The Inter-Club Agreement (ICA) was formulated in in order to promote amicable and equitable settlements for cargo claims under the. The Inter-Club Agreement (ICA) first came into force on 20 February It was revised in , in. and again in See 24 August , Standard. CIRCULAR REF: / CIRCULATED TO ALL MEMBERS, BROKERS AND DIRECTORS. The Inter-Club New York Produce Exchange Agreement, which.
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The purpose behind the development of the ICA was to avoid costly and protracted litigation. Since charterers have no control over the navigation or management of the vessel, such a result would seem inequitable. Inter-Club Agreement as amended 1 September Such notification shall if possible include details of the contract of carriage, the nature of the claim and the amount claimed. Agreeement the vessel finally discharged in Maycargo damage was discovered.
We have placed cookies on your computer to help make this website better. As will be seen, it has also been necessary to make a number of additional consequential but not substantive amendments to the Agreement.
As the new agreement takes effect from 1st Inetrclubwe recommend its incorporation into all NYPE and Asbatime charterparties going forward.
This was implied in the form. Since stowage of the cargo inside the container takes place ashore, the cause of the loss or damage will have taken place prior to the container being loaded onto the vessel and therefore any claim arising therefrom should fall outside the ambit of the ICA. In practice the result should be the same as under the form. The dispute concerned a vessel that was fixed on a time charter trip interlub to carry soya bean meal from South America to Iran.
The ICA, since its inception, has been amended on two occasions. The new version is also an attempt to arrange the Agreement in a more logically structured way, to make it agreemeht “user-friendly”. All other claims whatsoever including claims for delay to cargo where there is not irrefutable evidence that 196 claim arose out of the act or neglect of one party or the other including its servants or sub-contractors.
Inter-Club Agreement (as amended 1 September 2011)
The Security Provision has been incorporated into the Agreement as clause 9. It was common ground that liability as between owners and charterers for the cargo claim was to be apportioned in accordance with clause 8 d of the ICA which had been incorporated into the charter. For the last 12 years the version ICA has been in operation. Up-to-date information about topical issues is provided by the Industry News service.
Under the form the Agreement will continue to apply where the cargo claim is brought under a bill or bills of lading, and the wording has been amended to reflect the fact that the claim must be brought under such document s.
The ICA appears to have become somewhat standard in the trade, since it is now often expressly incorporated into charterparties in the NYPE form. In cases of through or combined transport, “delivery” will be delivery by the relevant contractual carrier under the through bill of lading which may be some distance in time and place from the vessel. Loss of cargo; damage to cargo; shortage of cargo incl.
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The apportionment 7 The amount of any cargo claim to be apportioned under this Agreement shall be the amount in fact borne by the party to the charterparty seeking apportionment, regardless of whether that claim may be or has been apportioned by application of this Agreement to another charterparty. The Group has taken the view, which Counsel has confirmed, that this provision makes payment of a Cargo Claim as defined under clause 3 of the Agreement a condition precedent to a right to indemnity.
The ICA endeavours to remove the contradiction contained in the formula.
Inter-Club Agreement – Comparison Between 1984 and 1996 Forms
The apparent more generous time bar for Hamburg Rules cases is necessary due to the fact that under the Hamburg Rules there is a two year limitation period 14 compared to the one year under the Hague and Hague-Visby Rules.
This Agreement replaces the Inter-Club Agreement interclyb respect of all charterparties specified in Clause 1 hereof and shall continue in force until varied or terminated.
Accordingly in the absence of payment, no accrued cause of action inrerclub and there is onterclub no right, prior to payment, for the party sued in respect of a Cargo Claim to require that the other party to the charterparty, provide security which could be sought, by, for example, arresting or threatening to arrest a vessel or other property. Site search Search keyword s: As a result, the new form says clearly that the addition of the words “and responsibility” in Clause 8 is not a material amendment even though the inclusion of such words will affect the manner in which liability is apportioned – see comments to “Apportionments” belowbut that the addition of the words “cargo claims” to Clause 26 renders the Agreement inoperative even if it is expressly incorporated into the charterparty.
Governing Law 9 This Agreement shall be subject to English Law and Inyerclub, unless it zgreement incorporated into the charterparty or the settlement of claims in respect of cargo under the charterparty intercluub made subject to this Agreementin which case it shall be subject to the law and jurisdiction provisions governing the charterparty.
In addition, there is now a new requirement that the cargo claim must also be paid. The ICA does not contain the sentence “The Agreement is not binding on Members”, which appeared in the version.
Interpretation of the Inter-Club Agreement – Thomas Cooper LLP
The Agreement has now been amended once again in order to overcome some of the effects of the above-mentioned decision, as well as to adapt it to the carriage of containerised cargo, and to deal with other issues which have given rise to disputes over the years. Still, the omission of this sentence may serve to avoid confusion when the ICA is jnterclub incorporated into charterparties and thereby binding on charterers xgreement owners. A material amendment is defined in both forms as one which makes liability for cargo claims clear.
However, this is subject to the proviso that where charterers can prove that the failure to properly load, stow or handle etc.