Sails Split or Blown Away Sails split by the wind, or blown away while set, unless occasioned by the ship's grounding or coming into collision, or in consequence of damage to the spars to which the sails are bent, are not charged to underwriters. Dry Dock Expenses That where repairs on owner's account which can only be effected in dry dock are executed concurrently with other repairs, for the cost of which the underwriters are liable, and which also can only be effected in dry dock, the cost of entering and leaving the dry dock, in addition to so much of the dock dues as is common to both repairs, shall be divided equally between the shipowner and the underwriters. This division shall apply in those cases where a vessel is due for ordinary dry docking or for repairs on owner's account necessary for procuring or retaining her class; but it shall not apply when the shipowner has only taken advantage of the vessel being in dry dock to scrape or paint or to effect any other repairs not immediately necessary, but which it may then be convenient to effect. Deduction of One-third The deduction for new work in place of old is fixed by custom at one-third, with the following exceptions :Anchors are allowed in full. Chain cables are subject to onesixth only. Metal sheathing is dealt with by allowing in full the cost of a weight equal to the gross weight of metal sheathing stripped off, minus the proceeds of the old metal. Nails, felt, and labour metalling, are subject to one-third. The rule applies to iron as well as to wooden ships, and to labour as well as material. It does not apply to the expense of straightening bent ironwork, and to the labour of taking out and replacing it. It does not apply to graving-dock expenses and removals, cartages, use of shears, stages, and graving-dock materials. It does not apply to a ship's first voyage. N.B.-Articles belonging to, or repairs done to a ship, other than an iron ship, allowed in general average, are subject to similar deductions in respect to new for old materials as are made in adjusting claims of particular average on ship. PARTICULAR AVERAGE ON GOODS Adjustment on Bonded Prices In the following cases it is customary to adjust particular average on a comparison of bonded, instead of duty-paid prices : In claims for damage to tea, tobacco, coffee, wine, and spirits imported into this country. Adjustment of Average on Goods sold in Bond That in consequence of the facilities generally offered to bond goods at their destination, on which terms they are often sold, the term 'gross proceeds" shall, for the purpose of adjustment, be taken to mean the price at which the goods are sold to the consumer, after payment of freight and landing charges, but exclusive of customs duty, in cases where it is the custom of the port to sell or deal with the goods in bond. Apportionment of Insured Value of Goods That where different qualities or descriptions of cargo are valued in the policy at a lump sum, such sum shall, for the purpose of adjusting claims, be apportioned on the invoice values, where the invoice distinguishes the separate values of the said different qualities or descriptions; and over the net arrived sound values in all other cases. Under-Insured Interest made good in General Average That an underwriter who has paid for loss by jettison of the thing insured is entitled, in the proportion that the sum insured bears to the policy value, to whatever is recovered in general average in respect to such loss, although the amount so recovered may exceed the amount paid by him. Allowance for Water in Picked Cotton When bales of cotton are picked, and the pickings are sold wet, the allowance for water in the pickings (where there are no means of ascertaining it) is by custom fixed at one-third. Allowance for Water in Cut Tobacco When damaged tobacco is cut off, the allowance for water in the cuttings is one-fourth. Allowance for Water in Wool Damaged wool from Australia, New Zealand, and the Cape is subject to a deduction of 3 per cent for wet, if the actual increase cannot be ascertained. Franchise Charges The expenses of protest, survey, and other proofs of loss, including the commission or other expenses of a sale by auction, are not admitted to make up the percentage of a claim; and are only paid by the underwriters in case the loss amounts to a claim without them. Extra Charges Extra charges payable by underwriters, when incurred at the port of destination, are recovered in full; but when charges of the same nature are incurred at an intermediate port they are subjected to the same treatment, in respect of insured and contributory values, as general average charges. Adjustment of Return of Premium When the words "and arrival" follow the stipulation for a return of premium on a policy on goods, the particular average, but not the special charges, is deducted from the amount insured to arrive at the amount on which the return is taken. PROBATIONARY RULES At the meeting of May 1896 probationary rules were adopted regarding (1) Allowances to be made in general average under YorkAntwerp Rules in respect of the cost of maintenance of officers and crew. (2) The duty of adjusters, in cases involving refunds of general average deposits, or apportionment of salvage, collision recoveries, or other funds. (3) Vessel in ballast and under charter, contributing interests. (4) Expenses of removing a vessel for repair. These rules will come up for confirmation in May 1897. APPENDIX H YORK-ANTWERP RULES Association for the Reform and Codification of the LIVERPOOL CONFERENCE, 1890 Rule I.-Jettison of Deck Cargo No jettison of deck cargo shall be made good as general average. Every structure not built in with the frame of the vessel shall be considered to be a part of the deck of the vessel. Rule II.-Damage by Jettison and Sacrifice for the Common Safety Damage done to a ship and cargo, or either of them, by or in consequence of a sacrifice made for the common safety, and by water which goes down a ship's hatches opened or other opening made for the purpose of making a jettison for the common safety, shall be made good as general average. Rule III.-Extinguishing Fire on Shipboard Damage done to a ship and cargo, or either of them, by water or otherwise, including damage by beaching or scuttling a burning ship, in extinguishing a fire on board the ship, shall be made good as general average; except that no compensation shall be made for damage to such portions of the ship and bulk cargo, or to such separate packages of cargo, as have been on fire. Rule IV.-Cutting away Wreck Loss or damage caused by cutting away the wreck or remains of spars, or of other things which have previously been carried away by sea peril, shall not be made good as general average. Rule V.-Voluntary Stranding When a ship is intentionally run on shore, and the circumstances are such that if that course were not adopted she would inevitably sink, or drive on shore or on rocks, no loss or damage caused to the ship, cargo, and freight, or any of them, by such intentional running on shore shall be made good as general average. But in all other cases where a ship is intentionally run on shore for the common safety, the consequent loss or damage shall be allowed as general average. Rule VI.-Carrying Press of Sail-Damage to or Loss of Sails Damage to or loss of sails and spars, or either of them, caused by forcing a ship off the ground, or by driving her higher up the ground, for the common safety, shall be made good as general average; but where a ship is afloat, no loss or damage caused to the ship, cargo, and freight, or any of them, by carrying a press of sail shall be made good as general average. Rule VII.-Damage to Engines in Refloating a Ship Damage caused to machinery and boilers of a ship, which is ashore and in a position of peril, in endeavouring to refloat, shall be allowed in general average, when shown to have arisen from an actual intention to float the ship for the common safety at the risk of such damage. Rule VIII.-Expenses Lightening a Ship when Ashore, and Consequent Damage When a ship is ashore and, in order to float her, cargo, bunker coals, and ship's stores, or any of them are discharged, the extra cost of lightening, lighter hire, and reshipping (if incurred), and the loss or damage sustained thereby, shall be admitted as general average. Rule IX.-Cargo, Ship's Materials, and Stores burnt for Fuel Cargo, ship's materials, and stores, or any of them, necessarily burnt for fuel for the common safety at a time of peril, shall be admitted as general average, when and only when an ample supply of fuel had been provided; but the estimated quantity of coals that would have been consumed, calculated at the price current at the ship's last port of departure at the date of her leaving, shall be charged to the shipowner and credited to the general average. |