LATVIA Law and Practice Contributed by: Edward Kuznetsov, Marine Legal Bureau
including detention losses and reasonable legal costs, subject to proof.
Jurisdiction clauses in bills of lading are generally upheld against lawful holders of the bill, provided that the clause is validly incorporated and does not conflict with overriding mandatory provisions. Latvian courts adopt a pragmatic approach, focusing on whether the bill of lading holder can reasonably be regarded as bound by the contractual terms. 7.2 Enforcement of Law and Arbitration Clauses Incorporated Into a Bill of Lading Latvian courts recognise and enforce arbitration and law clauses of a charterparty incorporated into a bill of lading, provided that the incorporation is sufficiently clear and specific. In line with international practice, a general incorpo - ration clause referring to “all terms and conditions of the charterparty” is normally sufficient to incorporate an arbitration clause, unless the wording or circum - stances indicate otherwise. Once valid incorporation is established, Latvian courts will stay court proceed - ings and refer the parties to arbitration. 7.3 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards Latvia is a contracting state to the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards. The Convention is fully applicable in Latvia and is implemented through the Arbitration Law of the Republic of Latvia and relevant provisions of the Civil Procedure Law. Foreign arbitral awards are recognised and enforced by Latvian courts in accordance with the Convention. Refusal of recognition or enforcement is limited to the grounds expressly set out in the New York Conven - tion, which are interpreted restrictively. 7.4 Arrest of Vessels Subject to Foreign Arbitration or Jurisdiction Latvian courts may order the arrest of a vessel or attachment of assets as a conservatory measure even where the underlying dispute is subject to foreign arbi - tration or foreign court jurisdiction. Arrest is treated as a procedural security measure and does not constitute a determination on the merits. The existence of a valid arbitration or jurisdiction clause
6. Passenger Claims 6.1 Laws and Conventions Applicable to the Resolution of Passenger Claims Passenger claims in Latvia are governed by a com - bination of international conventions, EU law and the Maritime Code. Latvia applies the Athens Conven - tion relating to the Carriage of Passengers and their Luggage by Sea, as amended by the 2002 Protocol, through EU Regulation (EC) No 392/2009, which establishes a harmonised liability regime for passen - ger death, personal injury and loss of luggage. Under this framework, carriers are subject to strict liability for shipping incidents up to the applicable thresholds, with higher limits and potential unlimited liability where fault or neglect is established. Compul - sory insurance is required, and passengers are grant - ed a right of direct action against insurers. Latvian courts apply the EU regime directly and are familiar with evidentiary issues relating to causation, quantum and limitation. Passenger claims most commonly arise in the context of ferry services and cruise traffic calling at Latvian ports. The applicable limitation period is generally two years, calculated in accordance with the Convention and EU law. Interim measures, including ship arrest, may be available where the statutory criteria are met. 7. Enforcement of Law and Jurisdiction and Arbitration Clauses 7.1 Enforcement of Law and Jurisdiction Clauses Stated in Bills of Lading Latvian courts recognise and enforce choice of law and jurisdiction clauses contained in bills of lading, subject to applicable mandatory rules. Where jurisdic - tion clauses designate the courts of an EU member state, enforcement is governed by Regulation (EU) No 1215/2012 (“Brussels I Recast”).
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