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NOVEMBER 21, 2014 o 4h7 ) Phi"ippines participate# in the convention an#

agree# $ %o-n#
PRIMARY LAW: CIVIL CODE o *I'* CONTRACTIN' PARTIES ) co-ntries that
SECONDARY LAW/SUPPLEMENTARY: CODE OF COMMERCE & participate# an# a#here# to the *arsa* convention
SPECIAL LAWS o INTERNATIONAL FLI'*T ) 2"ight from one 8CP to
another 8CP
CIVIL CODE o I$ .#+  r+.  $5r.5, +r+ 6 78 "-+9
34 pr!"#"$# &. P"ace of principa" #omici"e of the carrier
 
1%32  Definition of common carriers (. P"ace of principa" %-siness p"ace of the carrier
+. P"ace *here o- p-rchase# tic9et
COMMON CARRIER :. P"ace of #estination
 Association of persons, corporations.. offering services to the ; resi#ence of p"aintiff 
PUBLIC for a COMPENSAION
here is a CON!AC  If vio"ate# $ fi"e %reach of contract of

EAMPLES OF COMMON CARRIER
carriage &. B-s
PARTIES: (. <eep
&. Shipper'consignor +. rains
(. Common carrier itse"f ) person *ho o%"igates himse"f to
transport COMMON CARRIER PRIVATE CARRIER
+. Consignee ) person *ho receives the gooo#s Offering p-%"ic their service ; p-%"ic
!i#ing as a matter of right

'OVERNIN' LAWS ART 1%33  ETRAORDINARY DILI'ENCE

  1%(( ) In a"" matters not covere# in this co#e, the
&. Co#e of Commerce
(. Specia" La*s
• 1%)3 ) he "a* of the co-ntr to *hich the goo#s are #e"ivere#
sha"" govern the "ia%i"it of the common carrier in case of LDD
• Degree of #i"igence of common carrier $ e=traor#inar #i"igence
ART 1%3(  1%3;  DURATION OF ETRAORDINARY RESPONSIBILITY
OF CC
1%3( ) Possession  #e"iver 5act-a" or constr-ctive6


  A58.- 6+-"!+r7
SEA S*IPMENT COASTWISE C$#5r85"!+ D+-"!+r7
'!+r$"$ -.: &. Notice *as a"rea# given to the consignee regar#ing arriva" of
& . Civ i" Co# e the cargoes an#
2 Co#e of Commerce / SPL (. he consignee *as given reasona%"e time to re"ease it even
 
0overning if from Phi" to another co-ntr  "a* of the COUN!1

tho-gh there is no act-a" re"ease 5&>+?6
O2 DESINAION
'R La* of the co-ntr of #estination 1%3% ) Contin-ing "ia%i"it even *hen the are temporari" -n"oa#e# or
store# in transit
o E If parties stip-"ate that CO0SA governs $ CO0SA
• E !ight of stoppage in ransit-
governs
o Di"igence re@-ire# Di"igence of a goo# father of a fami"
LAND TRANSPORTATION o 4h is the #i"igence re#-ce#7
  NCC 3 CC 3 SPL  Beca-se *hen the shoppe# avai"e# of !SI, the
transpo contract no "onger e=ists
AIR TRANSPORATION  ; acting as common carrie#
  DOMESTIC  NCC 3 CC 3 SPL   Acting as %ai"ee or *areho-se manager 
  INTERNATIONAL
o 4arsa* Convention 0overns 5primar "a*6 1%34 ) DE2ENSES O2 A COMMON CA!!IE! 5MEMO!IE6 ) instances
*hen CC is NO pres-me# to %e at fa-"t
Miche""e D-g-i" ) PALAB!ICA NOES
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&. 2"oo#, storm, earth@-a9e, "ighting or other nat-ra" #isaster or 8o* to #etermine reasona%"e time
ca"amit &. Character of the goo#s 5e=.
(. Act of the p-%"ic enem in *ar, *hether internationa" or civi" perisha%"e6
+. Act or omission of the shipper or o*ner of the goo#s 2 Distance
:. he character of the goo#s or #efects in the pac9ing or in the o  An #e"a in the #e"iver *i"" ma9e the CC "ia%"e
container   Basis
. Or#er or act of competent p-%"ic a-thorit &. &>:H ) if there is 6+-.7, CC *i"" %e
"ia%"e #espite nat-ra" #isaster 
1%3) ) P!ESUMPION O2 2AUL IN CASE O2 LDD UNLESS P!OED 2 &>:> ) If t he common carrier #e"as
8A CC E;E!CISED EO DILI0ENCE or 6+!".5+# from ro-te  common


• E=amp"e P"aintiffs han# goo#s #amage# *hich *ere "oa#e# in the carrier cannot avai" of contract
common carrier  on" evi#ence is that he %oar#e# CC 3 #amage

"imiting carriers "ia%i"it
 CC "ia%"e %eca-se of pres-mption of fa-"t'neg"igence of CC o DEVIATION  MA!INA has a"rea# pre
#etermine# ro-te from one p"ace to another
1%34 ) CALAMI1 52LEC6 !EFUISIES o TRANSS*IPMENT
1 Nat-ra", m-st %e the on" an# pro=imate ca-se Cargo is transferre# from one carrier to
2 Before, #-ring an# after the ca"amit, the CC m-st prevent or another 
minimiGe LDD   'R ; a""o*e# regar#"ess of %etter
#-ra%i"it or state 5ne*6 of other CC or
1%41 ) CON!IBUO!1 NE0LI0ENCE O2 S8IPPE! O! O4NE!
even if the ( vesse"s are o*ne# % the
EFUIABL1 !EDUCES LIABILI1
same compan
•
 
If there is CN % shipper  CC is sti"" "ia%"e %-t it *i"" %e e@-ita%" E Un"ess the transshipment is


re#-ce#
a""o*e# -n#er stip-"ation
• Note ONL1 APPLIES O CA!0OES 3 O#+r!+ +>5r.r6"$.r7 6"-"+$+
• 4hen #o o- 9no* that there is EO7
1 It m-st prove that vesse" is SEAWORT*Y:
PUBLIC ENEMY RE<UISITES
1 If the vesse" is FIT, engineering is *e"" #one, ver
&. D- rin g 4ar 
goo# materia"s, vesse" can meet the norma"
(. Co-ntr of common carrier sho-"# %e invo"ve# in the *ar 
haGar#s of the sea
+. Pirates
2 CAR'O WORT*Y
:. Loca" or Internationa" 4ar 
It has the a%i"it to transport cargo
Case Shipper has no o%"igation to chec9 the
DEFECT OR C*ARACTER OF 'OODS
&. Pro=imate ca-se vesse" if cargo *orth
(. CC is o%"ige# to o%serve EO #i"igence to "essen or foresta"" f-rther 3 M-st have a"" the E<UIPMENT
#amage 4 Comp"ete, capa%"e, "icense#, traine#
MANPOWER
OBLI'ATIONS OF COMMON CARRIER IN TRANSPO OF PASSEN'ERS 2. Person themse"ves m-st transport cargoes *ith -tmost #i"igence
1 A+p5 5+ .r r p.##+$+r# / 6"#r"="$.5"$ o%serving the care that an or#inar pr-#ent man *o-"# o%serve
E;CEPIONS
•
OBLI'ATIONS OF T*E S*IPPER
&.If the cargo is #angero-s or haGar#o-s
1 DUE DILI'ENCE IN AVOIDIN' DAMA'E
(. If the cargo arrives "ater than time stip-"ate#
•1%41 ) If the pro=imate ca-se of the LDE is %eca-se of the
2 O-".5"$ 5 6+-"!+r
neg"igence of the CC, the CC *i"" %e "ia%"e %-t if there is CN of
4here7 ) p"ace *here stip-"ate# in the %i"" of "a#ing
the passenger, it *i"" %e e@-ita%" re#-ce#
4hat time7
o E It *i"" not %e re#-ce# the moment there is #amage
o ime is important %eca-se "ate #e"iver *i"" ca-se
or inJ-r to the passenger 
monetar "oss 2 PAY T*E FREI'*T
o

o
 At the
If no time
time stip-"ate#  reasona%"e time
stip-"ate#


Miche""e D-g-i" ) PALAB!ICA NOES

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  CARRIER?S LIEN  the moment the shipper fai"s to pa the >. hat the common carrier is not responsi%"e for the LDD of goo#s on
freight, the CC has a right or "ien on the cargoes of the shipper acco-nt of #efective con#ition of the car, vehic"e, ship, airp"ane or
 CC has right to se"" or a-ction the propert

other e@-ipment -se# in the contract of carriage
o hat is *h it cannot %e re"ease# % the shipper
%eca-se D++=+r ), 2014
3 PAY DEMORA'E
DEMORA'E  compensation or #amages pai# for #etaining PRESUMPTION IN CASE OF LED T*AT CC WAS NE'LI'ENT/AT FAULT
the CC or vesse" for a certain %eon# stip-"ate# perio#   
1%3)
 

sho-"#ere# % the shipper

PRESUMPTION IN CASE OF PASSEN'ER?S DEAT* OR IN@URY T*AT
OBLI'ATIONS OF COMMON CARRIER IN TRANSPO OF PASSEN'ERS CC WAS NE'LI'EN T/AT FAULT
1 ACCEPT PASSEN'ER WIT*OUT DISCRIMINATION 1%)(
 

2 TRANSPORT PASSEN'ER SAFELY

•1%)) ) Man#ate of t he "a* for CC to e=ercise ED in L+.- I##8+# 5 A66r+##:
transporting passengers 1 I# + . p.##+$+r9
•he e=ercise of ED *o-"# #epen# on the circ-mstances o PASSEN'ER ) those *ho have entere# into a contract,
presente# to o- imp"ie# or e=press, to %e transporte# from one p"ace to
3 EERCISE ETRAORDINARY DILI'ENCE another
1%33  Ksafet of the passengers o I$#5.$+#:
&. 4itho-t intention to pa ) ; passenger
 1%))  specifica"" for passengers
(. Entere# s-rreptitio-s" ) ; passenger
DUTY OF PASSEN'ER/S*IPPER +. Enter *ho has not pai# %-t *ith intention to pa )
Passenger 
&. o # e" iv er 
:. If person %oar#e# the %-s in an -n-s-a" p"ace of the
(. o pa freight
%-s 5e=. roof6 ) passenger
+. o pa other costs
. If person %oar#e# the *rong %-s ) passenger
E: if he has a"rea# %een informe# that he
1%44 ) Can o- stip-"ate to %ring #o*n EO to "ess
entere# the *rong %-s an# he has an opport-nit
• 0! 1ES B-t it sho-"# not %e "o*er than DO02OA provi#e#
to "eave the %-s ) ; passenger 
that it is . If the person *as as"eep an# *as not a%"e to get off
&. In 4riting an# signe# #estination an# *as informe# an# a*a9en that he has
(. a"-a%"e consi#eration other than the services ren#ere# misse# his #estination 3 opport-nit to get off 3 ; get off )
% common carrier  ; passenger
+. !easona%"e, J-st an# not contrar to "a* >. Ne*s%o, concessionaire on train a%roa# ) passenger
?. Driver'%-s con#-ctor ) ; passenger
1%4) ) Stip-"ations that are contrar to "a* 5memoriGe6 ) !LD )0ED o B-t the sho-"# sti"" e=ercise ED
&. hat the goo#s are transporte# at the ris9 of the o*ner or shipper 
o 8o*ever there is no %reach of contract of
(. hat the common carrier *i"" not %e "ia%"e for an "oss, #estr-ction
carriage %et*een him an# his emp"oer since
or #eterioration of the goo#s
the are not passengers
+. hat the common carrier nee# not o%serve an #i"igence in the
o If something happens to them  %-s *i"" %e "ia%"e
c-sto# of goo#s


-n#er *or9mens compensation "a*, ; %reach of

:. hat the common carrier sha"" e=ercise a #egree of #i"igence "ess
contract of carriage
than that of a goo# father of a fami" or of a man of or#inar
2 D"6 5+ CC +>+r"#+ ED "$ 5r.$#pr5"$ 5+ p.##+$+r9
pr-#ence in the vigi"ance over the mova%"es transporte#
3 W+$ "-- 5"# ED  CC #5.r5 .$6 +$69
. hat the common carrier sha"" not %e responsi%"e for the acts or
omissions of his or its emp"oees L.$6 Tr.$#pr5.5"$
. hat the common carriers "ia%i"it for acts committe# % thieves or A BUS
of ro%%ers, *ho #o not act *ith grave or irresisti%"e threat, vio"ence START:

or force, is #ispense# *ith or #iminishe#

Miche""e D-g-i" ) PALAB!ICA NOES
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o 2rom the time the %-s has stoppe# to ta9e in

passengers an# the passenger attempte# to %oar#
the %-s LIABILITY OF COMMON CARRIER
 If there *as an offer an# the offer *as • 1%)  Lia%"e for acts of emp"oee even if the emp"oee has acte#
accepte#  there is a"rea# an imp"ie#
 %eon# its a-thorit or vio"ate# the or#ers of t he CC
contract o CC cannot -se a #efense that the CC e=ercise# D02OA2
 he moment the %-s stops an# something in se"ecting an# s-pervising his emp"oee in a case of
has happene# to the passenger, the %reach of contract
•
common carrier is "ia%"e even if the 1%(3  Lia%"e for the acts of a stranger an# copassenger 
passenger has not et %oar#e# the %-s o S5r.$+r  Some%o# *ho J-st entere# the %-s an# h-rt
 W*Y9 he "a* *ants to protect the safet of  some%o# there
the passenger an# *ants to impose an o IMP In or#er for the CC to %e f ree from "ia%i"it in cases
o%"igation to the %-s compan that *hen he of ho"#-ps an# inJ-ries ca-se % stranger, there m-st %e
offers, the passenger is in a safe p"ace  

I!!ESISABLE 2O!CE O! 8!EA  *itho-t this, CC


stop an# offer o-r services at a safe p"ace *i"" %e "ia%"e

5e=. #ont #o it in the mi##"e of the roa# o E>.=p-+:
ca-se o- *i"" %e "ia%"e6  If ho"# -p "ang na *a"ang 9*enta  CC "ia%"e


  END: %eca-se the co-"# have prevente# it

o 2rom the time the passenger has a"ighte# from the  If ho"# -p na ma arms, etc  CC = "ia%"e


CC an# has reasona%" p-t himse"f in a safe p"ace o *7p:

o he mere fact that the passenger has a"rea# a"ighte#  Sec-rit agent ro#e the %-s to *hich he is an
the %-s  it #oes not c-t the ED responsi%i"it of the

emp"oee to go to his office in C-%ao, sa* his 02
%-s  the passenger sho-"# %e at a r+.#$.-7 #.+

*ith another man an# shot them  "ia%"e -n#er


p-.+   on" time *hen the CCs ED is over


&>+ 5copassenger6 an# not -n#er &>
o W*Y9 2or the CC to sta in a p"ace *here the 5emp"oee6
passenger can a"ight safe" 5= in the mi##"e of the
roa#6 CASES FILED:
1 CULPACONTRACTUAL
B TRAIN/LRT 2i"e# against the common carrier 
•

START:
Breach of contract
•
o 2rom the time the passenger has p-rchase# a tic9et
Prepon#erance of evi#ence
•
o Even if the passenger has not %oar#e# the train et
2 <UASIDELICT
o 1%(3 ) inJ-r ca-se# % a stranger or fe""o*
E=amp"e esse" *as moving to the *harf "oa#e# *ith
•
passenger
cargoes an# *hen it *as a%o-t to #oc9, it "ost contro" an#
END: hit the tier an# #estroe# the cargoes  o*ner of tier an#
o2rom the time the person has a"ighte# the L! -nit 

cargoes fi"e# case against the carrier 

an# has gone to a safe p"ace
o O*ner of the tier can fi"e case for ) F-asi#e"ict
AIR TRANSPORATION
o O*ner of the cargo can fi"e case f or ) C-"pa
START:
contract-a"
o 2rom the time the passenger chec9s in an# is in the
Base# on orts
•
pre#epart-re area 5s-%mitte# o-rse"f to the c-sto#
of the CC6 3 CULPACRIMINAL
o  Airp"ane tic9et p-rchase on" ) ; ma9e the CC "ia%"e 2i"e# against the #river
at once CC s-%si#iari" "ia%"e for civi" "ia%i"it of the #river
END:
o 2rom the time o- a"ighte# the p"ane an# has gone in DAMA'ES
a safe p"ace or o-tsi#e the c-sto# of the CC 1 MORAL DAMA'ES
 
 An=iet, menta" ang-ish, h-rt fee"ings, s"eep"ess nights
Miche""e D-g-i" ) PALAB!ICA NOES
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  0! ; a*ar#e# in c-"pacontract-a" E>.=p-+ 1:

o E: &6 Death   Shipment from 8 to Phi"ippines   

(6 0ross neg"igence a"-e of vesse" 5&HM6 Cargo 5(HHM6

2 EEMPLARY DAMA'ES  esse" san9 %eca-se of neg"igence of 
   A*ar#e# to set an e=amp"e to the p-%"ic captain  A"tho-gh the TOTAL LOSS of 


  If there is one or more aggravating circ-mstance the vesse" is #-e to the neg"igence of
3 NOMINAL DAMA'ES the captain, the o*ner'ship agent *i"" no
  o vin#icate right of the person "onger %e "ia%"e $ = recover anthing
4 ACTUAL DAMA'ES from the shipo*ner
L"+ +>p+5.$7  2/3 > ;0  .+ > "$=+  +>p+$#+# R+.#$ +"$6 -. o enco-rage the shipping
%-siness from freeing ship o*ners from "ia%i"it
%eca-se the sea transportation %-siness is ver
NET *W: ris9
1 CODE OF COMMERCE E>.=p-+ 2:
R+.- .$6 7p5+.r7 -"."-"57  CC   Ship cargo from 8 to Phi"ippines   

M+.$"$  V+##+-
 
Cargo 5(HHM6  Cargoes tota"" "ost,


%-t vesse" PARTIAL LOSS on"   

@ANUARY , 201) CA!0O O4NE! CAN !ECOE!

%eca-se partia" "oss on"
CODE OF COMMERCE/MARITIME LAW E>.=p-+ 3:
  Partia" "oss of ship.
MARITIME LAW AND NCC o Can o- recover for o-r cargo
  Comp"ementar 5&>6 that *as "ost7 YES
; conf"ict *ith NCC o E Is there a possi%i"it that the
ship o*ner *i"" %e free from
MARITIME LAW "ia%i"it7 YES, IF *E
  Sstem of "a* *hich #ea"s *ith affairs, %-siness, vesse"s, cre* of ABANDONS T*E S*IP
the sea an# conveance of propert an# persons %eca-se the ship *i"" no* go to
the cre#itors an# the can
  ransportation % the sea
a-ction it
  ranspo % sea is -s-a"" -se# *hen it invo"ves %ig shipments o I$ #8=:
ransportation $ "ife %"oo# of the econom 'R: Y+#, -"."-"57
@URSDICTION:   E: A.$6$+6 #"p
o Metro Mani"a ) Amo-nt is more than :HH9 $ !C E>.=p-+ 4:
Less than $ MC   esse" tota"" "ost *hen it reache#
oProvinces ) Amo-nt invo"ve# is more than +HH9 $ !C 8a*aii shipments are a"so tota"" "ost
Less than $ Cit Co-rt Cargo o*ners fi"e# case to recover
NATURE OF MARITIME LIABILITY va"-e of their "ost cargoes
o REAL AND *YPOT*ECARY IN NATURE LIMITED o Can the recover7 NO
LIABILITY RULE o If partia" "oss of vesse", cargo
Depen#s on the happening of something
  tota"" "ost 3 notice of
he o*ner' ship agent of the vesse" *i"" not %e a%an#onment7  r+!+r 
"ia%"e for the va"-e of the cargoes that are "ost if o If vesse" tota"" "ost 3 no
the !+##+- "# 55.--7 -#5 a%an#onment7  r+!+r 
I$ #8=: o PRINCIPLE: ABANDONMENT
NO OR TOTAL LOSS OF VESSEL 
  IS ONLY A CONDITION
NO LIABILITY PRECEDENT W*EN T*E
PARTIAL LOSS  LIABLE
 
VESSEL IS TOTALLY LOST
Miche""e D-g-i" ) PALAB!ICA NOES
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  ECEPTIONS TO LIMITED LIABILITY: CAR'O   S8==.r7:

OWNER CAN STILL RECOVER DESPITE   Maritime vesse" Protest is nee#e#
TOTAL LOSS   Not maritime vesse" No protest nee#e#
1 Wr=+$?# C=p+$#.5"$
(. InJ-r or #amage #-e to ship o*ner or to the MIDTERM EXAM:
$8rr"$ $+-"+$+ of the ship o*ner or  1. Basic Concepts Explanation
to the conc-rring neg"igence of the ship 2. Multiple Choice
o*ner an# the captain 3. Proble sol!in" #Discuss all the issues$
•
E If neg"igence *as on" #-e to ship
captain $ "imite# "ia%i"it app"ies PREMIDTERM REVIEW
+. he vesse" is "$#8r+6 1 W.5 .r+ 5+ !+r$"$ -.#9
:. E>p+$#+# r r+p."r  on vesse" comp"ete# If "an# ransportation
%efore "oss ) cost of repair has a"rea# %een o If coast *ise
ma#e an# #-e %-t not et pai# % ship o*ner  o If Phi" to some*hereQ
. In case there $ 55.- -## an# the vesse" is
o If foreign to Phi"ippinesQ
$5 ..$6$=+$5 
  If Air ransportation
. C--"#"$ %et*een ( neg"igent vesse"s
o If DomesticQ
E>.=p-+#: o If Internationa"Q
1 Wr=+$?# C=p+$#.5"$ If 4ater ransportationQ
(. If the $+-"+$+ is ca-se# % ship agent'o*ner or conc-rrent 2 C$+p5#
 

neg"igence of ship
a. esse" agent
from an#to
Mani"a ship captain
I"oi"o  ship *as over"oa#e#  ship *as
   
D+=8rr.+
E>5r.r6"$.r7 D"-"+$+
tota"" "ost  heirs fi"e# %reach of contract  o*ner sha"" %e
 
o If air transpoQ 5air *orth6
"ia%"e o Sea transpoQ 5sea *orth6
%. Despite 9no*ing that there *as a#vice of tphoon, common o Lan#Q 5roa# *orth6
carrier sti"" trave""e#  "ia%"e

o &>+
o 4hen *i"" it start an# en#7 ) &>+?
GS*IP A'ENT  Acts as the o*ner in the port *here the ship enters
S+.r57 -+.- =+.$"$
VESSEL   W+$ "# "$#p+5"$ =.$6.5r7 r $59
  ; cover sma"" %oats, hospita" %oats   L.$6 5r.$#pr5.5"$ ) ; man#ator
  4h #o *e nee# to #isting-ish %et*een maritime vesse" an# o E If the #anger is visi%"e or o%vio-s
vesse"7   If ; inspect $ ; e=ercise EOD $ "ia%"e
o Beca-se if *e are referring to a maritime vesse", there   A"r 5r.$#pr5.5"$ ) man#ator
m-st first %e a protest fi"e#Q 3 M+=r"H+ 1%34
o C.#+ 4 C.$ 78 r+68+ r= EOD 5 Or6"$.r7 D"-"+$+9
he sma"" %oat *ent near the %ig vesse" an# t he   D+p+$6#:
sma"" vesse" *as s-c9e# % the %ig vesse" an# o CAR'O  YES

one of the passengers *as hit % a prope""er  R+8"r+=+$5#:

Contention of vesse" sho-"# %e #one *ithin (: &. 4riting
ho-rs therefore, cannot fi"e c"aim 2 a"-a%"e consi#eration
  SC 3 Sho-"# %e reasona%"e an# fair  
 No nee# for protest %eca-se the sma"" o P.##+$+r  N

%oat is not a maritime %oat PASSEN'ER   r+68+6

 A"so, the person *ho sho-"# ma9e the   E 1%); ) 2ort-ito-s or non paing' grat-ito-s
protest co-"# not #o it %eca-se of his passenger

sit-ation 5inJ-re# %ro-ght to hospita"6

Miche""e D-g-i" ) PALAB!ICA NOES
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  E 5 E 4i""f-" act or gross neg"igence of  LIMITIN' carriers "ia%i"it carriers "ia%i"it provi#e#
the carrier LIABILITY E Provi#e# % "a* ; contrar to p-%"ic
o I 5+r+ "# $5r"85r7 $+-"+$+ ) it ma re#-ce on" po"ic, "a*Q
the "ia%i"it of the common carrier, %-t it *i"" not e=empt CC ; stip-"ate that it is
from "ia%i"it  e=empt from "ia%i"it for Can stip-"ate that it is
). W.5 .r+ 5+ #5"p8-.5"$# 5.5 .r+ $5 !.-"69 neg"igence of emp"oees e=empt from "ia%i"it for
( W"-- 5+ ==$ .rr"+r + -".-+ r .5#  p.##+$+r r or agents neg"igence of emp"oees
#5r.$+r9  Y+# or agents
 
I$ .#+  #5r.$+r  ) irresisti%"e force #apat so that the common
carrier *i"" not %e "ia%"e ) &>+   C*ARTER PARTY  A contract % *hich an entire ship or some
I$ .#+  +=p-7++#  Lia%"e ) &> principa" part thereof, is "et % the o*ner to another person for a
% W+$ "-- + +=+ . p.##+$+r9 E$69 specifie# time or -se  transforms CC to PC


Lan# transpoQ   RE'ISTERED OWNER RULE

   Air transpoQ o 'R: !egistere# o*ner of the vehic"e is "ia%"e for an #amage
  Sea transpoQ ca-se# % the neg"igent operation of the vehic"e a"tho-gh the
same *as a"rea# so"# or convee# to another at t he time of
ETRA NOTES the inci#ent
  E: ehic"e sto"en from a garage *itho-t the o*ners
  PASSEN'ER  One *ho trave"s in a p-%"ic conveance % virt-e of a 9no*"e#ge an# consent
contract, e=press or imp"ie#, *ith the carrier as to the pament of fare or  PRIMARY OBLI'ATIONS OF A COMMON CARRIER IN T*E
that *hich is accepte# as an e@-iva"ent thereof  CARRIA'E OF 'OODS PASTE
  PARTIES TO CARRIA'E OF PASSEN'ERS &. D-t to #e"iver the goo#s to the proper PE!SON
(. D-t to ACCEP the goo#s
&. Common Carrier 
+. D-t to SEASONABL1 #e"iver the goo#s to the #estination
(. Passenger  
:. D-t to !ANSPO! the goo#s safe" at the agree# #estination
  PARTIES TO CARRIA'E OF 'OODS
. D-t to e=ercise E;!AO!DINA!1 #i"igence
1 Shipper  EFFECTS OF INECUSABLE DELAY:
2 Carrier
&. Carrier sti"" has #-t to e=ercise EOD
3 Consignee
(. Nat-ra" #isaster ; free carrier from responsi%i"it
  PERFECTION OF CONTRACT OF TRANSPORTATION
+. De"a is *itho-t J-st ca-se $ CC ; "imit its "ia%i"it for LDD
1 C$5r.5 5 C.rr7 ) perfecte# % mere consent :. Lia%"e for #amages ca-se# % #e"a
2 C$5r.5  C.rr".+ r  C==$ C.rr"+r rea" contract . Consignee ma e=ercise his right to a%an#on
%eca-se faci"ities have to %e -se# %efore contract is perfecte# DUTY TO ACCEPT 'OODS:
  PRIVATE CARRIER  One *hich, *itho-t %eing engage# in the o 'R: CC #-t %o-n# to accept passengers an# cargo *itho-t
%-siness of carring as a p-%"ic emp"oment, -n#erta9es to #e"iver
goo#s or passenger for compensation 5sing"e transaction6 #iscrimination 5DDUOCIES6
  E:
&. 0oo#s are DAN0E!OUS
COMMON CARRI ER PRI VATE C ARRI ER
(. 0oo#s *i"" %e e=pose# to -nto*ar# DAN0E!
'OVERNIN' LAW La* on Common Carrier O%"icon s-ch as f"oo#, capt-re % enemies
STATE 1es ; +. 0oo#s are UN2I for transportation
RE'ULATION :. Acceptance *o-"# res-"t to OE!LOADIN0
AVAILABILITY Peop"e in#iscriminate" Partic-"ar in#ivi#-a"s or . 0oo#s $ CON!ABANDS or i""ega"
gro-ps on" . IN<U!IOUS to hea"th
DILE'ENCE EOD Or#inar Di"igence >. 2ai"-re to ten#er goo#s on IME
PRESUMPTION OF 1es No ?. 0oo#s "i9e "ivestoc9 *i"" %e E;POSED to
NE'LI'ENCE #iseases
EEMPTIN' Prove EOD an# Art &>+: Caso 2ort-ito -n#er . S!IE
CIRCUMSTANCES &&>: •

STIPULATION 0! ; agree on "imiting Parties ma "imit DU!AION O2 LIABILI1 ) 1%3(, 1%3;, 1%3%
Miche""e D-g-i" ) PALAB!ICA NOES
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  RE<UISITES OF FORCE MA@EURE: PDD "oss %-t fai"e# to #o so, is chargea%"e *ith the "oss  on" avai"a%"e


&. Nat-ra" #isaster m-st %e the P!O;IMAE AND ONL1 CAUSE of %et*een ( co""i#ing vehic"es %eca-se it is an action %ase# on tort or
the "oss @-asi#e"ict
(. Common carrier e=cise# DUE DILI0ENCE to prevent or minimiGe • OBLI'ATIONS OF S*IPPER OR CONSI'NEE AND PASSEN'ER
the "oss %efore, #-ring or after occ-rrence of the #isaster  &. D-e #i"igence to avoi# #amage or inJ-r
+. CC has not neg"igent" inc-rre# DELA1 in transporting (. Bo-n# to pa the consi#eration in the form of freight or fare
RE<UISITES OF ACT OF PUBLIC ENEMY PDW MEANIN' OF ETRAORDINARY DILE'ENCE
&. P!O;IMAE AND ONL1 CAUSE of the "oss o IN CARRIA'E OF 'OODS ) he EOD in the vigi"ance over
(. Common carrier e=cise# DUE DILI0ENCE to prevent or minimiGe the goo#s ten#ere# for shipment re@-ires the common carrier
the "oss %efore, #-ring or after occ-rrence of the #isaster  to 9no* an# to fo""o* the re@-ire# preca-tion for avoi#ing
+. E=istence of act-a" state of 4A! #amage to or #estr-ction of the goo#s entr-ste# to it for sa"e,
RR inc"-#es PI!AC1 carriage an# #e"iver. It re@-ires the common carrier to ren#er
• NE'LI'ENCE OF S*IP OWNER service *ith the greatest s9i"" an# foresight an# to -se a""
&. 4hen it is the SOLE AND P!O;IMA1E ca-se $ a%so"-te #efense reasona%"e means to ascertain the nat-re an# characteristics
(. 4hen it is CON!IBUO!1 $ partia" #efense of the goo#s ten#ere# for shipment an# to e=ercise #-e care in
BA''A'E the han#"ing an# sto*age, inc"-#ing s-ch metho#s as their
o 8an# carrie# $ Or#inar #i"igence nat-re re@-ires
o Chec9e# )in $ EOD
o IN CARRIA'E OF PASSEN'ERS ) A CC is %o-n# to carr
PRIMARY OBLI'ATIONS OF A COMMON CARRIER IN T*E passengers safe" as far as h-man care an# f oresight can
CARRIA'E OF PASSEN'ERS USTAB provi#e, -sing the -tmost #i"igence of a ver ca-tio-s person
&. D-t to o%serve UMOS #i"igence to passenger  *ith #-e regar# for a"" circ-mstances
•
(. D-t to SEASONABL1 %ring the passenger to #esignation STIPULATION LIMITIN'/REDUCIN' CC?S LIABILITY
+. D-t to !ANSPO! the passenger safe" to the agree#
#estination 'OODS PASSEN'ERS
:. D-t to ACCEP passengers *itho-t #iscrimination  A""o*e# "ess than EOD provi#e# ; "essene# or #ispense# *ith
. D-t to ta9e care of the passengers BA00A0E 4S! thro-gh stip-"ations or posting
DILI'ENCE IN T*E SELECTION OF AND SUPERVISION OF notices
EMPLOYEE
o 'R Base# on contract-a" o%"igation $ ; e=empt from "ia%i"it o 'RATUTIOUS PASSEN'ERS  "imit "ia%i"it %-t not for *i""f-"
 E Base# on @-asi#e"ict $ avai"a%"e as #efense acts or gross neg"igence
o ACCOMODATION PASSEN'ERS ) on" Or#inar Di"igence
LIABILITY OF COMMON CARRIER FOR DEAT* OR IN@URIES TO re@-ire#
PASSEN'ERS CAUSED BY: • STIPULATION LIMITIN'/REDUCIN' CC?S LIABILITY
ACTS OF EMPLOYEES ACTS OF STRAN'ERS • SEAWORT*INESS 5RASEM
OR PASSEN'ER &. 2itness of the vesse" itse"f to *ithstan# the r"r# of the voage
DILE'ENCE EOD Or#inar Di"igence (. 2itness of the vesse" to #5r+ the cargoes an# .==6.5+
RE<UIRED passengers to %e transporte#
NATURE OF O! 5FUASIDELIC6 0! ; "ia%"e +. esse" is a#e@-ate" +8"pp+6 .$6 prp+r-7 =.$$+6 *ith
LIABILITY E If common carriers s-fficient n-m%er of competent officers an# cre*
8o*ever, emp"oee m-st emp"oee co-"# have   CAR'OWORT*INESS
%e on #-t at the time of prevente# or stoppe# the &. he ship m-st %e #8""+$5-7 #5r$ .$6 +8"pp+6 to carr the
the act act or omission thro-gh partic-"ar 9in# of cargo *hich she has contracte# to carr an#
D0OA2 (. 8er cargo m-st %e # -.6+6 5.5 "5 "# #.+ for her to procee# on
  voage
• DOCTRINE OF LAST CLEAR C*ANCE ) 4here %oth parties are TRANSS*IPMENT
o he act ta9ing cargo o-t of one ship an# "oa#ing it in another 
neg"igent %-t the neg"igent act of one is apprecia%" "ater than that of the
other, or *here it is impossi%"e to #etermine *hose fa-"t or neg"igence or the transfer for f-rther transportation from one ship or
ca-se# the "oss, the one *ho ha# the "ast c"ear opport-nit to avoi# the conveance to another
Miche""e D-g-i" ) PALAB!ICA NOES
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  EOD IN CARRIA'E BY LAND CT &. Wrmens compensation

&. Con#ition of vehic"e ) not #efective, goo# or#er an# con#ition (. ; tota" "oss an# ; ..$6$+6
(. ; %reach of traffic r-"es +. I$K8r7 or #amage #-e to ship o*ner or to the
• AIRWORT*INESS REC conc-rring neg"igence of shipo*ner an#
&. he aircraft m-st %e in s-ch con#ition that it m-st %e a%"e to captain
*ithstan# the r"r# of f"ight :. es se " i s "$#8r+6
(. he aircraft, its engines, prope""ers an# other components an# . E=penses for r+p."r  an# provisioning of the
accessories are of proper #esign an# constr-ction an# are safe for ship
o
air navigation p-rposes, s-ch #esign an# constr-ction %eing Ship o*ner is the part *ho ma invo9e the "imite# "ia%i"it
consistent *ith accepte# engineering practice an# in accor#ance r-"e
*ith aero#namics "a*s an# aircraft science E<UIPMENT o Cases *here app"ica%"e
+. esse" has a =p+5+$5 .p5."$ .$6 r+ *ho e=ercise# EOD in &. Civi" "ia%i"it for in#emnities to +r# persons
operating the aircraft (. In#emnities for neg"igent act of the captain
• BILL OF LADIN' ) A *ritten ac9no*"e#gement of the receipt of goo#s +. Co "" is ion
an# an agreement to transport an# to #e"iver them at a specifie# p"ace :. Lia%i"it for -npai# *ages of captain an# cre* an# for
to a person name# or on his or#er a#vances ma#e % the ship agent if the vesse" is "ost
• MARITIME COMMERCE % ship*rec9
o >+ ) ? of CODE O2 COMME!CE

o hat sstem of "a*s *hich partic-"ar" re"ates to the affairs

an# %-siness of the sea, to ships, their cre*s an#

navigation an# to maritime conveance of persons an#
propert
• C*ARACTERISTICS OF MARITIME TRANSACTION
1 REAL ) rea" contract, registration re@-ire#
(. *YPOT*ECARY  the "ia%i"it of the carrier in connection *ith
"osses re"ate# to maritime contracts is confine# to the vesse", *hich
stan#s as the g-arant for their sett"ement
• MERC*ANT VESSEL ) engage# in maritime commerce, *hether
foreign or other*ise
• VESSEL ) An %arge, "ighter, %-"9, carrier, passenger ship, freighter,
tan9er, container, ship, fishing %oats or other artificia" contrivances
-ti"iGing an so-rce of motive po*er, #esigne#, -se# or capa%"e of %eing
-se# as a means of *ater transportation operating either as a common
carrier, inc"-#ing fishing vesse"s covere# -n#er PD :+
o
E
&. hose o*ne# or operate# % the A2P an# % foreign
government for mi"itar p-rpose
(. Bancas, sai"%oats an# other *ater%orne contrivances
"ess than + gross tons capacit an# not motoriGe#
• MARITIME LIEN ) constit-tes a present right of propert in the ship, a
 J-s in re, to %e after*ar# enforce# in a#mira"t % process in rem
• DOCTRINE OF LIMITED LIABILITY *YPOT*ECARY RULE
o he e=c"-sive" rea" an# hpothecar nat-re of maritime "a*

operates to "imit the "ia%i"it of the shipo*ner to the va"-e

of the vesse", earne# freightage an# procee#s of the
ins-rance, if an.
o 'R No vesse", no "ia%i"it 5ota" "oss6

 
E:  WORJAIIR
Miche""e D-g-i" ) PALAB!ICA NOES
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@.$8.r7 30,201) Fr= M"++
MT +##.7 .$#+r#:
&. A stip-"ation transferring the ris9 to the shipper is not va"i#. 4o-"#
"imite# "ia%i"it r-"e app" if the ship *ere "ost #-e to t he neg"igence
of the ship captain7 1es. here are on" : e=ceptions to the "imite#
"ia%i"it r-"e. One is the conc-rrent neg"igence of the ship captain
together *ith the ship o*ner. So that if the "oss *as #-e to the fa-"t
of the ship captain on", then the "imite# "ia%i"it r-"e *i"" sti"" app".
(. !o%ert is a"rea# a passenger since he *as in the premises an#
-n#er the contro" of the common carrier. E=traor#inar #i"igence is
no* re@-ire# of the common carrier. Art. &>( provi#es for the
"ia%i"it of the common carrier for acts of passengers or strangers.
here is a pres-mption that a common carrier is a"*as "ia%"e
-n"ess proven other*ise -n#er Art. &>+.
+. !ight of inspection is man#ator in airp"anes %eca-se of the anti
hiJac9ing "a* %-t it is not man#ator in %-sses or other "an#
transportation -n"ess there is something s-spicio-s *hich is
o%vio-s to the na9e# ee
:. Bett the acco-ntant *hi"e on her *a to *or9 is a passenger an#
the common carrier is "ia%"e for her #eath %eca-se a common
carrier is a"*as pres-me# "ia%"e. On the other han#, the #river is
not a passenger since there is no contract of carriage. 8o*ever, he
ma c"aim compensation from other so-rces of "a*
Miche""e D-g-i" ) PALAB!ICA NOES
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Sp+".- C$5r.5# 8$6+r M.r"5"=+ C==+r+
4hat is a C*ARTER PARTY7
• It is a #oc-ment in itse"f an# it #oes not refer to a part in a
controvers.
• Simp" p-t, it is in the nat-re of a contract of "ease, having for its
o%Ject the *ho"e or part of a vesse".
DEFINITION OF TERMS:
&. he -.7 6.7# ) the n-m%er of #as given to -n"oa#'"oa# 5this is
free6
(. he +>5r. -.7 6.7# ) an e=tension 5it is not for free6.
+. D+=8rr.+ ) the pena"t or fee for the e=cess time spent in
-n"oa#ing an# "oa#ing.
:. Pr"=.+ ) compensation or fee given to the captain or cre* *hich
is #-e to the specia" care of captain an# cre*
. E=.r ) "ega" restriction of #epart-re of vesse"s
. C$5r.5  5.+ ) contract for a %arge to %e to*e# % a ship
W.5 .r+ 5+ RE<UISITES  . C.r5+r p.r579
&. he Charter Part m-st %e in *riting, signe#, an# *ith the consent
(. of the parties
E=istence of the vesse" at the #isposa" of the charterer 
+. Stip-"ation as to the freightage
:. It m-st comp" *ith the appropriate forma"ities
a. M-st specif the 9in#, name, tonnage, f"ag raise#, port,
registr, the names, s-rnames, / #omici"es of the ship
captain, ship agent, an# ship o*ner, capacit, #ates of
"oa#ing an# -n"oa#ing, the "a #as, e=tra "a #as,
#em-rrage, primage
M8#5 5+ C.r5+r P.r57 .-.7# + "$ r"5"$ .$6 #"$+6 5 + !.-"69
• 'R 1es, accor#ing to Art. (.
o E Art. + provi#es that *hen cargo is a"rea# #e"ivere#
or receive# *itho-t the Charter Part %eing signe#, the
stip-"ation sho-"# %e interprete# to %e that containe# in a
%i"" of "a#ing.
<: T+ p.r5"+# .r++6 5 6+-"!+r .r r= p"$5 A 5 p"$5 B T+
C.r5+r P.r57 #5"p8-.5+6 5.5 5+r+ "-- + . 6+=8rr.+ B85 +$ 5+
.r -.6+6 .$6 5+ !+##+- .# "$ !7.+, 5+r+ .# . 6+!".5"$ 5
p"$5 C, "5 . "--  -.6"$ 5 5.5 ++5 S.-- 5+r+ + . p.7=+$5 
6+=8rr.+9
• NO
• he SC he"# since the goo#s *ere receive# a"tho-gh the Charter
Part *as not signe# it is sti"" va"i#, %-t the provision in the %i"" of
"a#ing *i"" app". Since the %i"" of "a#ing #i# not contain a stip-"ation
as to #em-rrage, then there is no #em-rrage
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W.5 .r+ 5+ 2 JINDS  C.r5+r P.r579
1 DEMISE r BAREBOAT
• the vesse" is chartere# in itse"f as a *ho"e 5hence, K%are6 an# nee#
not provi#e that the cre* is inc"-#e# %eca-se of the princip"e that
the contro" of the cre* is given to charterer, a"ong *ith the
navigation etc.
• 8e is #eeme# the O4NE! of the vesse" an# the EMPLO1E! of
the cre*.
•
<: A .# p.r5  5+ r+  . !+##+- A5+r 3 =$5#, 5+
!+##+- .# .r5+r+6 A .# 5+r="$.5+6 7 5+ .r5+r A "#
$ -."="$ 5.5 + .# 5+r="$.5+6 8$-.8--7 A."$#5 
6 78 "-+ 5+ .#+9
• he charterer. 8e has no* the %-r#en to prove that it is not a
%are%oat charter part. 5SC Case6
• PRESUMPTION OF BAREBOAT:in case of #o-%t, the charter part
is a"*as pres-me# to %e a BA!EBOA charter part, an# not
affreightment.
W.5 "# 5+ 6"+r+$+ +5++$ 5+ 29
BAREBOAT AFFREI'*TMENT
Charter of *ho"e vesse" Charter of part of the vesse"
Converte# to private carrier ; converte#
W.5 "# 5+ #"$"".$+  5+ $!+r#"$9
• here co-"# %e a stip-"ation "imiting "ia%i"it in case of neg"igence of
the ship o*ner an# it *i"" %e va"i# in t he case of %are%oat %-t not in
affreightment.
 
C.$ . #"p .p5."$ +$5+r "$5 . .r5+r p.r57 !+r 5+ !+##+-  5+ #"p
$+r9
• 1es, a ship captain *ho entere# into a charter part even against
*i"" of the o*ner *ho *i"" %e civi"" "ia%"e for #amages to the o*ner.
• Sti"", the contract is ALID.
I 5+ !+##+- "# $ -$+r #+.r57, 5+ .p5."$ #.--
&. Loo9 for another vesse" *ithin the parameter of &HM for the
p-rpose of transferring the cargo an# contin-e *ith the voage.   
If he is in#o"ent in searching for another vesse" then he is "ia%"e for
*hatever #amages that ma occ-r.  he cargo o*ners *i"" no*

have the right to "oo9 f or another vesse" at the e=pense of the
captain or the ship o*ner  hat is *h the parties can stip-"ate a higher interest since it is not
(. If he cannot fin# another vesse", he ma #eposit the vesse" *hich is
not sea*orth
C.$ 5+ .p5."$ #+-- .r9
Miche""e D-g-i" ) PALAB!ICA NOES
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• 1es, if -n#er specia" circ-mstances s-ch as for necessit, provision,
foo#, an# repair of the vesse", the captain can se""  %-t m-st pa

the o*ner
o If preserving the cargo is more e=pensive than the va"-e
cargo itse"f 
o If the consignee cannot %e fo-n# an# there is ref-sa" to
se"" or re"ease the cargo.
I$#5.$+# +r+ 5+ .r =.6+ -".-+ r r+"5, 685"+#, 5.>+#, 685"+#,
5+r +>p+$#+# .6!.$+6 .$6 85 5 + r+"=8r#+6 7 5+ #"pp+r:
• Cargo is NOT -".-+ 5 p.7 r+"5 in the event of
o  A ship*rec9 or the stran#ing or the "oss of the vesse"
 E -n"ess the vesse" is -"timate" repaire# an#
%ro-ght to its #estination, in *hich case the cargo
sa"vage# #-ring ship*rec9, *i"" %e "ia%"e in
proportion to the #istance trave""e#
o In case of confiscation %eca-se of pirac
•  A charterer is #eeme# the o*ner of the vesse" as a *ho"e an# sho-"#
not accept cargo more than it can han#"e.
• O*ner m-st respect the capacit of the vesse".  O*ner once he

notices that cargoes *ere c"an#estine" "oa#e#, he ma remove it.
• If not #angero-s, he can sti"" opt to #e"iver %-t at a higher freight.
• In case of e=piration of "a #as, the cargo is not et rea# for "oa#ing,
then the vesse" can "eave *itho-t them
2 AFFREI'*TMENT
2 "$6#:
& . ime p erio#
(. oage
'r8$6# r r+#"##"$ .$6 .5 #+ "$#5.$+
7777
  
W.5 .r+ 5+ -.$# $ BOTTOMRY & RESPONDENTIA9
  hese are SPECIAL 9in#s of "oans invo"ving vesse" 5%ottomr6 an#
cargo 5respon#entia6.
Beca-se the vesse" an# conse@-ent" its cargo is "eft at the merc
of the sea these o%Jects are ma#e co""atera"s.
covere# % the -s-r "a* -n"i9e in simp"e "oan.
here can never %e ora" %-t on" *ritten f orm in a p-%"ic #oc-ment
5notariGe#6.
LOAN ON BOTTOMRY LOAN ON
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DEFINITION Loan ma#e % the
shipo*ner or ship agent
g-arantee# % vesse"
itse"f an# repaa%"e
-pon arriva" of vesse" at
RESPONDENTIA
Loan ta9en on sec-rit of
the cargo "a#en on vesse"
an# repaa%"e -pon safe
arriva" of cargo at
#estination
I "5 "# $5 #5.5+6 #p+"".--7 5.5 5+ !7.+ "# r= p"$5 A 5 p"$5 B
r $+ .7
• T+ pr+#8=p5"$ "# 5.5 "5 "# 5 .7 r8$6 5r"p6.
• In or#er to "imit coverage, it m-st %e specifica"" state# to %e one
*a  So that the %orro*er is not o%"igate# to pa the "oan if it is


#estination not state#

Note No LOB ma %e W+$ "# 5+ -".5"$ +>5"$8"#+6 " 5+ --.5+r.- "# -#5
ma#e in an case on the • here m-st a"*as %e the e=istence of a =.r"5"=+ p+r"-
sa"aries of the cre*, nor
the profits *hich ma %e 'R: Pr+#8=+6 5.5 LOR r LOB !+r# r8$65r"p
e=pecte#   E: 4hen it is e=press" stip-"ate# that a partic-"ar trip is covere# %
W*O MAY Shipo*ner or ship agent On" the o*ner of the
"oan
CONTRACT cargo
O-tsi#e the resi#ence of  'R 4hen a vesse" or cargo is "ost, then the LO! or LOB is e=ting-ishe#.
the o*ners ) the captain
he %orro*er *i"" no "onger pa the "en#er %eca-se the s-%Ject matter is "ost
COMMON &. E=pos-re of sec-rit to marine peri"
• E
ELEMENTS (. O%"igation of the #e%tor con#itions on" -pon
&. If the "oss is ca-se# % "$+r+$5 6++5# of the cargo
safe arriva" of the sec-rit at the point of
(. F.8-5 of the %orro*er himse"f 
#estination
+. B.rr.5r7 or ma"ice on the part of the captain of the vesse"
FORMS &.
(. P-%"ic instr-ment
Po"ic signe# % contracting parties an# the :. If the #amage *as ca-se# %eca-se the %orro*er *as
engaging in $5r..$6 6#
%ro9er ta9ing part therein
. If the goo#s "oa#e# *ere 6"+r+$5 from that #esignate# in the
+. Private instr-ment
contract
W.5 "# 5+ 6"+r+$+ +5++$ #"=p-+ -.$ .$6 5+#+ -.$#9
E> Cargo *orth &M, "oan on respon#entia is HH9, the 0A is &HH9. 8o*
 In %ottomr the co""atera" is the vesse" an# if it is "ost the o%"igation to pa is m-ch sho-"# the "en#er pa7
e=ting-ishe#. In respon#entia the co""atera" is the cargo. If co""atera" is "ost in
• T
a simp"e "oan, the principa" *i"" sti"" e=ist.
• Pa H9
BOTTOMRY/ RESPONDENTIA SIMPLE LOAN
E>. In case of ship*rec9 an# the vesse" is stran#e# %-t some of the goo#s
Co""atera" $ vesse" 5%ottomr6 If co""atera" is "ost $
principa" *i"" sti"" e=ist *ere sa"vage# or recovere#, there is sa"vaging e=penses in #oing the same.
4hat is the %asis of #etermining the pament of the %orro*er7
If "ost $ o%"igation to pa is
•
e=ting-ishe# ; origina" va"-e of the "oan
Co""atera" $ cargo • 2orm-"a a"-e of the goo#s ) e=penses for sa"vaging
5respon#entia6
E>. Cargo is *orth &M, sa"vage# cargo is *orth HH9, sa"vaging e=penses of 
If "ost $ o%"igation sti"" e=ists &HH9.
MARINE RISJ Marine ris9 is necessar ; necessar • :HH9 $ %asis of "oan
FORM AND 2orm an# manner prescri%e# % 2orma" re@-isites of • HH9 ) &HH9 $ :HH9
MANNER the co#e of commerce or#inar contract
RE'ISTRY OF M-st %e recor#e# in the registr ; nee# W*ERE T*E 'OODS OR VESSEL IS COVERED BY INSURANCE
VESSELS of vesse"s to %e %in#ing to thir# • 'R If it is &HH covere# % "oan, it cannot %e covere# %
persons ins-rance %eca-se there is no more ins-ra%"e interest on the part of 
PREFERENC Last "en#er 2irst "en#er the o*ner
E o E Ins-rance an# LOB'LO! ma coe=ist %-t there sho-"#
%e a #etermination of ins-ra%"e interest
Miche""e D-g-i" ) PALAB!ICA NOES
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o E> * 5 6+5+r="$+7 ) if the va"-e of the goo#s or "ast "oan save# the vesse". L.#5 -.$ .# pr++r+$+ !+r 5+
vesse" is &M an# s-%Ject to LOB'LO! for >HH9.    +.r-"+r -.$#
ins-ra%"e interest of ins-rance compan is  &M ) >HH9 $
   R8-+ 3: If #+!+r.- -.$# *ere ta9en in the same port, then the
+HH9 have to %e p."6 prpr5"$.5+-7
• I# 5+ "$#8r.$+ =p.$7 .-# -".-+ "$ .#+  6.=.+9   E>.=p-+: 2or instance, in severa" "oans on %ottomr *ere
o 1ES Beca-se it has interest in the s-%Ject matter contracte#. Before the voage, a "oan in Mani"a for (H,HHH *as
• Once ins-rance an# "oan coe=ist, %oth sha"" %e "ia%"e for #amages contracte#. D-ring the voage, a "oan in I"oi"o *as contracte#. D-e
in proportion to their interest to the necessit of maJor repairs, a "oan *as contracte# in Ce%- for
• &HH,HHH. Upon arriva" in the p"ace of #estination in Cagaan #e
INSURANCE LOB/LOR Oro, it *as #iscovere# that the vesse" *as no "onger sea*orth.
he vesse" *as then so"# for &&H,HHH. he cre#itors are no* as9ing
In case of "oss, ma %e pai# at here sho-"# %e the
for them to %e pai#.
an time in a"" events even presence of marine ris9
o Mani"a ) "oan for (H,HHH %efore voage
*itho-t marine ris9 in case of "oss, "oan is
e=ting-ishe# o I"oi"o ) "oan for &H,HHH #-ring the voage
INDEMNI1 In#emnit is pai# A2E! "oss Pai# in a#vance % *a o Ce%- ) "oan #-e to nee# of maJor repairs for &HH,HHH
has occ-rre# of a "oan o CDO ) #iscovere# that vesse" is no "onger sea*orth, so it
E22ECS In case of "oss of the vesse" #-e In case of "oss of the *as so"# for &&H,HHH.
O2 LOSS to a ris9 ins-re# against, the vesse" #-e to marine W.5 "# 5+ r6+r  pr++r+$+9
O2 ESSEL o%"igation of the ins-rer peri", the o%"igation to   he "oan contracte# in I"oi"o has preference over "oan in
%ecomes a%so"-te pa is e=ting-ishe# Mani"a %eca-se it *as contracte# #-ring the voage
IND O2 Consens-a" !ea"   he "oan contracte# in Ce%- *as "atest, them it has
CON!AC preference over the "oan in I"oi"o. So &HH,HHH *i"" %e pai#
to the cre#itor in Ce%-. he remaining &H,HHH *i"" %e pai#
<: B+r+ 5+ !+##+- r+.+6 "5# 6+#5"$.5"$ "$ I-"-, 5+ !+##+- #8$. to the cre#itor in I"oi"o
• here is no more o%"igation to pa if it is a "oan on %ottomr. A##8="$ 5.5 "$ 5+ #.=+ pr5 "$ C+8, 5+r+ +r+ 3 -.$#
• If respon#entia, o%"igation sti"" e=ists. +r+ $5r.5+6 "5 3 6"+r+$5 r+6"5r#, .5 "# 5+ r6+r 
• If the cargo *as save#, t hen the %orro*er *i"" pa "esser e=penses. pr++r+$+9
It m-st %e pai# proportionate" to the amo-nt of the "oan.
• iceversa If the cargo *as "ost an# vesse" *as save#, the
o%"igation of the %orro*er to pa in respon#entia is e=ting-ishe# 5if
%ottomr, it sti"" e=ists6 • he r-"e that *hen the co""atera" is "ost, the o%"igation of the %orro*er
to pa is e=ting-ishe# on" app"ies to ris9s #-e to MARINE PERILS 
W*EN LOAN ON BOTTOMRY OR RESPONDENTIA IS RE'ARDED AS not NAU!AL DE2EC, MALICE, NE0LI0ENCE, BA!!A!1, then
SIMPLE LOAN the o%"igation sti"" s-%sists.
&. Len#er "oane# an amo-nt "arger than the va"-e of the o%Ject #-e to
•
fra-#-"ent means emp"oe# % the %orro*er  4hat is the effect if thr- r.86 the %orro*er *as a%"e to get a "oan
(. 2-"" amo-nt of the "oan is not -se# for the cargo or given on the more than the va"-e of the vesse" is "oan on %ottomr consi#ere#
goo#s if a"" of them co-"# not have %een "oa#e#, the %a"ance *i"" %e va"i#7 2or instance, the vesse" is *orth HM. %-t %eca-se of fra-#,
consi#ere# a simp"e "oan o- *ere a%"e to get a "oan for >HM. ho* *i"" *e treat the "oan7
+. If the effects on *hich the mone is ta9en is no s-%Jecte# to an
ris9 o he "oan on %ottomr *i"" %e va"i# -p to the e=tent
of H. he remaining (HM *i"" %e treate# as a
Or6+r  pr++r+$+ " 5+r+ .r+ =.$7 r+6"5r# simp"e "oan
• R8-+ 1: Contracts or "oans 68r"$ voage have preference over
"oans contracte# +r+ the c"earing of the port for voage   B.r 8+#5"$ D+# 5+ #"p .p5."$ .!+ . r"5 5 +$5+r "$5 .
  R8-+ 2 he or#er of preference sha"" %e in the inverte# or#er %ase# -.$ $ 55=r79
on the #ates. Beca-se if it *ere not for the "atest "oan, the vesse" o 1es, provi#e# that the ship captain is *ithin the resi#ence of
*o-"# have s-n9 an# *i"" %e "ia%"e.  here is pres-mption that the

the ship agent or the ship o*ner an# that he is a-thoriGe# to #o
so.
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o !esi#ence here #oes mean its "itera" sense 5p"ace of a%o#e6 interest in the vesse" an#
%-t ma %e interprete# to mean t he office of the ship o*ner. the cargo sho-"# contri%-te
to satisf the average
  W.5 " #"p .p5."$ "# 85#"6+ 5+ r+#"6+$+  5+ #"p $+r r (. P.r5"8-.r/ S"=p-+
#"p .+$59 A!+r.+ ) %orne %
o 1es he can sti"" can enter into a "oan of %ottomr respective o*ners
&. if it is connecte# to his inherent #-t in a contract for Pett e=pense *hich m-st %e
voage, s-ch as in the case of the provision of the vesse", sho-"#ere# % the #"p $+r 
for repair of the vesse", O! E>.=p-+#:
(. if the ship captain is a coo*ner, in *hich case the "oan *i"" &. Pi"otage 5pi"ot fees6
%e va"i# -p to the e=tent of his coo*nership. (. Anchorage ) termina" fee,
etc.
  C.$ 5+ #"p .p5."$ +$5+r "$5 . -.$ $ r+#p$6+$5".9 +. Lighterage fee ) sma""
• No, %eca-se he is NO a representative or agent of the o*ner of %arge *here cargoes are
the cargo, -n"i9e in "oan on %ottomr *herein the ship the agent of -n"oa#e# an# the
the o*ner of the vesse" "ighterage %rings the
cargoes to the port
:. F-arantine 2ee
. 8ea"th an# Sanitation 2ee
F+r8.r7 (, 201)
AVERA'E AND COLLISION . Inspection 2ee

AVERA'E P.r5"8-.r A!+r.+ '+$+r.- A!+r.+

  echnica" maritime term
S"=p-+ =+.$"$   E=pense or #amage *hich #oes E=pense or #amage #e"i%erate"
o E=traor#inar or acci#enta" e=pense
not in-re to the common interest #one to save the 'C'Both
  Partic-"ar on" to the person In-res to the common %enefit of
o Damage or inJ-r
*ho o*ns the thing the ship o*ner an# cargo o*ner 
Sho-"# %e #isting-ishe# from a simp"e #amage an# e=pense so
that *e *i"" %e a%"e to 9no* *ho *i"" %ear the #amage'e=pense
• On" the partic-"ar person 5ship Borne % a"" persons having an
  Ar5 ;0(
o*ner' cargo o*ner6 *ho interest in the vesse" an# the
o It is an e=traor#inar or acci#enta" e=pense inc-rre# #-ring
ca-se# the e=pense or s-ffere# cargo therein at the time of
the voage for the preservation of the cargo, the vesse" or the #amage sha"" %ear the occ-rrence of the average sha""
%oth e=pense $5r"85+ to satisf the
o  An #amage or #eteriorations *hich the vesse" ma s-ffer average
• ; reim%-rsement
from the time the vesse" starts its voage -nti" the time it   
reaches its point of #estination or #amage'#eterioration E>.=p-+ ;0;: !eim%-rsement
s-ffere# % the cargo from the time it is "oa#e# on the vesse"
&. Inherent #efect of cargo
-nti" the time it is -n"oa#e# in the port of consignment
• Ex.: %uiaras an"oes
exporte& to '( #o)ner
*no)s that li+espan o+
ORDINARY AND NECESSARY AVERA'E an"o , &a-s$  !o-a"e 
EPENSE +or 1/ &a-s 0 an"oes
&eteriorate&  
Ar5 ;0% Ar5 ;0(
(. 2orce maJe-re
o #etermine *ho %ears the "oss
+. Damage to the ha-", vesse",
Loss' inJ-r is %orne % the ship Depen#s on *hat tpe of average is
e@-ipment
o*ner  invo"ve#
:. 4ages, vict-a"s of the cre* of
&. '+$+r.- A!+r.+ ) %orne
the vesse"
% a"" persons having
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• I ">+6 !7.+ $ Some of the cargoes *ere sa"vage#'save#. Ar+ $+r#  5+
partic-"ar average .r+# 5.5 +r+ #.!+6 -".-+ 5 p.7 5+ $+r  5+ .r+#
• I =$5-7 .#"# $ 5.5 +r+ +.r-"+r #.r""+6 r K+55"#$+6 )0M9 
o S.r""+ .# #8+##8- 5.5 "# 7 5+ !+##+- .# .-+
genera" average
E>.=p-+: 5 $5"$8+ "5# !7.+ .$6 5+ .8#+  5+ -##  5+
• Ship o*ne# % 0erman .r+# .$6 #"$"$  5+ !+##+- .# 68+ 5 5+r
r+.#$#, $5 5+ r""$.- $+ T+ .r+# 5.5 +r+
agric-"t-ra" machiner o*ne# %
#8#+8+$5-7 -#5 +r+ #.-!.+6
 America to %e #e"ivere# to
o
!-ssia  4ar %et*een !-ssia

O*ner of the sa"vage# cargo sho-"# pa to the o*ner of the
an# 0erman  If vesse"

cargoes Jettisone# S.-!.+ !.-8+  +>p+$#+# r
contin-es voage to 0erman, #.-!.+ 
vesse" *i"" %e capt-re#   
4 Prp+r @86"".- Fr=.-"5"+# MEMORIE
&. Proce#-re for recover
vesse" *ent to Phi"ippines
instea#. 4ho *i"" pa for the 2 A##+=-7 .$6 6+-"+r.5"$
o Captain *i"" assem%"e the peop"e *ho have interest an# then
sa"ar of the cre*7
o P.r5"8-.r A!+r.+ ) #e"i%eration
3 R+#-85"$  5+ .p5."$
Ship o*ner *i"" pa
o he reason for 4 E$5r7  5+ r+#-85"$ "$ 5+ -
o hose *ho vote# for an# against it m-st %e recor#e#
#eviating is not
o MaJorit r-"e prevai"s
%eca-se the machiner
is a contra%an#, %-t to o BU the captain has the "ast sa even if it is against the

save the ship %eca-se #ecision

recor#e#of in the
the maJorit
"og%oo9an# s-ch #ecision sho-"# %e
of *ar %et*een !-ssia
an# 0erman ) D+5."-+6 ="$85+#
( D+-"!+r7  5+ ="$85+# 5 5+ =.r"5"=+ K86"".- .85r"57  5+
RE<UISITES OF 'ENERAL AVERA'E MEMORIE "r#5 pr5, "5"$ 24 8r# r= .rr"!.-
1 C==$ 6.$+r r r"# >. !atification % the captain -n#er oath
•C"ear, certain an# imminent
@ETTISON
E>: Captain *as sai"ing vesse" an# then the #a-ghter to"# the
• Act of thro*ing cargo over%oar# in or#er to "ighten the vesse"
captain that she #reamt that a storm *as coming an# that he
sho-"# thro* a*a some st-ff in the vesse". I# 5"# . !.-"6 • Un#er the contro" of the captain
+$+r.- .!+r.+9 • ; res n-""i-s ; o%Ject of occ-pation
NO !is9 is %ase# on spec-"ation not imminent or

• Cargoes m-st %e covere# % the %i"" of "a#ing so that it can %e
certain. prove#
•
2 D+-"+r.5+ S.r""+ Or6+r  6# 5 + .#5 !+r.r6
• P-rpose is to save the vesse" an# cargo &. hose on #ec9 first ) heaviest one *ith the "east -ti"it an#
• E>. Logs *ere moving from "eft to right on the vesse" %eca-se va"-e
of a storm. Beca-se of the movement, the "ogs fe""  %oat

(. hose on the "o*er #ec9 secon#  heaviest one *ith the "east
sta%i"iGe# an# the rest of the cargoes save#.  O*ner of the

-ti"it an# va"-e
"ogs c"aime# that he sho-"# %e pai# % the ship captain
%eca-se it is a genera" average. Correct7 '6# $5 !+r+6 7 '+$+r.- A!+r.+ +!+$ " #.r""+6
o NO A"tho-gh it save# the rest of the cargoes, Jettison &. 0oo#s carrie# on #ec9
*as not #e"i%erate. It *as inevita%"e to happen (. 0oo#s not recor#e# in the %oo9s or recor#s of the vesse"
%eca-se of the storm. +. 2-e" for the vesse" if there is more than s-fficient f-e" for the voage
3 S.r""+ =8#5 + #8+##8-
S-pposing the cargo *as Jettisone# an# it save# the rest of the • 'R: Average sho-"# happen #-ring the co-rse of the voage 576
cargo an# vesse" itse"f. Amo-nt of cargo Jettisone# 5HM6.  hen

o E:

vesse" contin-e# to its Jo-rne an# vesse" an# cargoes *ere "ost.
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&. In the co-rse of a storm, the cargoes are transferre# to consi#ere# at fa-"t
%arges to "ighten the vesse" • V+##+- ) Each *i"" %ear their o*n "oss
(. esse"s are a"rea# anchore# in the pier an# there *as a fire C.r ) so"i#ar "ia%i"it
on one of the vesse"s. he intentiona"" sin9e# the Fr+ M.K+8r+ • V+##+- ) Each *i"" %ear their o*n "oss
vesse"s %esi#e the vesse" on fire to save the other vesse"s
• C.r ) Each *i"" %ear their o*n "oss
anchore#. $ 0ENE!AL AE!A0E even if ; on voage.
he other vesse"s save# sho-"# contri%-te. I 68+ 5 .5  5"r6   hir# person *i"" %e "ia%"e
p+r#$

W*O ARE T*E PEOPLE W*O ARE LIABLE TO CONTRIBUTE TO T*E ONES OF TIME IN T*E COLLISION OF VESSELS
'ENERAL AVERA'E9 &. $+ 1 ) A"" the time -p to the moment *hen the ris9 of co""ision %egins
• Ship o*ner  (. $+ 2 ) !is9 of co""ision %egins -nti" ris9 is certain
o One *ho committe# error is "ia%"e
• Cargo o*ners in proportion to their interest
+. $+ 3 ) !is9 is certain -nti" co""ision happens
• Len#ers on %ottomr an# respon#entia
o If there is co""ision in the +r# Gone, the one *ho ca-se# the
• Ins-rance compan
privi"ege# vesse" to ca-se the error or s*erving is "ia%"e
ERROR IN ETREMIS
COLLISION Ar5 ;2(  C6+  C==+r+
• Contract of ( moving vesse"s or one moving, the other is stationar LIMITED LIABILITY RULE
• If one is moving an# the other is stationar $ a""ision •  A"so app"ies in co""ision
E>.=p-+:
RULES IN CASE OF COLLISION o  A co""i#e# *ith B. 2a-"t of A. 4ho *i"" %e "ia%"e7
W .5 .8-5 W "# -".-+  B.#+6 $ r8-+ $ --"#"$
If one vesse" if at esse" at fa-"t is "ia%"e for #amages
 A is "ia%"e
•
fa-"t
I -"="5+6 -"."-"57 r8-+ "# .pp-"+6:
Both are at fa-"t   • V+##+- ) Each *i"" %ear their o*n "oss
B *as partia"" #amage# %-t A that
• C.r ) so"i#ar "ia%i"it 5one so"i#ar #e%tor
is at fa-"t san9 an# tota"" #amage#
can pa for the *ho"e o%"igation s-%Ject to
 A is not "ia%"e an# nee# not pa
 
reim%-rsement from the other so"i#ar #e%tors6
%eca-se "ia%i"it is e=ting-ishe#
• E>.=p-+
%eca-se the vesse" *as tota"" "ost
o esse" A $ (M 5#amage6
o esse" B $ (M PROTEST
o Cargo   here m-st %e protest *ithin (: ho-rs other*ise the action *i"" not
; ) +M 5#amage6 prosper
1 ) (M
4 ) &M he fo""o*ing instances nee# protest %efore the aggrieve# ma fi"e
a case
 ) (HM
&. Co "" is ion
If it cannot %e DOCTRINE OF INSCRUTABLE FAULT
(. Arriva" in #istress
#etermine# *ho is • V+##+- ) Each *i"" %ear their o*n "oss +. Sh ip *rec9
"ia%"e • C.r ) so"i#ar "ia%i"it :. 8- rric an e
Pro=imate Ca-se  APPLY IN MARITIME LAW  %oth E>+p5"$# 5 pr5+#5:
an# Contri%-tor consi#ere# at fa-"t &. If the o*ner of the cargo is not on %oar# the ship at the time of
Ca-se • V+##+- ) Each *i"" %ear their o*n "oss co""ision
C.r ) so"i#ar "ia%i"it (. If the person is not capa%"e of e=pressing his *ishes %eca-se
  E=amp"e of the inJ-r that he s-staine#
o  A $ Pro=imate ca-se +. If the other vesse" is not a maritime vesse"
o B $ Contri%-tor ca-se F+ 20, 201)

Last C"ear Chance  APPLY IN MARITIME LAW  %oth

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ARRIVAL UNDER STRESS

• he vesse" *i"" anchor in the nearest an# most convenient port EPENSES FOR UNLOADIN' CAR'O
%eca-se of *e"" fo-n#e# fear of seiG-re, privateer, pirac, acci#ent • If for repair of the vesse" $ sho-"#ere# % the shipo*ner
*hich *i"" #isa%"e to common carrier t o navigate • If for saving the cargo $ cargo o*ner
• W+-- 8$6+6 +.r  ) sho-"# not %e %ase# on spec-"ation there • If for %oth vesse" an# cargo $ proportiona"
m-st %e a thoro-gh #e"i%eration an# s-ch sho-"# give o- a
reasona%"e conc"-sion that in#ee# there is a *e"" fo-n#e# fear AFTER CAR'O IS UNLOADED
• 0! 7777
W*EN LAWFUL W*EN UNLAWFUL o E If ca-se# % f orce maJe-re

4hen the ina%i"it to contin-e is #-e he ina%i"it to contin-e voage is

to #-e to • If there is imminent #anger of *as a"rea# #amage#, the captain
&. Lac9 of provisions &. Lac9 of provisions #-e to has to app" in the proper J-#icia" a-thorit for t he sa"e of the cargo.
(. 4e"" fo-n#e# fear of neg"igence to carr In or#er to effect the sa"e, captain m-st comp" *ith certain
seiG-re, privateers, pirates accor#ing to -sage an# forma"ities s-ch as p-%"ishing, ac@-iring consent from persons *ho
+. Acci#ents of the sea c-stoms have interests over the cargoes
#isa%"ing it to navigate (. !is9 of enem not *e""
9no*n or manifest If the reasons'ca-ses for arriva" -n#er stress are gone, he m-st assem%"e
+. Defect of vesse" #-e to again his men an# #eci#e that the reason no "onger e=ists an# then procee#
improper repair  again *ith the voage 5Lega" a#vice6
:. Ma"ice, neg"igence, "ac9 of
foresight or s9i"" of captain S*IPWRECJ
•
InJ-ries or "oss s-ffere# % the vesse" %eca-se of the s*a""o*ing %
the *aves, or gro-n#ing or stran#ing or r-nning against an o%Ject in
ADVANTA'E OF NOTICE T*AT IT IS VALID AUS
the sea ren#ering the vesse" incapa%"e to navigate
• he CC *i"" not %e "ia%"e for #amages
• B-t the cost an# e=penses ca-se# % AUS *i"" a"*as %e %orne % S*IPWRECJ AUS
the ship o*ner or CC esse" is comp"ete" incapa%"e of esse" can sti"" move %eca-se it can
moving sti"" go to the nearest port
LE'AL STEPS S*a""o*ing % the *aves, or 0ro-n#s *e"" fo-n#e# fear of
&. Captain sho-"# #etermine #-ring the voage that there is a *e"" fo-n#e# gro-n#ing or stran#ing or r-nning seiG-re, privateer, pirac, acci#ent
fear of seiG-re, privateers an# other va"i# gro-n#s against an o%Ject in the sea *hich *i"" #isa%"e to common carrier
(. Captain sha"" assem%"e the officers an# s-mmon the persons intereste# ren#ering the vesse" incapa%"e to to navigate
in the cargo *ho ma atten# the meeting %-t *itho-t right to vote navigate
+. he offices sha"" #etermine an# agree if there is a *e""fo-n#e# reason
after e=amining the circ-mstances
Sho-"#ere# in#ivi#-a"" % the ship Sho-"#ere# % the ship o*ner'CC
o*ner an# cargo o*ner  
'R: CC  -".-+ r 6.=.+#
• E Ma"ice, "ac9 of foresight
E:  ; ALID A!!IAL UNDE! S!ESS 5OPENS CASE 2O! DAMA0ES
an# s9i"" % the captain  
 A0AINS CC6


CC *i"" sho-"#er the

&. If the AUS is -n"a*f-"
e=penses
• E=amp"e If the ship #oes not have eno-gh foo# or *as not
proper" 9ept  0-tom mem%ers  4ent to Ce%- to get
4817 ) 0ro-n#s is ca-se# % 2M
 

more foo#  ; va"i# AUS



(. !is9 of enem not *e"" 9no*n or manifest SALVA'E

• E=amp"e No *e"" fo-n#e# fear of pirates
• Saving a vesse"
+. Defect of vesse" #-e to improper repair
• Service one person ren#ers to the o*ner of a goo#s or ship, % him
• Beca-se vesse" m-st %e sea*orth
o*n "a%or, preserving the goo#s or the ship *hich the o*ner or
:. Ma"ice, neg"igence, "ac9 of foresight or s9i"" of captain

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those entr-ste# *ith care of them have either a%an#one# in
#istress at sea or are -na%"e to protect or sec-re
• Compensation a""o*e# to persons % *hose vo"-ntar assistance a
ship at sea or her cargo or %oth have %een save# in *ho"e or in part
from impen#ing sea peri" or s-ch propert recovere# from act-a"
peri" or "oss, as in cases of ship*rec9, #ere"ict of recapt-re
OB@ECTS OF SALVA'E
1 S"p
2 @+5#.=  goo#s *hich *ere thro*n off a ship *hich *as in #anger 
3  F- .5#.=  goo#s *hich f"oat -pon the sea *hen cast over%oar#
4 L".$/L..$  goo#s cast into the sea tie# t o a %-o, so that the
ma %e fo-n# again % the o*ners

BARRIOS VS 'OT*ON' CASE RE<UISITES

; sa"vage %eca-se no marine peri" 5*eather *as goo#6 &.

2 a"i# o%Ject
Marine peri" of sa"vage
   Act of to*ing on", not act of sa"vage
3 Service vo"-ntar
<UASIDERELICT 
  E=amp"e esse" *as in #anger  cre* save# the ship  ;
 

CIRCUMSTANCES W*EN TOWIN' CAN BE AN ACT OF SALVA'E vo"-ntar %eca-se cre* is -n#er o%"igation to save ship
4 S-ccessf-", tota" or partia"
  4hen the to*ing happens #-ring ver %a# *eather
W*EN S*OULD INTENTION S*OULD BE RECJONED
• Intention of a%an#onment starts from the time the captain an# cre*
TOWIN' SALVA'E
"eft the ship  Sa"vage# % others  Change of min# *i"" not change
o*ing fee ) *i"" go to the o*ner of Sa"vage re*ar# ) #istri%-te# among
 

the state of the vesse"

the tog%oat o*ner o*ner of the vesse" 5H6, captain
• If no intention to a%an#on an# goes %ac9 to the vesse" after getting
5(6 an# cre* 5( in proportion
to their sa"aries the necessar e@-ipment  ; va"i# sa"vage % others


W*EN CAN A VESSEL OR CAR'O BE CONSIDERED AS AN OB@ECT OBLI'ATION OF COLLECTOR OF CUSTOM

OF SALVA'E9 Safeg-ar# an# inventor of goo#s
•

4hen the vesse" or cargo is consi#ere# a DE!ELIC S-%Ject the goo#s to p-%"ic a-ction if the conservation is preJ-#icia"
•

DERELICT ) *hen the vesse" or cargo is a"rea# a%an#one# a to the o*ner an# *hen no o%Jection *as ma#e
ship or her cargo *hich is a%an#one# an# #eserte# at sea % those If no c"aim *ithin + months
•

o So"#
*ho are in charge of it *itho-t an hope of recovering it or *itho-t
an intention of ret-rning to it o Procee#s go to o*ner 

<UASI DERELICT ) if the cargo or vesse" is a"tho-gh not If + ears no c"aimant

•

a%an#one# is "eft at the merc of the *aves an# the persons *ho o H  nationa" government

are entr-ste# to save the same cannot #o anthing anmore o H  sa"vor 

o E>.=p-+: esse" #-ring a ver strong tphoon an# at the If there are c"aimants
•

merc of the *aves %-t the captain an# everone are sti"" o O*ner of vesse" ) H

insi#e the ship   ..$6$+6 % sti"" s-%Ject of sa"vage


o Captain ) (
%eca-se of concept FD  one *ho sa"vages the same is

o Cre* ) ( in proportion to their sa"aries
sti"" entit"e# to sa"vage re*ar# o E=c"-#e e=penses for a#vertising, ta=es, #-ties, sa"vaging

W*AT IS T*E RI'*T 'AINED BY T*E SALVA'OR OVER T*E OB@ECT NO SALVA'ER REWARD W*EN
SALVA'ED9
If sa"vage *as #one % the cre* of the vesse"
•
!ight of possession ) the sa"vor cannot sa that sa that he o*ns it
If the sa"vage *as #one #espite opposition of the captain
•
5a%an#onment of possession on" % the a%an#oner, not
o*nership6 If the sa"vager #i# not comp" *ith the re@-irement to report the
•

Co-"# the sa"vor ref-se to s-rren#er the vesse" or cargo to the matter to the co""ector of c-stoms
o*ner7
BASIS OF SALVA'E AMOUNT TO BE 'IVEN
o 1es, if the o*ner #oes not *ant to pa the sa"vage re*ar# )
&. La%or  
SALVA'E LIEN 
(. Competence an# s9i""

Miche""e D-g-i" ) PALAB!ICA NOES

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+. a"-e of the materia"s %eing -se# to sa"vage (. A#vertisement

:. !is9 %eing ass-me# +. A- ctio n sa"e
. a"-e of the goo#s %eing sa"vage# :. a=es over the goo#s *hen it *as %ro-ght to the co-ntr
RR Sa"vage re*ar# m-st not e=cee# H of the va"-e of the goo#s sa"vage# . E=penses for sa"vage
. Sa"vage re*ar#
T*IN'S T*AT *AVE TO BE PAID BY T*E OWNER
&. E=penses for c-sto#

Miche""e D-g-i" ) PALAB!ICA NOES

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