Maritime claims subject to limitation of liability in Vietnam

Maritime claims subject to limitation of liability in Vietnam (Internet image) 

Regarding this issue, LawNet would like to answer as follows:

1. Maritime claims subject to limitation of liability in Vietnam

Claims subject to limitation of liability according to Article 299 of the Vietnam Maritime Code 2015 are as follows:

- Claims in respect of loss of life or personal injury or other health-related damage; loss of or damage to property, including damage to harbour works, basins and waterways and aids to navigation, occurring on board or in direct connexion with the operation of the ship or with salvage operations, and consequential loss resulting therefrom.

- Claims in respect of loss resulting from delay in the carriage by sea of cargo, passengers or their luggage.

- Claims in respect of other loss resulting from infringement of rights other than contractual rights, occurring in direct connexion with the operation of the ship or salvage operations;

- Claims in respect of the raising, removal, destruction or the rendering harmless of a ship which is sunk, wrecked or abandoned, including anything that is or has been on board such ship.

- Claims in respect of the removal, destruction or the rendering harmless of the cargo carried by the ship.

- Claims of a person other than the person liable in respect of measures taken in order to avert or minimize loss for which the person liable may limit his liability, and further loss caused by such measures.

2. Maritime claims excepted from limitation of liability in Vietnam

Claims excepted from limitation of liability under Article 300 of the Vietnam Maritime Code 2015 are as follows:

- Claims for salvage or contribution in general average.

- Claims for oil pollution damage.

- Claims for nuclear and radiation pollution damage.

- Claims by servants of the shipowner or salvor whose duties are connected with the ship or the salvage operations; claims of their heirs, dependants or other persons entitled to make such claims, if under the law governing the contract of service between the shipowner or salvor and such servants the shipowner or salvor is not entitled to limit his liability in respect of such claims, or if he is by such law only permitted to limit his liability to an amount greater than that provided for in Article 301 of the Vietnam Maritime Code 2015.

3. Limits of liability for maritime claims in Vietnam

The limits of civil liability for maritime claims according to Article 301 of the Vietnam Maritime Code 2015 are as follows:

- Limits of liability for claims in respect of loss of life or personal injury or other health-related damage to passengers on board the ship; loss of or damage to property carried by sea shall be consistent with provisions of Article 209 of the Vietnam Maritime Code 2015.

- Limits of liability for other claims in respect of loss of life or personal injury or other health-related damage to persons other than passengers shall be provided for as follows:

+ 167,000 units of account for a ship with a tonnage of 300 tons;

+ 333,000 units of account for a ship with a tonnage ranging from 300 tons to 500 tons;

+ In respect of a ship with a tonnage in excess thereof, the following amount in addition to that mentioned in subparagraph b of this paragraph: for each ton from 501 to 3,000 tons, 500 Units of Account; for each ton from 3,001 to 30,000 tons, 333 Units of Account; for each ton from 30,001 to 70,000 tons, 250 Units of Account; for each ton in excess of 70,000 tons, 167 Units of Account.

- Limits of liability for other claims in respect of other claims shall be provided for as follows:

+ 83,000 units of account for a ship with a maximum tonnage of 300 tons;

+ 167,000 units of account for a ship with a tonnage ranging from 300 GT to 500 GT;

+ In respect of a ship with a tonnage in excess thereof, the following amount in addition to that mentioned in subparagraph b of this paragraph: for each ton from 501 to 30,000 tons, 167 Units of Account; for each ton from 30,001 to 70,000 tons, 125 Units of Account; for each ton in excess of 70,001 tons, 83 Units of Account.

- Where the amount calculated in accordance with paragraph 2 of Article 301 of the Vietnam Maritime Code 2015 is insufficient to pay the claims mentioned therein in full, the amount calculated in accordance with paragraph 3 of Article 301 of the Vietnam Maritime Code 2015 shall be available for payment of the unpaid balance of claims under paragraph 2 of Article 301 of the Vietnam Maritime Code 2015 and such unpaid balance shall rank ratably with claims mentioned under paragraph 2 of Article 301 of the Vietnam Maritime Code 2015.

- Claims referred to in paragraph 3 of Article 301 of the Vietnam Maritime Code 2015 in respect of damage to harbour works, basins and navigational channels and aids to navigation shall have such priority over other claims.

- The limits of liability for any salvor not operating from any ship or for any salvor operating solely on the ship to, or in respect of which he is rendering salvage services, shall be calculated according to a tonnage of 1,500 GT.

- Limits of liability defined in Article 301 of the Vietnam Maritime Code 2015 shall be applied to total value of claims arising on a distinct occasion.

- Limits of liability referred to in Article 301 of the Vietnam Maritime Code 2015 shall be converted into Vietnamese dong according to the exchange rate announced by the State Bank on the payment date.

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