Introduction to maritime law

Professor Trond Solvang

with attorney Mats E. Sæther
Understanding the shipping industry

• Understanding shipping

«VLGC»

«14,000 TEU boxships»

«Aframax tankers …»

«… and LPG trading alliance»

“Reading this book won’t make you a

shipping man, but it’s a good start.” –
John Fredriksen
08.09.2015 Nordisk Skibsrederforening 2
How to obtain a ship

• Chartering a ship

• Buying a ship

• Building a ship

________________

• Financing

• Flag state / ship registration

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How to operate your ship

• Operate it yourself?

• Hire professional managers?

• Types of management

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How to operate your ship

• Who checks that your ship is in a satisfactory condition?

• Flag state control

• Class control

• Port state control

• Customer control (“vetting”)

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How to earn money from your ship

• Liner service

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(c) A.P. Moller ‐ Maersk
Photo: Norwegian Maritime Museum Photo: A.P: Møller‐Mærsk

Nordisk Skibsrederforening 6
How to earn money from your ship

• Liner vessels

Then …

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(c) A.P. Moller ‐ Maersk
Photo: Norwegian Maritime Museum Photo: A.P: Møller‐Mærsk

Nordisk Skibsrederforening 7
How to earn money from your ship

• Liner vessels

… and now:

Nordisk Skibsrederforening (c) A.P. Moller ‐ Maersk

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How to earn money from your ship

• «Tramp» trade / spot market

• Types of vessels

• Types of employment

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 How to earn money from your ship

• 1: Operate it

(c) A.P. Moller ‐ Maersk

Photo: Norwegian Maritime Museum Photo: A.P: Møller‐Mærsk

«Break even?»

(cost of owning Nordisk Skibsrederforening 10

+ operating)
How to earn money from your ship

• 1: Operate it

08.09.2015
(c) A.P. Moller ‐ Maersk
Photo: Norwegian Maritime Museum Photo: A.P: Møller‐Mærsk

Nordisk Skibsrederforening 11
How to earn money from your ship

• 2: Sell it for a profit

08.09.2015
(c) A.P. Moller ‐ Maersk
Photo: Norwegian Maritime Museum Photo: A.P: Møller‐Mærsk

Nordisk Skibsrederforening 12
Your vessel in trouble

• Liability for pollution / damage

• Salvage

• Wreck removal

• Ship arrest / forced sale

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Insuring your ship

• Damage to your vessel: H&M (Hull and machinery)

• Liability : P&I (Protection and indemnity)

• Loss of hire insurance

• Defence cover

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End of the line

• Scrapping / recycling

• «Cash buyers»

• Scrapyards

• Green recycling

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 Part 2 – The Ships

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SHIP TYPES - OVERVIEW

Tankers

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SHIP TYPES - OVERVIEW

Bulk carriers / dry cargo ships

SHIP TYPES - OVERVIEW

Container vessels
SHIP TYPES - OVERVIEW

Oil and gas industry service vessels

TANKERS

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Tankers for crude oil

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Specialized tankers for products and chemicals

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Specialized tankers for gas (LNG)

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DRY CARGO VESSELS
/ BULK CARRIERS

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Coasters / general cargo ships

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Bulkers – Handymax etc. 30 – 60.000 dwt

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Bulkers – Capesize 150 – 200.000 dwt

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CONTAINER VESSELS

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Container vessels – Feeders

Measured in «TEU» ‐ Twenty‐foot Equivalent Unit»

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Large container vessels

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Vessels for rolling cargo

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Car carriers - PCC / PCTC

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TUGS, OFFSHORE AND
OIL SERVICES

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Platform Supply Vessel (PSV)

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Anchor handler (AHTS)

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Subsea construction support / installation vessels / IMR

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Drillships

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Crane vessels (revolving crane)

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Windmill installation vessels (jack-up)

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Heavy lift vessels (semi sub)

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Transportskip - Tungløftskip

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