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Home When LOF is needed Understanding Lloyd's Form Casualty response: emergency guidance for Masters & owners
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Introduction
LOF: Frequently asked questions
LOF's origins and history
"Best endeavours": LOF's purpose
LOF's advantages
Legal / liability issues
Introduction

Zhi Qiang
The bulk carrier Zhi Qiang ran aground on a reef off Papua New Guinea. The 45,000 DWT vessel was refloated.

Whilst a salvor may obtain a LOF contract to salve a casualty, the shipowner and the Master remain in overall control and are responsible for ship and cargo. However, the salvor – with his experience and contractual duty (Clause A, LOF) to use his best endeavours to salve ship and cargo – will usually take the lead and instigate such salvage action as may be necessary (including seeking assistance from others, when required). As in the case of the Master and shipowner, the salvor has a responsibility, in most circumstances, to keep the local authorities advised as to what is going on and seek such permissions as are necessary. The salvor will liaise closely with the Master and shipowner on this and all salvage matters.

Clause A, LOF 2000

The relationship between salvor, shipowner and Master

Fowairet
Tugs push against the container vessel Fowairet, which suffered “hogging” damage and flooding after running aground in September 2005 in the Scheldt.

Conrad Oldendorff
Lightering under way: the 76,000 DWT Panamax bulk carrier Conrad Oldendorff ran around off Bornholm during the Summer of 2006. The refloating required the discharge of 7,500 tonnes of coking coal. Following the refloating, bunkers and cargo were reloaded and the voyage resumed.

Mighty Servant 3
Successful refloating: the heavy transportation vessel Mighty Servant 3 was refloated in African waters during 2007. The recovery of the vessel was achieved by a combination of pressurisation and the lifting power of a large sheerlegs.

The respective duties of salvor, shipowner and Master are clearly set out in Article 8 of The Salvage Convention, 1989. The salvor has a duty to the salved property to: carry out the salvage with due care and, in so doing, to prevent or minimise damage to the environment; to seek further assistance when reasonably required; and to accept the reasonable intervention of others when necessary. The shipowner and Master have a duty to: co-operate fully; exercise due care to prevent damage to the environment; and, when the property is brought to a place of safety, to accept redelivery when reasonably requested. Under Article 21 the shipowner also has a duty, at the end of the service, to provide security for the ship and assist in the obtaining of security from cargo.

Article 8, The Salvage Convention, 1989
Article 21, The Salvage Convention, 1989

LOF, which incorporates The Salvage Convention, 1989, places an obligation on the salvor (Clause A), to use his best endeavours to salve ship and cargo (i.e. to complete the salvage operation) and the duties of all parties to the contract (including cargo) (Clause F) to co-operate and assist one another.

Clause A, LOF 2000
Clause F, LOF 2000

The shipowner, Master and crew – who will be more familiar with their ship – can materially contribute to any salvage operation by readily providing essential information. The emphasis in the contract is that all parties should work as a team for the common good. Working together, under the direction of the Salvage Master, can make a major contribution to the ultimate success of any salvage operation and is a factor that is taken into account by an Arbitrator in assessing an Award.

Legal / liability issues