ARGENTINA Trends and Developments Contributed by: Jorge Radovich, Liza Pozzi and Matias Bongiorno, Radovich & Asociados
Limitation of Liability Relating to Cargo Damage or Loss Argentina ratified the 1924 Brussels Convention on Bills of Lading, known as the Hague Rules, so if this Convention is applicable, it will take precedence over the regulations of the ANL. However, it should be noted that neither the Visby nor the Hamburg nor the Rotterdam Rules have been ratified, meaning that the limitation of liability for loss or damage to packages or pieces will amount to 100 gold pounds sterling according to the Hague Rules. On the other hand, if the Hague Rules are not appli - cable, the carrier’s limitation of liability for damage to or loss of cargo under Argentine regulations amounts to 400 Argentine gold pesos per package or piece. The ANL does not include delays among the cases in which the limitation by package can be opposed, but the jurisprudence is unanimous that this is possible given the analogous extension of the rule based on the autonomy of navigation law. The regulations governing cargo transport by water in the ANL are a matter of public order; therefore, the parties cannot modify them except to the benefit of the cargo owner. However, it is permissible for the parties to agree upon rules before loading and after unloading the goods. The fact that in both the Hague Rules and the ANL the amount of the limitation per package is related to the value of gold, which has increased significantly, means that the limitation in Argentina is much higher than in the most recent Conventions, as mentioned in the first paragraph of this section. As an example, the limit for one package in the ANL is about USD78,000, which is very high by current standards. If the carrier has acted with intent or temerity, the right to limit liability will be lost. If the bill of lading was issued ad valorem, the limita - tion of liability discussed above could be overcome.
could ultimately fall to another court, which is what ultimately occurred in accordance with the rules of private international law. The following vessels may not be subject to arrest or navigation ban. • National or foreign warships, and vessels under construction intended for incorporation into the military forces of a State. • All other ships assigned to the service of the public authorities of the national government, a province or a municipality, and other ships owned or oper - ated by the national government, a province or a municipality if the owner or operator waives the limitation of liability provided for in Title III, Chapter I, Section 4. Ships assigned to the service of the public authorities of a foreign State may also not be arrested. • Loaded vessels ready for departure, unless the respective debt was incurred to repair, prepare and provision the vessel for that voyage or was incurred after the vessel was loaded. The decision ordering the arrest can be appealed if it contradicts what has already been explained, but the most common practice is to negotiate a letter of undertaking from a P&I club, and the matter is dis - cussed amicably or in pre-trial mediation. Both the execution of the arrest and its lifting are car - ried out by means of an official letter to the Argentine Coast Guard, the processing of which has a negligible cost. If the parties do not reach an agreement, if the arrest is based on a foreign judgment or arbitral final and bind - ing decision, the vessel will be judicially auctioned and the proceeds will be distributed accordingly. If there are other privileged creditors, the order of priority of the claims is decided judicially in a special procedure. If the arrest is a preventive one, an ordinary trial must be held, which can last for years.
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