Commonwealth Numbered Acts

CARRIAGE OF GOODS BY SEA ACT 1991 No. 160 of 1991 - SCHEDULE 2

                        SCHEDULE 2                  Section 12

THE HAMBURG RULES
PART I. GENERAL PROVISIONS
Article 1. Definitions
In this Convention:
1. "Carrier" means any person by whom or in whose name a contract of carriage
of goods by sea has been concluded with a shipper.
2. "Actual carrier" means any person to whom the performance of the carriage
of the goods, or of part of the carriage, has been entrusted by the carrier,
and includes any other person to whom such performance has been entrusted.
3. "Shipper" means any person by whom or in whose name or on whose behalf a
contract of carriage of goods by sea has been concluded with a carrier, or any
person by whom or in whose name or on whose behalf the goods are actually
delivered to the carrier in relation to the contract of carriage by sea.
4. "Consignee" means the person entitled to take delivery of the goods.
5. "Goods" includes live animals; where the goods are consolidated in a
container, pallet or similar article of transport or where they are packed,
"goods" includes such article of transport or packaging if supplied by the
shipper.
6. "Contract of carriage by sea" means any contract whereby the carrier
undertakes against payment of freight to carry goods by sea from one port to
another; however, a contract which involves carriage by sea and also carriage
by some other means is deemed to be a contract of carriage by sea for the
purposes of this Convention only in so far as it relates to the carriage by
sea.
7. "Bill of lading" means a document which evidences a contract of carriage by
sea and the taking over or loading of the goods by the carrier, and by which
the carrier undertakes to deliver the goods against surrender of the document.
A provision in the document that the goods are to be delivered to the order of
a named person, or to order, or to bearer, constitutes such an undertaking.
8. "Writing" includes, inter alia, telegram and telex.
Article 2. Scope of application
1. The provisions of this Convention are applicable to all contracts of
carriage by sea between two different States, if:

   (a)  the port of loading as provided for in the contract of carriage by sea
        is located in a Contracting State, or

   (b)  the port of discharge as provided for in the contract of carriage by
        sea is located in a Contracting State, or

   (c)  one of the optional ports of discharge provided for in the contract of
        carriage by sea is the actual port of discharge and such port is
        located in a Contracting State, or

   (d)  the bill of lading or other document evidencing the contract of
        carriage by sea is issued in a Contracting State, or

   (e)  the bill of lading or other document evidencing the contract of
        carriage by sea provides that the provisions of this Convention or the
        legislation of any State giving effect to them are to govern the
        contract.
2. The provisions of this Convention are applicable without regard to the
nationality of the ship, the carrier, the actual carrier, the shipper, the
consignee or any other interested person.
3. The provisions of this Convention are not applicable to charter-parties.
However, where a bill of lading is issued pursuant to a charter-party, the
provisions of the Convention apply to such a bill of lading if it governs the
relation between the carrier and the holder of the bill of lading, not being
the charterer.
4. If a contract provides for future carriage of goods in a series of
shipments during an agreed period, the provisions of this Convention apply to
each shipment. However, where a shipment is made under a charter-party, the
provisions of paragraph 3 of this article apply.
Article 3. Interpretation of the Convention
In the interpretation and application of the provisions of this Convention
regard shall be had to its international character and to the need to promote
uniformity.
PART II. LIABILITY OF THE CARRIER
Article 4. Period of responsibility
1. The responsibility of the carrier for the goods under this Convention
covers the period during which the carrier is in charge of the goods at the
port of loading, during the carriage and at the port of discharge.
2. For the purpose of paragraph 1 of this article, the carrier is deemed to be
in charge of the goods

   (a)  from the time he has taken over the goods from:

        (i)    the shipper, or a person acting on his behalf; or

        (ii)   an authority or other third party to whom, pursuant to law or
               regulations applicable at the port of loading, the goods must
               be handed over for shipment;

   (b)  until the time he has delivered the goods:

        (i)    by handing over the goods to the consignee; or

        (ii)   in cases where the consignee does not receive the goods from
               the carrier, by placing them at the disposal of the consignee
               in accordance with the contract or with the law or with the
               usage of the particular trade, applicable at the port of
               discharge; or

        (iii)  by handing over the goods to an authority or other third party
               to whom, pursuant to law or regulations applicable at the port
               of discharge, the goods must be handed over.
3. In paragraphs 1 and 2 of this article, reference to the carrier or to the
consignee means, in addition to the carrier or the consignee, the servants or
agents, respectively of the carrier or the consignee.
Article 5. Basis of liability
1. The carrier is liable for loss resulting from loss of or damage to the
goods, as well as from delay in delivery, if the occurrence which caused the
loss, damage or delay took place while the goods were in his charge as defined
in article 4, unless the carrier proves that he, his servants or agents took
all measures that could reasonably be required to avoid the occurrence and its
consequences.
2. Delay in delivery occurs when the goods have not been delivered at the port
of discharge provided for in the contract of carriage by sea within the time
expressly agreed upon or, in the absence of such agreement, within the time
which it would be reasonable to require of a diligent carrier, having regard
to the circumstances of the case.
3. The person entitled to make a claim for the loss of goods may treat the
goods as lost if they have not been delivered as required by article 4 within
60 consecutive days following the expiry of the time for delivery according to
paragraph 2 of this article.
4.(a) The carrier is liable

        (i)    for loss of or damage to the goods or delay in delivery caused
               by fire, if the claimant proves that the fire arose from fault
               or neglect on the part of the carrier, his servants or agents;

        (ii)   for such loss, damage or delay in delivery which is proved by
               the claimant to have resulted from the fault or neglect of the
               carrier, his servants or agents, in taking all measures that
               could reasonably be required to put out the fire and avoid or
               mitigate its consequences.

   (b)  In case of fire on board the ship affecting the goods, if the claimant
        or the carrier so desires, a survey in accordance with shipping
        practices must be held into the cause and circumstances of the fire,
        and a copy of the surveyor's report shall be made available on demand
        to the carrier and the claimant.
5. With respect to live animals, the carrier is not liable for loss, damage or
delay in delivery resulting from any special risks inherent in that kind of
carriage. If the carrier proves that he has complied with any special
instructions given to him by the shipper respecting the animals and that, in
the circumstances of the case, the loss, damage or delay in delivery could be
attributed to such risks, it is presumed that the loss, damage or delay in
delivery was so caused, unless there is proof that all or a part of the loss,
damage or delay in delivery resulted from fault or neglect on the part of the
carrier, his servants or agents.
6. The carrier is not liable, except in general average, where loss, damage or
delay in delivery resulted from measures to save life or from reasonable
measures to save property at sea.
7. Where fault or neglect on the part of the carrier, his servants or agents
combines with another cause to produce loss, damage or delay in delivery the
carrier is liable only to the extent that the loss, damage or delay in
delivery is attributable to such fault or neglect, provided that the carrier
proves the amount of the loss, damage or delay in delivery not attributable
thereto.
Article 6. Limits of liability
1.(a) The liability of the carrier for loss resulting from loss of or damage
to goods according to the provisions of article 5 is limited to an amount
equivalent to 835 units of account per package or other shipping unit or 2.5
units of account per kilogramme of gross weight of the goods lost or damaged,
whichever is the higher.

   (b)  The liability of the carrier for delay in delivery according to the
        provisions of article 5 is limited to an amount equivalent to two and
        a half times the freight payable for the goods delayed, but not
        exceeding the total freight payable under the contract of carriage of
        goods by sea.

   (c)  In no case shall the aggregate liability of the carrier, under both
        subparagraphs (a) and (b) of this paragraph, exceed the limitation
        which would be established under subparagraph (a) of this paragraph
        for total loss of the goods with respect to which such liability was
        incurred.
2. For the purpose of calculating which amount is the higher in accordance
with paragraph 1(a) of this article, the following rules apply:

   (a)  Where a container, pallet or similar article of transport is used to
        consolidate goods, the package or other shipping units enumerated in
        the bill of lading, if issued, or otherwise in any other document
        evidencing the contract of carriage by sea, as packed in such article
        of transport are deemed packages or shipping units. Except as
        aforesaid the goods in such article of transport are deemed one
        shipping unit.

   (b)  In cases where the article of transport itself has been lost or
        damaged, that article of transport, if not owned or otherwise supplied
        by the carrier, is considered one separate shipping unit.
3. Unit of account means the unit of account mentioned in article 26.
4. By agreement between the carrier and the shipper, limits of liability
exceeding those provided for in paragraph 1 may be fixed.
Article 7. Application to non-contractual claims
1. The defences and limits of liability provided for in this Convention apply
in any action against the carrier in respect of loss or damage to the goods
covered by the contract of carriage by sea, as well as of delay in delivery
whether the action is founded in contract, in tort or otherwise.
2. If such an action is brought against a servant or agent of the carrier,
such servant or agent, if he proves that he acted within the scope of his
employment, is entitled to avail himself of the defences and limits of
liability which the carrier is entitled to invoke under this Convention.
3. Except as provided in article 8, the aggregate of the amounts recoverable
from the carrier and from any persons referred to in paragraph 2 of this
article shall not exceed the limits of liability provided for in this
Convention.
Article 8. Loss of right to limit responsibility
1. The carrier is not entitled to the benefit of the limitation of liability
provided for in article 6 if it is proved that the loss, damage or delay in
delivery resulted from an act or omission of the carrier done with the intent
to cause such loss, damage or delay, or recklessly and with knowledge that
such loss, damage or delay would probably result.
2. Notwithstanding the provisions of paragraph 2 of article 7, a servant or
agent of the carrier is not entitled to the benefit of the limitation of
liability provided for in article 6 if it is proved that the loss, damage or
delay in delivery resulted from an act or omission of such servant or agent,
done with the intent to cause such loss, damage or delay, or recklessly and
with knowledge that such loss, damage or delay would probably result.
Article 9. Deck cargo
1. The carrier is entitled to carry the goods on deck only if such carriage is
in accordance with an agreement with the shipper or with the usage of the
particular trade or is required by statutory rules or regulations.
2. If the carrier and the shipper have agreed that the goods shall or may be
carried on deck, the carrier must insert in the bill of lading or other
document evidencing the contract of carriage by sea a statement to that
effect. In the absence of such a statement the carrier has the burden of
proving that an agreement for carriage on deck has been entered into; however,
the carrier is not entitled to invoke such an agreement against a third party,
including a consignee, who has acquired the bill of lading in good faith.
3. Where the goods have been carried on deck contrary to the provisions of
paragraph 1 of this article or where the carrier may not under paragraph 2 of
this article invoke an agreement for carriage on deck, the carrier,
notwithstanding the provisions of paragraph 1 of article 5, is liable for loss
of or damage to the goods, as well as for delay in delivery, resulting solely
from the carriage on deck, and the extent of his liability is to be determined
in accordance with the provisions of article 6 or article 8 of this
Convention, as the case may be.
4. Carriage of goods on deck contrary to express agreement for carriage under
deck is deemed to be an act or omission of the carrier within the meaning of
article 8.
Article 10. Liability of the carrier and actual carrier
1. Where the performance of the carriage or part thereof has been entrusted to
an actual carrier, whether or not in pursuance of a liberty under the contract
of carriage by sea to do so, the carrier nevertheless remains responsible for
the entire carriage according to the provisions of this Convention. The
carrier is responsible, in relation to the carriage performed by the actual
carrier, for the acts and omissions of the actual carrier and of his servants
and agents acting within the scope of their employment.
2. All the provisions of this Convention governing the responsibility of the
carrier also apply to the responsibility of the actual carrier for the
carriage performed by him. The provisions of paragraphs 2 and 3 of article 7
and of paragraph 2 of article 8 apply if an action is brought against a
servant or agent of the actual carrier.
3. Any special agreement under which the carrier assumes obligations not
imposed by this Convention or waives rights conferred by this Convention
affects the actual carrier only if agreed to by him expressly and in writing.
Whether or not the actual carrier has so agreed, the carrier nevertheless
remains bound by the obligations or waivers resulting from such special
agreement.
4. Where and to the extent that both the carrier and the actual carrier are
liable, their liability is joint and several.
5. The aggregate of the amounts recoverable from the carrier, the actual
carrier and their servants and agents shall not exceed the limits of liability
provided for in this Convention.
6. Nothing in this article shall prejudice any right of recourse as between
the carrier and the actual carrier.
Article 11. Through carriage
1. Notwithstanding the provisions of paragraph 1 of article 10, where a
contract of carriage by sea provides explicitly that a specified part of the
carriage covered by the said contract is to be performed by a named person
other than the carrier, the contract may also provide that the carrier is not
liable for loss, damage or delay in delivery caused by an occurrence which
takes place while the goods are in the charge of the actual carrier during
such part of the carriage. Nevertheless, any stipulation limiting or excluding
such liability is without effect if no judicial proceedings can be instituted
against the actual carrier in a court competent under paragraph 1 or 2 of
article 21. The burden of proving that any loss, damage or delay in delivery
has been caused by such an occurrence rests upon the carrier.
2. The actual carrier is responsible in accordance with the provisions of
paragraph 2 of article 10 for loss, damage or delay in delivery caused by an
occurrence which takes place while the goods are in his charge.
PART III. LIABILITY OF THE SHIPPER
Article 12. General rule
The shipper is not liable for loss sustained by the carrier or the actual
carrier, or for damage sustained by the ship, unless such loss or damage was
caused by the fault or neglect of the shipper, his servants or agents. Nor is
any servant or agent of the shipper liable for such loss or damage unless the
loss or damage was caused by fault or neglect on his part.
Article 13. Special rules on dangerous goods
1. The shipper must mark or label in a suitable manner dangerous goods as
dangerous.
2. Where the shipper hands over dangerous goods to the carrier or an actual
carrier, as the case may be, the shipper must inform him of the dangerous
character of the goods and, if necessary, of the precautions to be taken. If
the shipper fails to do so and such carrier or actual carrier does not
otherwise have knowledge of their dangerous character:

   (a)  the shipper is liable to the carrier and any actual carrier for the
        loss resulting from the shipment of such goods, and

   (b)  the goods may at any time be unloaded, destroyed or rendered
        innocuous, as the circumstances may require, without payment of
        compensation.
3. The provisions of paragraph 2 of this article may not be invoked by any
person if during the carriage he has taken the goods in his charge with
knowledge of their dangerous character.
4. If, in cases where the provisions of paragraph 2, subparagraph (b), of this
article do not apply or may not be invoked, dangerous goods become an actual
danger to life or property, they may be unloaded, destroyed or rendered
innocuous, as the circumstances may require, without payment of compensation
except where there is an obligation to contribute in general average or where
the carrier is liable in accordance with the provisions of article 5.
PART IV. TRANSPORT DOCUMENTS
Article 14. Issue of bill of lading
1. When the carrier or the actual carrier takes the goods in his charge, the
carrier must, on demand of the shipper, issue to the shipper a bill of lading.
2. The bill of lading may be signed by a person having authority from the
carrier. A bill of lading signed by the master of the ship carrying the goods
is deemed to have been signed on behalf of the carrier.
3. The signature on the bill of lading may be in handwriting, printed in
facsimile, perforated, stamped, in symbols, or made by any other mechanical or
electronic means, if not inconsistent with the law of the country where the
bill of lading is issued.
Article 15. Contents of bill of lading
1. The bill of lading must include, inter alia, the following particulars:

   (a)  the general nature of the goods, the leading marks necessary for
        identification of the goods, an express statement, if applicable, as
        to the dangerous character of the goods, the number of packages or
        pieces, and the weight of the goods or their quantity otherwise
        expressed, all such particulars as furnished by the shipper;

   (b)  the apparent condition of the goods;

   (c)  the name and principal place of business of the carrier;

   (d)  the name of the shipper;

   (e)  the consignee if named by the shipper;

   (f)  the port of loading under the contract of carriage by sea and the date
        on which the goods were taken over by the carrier at the port of
        loading;

   (g)  the port of discharge under the contract of carriage by sea;

   (h)  the number of originals of the bill of lading, if more than one;

   (i)  the place of issuance of the bill of lading;

   (j)  the signature of the carrier or a person acting on his behalf;

   (k)  the freight to the extent payable by the consignee or other indication
        that freight is payable by him;

   (l)  the statement referred to in paragraph 3 of article 23;

   (m)  the statement, if applicable, that the goods shall or may be carried
        on deck;

   (n)  the date or the period of delivery of the goods at the port of
        discharge if expressly agreed upon between the parties; and

   (o)  any increased limit or limits of liability where agreed in accordance
        with paragraph 4 of article 6.
2. After the goods have been loaded on board, if the shipper so demands, the
carrier must issue to the shipper a "shipped" bill of lading which, in
addition to the particulars required under paragraph 1 of this article, must
state that the goods are on board a named ship or ships, and the date or dates
of loading. If the carrier has previously issued to the shipper a bill of
lading or other document of title with respect to any of such goods, on
request of the carrier, the shipper must surrender such document in exchange
for a "shipped" bill of lading. The carrier may amend any previously issued
document in order to meet the shipper's demand for a "shipped" bill of lading
if, as amended, such document includes all the information required to be
contained in a "shipped" bill of lading.
3. The absence in the bill of lading of one or more particulars referred to in
this article does not affect the legal character of the document as a bill of
lading provided that it nevertheless meets the requirements set out in
paragraph 7 of article 1.
Article 16. Bills of lading: reservations and evidentiary effect
1. If the bill of lading contains particulars concerning the general nature,
leading marks, number of packages or pieces, weight or quantity of the goods
which the carrier or other person issuing the bill of lading on his behalf
knows or has reasonable grounds to suspect do not accurately represent the
goods actually taken over or, where a "shipped" bill of lading is issued,
loaded, or if he had no reasonable means of checking such particulars, the
carrier or such other person must insert in the bill of lading a reservation
specifying these inaccuracies, grounds of suspicion or the absence of
reasonable means of checking.
2. If the carrier or other person issuing the bill of lading on his behalf
fails to note on the bill of lading the apparent condition of the goods, he is
deemed to have noted on the bill of lading that the goods were in apparent
good condition.
3. Except for particulars in respect of which and to the extent to which a
reservation permitted under paragraph 1 of this article has been entered:

   (a)  the bill of lading is prima facie evidence of the taking over or,
        where a "shipped" bill of lading is issued, loading, by the carrier of
        the goods as described in the bill of lading; and

   (b)  proof to the contrary by the carrier is not admissible if the bill of
        lading has been transferred to a third party, including a consignee,
        who in good faith has acted in reliance on the description of the
        goods therein.
4. A bill of lading which does not, as provided in paragraph 1, subparagraph
(k) of article 15, set forth the freight or otherwise indicate that freight is
payable by the consignee or does not set forth demurrage incurred at the port
of loading payable by the consignee, is prima facie evidence that no freight
or such demurrage is payable by him. However, proof to the contrary by the
carrier is not admissible when the bill of lading has been transferred to a
third party, including a consignee, who in good faith has acted in reliance on
the absence in the bill of lading of any such indication.
Article 17. Guarantees by the shipper
1. The shipper is deemed to have guaranteed to the carrier the accuracy of
particulars relating to the general nature of the goods, their marks, number,
weight and quantity as furnished by him for insertion in the bill of lading.
The shipper must indemnify the carrier against the loss resulting from
inaccuracies in such particulars. The shipper remains liable even if the bill
of lading has been transferred by him. The right of the carrier to such
indemnity in no way limits his liability under the contract of carriage by sea
to any person other than the shipper.
2. Any letter of guarantee or agreement by which the shipper undertakes to
indemnify the carrier against loss resulting from the issuance of the bill of
lading by the carrier, or by a person acting on his behalf, without entering a
reservation relating to particulars furnished by the shipper for insertion in
the bill of lading, or to the apparent condition of the goods, is void and of
no effect as against any third party, including a consignee, to whom the bill
of lading has been transferred.
3. Such letter of guarantee or agreement is valid as against the shipper
unless the carrier or the person acting on his behalf, by omitting the
reservation referred to in paragraph 2 of this article, intends to defraud a
third party, including a consignee, who acts in reliance on the description of
the goods in the bill of lading. In the latter case, if the reservation
omitted relates to particulars furnished by the shipper for insertion in the
bill of lading, the carrier has no right of indemnity from the shipper
pursuant to paragraph 1 of this article.
4. In the case of intended fraud referred to in paragraph 3 of this article
the carrier is liable, without the benefit of the limitation of liability
provided for in this Convention, for the loss incurred by a third party,
including a consignee, because he has acted in reliance on the description of
the goods in the bill of lading.
Article 18. Documents other than bills of lading
Where a carrier issues a document other than a bill of lading to evidence the
receipt of the goods to be carried, such a document is prima facie evidence of
the conclusion of the contract of carriage by sea and the taking over by the
carrier of the goods as therein described.
PART V. CLAIMS AND ACTIONS
Article 19. Notice of loss, damage or delay
1. Unless notice of loss or damage, specifying the general nature of such loss
or damage, is given in writing by the consignee to the carrier not later than
the working day after the day when the goods were handed over to the
consignee, such handing over is prima facie evidence of the delivery by the
carrier of the goods as described in the document of transport or, if no such
document has been issued, in good condition.
2. Where the loss or damage is not apparent, the provisions of paragraph 1 of
this article apply correspondingly if notice in writing is not given within 15
consecutive days after the day when the goods were handed over to the
consignee.
3. If the state of the goods at the time they were handed over to the
consignee has been the subject of a joint survey or inspection by the parties,
notice in writing need not be given of loss or damage ascertained during such
survey or inspection.
4. In the case of any actual or apprehended loss or damage the carrier and the
consignee must give all reasonable facilities to each other for inspecting and
tallying the goods.
5. No compensation shall be payable for loss resulting from delay in delivery
unless a notice has been given in writing to the carrier within 60 consecutive
days after the day when the goods were handed over to the consignee.
6. If the goods have been delivered by an actual carrier, any notice given
under this article to him shall have the same effect as if it had been given
to the carrier, and any notice given to the carrier shall have effect as if
given to such actual carrier.
7. Unless notice of loss or damage, specifying the general nature of the loss
or damage, is given in writing by the carrier or actual carrier to the shipper
not later than 90 consecutive days after the occurrence of such loss or damage
or after the delivery of the goods in accordance with paragraph 2 of article
4, whichever is later, the failure to give such notice is prima facie evidence
that the carrier or the actual carrier has sustained no loss or damage due to
the fault or neglect of the shipper, his servants or agents.
8. For the purpose of this article, notice given to a person acting on the
carrier's or the actual carrier's behalf, including the master or the officer
in charge of the ship, or to a person acting on the shipper's behalf is deemed
to have been given to the carrier, to the actual carrier or to the shipper,
respectively.
Article 20. Limitation of actions
1. Any action relating to carriage of goods under this Convention is
time-barred if judicial or arbitral proceedings have not been instituted
within a period of two years.
2. The limitation period commences on the day on which the carrier has
delivered the goods or part thereof or, in cases where no goods have been
delivered, on the last day on which the goods should have been delivered.
3. The day on which the limitation period commences is not included in the
period.
4. The person against whom a claim is made may at any time during the running
of the limitation period extend that period by a declaration in writing to the
claimant. This period may be further extended by another declaration or
declarations.
5. An action for indemnity by a person held liable may be instituted even
after the expiration of the limitation period provided for in the preceding
paragraphs if instituted within the time allowed by the law of the State where
proceedings are instituted. However, the time allowed shall not be less than
90 days commencing from the day when the person instituting such action for
indemnity has settled the claim or has been served with process in the action
against himself.
Article 21. Jurisdiction
1. In judicial proceedings relating to carriage of goods under this Convention
the plaintiff, at his option, may institute an action in a court which,
according to the law of the State where the court is situated, is competent
and within the jurisdiction of which is situated one of the following places:

   (a)  the principal place of business or, in the absence thereof, the
        habitual residence of the defendant; or

   (b)  the place where the contract was made provided that the defendant has
        there a place of business, branch or agency through which the contract
        was made; or

   (c)  the port of loading or the port of discharge; or

   (d)  any additional place designated for that purpose in the contract of
        carriage by sea.
2.(a) Notwithstanding the preceding provisions of this article, an action may
be instituted in the courts of any port or place in a Contracting State at
which the carrying vessel or any other vessel of the same ownership may have
been arrested in accordance with applicable rules of the law of that State and
of international law. However, in such a case, at the petition of the
defendant, the claimant must remove the action, at his choice, to one of the
jurisdictions referred to in paragraph 1 of this article for the determination
of the claim, but before such removal the defendant must furnish security
sufficient to ensure payment of any judgement that may subsequently be awarded
to the claimant in the action.

   (b)  All questions relating to the sufficiency or otherwise of the security
        shall be determined by the court of the port or place of the arrest.
3. No judicial proceedings relating to carriage of goods under this Convention
may be instituted in a place not specified in paragraph 1 or 2 of this
article. The provisions of this paragraph do not constitute an obstacle to the
jurisdiction of the Contracting States for provisional or protective measures.
4.(a) Where an action has been instituted in a court competent under paragraph
1 or 2 of this article or where judgement has been delivered by such a court,
no new action may be started between the same parties on the same grounds
unless the judgement of the court before which the first action was instituted
is not enforceable in the country in which the new proceedings are instituted;

   (b)  for the purpose of this article the institution of measures with a
        view to obtaining enforcement of a judgement is not to be considered
        as the starting of a new action;

   (c)  for the purpose of this article, the removal of an action to a
        different court within the same country, or to a court in another
        country, in accordance with paragraph 2(a) of this article, is not to
        be considered as the starting of a new action.
5. Notwithstanding the provisions of the preceding paragraphs, an agreement
made by the parties, after a claim under the contract of carriage by sea has
arisen, which designates the place where the claimant may institute an action,
is effective.
Article 22. Arbitration
1. Subject to the provisions of this article, parties may provide by agreement
evidenced in writing that any dispute that may arise relating to carriage of
goods under this Convention shall be referred to arbitration.
2. Where a charter-party contains a provision that disputes arising thereunder
shall be referred to arbitration and a bill of lading issued pursuant to the
charter-party does not contain a special annotation providing that such
provision shall be binding upon the holder of the bill of lading, the carrier
may not invoke such provision as against a holder having acquired the bill of
lading in good faith.
3. The arbitration proceedings shall, at the option of the claimant, be
instituted at one of the following places:

   (a)  a place in a State within whose territory is situated:
    (i)   the principal place of business of the defendant or, in
the absence thereof, the habitual residence of the defendant; or

        (ii)   the place where the contract was made, provided that the
               defendant has there a place of business, branch or agency
               through which the contract was made; or

        (iii)  the port of loading or the port of discharge; or

   (b)  any place designated for that purpose in the arbitration clause or
        agreement.
4. The arbitrator or arbitration tribunal shall apply the rules of this
Convention.
5. The provisions of paragraphs 3 and 4 of this article are deemed to be part
of every arbitration clause or agreement, and any term of such clause or
agreement which is inconsistent therewith is null and void.
6. Nothing in this article affects the validity of an agreement relating to
arbitration made by the parties after the claim under the contract of carriage
by sea has arisen.
PART VI. SUPPLEMENTARY PROVISIONS
Article 23. Contractual stipulations
1. Any stipulation in a contract of carriage by sea, in a bill of lading, or
in any other document evidencing the contract of carriage by sea is null and
void to the extent that it derogates, directly or indirectly, from the
provisions of this Convention. The nullity of such a stipulation does not
affect the validity of the other provisions of the contract or document of
which it forms a part. A clause assigning benefit of insurance of the goods in
favour of the carrier, or any similar clause, is null and void.
2. Notwithstanding the provisions of paragraph 1 of this article, a carrier
may increase his responsibilities and obligations under this Convention.
3. Where a bill of lading or any other document evidencing the contract of
carriage by sea is issued, it must contain a statement that the carriage is
subject to the provisions of this Convention which nullify any stipulation
derogating therefrom to the detriment of the shipper or the consignee.
4. Where the claimant in respect of the goods has incurred loss as a result of
a stipulation which is null and void by virtue of the present article, or as a
result of the omission of the statement referred to in paragraph 3 of this
article, the carrier must pay compensation to the extent required in order to
give the claimant compensation in accordance with the provisions of this
Convention for any loss of or damage to the goods as well as for the delay in
delivery. The carrier must, in addition, pay compensation for costs incurred
by the claimant for the purpose of exercising his right, provided that costs
incurred in the action where the foregoing provision is invoked are to be
determined in accordance with the law of the State where proceedings are
instituted.
Article 24. General average
1. Nothing in this Convention shall prevent the application of provisions in
the contract of carriage by sea or national law regarding the adjustment of
general average.
2. With the exception of article 20, the provisions of this Convention
relating to the liability of the carrier for loss of or damage to the goods
also determine whether the consignee may refuse contribution in general
average and the liability of the carrier to indemnify the consignee in respect
of any such contribution made or any salvage paid.
Article 25. Other conventions
1. This Convention does not modify the rights or duties of the carrier, the
actual carrier and their servants and agents, provided for in international
conventions or national law relating to the limitation of liability of owners
of seagoing ships.
2. The provisions of articles 21 and 22 of this Convention do not prevent the
application of the mandatory provisions of any other multilateral convention
already in force at the date of this Convention relating to matters dealt with
in the said articles, provided that the dispute arises exclusively between
parties having their principal place of business in States members of such
other convention. However, this paragraph does not affect the application of
paragraph 4 of article 22 of this Convention.
3. No liability shall arise under the provisions of this Convention for damage
caused by a nuclear incident if the operator of a nuclear installation is
liable for such damage:

   (a)  under either the Paris Convention of 29 July 1960 on Third Party
        Liability in the Field of Nuclear Energy as amended by the Additional
        Protocol of 28 January 1964 or the Vienna Convention of 21 May 1963 on
        Civil Liability for Nuclear Damage, or

   (b)  by virtue of national law governing the liability for such damage,
        provided that such law is in all respects as favourable to persons who
        may suffer damage as either the Paris or Vienna Conventions.
4. No liability shall arise under the provisions of this Convention for any
loss of or damage to or delay in delivery of luggage for which the carrier is
responsible under any international convention or national law relating to the
carriage of passengers and their luggage by sea.
5. Nothing contained in this Convention prevents a Contracting State from
applying any other international convention which is already in force at the
date of this Convention and which applies mandatorily to contracts of carriage
of goods primarily by a mode of transport other than transport by sea. This
provision also applies to any subsequent revision or amendment of such
international convention.
Article 26. Unit of account
1. The unit of account referred to in article 6 of this Convention is the
Special Drawing Right as defined by the International Monetary Fund. The
amounts mentioned in article 6 are to be converted into the national currency
of a State according to the value of such currency at the date of judgement or
the date agreed upon by the parties. The value of a national currency, in
terms of the Special Drawing Right, of a Contracting State which is a member
of the International Monetary Fund is to be calculated in accordance with the
method of valuation applied by the International Monetary Fund in effect at
the date in question for its operations and transactions. The value of a
national currency in terms of the Special Drawing Right of a Contracting State
which is not a member of the International Monetary Fund is to be calculated
in a manner determined by that State.
2. Nevertheless, those States which are not members of the International
Monetary Fund and whose law does not permit the application of the provisions
of paragraph 1 of this article may, at the time of signature, or at the time
of ratification, acceptance, approval or accession or at any time thereafter,
declare that the limits of liability provided for in this Convention to be
applied in their territories shall be fixed as:
12,500 monetary units per package or other shipping unit or 37.5 monetary
units per kilogramme of gross weight of the goods.
3. The monetary unit referred to in paragraph 2 of this article corresponds to
sixty-five and a half milligrammes of gold of millesimal fineness nine
hundred. The conversion of the amounts referred to in paragraph 2 into the
national currency is to be made according to the law of the State concerned.
4. The calculation mentioned in the last sentence of paragraph 1 and the
conversion mentioned in paragraph 3 of this article is to be made in such a
manner as to express in the national currency of the Contracting State as far
as possible the same real value for the amounts in article 6 as is expressed
there in units of account. Contracting States must communicate to the
depositary the manner of calculation pursuant to paragraph 1 of this article,
or the result of the conversion mentioned in paragraph 3 of this article, as
the case may be, at the time of signature or when depositing their instruments
of ratification, acceptance, approval or accession, or when availing
themselves of the option provided for in paragraph 2 of this article and
whenever there is a change in the manner of such calculation or in the result
of such conversion.
ANNEX II
COMMON UNDERSTANDING ADOPTED BY THE UNITED NATIONS CONFERENCE ON
THE CARRIAGE OF GOODS BY SEA
It is the common understanding that the liability of the carrier under this
Convention is based on the principle of presumed fault or neglect. This means
that, as a rule, the burden of proof rests on the carrier but, with respect to
certain cases, the provisions of the Convention modify this rule.