Sea Venture Contents Issue 1 1 Editorial 2 When your ship is in the Bull’s Eye 4 Charterparty performance guarantees 4 General Average – York-Antwerp Rules 2004 5 China – straight bills – delivery without? 6 Pilot liability 7 Increasing compensation for damage from oil pollution – sharing the burden 8 Container claims in the U.A.E. 9 Appointment of arbitrators – don’t miss the deadline 10 Air pollution rules to enter into force in 2005 12 Ballast water management – developments 14 The cost implications of failing to mediate 15 Full or half demurrage or demurrage at all? 15 SteamshipMutualDirectors win top industry awards 16 Legitimate last voyage orders 16 Supplying bunkers – implied contractual terms 17 Costs recovery in charterparty chain arbitrations 18 Victory for Owners in House of Lords decision in the “Jordan II” 18 Hatchcovers – testing for watertight integrity 19 U.S. Courts unlikely to hear crew claims subject to Philippine arbitration clauses 19 The Pennsylvania Rule – shifting the burden of proof in Jones Act cases 20 Selection of recent and forthcoming publications Editorial team Malcolm Shelmerdine Naomi Cohen 11 A lthough I know that many of our Members, as well as many Owners and Charterers who are not members of the Steamship Mutual, have over the years enjoyed reading our old Sea Venture publication, it had grown in size and weight with the consequence that it was not published as frequently as we would have liked. There were 14 articles, totalling 27 pages, in the first publication in February, 1978. Twenty editions and 25 years later there were 39 articles, totalling 121 pages. All of those articles, as well as many earlier Sea Venture articles and a substantial amount of additional information of interest to our members are available on the Steamship Mutual website (www.simsl.com). The new Sea Venture will be published more frequently and in a more contemporary format. It will be mainly made up of brief summary articles on topics of current interest, with links to fuller more detailed articles on the Steamship Mutual website. There will also be details of other Steamship Mutual publications, links to articles on the website that are not summarised in Sea Venture, news items etc. I do hope that you will enjoy this first edition of the new Sea Venture, and would welcome any feedback on the content, or suggestions for future topics to be covered, which can be sent to me at seaventure@simsl.com Malcolm Shelmerdine 31st December 2004 Welcome to the first edition of the new look Sea Venture newsletter The new Sea Venture will be published more frequently and in a more contemporary format. This symbol indicates further reading on our website www.simsl.com 2 T he events of September 11th, and the resulting litigation have highlighted the possibility of liability for vessel Owners in the event that a vessel is used in the perpetration of a terrorist attack, such as the detonation of a weapon of mass destruction in an American port. Airlines are being sued for failing to prevent the attacks; if similar attacks occur using vessels, the vessel Owners may be sued for any damage caused to third parties arising out of the failure to ensure the security of the vessels against such incidents. In response to the September 11th attacks, the IMO adopted the International Ship and Port Facility Security Code (ISPS Code), incorporated into SOLAS 1974. The U.S. Congress also passed the Maritime Transportation Security Act (MTSA), implemen