Shipping Lawyer Maritime Contract Law 2

Question 1

What is 'demurrage' in maritime law?

Accepted Answer

Liquidated damages for detaining a vessel beyond laytime

Answer

A port entry fee

Answer

A cargo inspection charge

Answer

A customs duty

Question 2

Under COGSA, what is the per-package liability limit for cargo damage?

Accepted Answer

$500

Answer

$100

Answer

$250

Answer

$1,000

Question 3

Which COGSA defense exempts a carrier from liability when cargo damage results from an act of God?

Accepted Answer

Act of God defense

Answer

Negligence exception

Answer

Perils of the sea defense

Answer

Inherent vice defense

Question 4

What is a 'safe port' warranty in a time charter?

Accepted Answer

A charterer's undertaking that nominated ports are safe for the vessel

Answer

A guarantee that the port has no piracy risk

Answer

A warranty that port fees are capped

Answer

An assurance of fast turnaround

Question 5

Which legal doctrine allows cargo to be substituted for lien payment in maritime disputes?

Accepted Answer

Lien on cargo

Answer

Subrogation

Answer

General average

Answer

Arrest of vessel

Question 6

What does the 'Himalaya clause' in a bill of lading do?

Accepted Answer

Extends carrier defenses and limitations to servants and agents

Answer

Limits cargo weight

Answer

Specifies the governing law

Answer

Requires arbitration in London