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BOW WAVE 508

Bow Wave Issue 508--Yankee Edition


news and views on trade, insurance and risk

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(c)2009 WavyLine.com Issue No 508 10 Aug 09
Published free of charge to Readers
Editor: Sam Ignarski
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In this issue:

1. Welcome -- Guest Editor On Deck
2. NVOCC Agents Can Now Come Out From Hiding
3. Allowing Those Yanks To Arm -- They Would Anyway
4. The Month of July In Marine
5. London Gives America The Big Willie
6. And Finally...


1. Welcome -- Guest Editor On Deck

Your Editor Sam Ignarski is enjoying a well deserved vacation. Before departure Sam passed a temporary editorial torch for Bow Wave to the Yanks. The move was not completely without precedent given Sam's Anglo-American heritage. As your Guest Editor, my law partner of 30 years Byron Countryman is also an Anglo -American mix -- his father the American artillery Captain of 1943 who met & married Jessica, a rising star on Winston Churchill's War Staff. As it is said, we are one people, divided by a common language. Whatever the impetus for landing Edition 508 of Bow Wave in America -- all of us share the common weekly delight of knowing a unique combination of true industry education & tension breaking humor will be delivered to us by Sam Ignarski. Sam is a deep repository of vision, industry knowledge & heart.

This Yank is quite honored by the opportunity to very slightly take space in Sam's big shoes. Bow Wave Edition 508 includes your favorite features -- but with a little American flavor this week.

To visit our own e-zine Cargo Law, and our 24 hour Vessel Casualties:- www.cargolaw.com/cl-archives.php

Your Guest Editor,

Michael McDaniel
www.CargoLaw.com


Poem of the Week

England & America

Mother and child! Though the dividing sea
Shall roll its tide between us, we are one,
Knit by immortal memories, and none
But feels the throb of ancient fealty.
A century has passed since at thy knee
We learnt the speech of freemen, caught the fire That would not brook thy menaces, when sire
And grandsire hurled injustice back to thee.
But the full years have wrought equality:
The past outworn, shall not the future bring A deeper union, from whose life shall spring Mankind's best hope? In the dark night of strife
Men perished for their dream of Liberty
Whose lives were given for this larger life.

Florence T. Holt (1873--1953)


New Readers this week include:-

Hugo Garcia of California
Christoph Wahner of Countryman & McDaniel


News of Readers

Jeffrey Blum, the Director of Maritime Education & Training Limited (METL) tells us of evening classes in central London for the Professional Qualifying Examinations leading to membership of the Institute of Chartered Shipbrokers. The next new term will start on Monday, 14 Sept. 2008. Anyone interested in enrolling please contact METL:-

mailto:admin@metl.info

http://www.metl.info


2. NVOCC Agents Can Now Come Out From Hiding

In the recent U.S. District Court case of Landstar Exp. America, Inc. v. Federal Maritime Com'n, the court held the U.S. Federal Maritime Commission had exceeded its authority in ordering agents of non-vessel-operating common carriers (NVOCCs) to obtain licenses pursuant to the U.S. Shipping Act. Such agents met neither of the Act's stated characteristics of an NVOCC, namely holding themselves out to the public as a provider of transportation services or assuming responsibility for transportation. The Court ruled the Commission could not require agents of NVOCCs to obtain NVOCC licenses nor could it require agents of ocean freight forwarders (OFFs) to obtain OFF licenses. The policy advocated by the Commission in requiring such licensing of agents may convince Congress to update the statutory scheme, but in the interim the Commission cannot rewrite a statute to serve a perceived statutory "spirit." [569 F.3d 493 (C.A.D.C. 2009), decided 26 June 2009] Thanks to Christoph Wahner of the Countryman & McDaniel law firm.

The role played by reliable overseas agents for NVOCCs is life blood. To require those agents to meet licensing requirement would just take another step toward crushing the small NVOCCs, in favor of the multinational operators with actual company stations at all destinations. Time & time again, the small, often cultural based NVOCC, provides a service standard which the multinational operator can only hope to achieve.


3. Allowing Those Yanks To Arm -- They Would Anyway

Thanks to the author for this report by M.E. DeOrchis for the "Clienters LLP, New York

Bill Introduced To Provide Legal Protection For U.S. Vessels Who Fight Pirates

Heavily armed pirates in speedboats continue to chase and shoot at merchant vessels, which are then held for ransom. The large vessels try to increase speed and make evasive maneuvers in attempts to wiggle out of the danger, but, as everyone knows, numerous ships have fallen into the hands of these modern-day Blackbeards operating off the coast of Somalia or the Gulf of Aden. With no small arms on board, such merchant vessels are often easy prey for pirates. But even if armed security personnel are made part of the crew, what if they fired at someone they mistake for a pirate or innocent party?
Two bills have been introduced in the U.S. Congress to provide legal protection for shipowners, time charterers, and individual crewmembers who take steps in good faith to defend their vessels against attacks by pirates, H.R. 2984, and H.R. 3376, both named the "United States Mariner and Vessel Protection Act of 2009."

H.R. 2984, proposed amendments to Title 46, would allow trained crewmembers to defend U.S. vessels in international waters against pirate attacks. It provides that an "owner, operator, time charterer, or master of vessel" shall not be liable for any damages in an action brought in a federal or state court arising out of use of force (including lethal force) in defense of a vessel against piracy. The same defenses are afforded an individual "unless the individual is grossly negligent or engages in willful misconduct. "The proposed law would apply only if the individual who uses force authorized under the regulations is a licensed officer or documented merchant mariner who has completed training certified by the U.S. Coast Guard for use of firearms aboard vessels. Meanwhile, the USCG issued an Advisory for U.S. flagged vessels. Further, H.R. 294 would apply only to a certified U.S. vessel operating in waters designated by the Secretary of Defense as "high risk waters."

H.R. 3376 is simpler and flatly provides that "owners, charterers, operators, Masters and mariners shall not be liable for any injury or death caused by such force to any person participating in the act of piracy."

A third bill, already passed by the House of Representatives, the National Defense Authorization Act, H.R. 2647, would require the Department of Defense to protect U.S.-flagged ships in high risk waters, supplying military security teams to ride U.S. commercial vessels as they transit dangerous waters would be authorized by this bill.

Guest Editors Note:- While we await action by the U.S. Congress, the U.S. Coast Guard has issued three Port Security Advisories numbered 3-09, 4-09, and 5-09. These advisories address: protection for commercial vessels and embarked personnel, including hired security employing deadly force in self defense; guidance in obtaining a Temporary Export License in placing firearms on board vessels and standards which must be met by security personnel to perform shipboard tasks. There comes a time Yanks will always substitute international guidelines -- for more practical solutions to get the bad guys. Indeed, the Somali thugs have taken quite enough ships.


4. The Month of July In Marine

Thanks to Jason Copland for his monthly review:-

The Summer holidays are here, things have quieted down somewhat, here's a backwards glance at some of the happenings in July:

2 July - Turkey signs a contract with the German company Howaldtswerke-Deutsche-Werft for a series of six new submarines. Turkey becomes the fourth country wishing to equip itself with these vessels behind Greece, South Korea and Portugal.

2 July - The Newport Dock disaster which killed 39 people 100 years ago is remembered in the renaming of a road after Tom Lewis, the teenage hero of this disaster. More details here: http://news.bbc.co.uk/1/hi/wales/8129695.stm

3 July - Hartlepool unveils a large countdown clock showing "400 days to go" - that's 400 days until the town hosts the Tall Ships Race as the ships are due to cross the finishing line starting in August 2010.

3 July - HMS Portland returns to base in Devonport for a well earned rest after being on anti piracy patrols. During this patrolling operations the vessel has covered over 57,000 miles and has been involved in over 30 anti-piracy and anti-drug boat raids with one incident involving the sinking of one pirate vessel. HMS Portland returns to sea in September.

6 July - Members of the Nigerian militant group Movement for the Emancipation of the Niger Delta (MEND) capture six crew members of the Singaporean flagged tank ship "Sichem Peace". The militants boarded the vessel about 20 miles off the oil installation port of Escravos and forced 6 crew members including the vessel's captain to come ashore. The vessel itself was released and the remaining crew moved it further offshore. The six crew remain hostage.

7 July - Though not yet constructed, the UK's two new aircraft carriers are already in the thick of some heavy infighting over the defense budget. Since the announcement of the planned construction one year ago the cost estimate has risen by 25% to stand at GBP 5 billion. Nevertheless, the Govan shipyard conducted a steel cutting ceremony marking the official start of construction of the "HMS Queen Elizabeth" the first UK aircraft carrier to be built in the last 65 years.

7 July - The Marine Accident Investigation Board publishes the results of the inquiry into an incident on board the cross channel ferry "Eurovoyager" in which a fitter received serious crush injuries from an automatic water tight door to the vessel's engine room. The report found that the doors were often left switched to "local" control meaning that they may operated locally rather than central control and were often open whilst the vessel was at sea. In this instance the vessel was being inspected whilst on voyage and the master switched the doors to central control. The fitter was injured by a door which closed at a far higher rate than allowed. The incident resulted in the MAIB issuing a flyer to the shipping industry highlighting the dangers and the regulations governing such doors: http://www.maib.gov.uk/cms_resources.cfm?file=/Eurovoyager_Flyer.pdf

8 JulY - Turkish vessel "Horizon I" with a crew of 23 on board is captured by Somali pirates operating in the Gulf of Aden. The vessel was en route to Jordan from Saudi Arabia and despite being pirate control seems to be continuing on its course.

9 July - An unusual wreck removal gets under way on the island of Hirta in the St Kilda islands. The Spanish trawler "Spinningdale" ran aground on the island a year ago during storms and is now in danger of moving from its wreck site. Spanish salvors are cutting the vessel apart piece by piece to remove the remains.

9 July - Egyptian officials detain 25 persons believed to be Islamic militants on suspicion of plotting to attack shipping transiting the Suez Canal. It is claimed the group were plotting to attack vessels using explosives that could be detonated by mobile phones.

10 July - The BBC news website reports on the growing number of vessels being laid up in or near Singapore:
http://news.bbc.co.uk/1/hi/business/8142838.stm

10 July - A case of Swine Flu on board the Portuguese naval frigate "Bartholomeu Dias" results in the vessel being quarantined in the port of Devonport.

11 July - Marco Polo in uncharted territory. Following an outbreak of the less than delightful Norovirus on board the cruise vessel "Marco Polo" in Invergordon, all passengers will receive a full refund including the costs of their bar bill plus 50% discount of a future cruise. I suspect the vessel's owners Transocean Tours must be feeling a little sick after all that.

13 July - More troubles in Nigeria as MEND (see 6 Jul above) strikes again, this time attacking the oil tanker facilities at Atlas Cover Jetty in Lagos. A large explosion and gunfire was reported and officials later reported that 5 people had been killed.

14 July - As mentioned last month, it seems that the Queen isn't sure what to do, the QE2, due to become a feature of the landscape in Dubai may be off to South Africa as the owners delay the original plans: http://news.bbc.co.uk/1/hi/england/hampshire/8150229.stm

16 July - Nelson achieves a small victory at Trafalgar. Plans have been approved for a miniature replica of Nelson's flagship "HMS Victory" in a 5 m by 2.5 m bottle to take pride of place on the currently vacant fourth plinth at Trafalgar Square.

18 July - The crew of the American warship "USS Halyburton" become the first non British crew to undergo the Constable's Dues ritual. This involved the crew being denied entry into the city of London until a certain amount of cargo had been unloaded and presented to the crown. The "cargo" in this instance consisted of a small barrel of wine. The ritual dates back to the 14th century.

19 July - Royal Caribbean Cruises brand new 122,000 GT ship "Celebrity Equinox" arrives at Southampton prior to its official naming ceremonies. The ship is equipped with a large lawn - not as part of some carbon footprint offsetting but to allow passengers to play croquet, putting or other outdoor functions.

20 July - Maritime Reporter reports on the judgment of Captain John Cota, the pilot responsible for the contact and oil spill involving the vessel "Cosco Busan". Full details of the case available at Maritime Reporter's website here:
http://marinelink.com/en-US/News/Article/331283.aspx

20 July - "That's one small step for man" Neil Armstrong, U.S. Navy, becomes the first man to step on to the surface of the moon on this day in 1969.

21 July - Happy 50th Birthday to the world's first nuclear powered passenger/cargo vessel. The "NS Savannah" was launched on this day in 1959. The launch day celebrations will be re-created to mark this anniversary. Details of this vessel can be found on Wikipedia here: http://en.wikipedia.org/wiki/NS_Savannah

22 July - The six crew members of the "Sichem Peace" held captive by the Nigerian militant group MEND are released and taken to Lagos for medical checks.

23 July - The Royal Navy gets a new recruit, the latest warship, a type 45 destroyer is officially commissioned. After having a public open day earlier this month, HMS Daring will be ready for active duties as from 2011 - 2 years late and GBP 1.5 bn over budget. Ah well....better late than never.

24 July - and speaking of being late, 5 cargo ships, laden with wine and foodstuffs have been discovered near Italy. These Roman ships are believed to be amongst the best preserved ever to be found. Story here: http://news.bbc.co.uk/1/hi/world/europe/8168425.stm

26 July - The cruise vessel "Sapphire Princess" arrives in Vancouver with an unfortunate extra passenger - the carcass of a fin whale is found lodged in the ship's bow above the bulbous bow.

27 July - The IMO issues briefing number 27 reporting on efforts to introduce a framework for the control of Greenhouse Gases. Environmentalists are pushing for a fuel levy for ships but it is not expected that this will receive much support. The briefing can be found on the IMO website here:
http://www.imo.org/

28 July - MarineNews reports that Shell has signed an agreement with partners to construct a Floating liquefied Natural Gas facility FLNG capable of handling 3.5 million tons per annum. Full details here: http://marinelink.com/en-US/News/Article/331385.aspx

29 JulY - After 924 days, 2,400 containers, 62,000 tons, a cost estimated at GBP 50 million, numerous very busy average adjusters, dazzling displays of "heroism" by the brave citizens of Branscombe braving the stern craggy face of the law (and lawyers appointed by BMW Motorcycles) and a good few mentions of this case in the "Month of Marine" issues finally it's over. May I ask you to observe a moment's silence to reflect on what became probably the longest running saga since the Onedin Line - the final chapter in "Death of a Container Ship" has closed -the M/V MSC Napoli salvage is officially declared completed by the Secretary of State Representative for Maritime Salvage and Intervention (SOSREP). Follow the link for one last longing look at this story:
http://news.bbc.co.uk/1/hi/england/devon/8176760.stm I can't promise it but I'll try not to mention this vessel any more.

Guest Editors Note:- We agree with Jason that the M/V MSC Napoli saga is hard to put down. See our Cargo Law day-by-day photo feature:- www.cargolaw.com/2007nightmare_msc.napoli.html


5. London Gives America The Big Willie

Should Chicago's iconic Sears Tower -- the tallest building in the United States -- now go by the Big Willie? Why not, says the head of the insurance group which has just been granted naming rights to the building.

"People should have fun," said Joe Plumeri, CEO of Willis Group Holdings. "This is a town of neighbors, a town of ethnicities, a town of nicknames," said Plumeri, who said embarrassing monikers were a sign of affection in the New Jersey town where he grew up. "They can call it the Big Willie as far as I'm concerned," he said.

The official name -- the Willis Tower -- has not proven popular with residents of the Windy City since the name change was announced in March. An online petition protesting the change has garnered more than 36,000 signatures and a Chicago Tribune columnist bemoaned "would New York let this happen to the Empire State and Chrysler buildings?" Plumeri, who calls the naming rights "priceless," said he understands the sensitivity and vows to win the city's affection by being a good corporate citizen. Willis won the naming rights after negotiating to lease several floors of the 110-story black tower which dominates the city's skyline. The naming right has been up for grabs for years after retailer Sears, Roebuck and Co. moved out in 1993. First opened in 1973, the Sears Tower held the record for the world's tallest building for 25 years until the Petronas Towers in Kuala Lumpur, Malaysia were built in 1998. A series of glass bays that extend out from the building were added to the Skydeck -- a major tourist attraction -- offering visitors an unobstructed view of the city some 1,353 feet (412 meters) down.

http://www.willis.com/


6. And Finally...

Many Thanks To K.K. Chranda in Hong Kong Who Confirms Just How Much Size Matters:-

A small mistake at the Port of Seattle is going to cost a lot, about US$1M. The problem is 2/100ths of an inch, and it delayed the opening of a celebrated project by two months, reported The Seattle Times. The port constructed a new cargo terminal on the Seattle waterfront and dug a trench to hold the electrical cable for cranes that lift containers from ships. The new trench, built by contractor BergerABAM, is narrower than it should be, so the cable doesn't fit. "Clearly the contractor should've built the trench at 2.52 inches and it's 2.5," said Port Commission president Bill Bryant. The cost of a new narrower cable is about US$200,000. Because the mistake delayed the opening of Terminal 30, the port is considering a rent credit for tenant SSA Marine that might exceed US$1M. Port Commissioner John Creighton called the proposed solution "the best course forward out of a bad situation". Who is liable for what share of the cost remains a topic of negotiations among the Port, BergerABAM & SSA Marine.


P.S.

Thanks To Our Legal Colleague Frazer Hunt For Some Tips On Dealing With Those Pesky Yanks:-

Q. How many American tourists does it take to change a light bulb? A. Fifteen. Five to figure out how much the bulb costs in local currency, four to comment on "how funny-looking" local lightbulbs are, three to hire a local person to change the bulb, two to take pictures, and one to buy postcards in case the pictures don't come out.


An American was telling one of his favorite jokes to a group of friends.

"Hell is a place where the cooks are British, the waiters are French, the policemen are Germans, and the trains are run by Italians." The lone European in the group pondered all this for a second and responded, "I can't say about the police and the trains, but you're probably right about going out to eat. A restaurant in Hell would be one where customers are all Americans."

(with thanks to Frazer Hunt in Sydney)


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