Are claims related to pollution covered under salvage claims ?

45
FOLLOW

Under Article 8.1 (b) of the 1989 Salvage Convention a Salvor is required, whilst carrying out salvage operations, to exercise due care to prevent or minimize damage to the environment.

Article 14 of the Convention provides for the Salvor to be paid Special Compensation under specific circumstances where he has rendered services to a vessel which by itself or its cargo threatened damaged to the environment, and the salved property fund is insufficient to provide the salvor with a normal salvage reward.
This special compensation, if applicable, is assessed on the basis of a fair rate for personnel and equipment utilised in the services, plus the reasonable out of pocket expenses incurred in the services, plus a bonus of up to 30% of
the total expenses, or if fair and just to do so, up to 100% of such expenses.

Subsequently the Article 14 Special Compensation provisions proved time consuming and expensive to assess, and the commercial parties to Lloyds
Form produced an alternative method of assessing Special Compensation, namely the Special Compensation P&I Club Clause, or SCOPIC.
SCOPIC is a tariff based system of assessing Special Compensation, with a fixed bonus of 25% of the salvors expenses under the SCOPIC Clause.