NORWAY Law and Practice Contributed by: Kristian Lindhartsen, Lilly Kathrin Relling and Tobias Kilde, Kvale Advokatfirma DA
3.2 International Conventions: Collision and Salvage Norway has ratified the IMO International Convention on Salvage of 1989, which is incorporated into Chap - ter 16 of the Norwegian Maritime Code. The regulation on collisions can be found in Chapter 8, Sections 161– 164. The regulation is based on the Comité Maritime International (CMI) Collision Convention of 1910, and applies the same fault-based division of liability – ie, the party at fault covers the losses or, if the collision was accidental, each party carries its own loss. 3.3 Convention on Limitation of Liability for Maritime Claims Norway has ratified the 1976 Convention on Limitation of Liability for Maritime Claims, with the subsequent amendments of the 1996 Protocol, with certain reser - vations. In accordance with Article 7.1 (a) of the 1996 Protocol, Norway has reserved the right to exclude from limitation under the convention claims made in respect of the raising, removal, destruction or render - ing harmless of a ship that has sunk, or is wrecked, stranded or abandoned, including anything that is or has been on board such a ship, and claims in respect of the removal, destruction or rendering harmless of the cargo of the ship. The above-mentioned claims will be limited in accord - ance with Section 172a of the Norwegian Maritime Code, which has substantially higher limitation amounts than the 1996 Protocol. The ship-owner (which includes the disponent owner and the man - ager, as well as charterers and salvors) can rely on the limitations in Section 171 of the Norwegian Maritime Code. 3.4 Vienna Convention on the Law of Treaties Norway is not a party to the 1969 Vienna Conven - tion on the Law of Treaties. However the convention interpretation rules are widely accepted as customary international law, and are therefore applied in Norway when interpreting treaties. In practice, that means Norwegian courts and authorities generally use the same approach as the UK Supreme Court did in the MSC Flaminia case.
lender and a borrower. In a leasing agreement, the lessor retains the ownership of the vessel, while the lessee operates it under a bareboat charter. Owner - ship itself serves as security for the lessor, and in the event of default, repossession can occur relatively quickly under the terms of the leasing agreement. By contrast, in a loan structure, the borrower owns the vessel, and the lender secures its position through a ship mortgage and additional collateral such as guar - antees and assignments of insurance. Enforcement of a mortgage in Norway requires a for - mal legal process, including arrest and judicial sale through the courts, which is more time-consuming and procedurally complex than repossession under a lease without court involvement, if the agreement provides for it. Sale and leaseback transactions are very common in Norway for second-hand vessels, liquidity needs and green retrofits. 3. Marine Casualties and Owners’ Liability 3.1 International Conventions: Pollution and Wreck Removal The Norwegian parliament adopted legislation in 2018 to implement the 2007 Nairobi International Conven - tion on the Removal of Wrecks. On 11 February 2025, the Nairobi Convention entered into force in Norway. Norway is also party to the 1973/1978 International Convention for the Prevention of Pollution from Ships (MARPOL) Convention as incorporated into Chapter 5 of the Norwegian Ship Safety and Security Act. Own - ers must also comply with the following conventions (which have been incorporated into the Norwegian Maritime Code and the Norwegian Pollution Act): • the 1976, 1992 and 2003 Protocol on the Estab - lishment of an International Fund for Compensation for Oil Pollution Damage; • the 1976 and 1992 International Convention on Civil Liability for Oil Pollution Damage; and • the 2001 International Convention on Civil Liability for Bunker Oil Pollution Damage.
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