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THE LIABILITY INSURANCE OF MARITIME CARRIERS IN THE EVENT OF NAUTICAL FAULTS: Croatian Solutions and European Trends

Ante Vuković orcid id orcid.org/0000-0002-0984-1100 ; Split
Dejan Bodul ; Pravni fakultet Sveučilišta u Rijeci
Darijan Štambuk ; Croatia osiguranje d.d. Zagreb, filijala Split


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Abstract

The transport of goods by sea has a number of characteristics resulting in a system of risk
allocation that cannot be found in the legislation applicable to other models of transportation
(air, road, rail and river). In this regard, the notion of nautical fault appears as the basis for the
exculpation of carrier from liability for damages. It has a long history in shipping, although
it has not been devised to favour the carrier, as it may be inferred by someone less acquainted
with the complexities of maritime law. Instead, its aim has been risk distribution between
carriers and transport users. It is the goal of this paper to examine the characteristics of the
specified legal construct, and on that basis provide the reader with a systematic understanding
of the subject matter, with a special focus on the liability insurance of carrier in case of
nautical fault.
The first part of the paper looks at whether the historical purpose of the notion is still viable
today. In this respect, the standpoints of maritime law scholars and insurance industry professionals
are considered. Secondly, the type, scope and nature of the specified term in the
Croatian maritime law is analysed, including its placement in the contracts of carrier liability
insurance. A caveat: although the Croatian legislation is in focus, it is impossible to ignore
the application of its international aspects. Indeed, a failure to illustrate its role would restrict
the usefulness of the analytic view this paper seeks to provide. The concluding segment of
the paper focuses on a case study of marine accidents brought about by nautical faults of
shipmasters. These indicate the need for further reflection on the popular but yet contested
notion of nautical fault as the basis for the exemption of carrier from liability in maritime
transportation. Has the time finally come for the carriage of goods by sea to be placed on an
equal footing with other models of transport, where the carriers are responsible for their own
acts and omissions as well as for those of their agents?

Keywords

nautical fault; the carrier; the contract of insurance

Hrčak ID:

144408

URI

https://hrcak.srce.hr/144408

Publication date:

8.9.2015.

Article data in other languages: croatian

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