Answer
Ans – LLMC stands for International convention for Limitation of liability for Maritime claims. EIF 1986
Came into existence to set up a cover claim for loss of life or damage to property and also limit the
compensation paid by the ship owner. Limitation of liability can not be exercised if it is proved that due diligence was not carried out by the ship owner and or he has deliberately done actions that led to such a loss.
The limit of liability for claims for loss of life or personal injury on ships not exceeding 2,000 gross tonnage is 3.02 mill SDR.
For larger ships, the following additional amounts are used in calculating the limitation amount: For each ton from 2,001 to 30,000 tons, 1208
For each ton from 30,001 to 70,000 tons, 906 For each ton in excess of 70,000, 604
The limit of liability for property claims for ships not exceeding 2,000 gross tonnage is 1.51 million SDR.
For larger ships, the following additional amounts are used in calculating the limitation amount:
For each ton from 2,001 to 30,000 tons, 604 SDR
For each ton from 30,001 to 70,000 tons, 453 SDR
For each ton in excess of 70,000, 302 SDR
Article 3 of LLMC – Claims exclusion
a.Claims for salvage including if applicable, any claim for special comensatn under article 14 of Intrntnl convent on salvage, 1989 or contribution in G.A.
b.Claims for oil pollution damage within the meaning of CLC convention, 1969 or any amendment of protocol. c.Claims subject to any international convent prohibiting limitation of laibilty for nuclear damage.
d.Claims against shipowner of a nuclear ship for nuclear damage
e.Claims by servants of the shipowner or salvor whose duties are connected with the ship or salvage operations.