Both to Blame Clause.

Answer

The Both to Blame Collision Clause is a standard protective provision included in Bills of Lading (B/L) and Charterparties. It addresses a specific conflict between international maritime conventions (Hague/Hague-Visby Rules) and US Maritime Law regarding cargo damage claims following a collision where both vessels are at fault.

Under Article IV Rule 2(a) of the Hague/Hague-Visby Rules (and the Indian Merchant Shipping Act / Carriage of Goods by Sea framework), a carrier (Ship A) is exempt from liability to its own cargo owners for loss or damage caused by an "act, neglect, or default of the master, mariner, pilot, or the servants of the carrier in the navigation or in the management of the ship."

However, under US Maritime Law, a cargo owner on Ship A can sue the non-carrying vessel (Ship B) for 100% of their cargo loss, even if Ship B was only partially at fault (e.g., 50/50 liability).

[Collision: Ship A (50% fault)  <--->  Ship B (50% fault)]

1. Cargo Owner on Ship A sues Ship B directly for 100% of cargo damage.
2. Under US law, Ship B pays 100% to Cargo Owner.
3. In the cross-liability settlement, Ship B recovers 50% of that payout back from Ship A.

The Anomaly: Ship A ends up indirectly paying 50% for damage to its own cargo—effectively destroying its statutory immunity for errors in navigation under Hague-Visby Rules.

The Both to Blame Collision Clause states that if a vessel collides with another due to the negligence of both ships, the cargo owners on board must indemnify their own shipowner for any amount that the non-carrying ship recovers from their shipowner regarding that cargo loss.

• Purpose: Restores the shipowner's statutory exemption for nautical fault.

• Effect: If Cargo Owner gets $100,000 from Ship B, and Ship B recovers $50,000 from Ship A, Cargo Owner must reimburse $50,000 back to Ship A.

In 1 word - Apportionment