The legal limitation of the liability of the maritime carrier

Abstract

Abstract

In law, the general rule is that compensation must be proportionate to the amount

of damage. However, maritime law establishes, as an exception to this rule, the

principle of limitation of liability due to the nature and circumstances of maritime

transport. The legal limitation of the liability of the maritime carrier refers to the

maximum limit the law prescribes for the compensation that this carrier must pay to

the other party.

This principle aims to preserve the idea of the distribution of maritime transport

risks, entails special rules and mechanisms for determining the amount of

compensation, and requires that, to benefit from the legal determination of the

compensation, the carrier acts in good faith when performing his obligations.

The legal limitation of the liability of the maritime carrier is a form of exemption

from liability justified by the circumstances under which the carrier performs his

obligations and that he is prevented from including contractual conditions

exempting him from liability.

The adoption of the principle of the limitation of liability encourages investing capital

in the maritime field, thus enabling the state to build a strong commercial and

economic fleet. The Libyan legislature has adopted this principle as per Article (214)

of the Maritime Law.

We believe that it is necessary to accede to international conventions governing

maritime relations in general, and maritime transport in particular.

In this study, we will approach the subject of legal determination of maritime carrier

liability from an analytical and comparative perspective and will focus on three

points: the principle of determining the maritime carrier liability, how to determine

this liability, and the loss of the right to determine liability.