Decision ID: 001035

In April 1999 the 1971 Fund Executive Committee reconsidered the question as to whether or not the claim by the shipowner’s insurer for indemnification under Article 5.1 of the 1971 Fund Convention had become time barred vis-à-vis the 1971 Fund. The Committee noted the Director’s view that, on the basis of a reasonable interpretation of Articles 6.1 and 7.6 of the 1971 Fund Convention, the notification made by the shipowner through the Court in August 1996 had prevented the claim from becoming time-barred, since this notification had made it possible for the Fund to protect its interests in respect of claims paid by the shipowner/insurer, which formed the basis of the insurer’s claim for indemnification. The Committee decided that the insurer’s claim for indemnification should be treated as not time-barred.

Date: 31.03.1999
Category: Financial limits, limitation proceedings and indemnification
Subject: Indemnification of the shipowner under Article 5.1 of the 1971 Fund Convention