Limitation of Liability in the Workboat Industry
The owners of tugs and other workboats are entitled to limit their liability under the Shipowner's Limitation of Liability Act, 46 U.S.C. §30501 et seq. ("Limitation Act"), to the same extent as the owners of ocean-going ships. Thus, if a workboat is involved in a maritime casualty, the workboat's owner or bareboat charterer may be entitled to limit its liability to the value of the workboat after the incident, plus any towing charges, hire, or freight still owed for the job. (View PDF to read the rest of this article)
This article by Richard V. Singleton, partner at Blank Rome, is one in a series of articles written for Blank Rome Maritime's quarterly Mainbrace newsletter. To view the other articles in the December 2011 edition of Mainbrace, please click here.