International Maritime Organization Protocol of 1992 to amend

The International Convention on Civil Liability for Oil Pollution Damage of 1969

The International Maritime Organization Protocol of 1992 (otherwise known as Civil

Liability Convention (CLC) Protocol of 1992) governs the liability of ship owners for oil
pollution damage.

Under this Convention, the registered ship owner has strict liability for pollution damage
caused by the escape or discharge of persistent oil from his ship. This means that he is liable
even in the absence of fault on his part. He is exempt from liability only if he proves that:

a) the damage resulted from an act of war, hostilities, civil war, insurrection or a natural
phenomenon of an exceptional, inevitable and irresistible character; or
b) the damage was wholly caused by an act or omission done with the intent to cause
damage by a third party; or
c) the damage was wholly caused by the negligence or other wrongful act of any
Government or other authority responsible for the maintenance of lights or other
navigational aids, in the exercise of that function.

The ship owner is normally entitled to limit his liability to an amount determined by the size
of the ship, as set out in the following table.

Ship's tonnage CLC Limit

Ship not exceeding 5,000 units of gross
4,510,000 SDR *
tonnage
Ship between 5,000 and 140,000 units of 4,510,000 SDR plus 631 SDR for each additional
gross tonnage unit of tonnage
Ship 140,000 units of gross tonnage or over 89,770,000 SDR
* The unit of account in the Conventions is the Special Drawing Right (SDR) as defined by the International Monetary Fund.

For ships carrying more than 2,000 tons of oil as cargo in bulk, the ship owner is obliged
to maintain insurance to cover his liability under the 1992 CLC, and claimants have a right of
direct action against the insurer. Any claims for pollution damage under the 1992 CLC can be
made only against the registered owner of the ship concerned. This does not, in principle,
preclude victims from claiming compensation outside the Conventions from persons other than
the ship owner.

The Convention prohibits claims against the following:

a) the servants or agents of the owner or the members of the crew;

b) the pilot or any other person who, without being a member of the crew, performs services
for the ship;
c) any charterer (howsoever described, including a bareboat charterer), manager or operator
of the ship;
d) any person performing salvage operations with the consent of the owner or on the
instructions of a competent public authority;
e) any person taking preventive measures;
f) all servants or agents of persons mentioned in subparagraphs (c), (d) and (e);

Unless the damage resulted from their personal act or omission, committed with the
intent to cause such damage, or recklessly and with knowledge that such damage would probably
result.

The Convention does not apply to warships or other vessels owned or operated by a State
and used for the time being for Government non-commercial service. The Convention, however,
applies in respect of the liability and jurisdiction provisions, to ships owned by a State and used
for commercial purposes. The only exception as regards such ships is that they are not required
to carry insurance. Instead they must carry a certificate issued by the appropriate authority of the
State of their registry stating that the ship's liability under the Convention is covered.

The Republic of the Philippines ratified the convention on 1998.

Republic Act No. 9483 June 02, 2007

"Oil Pollution Compensation Act of 2007"

This law shall apply exclusively to Pollution Damage caused in Philippine territory,
including its territorial sea and its exclusive economic zone, and to preventive measures,
wherever taken, to prevent or minimize such damage.

The Owner of the Ship at the time of an Incident, or where the Incident consists of a
series of occurrences, at the time of the first such occurrence, shall be liable for any Pollution
Damage caused by the Ship as a result of the Incident. Such damages shall include, but not
limited to:

(a) Reasonable expenses actually incurred in clean-up operations at sea or on shore;

(b) Reasonable expenses of Preventive Measures and further loss or damage caused by
preventive measures;
(c) Consequential loss or loss of earnings suffered by Owners or users of property
contaminated or damaged as a direct result of an Incident;
(d) Pure economic loss or loss of earnings sustained by persons although the property
contaminated or damaged as a direct result of an Incident does not belong to them;
(e) Damage to human health or loss of life as a direct result of the Incident, including
expenses for rehabilitation and recuperation: Provided, that costs of studies or diagnoses to
determine the long-term damage shall also be included; and
(f) Environmental damages and other reasonable measures of environmental restoration.

When an Incident involving two or more Ships occurs and Pollution Damage results
therefrom, the Owners of all the Ships concerned, unless exonerated, shall be jointly and
severally liable for all such damage which is not reasonably separable, without prejudice,
however, to the right of recourse of any of such Owners to proceed against each other or third
parties.

The following shall be considered violations of the Act:

a) Any person who fails to institute or maintain insurance or other financial security
required under Section 12 of this Act;
b) The Owner and the master of a Ship who operate a Ship without maintaining on board a
certificate of insurance required under Section 13 of this Act:
c) Any person required under Section 15 of this Act to contribute to the IOPC Fund but
nevertheless fails to comply therewith after due notice by the MARINA
d) Failure to Submit Report of Contributing Oil. - Any person required under Section 16 of
this Act to submit report of contributing Oil and notwithstanding l0.day notice thereto,
fails to comply therewith:
e) Any person who shall refuse, obstruct, or hamper the entry of the duly authorized
representatives of the Department or any person authorized under this Act aboard any
Ship or establishment pursuant to this Act; and
f) Any Ship apprehended for violation of this Act may be subjected to detention.