Salvage

Hello friends, today I will be talking about the salvage convention, scopic clause and LOF 2011 form. I will also be making a comparison between salvage and touge during t Salvage basically means rescue of a wrecked or disabled s There are three conditions that must be satisfied for an operation to be called a salvage. First there must be a danger to maritime property. Second the service must be voluntary. And the there have been three major developments in the salvage law. The first was the brussel convention, second was salvage convention 1989 and the scopic clause was based on the principle of no care no pay. So if a salver was not able to save a property he was not paid. Then in the 80s after some huge pollution incidents it became necessary to encourage salvers to take up Thus in 1989 a special compensation was added under article 14 as per which if a salver by his salvage operation has prevented or minimized damage to the environment, salva is entitled for a special compensation equivalent to his expenses which can be increased up to 30% to 100% of the expenses under certain circ These expenses were borne by the so it was a great step to prevent pollution, encouraging the salvers to take operations where risk of pollution exists. However the owners had certain concerns about t So the hull underwriters might delay their decision to declare the vessel as total constructive loss whereas salvers were concerned about the application of article 14 w To resolve these limitations scopic clause was introduced into the Lloyds open form. Lloyds open form is a standard agreement between the owner and the salver. As per para 2 of scopic clause the contractor had the option to invoke the scopic clause by giving a written notice to the owner regardless of the circ Salvers of scopic clause are scopic clause forms a part of LOF and it can be invoked by the salver anytime he wants. By invoking the scopic the salver is absolutely certain of at least recovering He can invoke the scopic anytime he feels that he might not be able to save the property as the principle of no cure no pay will not leave So the question is why would the salver not invoke the scopic clause right at the beginning of the operation? And the answer in simple words is if the scopic clause is invoked and the salver was able to save the property making him eligible to receive an award as per article 13 ass So if the salver is sure of Another feature of scopic clause is that scopic requires a security of 3 million dollars wit Salver has the right to withdraw if the security is not given wit As per the scopic clause special compensation is calculated equal to the agreed tariff rate plus 25% bonus. If the special compensation calculated is Now in an oral exam there may be a question what is the duty of a master towards salver when in danger? So the points are the master must cooperate fully with the salver during the course of operation. In doing so he should minimize damage to the environment and when the property or vessel has been brought to a place of safety then to accept the delivery. When asked to do so by the salver another question may be asked is what is the criteria for fixing the reward for a salvage operation? So it will be salved value of the vessel or property, skill and efforts of the salver in preventing the damage to the environment, measure of success ac Another common question is who pays for the salver's fee? So if the award is as per article 13 then H&M, hull and mac Another key question sometimes asked is what are the changes made in the new LOF 2011? So the answer to that is there are four changes. First is that the council of Lloyds is entitled to make available the award appeal and reason on their website www. loydsagency. com subject to the condition set out in clause 12 of the LSSA clause. Second change was the notification to Lloyds. The contractors shall wit The council will not charge for such notifications. The t Under clause 6. 6 and 10. 8 the arbitrator and appeal arbitrator respectively will be entitled to request security for their fees and expenses from one or more of the parties to the LOF contract. The fourth change was special provisions for container vessels. Clause 13, 14 and 15 in LOF 2011 apply only to casualties involving laden containers. T Another common question is a comparison between a two-age operation and a salvage operation. A contract for two-age is agreed for purposes and agreed some that is the tugs duty and the price are fixed beforehand. The two-ing w Salvage on the other hand is governed by maritime law. It is a voluntary action and any reward is dependent on some measure of success. Hence the term no cure, no pay. In most salvage agreements the reward can only be determined after completion of salvage services. The examiner may ask you various questions to confuse you. Hence just remember a salvage operation has three conditions to be fulfilled. A maritime property at peril, a voluntary service and a measure of success in the operation. I hope you