applies to ship management and shipboard operations is to demonstrate compliance with safety and pollution prevention requirements is implemented through a company Safety Management System involves a shore-based audit of the company and issue of a Document of Compliance, plus ship audit and issue of a Safety Management Certificate is mandatory for a company. Describe what ISM Code is all about and how it is applied and implemented). (The Safety Management System includes six functional requirements: a safety and environmental protection policy; instructions and procedures to ensure safe operations of ships and protection of the environment in compliance with relevant international and flag state legislation; defined levels of authority and lines of communication between, and amongst, shore and shipboard personnel; procedures for reporting accidents and non-conformities with the ISM Codes provisions procedures to prepare for and respond to emergency situations; and procedures for internal audits and management review. (State the functional requirements of a Safety Management System). The ISM auditor would usually check the following: all records, checklists and files; ISM manuals and corrections to manuals; ships safety and fire-fighting equipment; navigational and machinery manuals; charts; log books; reports; standing orders; posters and placards; bridge procedures; maintenance and repair schedules and records, spares, etc. The auditor may want to see any safety-related operation or drill being carried out. (Describe the checks that the ISM auditor would carry out).

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Objective evidence: a qualitative or quantitative information; records or statements of fact pertaining to safety or to the existence and implementation of an ISM element, which is based on observation, measurement and tests and which can be verified. Non-conformity: An observed situation where objective evidence indicates the non-fulfilment of a specified requirement i.e. any departure from an instruction or procedure laid down in the SMS. (Give examples)

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Major non-conformity: An identifiable deviation which poses a serious threat to personnel or ship safety or serious risk to the environment and requires immediate corrective action. It includes lack of effective and systematic implementation of the requirements of the ISM Code. (Give examples) Ibk/Nov 2006