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Hereby we compile some tips for P&I Clubs basis our experience and recent court practice with

regard to current legislative nuances in Ukraine.


Ukraine traditionally is one of the biggest suppliers of labour force in the world shipping industry. Therefore handling crew claims is significant part of maritime lawyers activity in Ukraine. 1. Maritime Labour Convention, 2006 as applied in Ukraine.
The Maritime Labour Convention, 2006 (MLC) entered into force on 20 August 2013. Ukraine did not ratify the MLC, which means, formally, its standards are not mandatory in Ukraine. However, P&I Clubs and Shipowners have to turn their attention to new developments which are in place since MLC 2006 is in force, as Ukrainian seafarers mostly work on ships flying the flag of the states-members of MLC. Hence, Ukrainian personal injury lawyers and the representatives of trade union may claim Shipowners/ P&I Clubs as per the terms of MLC. not unconditionally take claims of Ukrainian seafarers against foreign ship owners to their forum as it would contradict not only to the common rules used in most jurisdictions regulating collective agreements & employment contracts, but to Ukrainian Law as well. So, Owners may well be able to dismiss such claims on grounds of improper venue. tools. This can considerably minimize the payments of a P&I Club, taking into account the threat of a vessels arrest as a security measure for such claims in Ukraine, and avoid further court trials.

3.

Shipowners

liability

for

sickness, injury or death.


Although such risks are generally covered under the standard P&I coverage this standard refers to the Shipowners liability as set out in the national law, the seafarers contract of employment or collective agreement. This gives an option to the claimant to seek the maximum amount possible basis most favorable legal ground.

2.

Recruitment and replacement & Medical certificates.

The above are two of the main standards, adopted by the MLC, which related to traditional P&I risks in Ukraine. There are number of cases, which were investigated in Ukrainian courts, where the

It is noteworthy that the current Ukrainian personal injury or illness of the seafarer were As stipulated in Art. 2 of MLC: Each legislation does not stipulate the Member shall effectively exercise its jurisdiction contractual and control over ships that fly its The estimated number of Ukraines seafarers is compensation in flag by establishing a system for not less than 75 000, and according to some case of death of ensuring compliance with the reports they are engaged on about 20% of the an employee, requirements of this Convention, world fleet. except for the including regular inspections, payments under the reporting, monitoring and legal proceedings collective agreement. However, MLC caused rather due to his/her long-term under the applicable laws. Further, Each stipulates, that shipowners shall provide disease, then were work-related. But due to Member shall effectively exercise its jurisdiction financial security to assure compensation in proper mounting of the related documents and control over seafarer recruitment and the event of the death or long-term disability by seafarers, the P&I Clubs had to cover the placement services, if these are established in its of seafarers due to an occupational injury, compensation. Thus, we advice to hire the territory. Moreover, the countries, which illness or hazard, as set out in national law, seafarers, who get the medial certificate from ratified the MLC have to implement the the seafarers employment agreement or the certified, respectful medical clinics. obligation of a watch dog. That means, collective agreement. We may state that in they have to ensure that the ships that fly the Under the MLC standards, Member should this respect the Ukrainian law is rather flag of any State that has not ratified this consider requiring seafarer recruitment and outdated and does not meet modern Convention do not receive more favorable placement services, established in its requirements. Under Ukrainian law, treatment than the ships that fly the flag of any territory, to develop and maintain verifiable State that has ratified it(Art. 7). Basically, the specifically Civil Code of Ukraine and Law operational practices to ensure, that all MLC leaves no choice of not referencing to of Ukraine "On Mandatory State Social mandatory certificates and documents its standards, even in case, the shipowners Insurance of Industrial Accidents and submitted for employment are up to date hire the seafarers, which were recruited Occupational Diseases that Caused and have not been fraudulently through manning agencies of nonDisability" obtained. For contracting state: Each Member which has the example, The According to official Ukrainian court ratified this Convention shall require that American statistics about 80% of labor shipowners of ships that fly its flag, who use P&I Club disputes are decided in favor of seafarer recruitment and placement services requires employees. list based in countries or territories in which this seafarers of the Convention does not apply, ensure, as far as originating from Ukraine beneficiaries, which may claim the practicable, that those services meet the must comply with the requirements of the requirements of this Standard(Art.9 of MLC). compensations under the risks stipulated American Club PEME Program. above, is wider than P&I Clubs used to However, we should remind, that operate with. So, preference is to meet with since 16 February 2010 labor relations of In case, if such unpleasant situation either the crewman or his representatives Ukrainian citizens working outside Ukraine occurs, we advise to adhere to constructive face to face and negotiate a compromise and are regulated in accordance with the Law of approach to decide a case amicably in a secure itself upon further compensation Ukraine On International Private Law, reasonable pre-trial manner, especially since claims of the newly appeared beneficiaries. which provides that Ukrainian courts may the Ukrainian law provides for necessary

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