Question

what are the Hague, The Hague-Visby and The Hamburg Rules? and what is the relationship between common carrier and cargo owner under the each role?

Answer 1

A contract of carriage by sea is between shipper and ship owner or carrier. The terms of this contract are laid under a document called the bill of lading. Under common laws, the parties to the contract under the bill of lading have the freedom to negotiate their own terms. This led the carrier to a strong bargaining position. Most shippers were expected to ship on terms set by carrier or not ship at all. In England, this led to an agreement among the parties but in other countries, cargo owner was powerful enough to influence the legislature.

The first codification of laws concerning carriage of goods by sea is under Harter Act 1893 by the USA and other countries followed. This led to the formation of Hague rules, 1924. The Hamburg rules came into force when the secretariate of UNCTAD requested for the revision of Hague rules.

The aim of Hague-Visby and Hague rules was to protect cargo owners from the exclusion of liability by sea carriers which was achieved by incorporating standard clauses in the bill of lading.

Both rules are nearly same except their applicability; Hague rue was restricted by the Carriage of sea Act 1924. Article-X of the Hague- Visby rules has extended it to a wider ambit. The Hague rule does not use the word " contracting states" but Hague-Visby uses it so that no conflict of law situations arise.