Volume 49 · 1480
Public Law 74–521
Relative to limitation of shipowners’ liability.
Approved June 5, 1936
Statutory text
AN ACT
Relative to limitation of shipowners’ liability.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
That section 4283
Limitation of shipowners’ liability.
R. S., sec. 4283, p. 827.
U. S. C., p. l998; Supp. I, p. 273.
Ante, p. 960.
of the Revised Statutes, as amended (U. S. C., 1934 ed., title 46, sec. 183; Supp. I, title 46, sec. 183), is hereby amended to read as follows:
“Sec. 4283.
(a) The liability of the owner of any vessel, whether
Liability of owner; amount.
American or foreign, for any embezzlement, loss, or destruction by any person of any property, goods, or merchandise shipped or put on board of such vessel, or for any loss, damage, or injury by collision, or for any act, matter, or thing, loss, damage, or forfeiture, done, occasioned, or incurred, without the privity or knowledge of such owner or owners, shall not, except in the cases provided for in subsection (b) of this section, exceed the amount or value of the interest of such owner in such vessel, and her freight then pending.
“(b) In the case of any seagoing vessel, if the amount of the
Seagoing vessels; liability when owner’s interest insufficient to pay losses in full.
owner’s liability as limited under subsection (a) is insufficient to pay all losses in full, and the portion of such amount applicable to the payment of losses in respect of loss of life or bodily injury is less than $60 per ton of such vessel’s tonnage, such portion shall be increased to an amount equal to $60 per ton, to be available only for the payment of losses in respect of loss of life or bodily injury.
Proportionate Payment if amount insufficient for full settlement.
If such portion so increased is insufficient to pay such losses in full, they shall be paid therefrom in proportion to their respective amounts.
“(c) For the purposes of this section the tonnage of a seagoing steam or motor
Proviso.
Space excluded.
vessel shall be her gross tonnage without deduction on account of engine room, and the tonnage of a seagoing sailing vessel shall be her registered tonnage: Provided, That there shall not be included in such tonnage any space occupied by seamen or apprentices and appropriated to their use.
“(d) The owner of any such seagoing vessel shall be liable in respect of loss of life or bodily injury arising on distinct occasions to the same extent as if no other loss of life or bodily injury had arisen.
“(e) In respect of loss of life or bodily injury the privity or knowledge of the master of a seagoing vessel or of the superintendent or managing agent of the owner thereof, at or prior to the commencement of each voyage, shall be deemed conclusively the privity or knowledge of the owner of such vessel.
“(f) As used in subsections (b), (c), (d), and (e) of this section and in section 4283A, the term ‘seagoing vessel’ shall not include pleasure yachts, tugs, towboats, towing vessels, tank vessels, fishing vessels or their tenders, self-propelled lighters, nondescript self-propelled vessels, canal boats, scows, car floats, barges, lighters, or nondescript non-self-propelled vessels, even though the same may be seagoing vessels within the meaning of such term as used in section 4289 of this chapter, as amended.”
Sec. 2.
Chapter 6 of title 48 of the Revised Statutes, as amended, is hereby amended by inserting after section 4283A the following new section:
“Sec. 4283B. Stipulations Limiting Liability for Negligence Invalid.—
It shall be unlawful for the manager, agent, master, or owner of any vessel transporting passengers between ports of the United States or between any such port and a foreign port to insert in any rule, regulation, contract, or agreement any provision or limitation (1) purporting, in the event of loss of life or bodily injury arising from the negligence or fault of such owner or his servants, to relieve such owner, master, or agent from liability, or from liability beyond any stipulated amount, for such loss or injury, or (2) purporting in such event to lessen, weaken, or avoid the right of any claimant to a trial by court of competent jurisdiction on the question of liability for such loss or injury, or the measure of damages therefor. All such provisions or limitations contained in any such rule, regulation, contract, or agreement are hereby declared to be against public policy and shall be null and void and of no effect.”
Sec. 3.
Section 4285 of the Revised Statutes (U. S. C., 1934 ed., title 46, sec. 185) is hereby amended to read as follows:
“Sec. 4285.
The vessel owner, within six months after a claimant shall have given to or filed with such owner written notice of claim, may petition a district court of the United States of competent jurisdiction for limitation of liability within the provisions of this
Deposit of security.
chapter, as amended, and the owner (a) shall deposit with the court, for the benefit of claimants, a sum equal to the amount or value of the interest of such owner in the vessel and freight, or approved security therefor, and in addition such sums, or approved security therefor, as the court may from time to time fix as necessary to carry
Optional transfer of interest to a trustee.
out the provisions of section 4283, as amended, or (b) at his option shall transfer, for the benefit of claimants, to a trustee to be appointed by the court his interest in the vessel and freight, together with such sums, or approved security therefor, as the court may from time to time fix as necessary to carry out the provisions of section 4283, as amended. Upon compliance, with the requirements
Termination of claims against owner.
of this section all claims and proceedings against the owner with respect to the matter in question shall cease.”
Sec. 4.
Section 4289 of the Revised Statutes, as amended (U. S.
R. S., sec. 4289, p. 827.
U. S. C., p. 1998.
Application of provisions to all seagoing vessels, etc.
Vol. 23, p. 57.
U. S. C., p. 1999.
C., 1934 ed., title 46, sec. 188), is hereby amended to read as follows:
“Sec. 4289.
Except as otherwise specifically provided therein, the provisions of the nine preceding sections and of section 18 of the Act entitled ‘An Act to remove certain burdens on the American merchant marine and encourage the American foreign carrying trade and for other purposes’, approved June 26, 1884 (23 Stat. 57; U. S. C., 1934 ed.. title 46, sec. 189), shall apply to all seagoing vessels, and also to all vessels used on lakes or rivers or in inland navigation, including canal boats, barges, and lighters.”
Sec. 5.
Section 2 of the Act entitled “An Act relative to limitation
Section repealed.
Ante, p. 960.
U. S. C., Supp. I, p. 273.
of shipowners’ liability”, approved August 29, 1935 (U. S. C., 1934 ed., Supp. I,11So in original. sec. 183a), is hereby repealed.
Approved, June 5, 1936.