Maritime Law Shipping and Maritime Law 3 — Questions and Answers
Question 1: Under US maritime law, a seaman's right to 'maintenance and cure' requires the shipowner to provide:
- Only medical treatment until the seaman fully recovers
- Daily living expenses and medical treatment until maximum medical improvement (Correct answer)
- Full wages for the entire duration of any illness
- Compensation equal to the seaman's annual salary
Correct answer: Daily living expenses and medical treatment until maximum medical improvement
Maintenance and cure obligates the shipowner to pay daily living expenses (maintenance) and medical costs (cure) until the seaman reaches maximum medical improvement (MMI).
Question 2: The 'unseaworthiness' doctrine in maritime law imposes liability on the shipowner when:
- The vessel sinks due to a storm
- A condition of the vessel or its equipment makes it not reasonably fit for its intended purpose (Correct answer)
- The crew fails to follow the captain's orders
- Cargo is loaded in excess of the vessel's capacity
Correct answer: A condition of the vessel or its equipment makes it not reasonably fit for its intended purpose
Unseaworthiness is an absolute duty requiring the vessel, its equipment, and crew to be reasonably fit for their intended purpose — liability is strict, not negligence-based.
Question 3: What is the primary function of a 'ship's mortgage' under the Ship Mortgage Act?
- To insure the vessel against maritime casualties
- To create a preferred maritime lien on the vessel that can be enforced by arrest (Correct answer)
- To register the vessel with the US Coast Guard
- To transfer ownership of the vessel to the lender
Correct answer: To create a preferred maritime lien on the vessel that can be enforced by arrest
A preferred ship's mortgage under the Ship Mortgage Act creates a preferred lien on the vessel, senior to most other maritime liens, enforceable through admiralty court arrest.
Question 4: In US admiralty law, which court has exclusive jurisdiction over most maritime matters?
- State courts only
- Federal district courts with admiralty jurisdiction (Correct answer)
- The US Court of International Trade
- The Federal Maritime Commission
Correct answer: Federal district courts with admiralty jurisdiction
Federal district courts have original and exclusive jurisdiction over most maritime and admiralty matters under Article III of the US Constitution.
Question 5: What is 'general average' in maritime law?
- The average speed of a vessel during a voyage
- A voluntary sacrifice of cargo or ship property to save the voyage, with losses shared proportionally by all interests (Correct answer)
- The standard carrier liability for cargo damage
- The average insurance premium for ocean cargo
Correct answer: A voluntary sacrifice of cargo or ship property to save the voyage, with losses shared proportionally by all interests
General average requires all cargo and ship interests to share proportionally in losses arising from a voluntary sacrifice made to save the common adventure.
Question 6: A 'time charter' differs from a 'voyage charter' primarily because:
- Time charters are always longer than one year
- Under a time charter, the charterer controls the vessel's commercial employment for a set period while the owner retains operational control (Correct answer)
- Voyage charters are used only for bulk cargo
- Time charters never require a security deposit
Correct answer: Under a time charter, the charterer controls the vessel's commercial employment for a set period while the owner retains operational control
In a time charter, the charterer directs commercial operations (what cargo, what ports) for a defined period, while the shipowner retains control over navigation and vessel management.
Question 7: Which US statute provides the primary framework for regulating ocean shipping competition and tariff filing for common carriers?
- The Jones Act
- The Shipping Act of 1984 as amended by the Ocean Shipping Reform Act (Correct answer)
- COGSA
- The Longshore and Harbor Workers' Compensation Act
Correct answer: The Shipping Act of 1984 as amended by the Ocean Shipping Reform Act
The Shipping Act of 1984, significantly amended by the Ocean Shipping Reform Acts of 1998 and 2022, governs ocean common carrier agreements, tariffs, and service contracts filed with the FMC.
Under US maritime law, a seaman's right to 'maintenance and cure' requires the shipowner to provide: