DENMARK Law and Practice Contributed by: Johannes Grove Nielsen and Camilla Søgaard Hudson, Bech-Bruun
This convention is implemented in Chapter 8 of the Danish Merchant Shipping Act. As for salvage, Denmark is a party to the 1989 International Convention on Salvage and has incorporated the convention in Chapter 16 of the Danish Merchant Shipping Act. Denmark has also incorporated the 1974 York-Antwerp Rules in Chapter 17 of the Danish Merchant Shipping Act. 2.3 1976 Convention on Limitation of Liability for Maritime Claims Denmark is a party to the 1976 Convention on Limitation of Liability for Maritime Claims and its Protocol of 1996. The convention has been implemented in Chapter 9 of the Danish Mer - chant Shipping Act. 2.4 Procedure and Requirements for Establishing a Limitation Fund The Danish Merchant Shipping Act (Sections 177 to 180 and Chapter 12) sets out the pro - cedural rules for establishing a limitation fund. According to these rules, a limitation fund may be constituted with the Danish Maritime and • other legal proceedings are instituted in Den - mark with respect to claims that, according to their nature, may be limited. The fund is set up by paying the limitation amount to the court, or by providing security for the amount at the same time as an order is issued. The court will set a notification deadline once the fund has been established. Claims that have not been notified in time can be notified Commercial Court if: • arrest is applied for; • an action is brought; or
until the court sets down the question of distri - bution for judgment. The fund shall be deemed as constituted for all the persons who may invoke limitation of liability, and to cover all the claims for which the limitation of liability applies. The fund shall only be available for payment of claims in respect of which limitation of liability may be invoked, including interest. The court shall, by court order, stipulate the size of the fund amount, as well as whether any secu - rity offered can be approved. The court order may stipulate that security shall also be provided for an additional amount to cover the costs of administering the fund (including costs awarded by the courts), as well as to cover any interest claims. The limitation fund is calculated with reference to the size of the vessel and the nature of the claims. The right to global limitation of liability exists, regardless of the basis of liability in respect of claims arising from: • personal injury or damage to property occur - ring on board or in direct connection with the operation of the ship or with salvage opera - tions; • loss resulting from delay in the carriage by sea of cargo, passengers or their luggage; • loss resulting from the infringement of rights other than contractual rights occurring in direct connection with the operation of the ship or salvage operations; • the raising, removal, destruction or render - ing harmless of a ship that is sunk, wrecked, stranded or abandoned, including anything that is or has been on board that ship;
184 CHAMBERS.COM
Powered by FlippingBook