Reference: Volume 39D (1955), Part No. 3, Section , Page 863

Judgement Details


Date
10/05/1955
Court
OF COMMERCE
Judiciary
GOUDER TANCRED
Parties
PHILIP GRECH ET. NE. vs JOSE' LUIS URRUTIA NE. ET.
ECLI
N/A
Judgement Type
-
Linked Case
N/A

Keywords / Summary


Keywords
ASSESSMENT OF REWARD - CARGO - COSTS - DANGER - EXPENSES - RATE OF EXCHANGE - SALVAGE - SECT. 546 OF THE MERCHANT SHIPPING ACT, 1894.
Summary
In a claim for salvage reward it is not necessary that there should have been absolute danger for the property salved, but it is sufficient that there has been a state of difficulty and reasonable apprehension. in the valuation of the cargo, a deduction is allowed, from the gross value, of all proper and customary expenses involved in the unloading, storage, and sale of goods, including custom-house charges, weighing, brokerage and ocmmission. Insurance and pre-paid freight are not allowed as adeduction. ...no provision is made in the Maltese Law regarding the assessment of the salvage reward, section 546 of the Merchant Shipping act, 1894, is applied; according to which a reasonable amontof salvage is not considered as compensation for the amount of work actually performed in the rendering of the service. It is not reckoned on the "qwantum merit" principle, as other consideratins aretaken into account in arriving at a reward. The general interest of navigation and commerce are considered; and liberality to the ...is combined with justice to the owners of the salved property. This general principle is applied in conjunction with certain material circumstances, which in varyingdegrees affect the amount of the reward; namely:- A. As regards the thing salved, 1. the degree of danger to human life, 2. the degree of danger to property, 3. the value of the property as salved; B.as regards the salvors, 1. the degree of danger to human life, 2. their skill and conduct, 3. the value of the property employed in the salvage service, 4. the danger to which the property was exposed, 5. the time and labour expended in the performance of the salvage service, 6. the loss or expenseincurred in the performance of the salvage service. Where all or many of these elements ar efound to exist, or some of them are found to exist in a high degree, a large reward is given; where onlu afew of them are found to exist, or they are all present only in a low degree, the salvage reward iscomparatively small.The expenses for which the Court may compensate the salvors in the award are only those expenses properly incurred in the furtherance of the salvage service, and before the vesselhas been placed in a position of the safety, and before the vessel has been placed in a position ofsafety, and those expenses directly occasioned by the performance of the salvage service; as, e.g. the cost of repairing damage to the salving vessel. Other expenses, not allowed as salvage expenses might be claimed independently of salvage. As regards the equitable division of the amont payable tothe salvors by the ship and the cargo, the general rule is that every interest in the property thathas benefited by the salvage contributes rateably, according to its value, to the salvage reward. Ifthe amount claimed as salvage reward by far exceeds the amount recovered, the costs of the case should be borne proportionazely by the claimants and by the defendants. If the value of the property salved is to be reckoned on the basis of the amount for which the property was insured, and the insurance was made in foreign money, the rate of exchange in the conversion of that amount in English money is that prevailing commercially at the time when the debt became due and payable.




Operational Programme 1
CONvErGE connected eGovernment


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