Salvage and Towage Law Flashcards
6 cards from real Maritime Law practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Salvage and Towage Law flashcards as text
Under the International Salvage Convention 1989 (implemented in the U.S. via 46 U.S.C. §§ 80101–80107), a traditional salvage award requires:
Answer: A voluntary service that results in a successful outcome
Traditional salvage law requires that the service be voluntary (not legally required), performed in navigable waters, and result in a successful outcome saving the property.
The 'no cure, no pay' principle in salvage means:
Answer: The salvor is only paid if the salvage operation is successful
No cure, no pay means the salvor's compensation is contingent on success — if the vessel or cargo is not saved, the salvor receives no remuneration regardless of effort expended.
The Special Compensation P&I Club (SCOPIC) clause modifies 'no cure, no pay' by providing a salvor with:
Answer: A minimum safety net payment even when the salvage operation fails to save property
SCOPIC provides salvors with a minimum rate-based compensation to encourage them to engage in environmentally sensitive salvages where the property value may be low but pollution risk is high.
Article 14 of the 1989 Salvage Convention introduced 'special compensation' to incentivize salvors to:
Answer: Prevent or minimize environmental damage even when property value is minimal
Article 14 special compensation covers the salvor's expenses and adds an uplift for preventing environmental damage, even if the salved property value would not support a traditional award.
The factors a court considers when assessing a salvage award include all of the following EXCEPT:
Answer: The nationality of the salvage vessel
Salvage award factors under the Salvage Convention Article 13 include danger, skill, success, risk to salvors, environmental protection, and salved values — but not the nationality of the salving vessel.
Under U.S. law, which category of workers is generally NOT entitled to claim a salvage award?
Answer: Crew members of the vessel in distress
Crew members of the distressed vessel generally cannot claim salvage for duties that fall within their employment obligations to save the ship.