Page 19: of Marine News Magazine (August 2011)

Marine Salvage & Recovery Edition

Read this page in Pdf, Flash or Html5 edition of August 2011 Marine News Magazine As a rule, the vessels master and crew are not entitled to bring a claim for pure salvage because they already have a duty to preserve the ship and cargo. However, the vessel crew can become individual salvers if their employment contract terminates before the salvage service commenced. Several ways to terminate the crews employment includes the authorized abandonment of the ship under the masters authority, the masters discharge of the crew con- cerned, or the capture of the vessel in a hostile encounter. In determining how much a judge or arbitrator should award for pure sal- vage, several factors are considered. These factors include: ?the value of the vessel (prior to incident less cost of repairing any damage that occurred prior to and during the salvage); ?the skill and efforts of the salvers in preventing or minimizing damage to the environment; ?the measure of success obtained by the salvor; ?the nature and degree of danger; ?the skill and efforts of the salvers used in salving the vessel; ?the time, expenses and losses incurred by the salvers; ?the risks encountered by the salvors or their equipment; ?the promptness of services rendered; ?the availability and use of vessels/equipment intended for salvage opera- tions; and?the state of readiness and efficiency of the salvors equipment and the value thereof. The judge or arbitrator has significant discretion in considering these fac- tors. Salvage awards, which cannot exceed the total value of the property saved, vary based on the facts of each claim. CONTRACT SALVAGE Parties often make an agreement for contract salvage via a wireless con- versation between the master of the salvage vessel and the master of the dis- tressed vessel. The performance of the salvage service is for a fixed price, often without regard to success. If a contract is entered into while the ves- sel was in extremis, the courts will give it close scrutiny and may set it aside if the compensation is grossly exorbitant; or if the salvor took unfair advan- tage or was guilty of fraud. However, if the parties fairly negotiated and the parties consented, the terms are enforceable. Contract salvage is highly preferable to pure salvage. If the salvage effort is pure salvage, the potential award will be considerably higher because it is Salvage efforts must be successful. This element, called the no cure, no pay? rule, means a salvage team could work for days, but if unsuccessful, the team would receive nothing for its efforts.?

Marine News

Marine News is the premier magazine of the North American Inland, coastal and Offshore workboat markets.