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Cargo Risks: “Dangerous” Goods
Published online by Cambridge University Press: 16 January 2009
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A shipper does not have unlimited freedom as to what he may have transported by sea. Restrictions on the goods which a charterer or cargo-owner may ship are imposed by the common law, the terms of the contract and statute. The statutory sources of control of what are normally referred to as dangerous goods may be divided into three categories: those under the Hague-Visby Rules (principally art. IV(6)); those under the Merchant Shipping Act 1995; and other legal sources. Provision is also made by the Hamburg Rules. Where a prohibition against the shipment of goods is not laid down by an express contractual obligation or specific rule of law, it is likely to be treated as depending on an implied term or collateral warranty.
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References
1 See, e.g., King, P.E., “The Carriage of Dangerous and Nuclear Cargoes” (1986) 14 A.B.L.R. 86;Google ScholarBulow, L.C., “‘Dangerous’ Cargoes: The Responsibilities and Liabilities of the Various Parties” [1989] L.M.C.L.Q. 342Google Scholar (an American viewpoint). See also Girvin, S.D., “Shippers” Liability for the Carriage of Dangerous Cargoes by Sea” [1996] L.M.C.L.Q. 487.Google Scholar
2 Independently of contract, a defendant may be liable for the tort of negligence: Losinjska Plovidba v. Transco Overseas Ltd. (The Orjula) [1995] 2 Lloyd's Rep. 395;Google ScholarTettenborn [1996] L.M.C.L.Q. 6Google Scholar; Farrant v. Barnes (1862) 11 C.B.(N.S.) 553;Google ScholarBamfield v. Goole & Sheffield Transport Co. Ltd. [1910] 2 K.B. 94, 104–105;Google ScholarThe Alhanasia Comninos [1990] 1 Lloyd's Rep. 277, 282.Google Scholar
3 See Carriage of Goods by Sea Act 1971, Sched.
4 United Nations Convention on the Carriage of Goods by Sea 1978.
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7 Or the shipowner, if the legal carrier is not the shipowner.
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9 Art. IV(6).
10 The Giannis NK[1994] 2 Lloyd's Rep. 171;Google Scholaraffd [1996] I Lloyd's Rep. 577.Google Scholar
11 M.S.A. 1995, ss. 85(1), 87(5). 313(1). See also section 86.
12 “United Kingdom ships” are defined in section 85(2).
13 Section 85(1). Exemptions from specified provisions of the regulations may be granted, on such terms as may be specified, for classes of cases or individual cases: section 85(6).
14 Section 85(3)(b).
15 Section 85(3)(e).
16 Section 85(3)(h).
17 Section 85(3)(i).
18 Section 85(3)(j).
19 Section 85(3)(m).
20 Section 85(3)(n).
21 S.I. 1990 No. 2605, made under legislation consolidated in the Merchant Shipping Act 1995. The Regulations give effect to the International Convention for the Safety of Life at Sea 1974 (“SOLAS”), Chapter VII (Carriage of Dangerous Goods) and the International Convention for the Prevention of Pollution from Ships 1973, thereby giving effect to a number of International Maritime Organisation Codes namely the Bulk Cargoes Code (IMO Code of Safe Practice for Solid Bulk Cargoes 1989), the BCH Code (IMO Code for the Construction and Equipment of Ships Carrying Dangerous Chemicals in Bulk 1990), the Gas Carrier Code (IMO Code for the Construction and Equipment of Ships Carrying Liquified Gases in Bulk 1983), the Gas Carrier Code for Existing Ships (IMO Code for Existing Ships Carrying Liquified Gases in Bulk 1976), the IBC Code (IMO International Code for the Construction and Equipment of Ships Carrying Dangerous Chemicals in Bulk 1990), the IGC Code (IMO International Code for the Construction and Equipment of Ships Carrying Liquified Gases in Bulk 1983) and the IMDG Code (the International Maritime Dangerous Goods Code 1990); together with the United Nations Recommendations on the Transport of Dangerous Goods 1989. These Codes are subject to periodic amendment. See also the Dangerous Substances in Harbour Areas Regulations 1987 as amended. See generally Henry, C.E., The Carriage of Dangerous Goods by Sea (The Role of the International Maritime Organisation in International Legislation) (London 1985).Google Scholar
22 Reg. 2
23 See above, n.21.
24 See Reg. 1(3).
25 Reg. 1(3).
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33 The Amphion [1991] 2 Lloyd's Rep. 101.Google Scholar
34 See below, part VIII.
35 Hamburg Rules, art. 13(1).
36 Hamburg Rules, art. 13(2).
37 Hamburg Rules, art. 15(l)(a).
38 Merchant Shipping (Dangerous Goods and Marine Pollutants) Regulations 1990, Reg. 7.
39 Regs 10–11.
40 Reg. 17.
41 (1856) 6 E. & B. 470. Lord Campbell C.J. and Wightman J. favoured an absolute warranty of safety; Crompton J. disagreed.
42 Mitchell Colts v. Steel Bros. [1916] 2 K.B. 610;Google ScholarThe Giannis NK [1996] 1 Lloyd's Rep. 577, 588, per curiam.Google Scholar
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44 Hutchinson v. Guion (1858) 5 C.B. (N.S.) 149.Google Scholar
45 Brass v. Maitland (1856) 6 E. & B. 470.Google Scholar
46 Emphasis added.
47 [1996] 1 Lloyd's Rep. 577.
48 This is not an entirely convincing argument anyway, given the high standard of due diligence required to provide a seaworthy ship under the Hague-Visby Rules, art. III, r. 1 in Riverstone Meat Co. Lids. Lancashire Shipping Co. Ltd. (The Muncaster Castle) [1961] A.C. 807.Google Scholar
49 The Giannis NK [1996] 1 Lloyd's Rep. 577,Google Scholar following The Fiona [1993] 1 Lloyd's Rep. 257.Google Scholar
50 [1990] 1 Lloyd's Rep. 277, 283–284.
51 See also The Domald [1920] P. 56Google Scholar (cargo owner not liable for loss from detention through seizure as prize of “suspicious” but lawful cargo); The Rio de Janeiro [1919] P. 242n.;Google ScholarThe Heim [1919] P. 237;Google ScholarThe Einar Jarl [1920] P. 64n.Google Scholar
52 The Amphion [1991] 2 Lloyd's Rep. 101, 105, per Evans J.Google Scholar
53 See The Domald [1920] P. 56.Google Scholar
54 Thus, a charterer who loads goods for a port which, unknown to the shipowner, has insufficient discharging facilities, will be liable for freight to the nearest port and must bear the cost of onshipment to the original destination: see Rederi Aktiebolaget Transatlantic v. Board of Trade (1924) 30 Com. Cas. 117, 128–129, per Roche J.Google Scholar
55 Hague-Visby Rules, art. IV(6).
56 E.g., Manchester Trust v. Furness [1895] 2 QB 539, 544–546, per Lindley L.J.Google Scholar
57 Scrutton, at p. 456, n.43.Google Scholar
58 See The Athanasia Comninos [1990] 1 Lloyd's Rep. 277, 283, per Mustill J. (apparently referring to this point). His Lordship rejected the view that the shipowner's claim is barred only if the dangerous characteristics of the cargo are universally known.Google Scholar
59 Hamburg Rules, art. 13(4). However, liability to general average remains and there may be liability to compensate if the carrier is liable in accordance with art. 5 (basis of liability).
60 C. Burley Ltd. v. Stepney Borough Council (1947) 80 Ll.L.R. 289.Google Scholar
61 Scrutton, at p. 103.Google Scholar
62 Chandris v. Isbrandlsen-Moller Inc. [1951] 1 Q.B. 240.Google ScholarCf. Micada C.N. S.A. v. Texim (The Agios Nicolas) [1968] 2 Lloyd's Rep. 57.Google Scholar
63 (1802) 3 East 192.
64 [1990] 1 Lloyd's Rep. 277, 283.
65 The Amphion [1991] 2 Lloyd's Rep. 101, 106, per Evans J.Google Scholar
66 Greenshield, Cowie & Co. v. Stephens & Sons [1908] A.C. 431.Google Scholar
67 Micada C.N. S.A. v. Texim (The Agios Nicolas) [1968] 2 Lloyd's Rep. 57.Google Scholar
68 Hague-Visby Rules, art. 1V(6).
69 (1854) 9 Ex. 341.
70 The Fiona [1994] 2 Lloyd's Rep. 506Google Scholar (C.A.), per curiam. That would also exclude the Hadley v. Baxendale limitation: ibid.. 522, per Hoffmann L.J.
71 The Fiona [1994] 2 Lloyd's Rep. 506, 522, per Hoffmann LJ.Google Scholar
72 The Fiona [1994] 2 Lloyd's Rep. 506.Google ScholarSee also Total Transport Corp v. Arcadia Petroleum Ltd. (The Eurus) [1996] 2 Lloyd's Rep. 408 (Rix J).Google Scholar
73 Cf. Kish v. Taylor [1912] A.C. 604.Google Scholar
74 Hamburg Rules, art. 13(3).
75 Designated as such by safety regulations: section 87(5).
74 Section 87(1)-(2). These powers are exercisable notwithstanding: that the owner of the goods has not committed any offence under safety regulations relating to dangerous goods, is not before the court, and has no notice of the proceedings; and that there is no evidence to shew to whom the goods belong (s. 87(3)). Nevertheless, the court may, in its discretion, require such notice as it may direct to be given to the owner or shipper of the goods before they are forfeited (s. 87(4)).
77 Section 85(7). For the Regulations, see A.R.M. Fogaerty, Merchant Shipping Legislation (1994–), para. 17.40.Google Scholar
78 Also non-compliance by the ship renders it liable to detention: Reg. 18.
79 For breaches of Regs 7–17.
80 Reg. 19(2).
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