The Inter-Club Agreement (ICA) was formulated in in order to promote amicable and equitable settlements for cargo claims under the. The Inter-Club Agreement (ICA) first came into force on 20 February It was revised in , in. and again in See 24 August , Standard. CIRCULAR REF: / CIRCULATED TO ALL MEMBERS, BROKERS AND DIRECTORS. The Inter-Club New York Produce Exchange Agreement, which.

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He has been involved in a number of high-value, complex and Read more. The point for determination It was common ground that liability agreemrnt between owners and charterers for the cargo claim was to be apportioned in accordance with clause 8 d of the ICA which had been incorporated into the charter. Condensation resulting from bad stowage where the words “and responsibility” have not been added to Clause 8.

Accordingly, the above-mentioned items would be considered as set out in Table II. If the contractual carrier pays the claim in any event, the claim will not have been properly settled and therefore no recovery can be made under the ICA. Still, the omission of this sentence may serve to avoid confusion when the ICA is expressly incorporated into charterparties and thereby binding on charterers and owners. Since stowage of the cargo inside the container takes place ashore, the cause of the loss or damage will have taken place prior to the container being loaded onto the vessel and therefore any claim arising therefrom should fall outside the ambit of the ICA.

Since charterers have no control over the navigation or management of the vessel, such a result would seem inequitable. Application has been extended to claims made under contracts of carriage of whatever form 10provided such contracts are authorised under the charterparty.

One will also note that “delivery” has been substituted for “discharge”. Industry newsPress releases.

Inter-Club Agreement – Comparison Between and F – GARD

The Security Provision has been incorporated into the Agreement as clause 9. This means that the simple fact that the underlying agreeemnt of carriage is agreemsnt contract for through or multimodal transport is not a reason in itself to avoid application of the Agreement, even if this type of contract is not authorised under the charterparty. As with the proviso in Clause 8 ait is considered that the new words merely state expressly what was implicit in the Agreement.

Under this new provision once one of the parties to a charterparty has put up security in respect of a cargo claim, provided the time limits set out in clause 6 of the agreement have been complied with, there is an entitlement to security on the basis of reciprocity. Accordingly, claims settled under through or multimodal bills of lading will be outside the scope of the version of the Agreement, unless expressly allowed under the charterparty.


This was implied in the form. It is understood that no Club has ever withdrawn from the ICA.

Accordingly, it became necessary to introduce a clear definition of “cargo claims”. In addition, it was thought that the provision of two apportionment formulae was quite confusing, so there were attempts to amalgamate them into one, without affecting the division of liability as established in the form.

It would seem that the phrase means stowage of the container on board the chartered vessel. The Group believes that this situation is unsatisfactory and has led to unnecessary, wasteful and costly disputes between Clubs.

This provision although worded differently gives the same effect as its counterpart in the Agreement. The Group has taken the view, which Counsel has confirmed, that this provision makes payment of a Cargo Claim as defined under clause 3 of the Agreement a condition precedent to a right to indemnity.

The new form also makes clear that the Clubs have a duty to recommend application of the Agreement to their Members whether or not the Agreement is incorporated into the relevant charterparty. One of the purposes of the Clubs in drafting the ICA was to change that point. Clause 8 d of the ICA provides that:.

Inter-Club Agreement (as amended 1 September 2011)

A cargo claim was made against the vessel. Any form of document authorised under the charterparty or which would have been authorised under the charterparty except for the inclusion of through or combined multimodal transport provisions, incorporating the Hamburg Rules or any national law giving effect thereto, where these Rules are compulsorily applicable by operation of law to the contract of carriage. It went on to provide that ex-gratia payments made for commercial or other reasons, where no legal liability existed, were to be borne by the party by agrewment the payment was made.

However, in order to interclhb that no conflict arises between the main body of the charterparty and the settlement of claims under the ICA, the law and jurisdiction interxlub the charterparty under which an apportionment is sought shall apply in the following situations: Apportionment under each form should be as per Table IV, based on English law. The vessel arrived at the disport in December These clauses seem to have fallen into intervlub and therefore it is believed that the minor change will be of little or no practical significance.

William Stansfield Solicitor William is a solicitor based in the London office. The form makes clear that the Agreement applies between Clubs despite any provision to the contrary in the charterparty. Any other document authorised under the charterparty incorporating the Hague or Hague-Visby Rules or containing terms no less favourable.


A material amendment is defined in both forms as one which makes liability for cargo claims clear. Interest The ICA expressly allows the apportionment of interest “claimed” by the original cargo areement.

We have placed cookies on your computer to help agreemebt this website better. The version continues to include “costs” in the apportionment, and clarifies that “costs” means the following: Condensation resulting from something other than improper ventilation or bad stowage where there is not irrefutable evidence that the claim arose out of the interclyb or neglect of Charterers, their servants or sub-contractors.

The ICA endeavours to remove the contradiction contained in the formula. In cases of through or combined transport, “delivery” will be delivery by the relevant contractual carrier under the through bill of lading which may be some distance in time and place from the vessel.

Inter-Club New York Produce Exchange Agreement 1996 (As Amended September 2011)

Up-to-date intercluv about topical issues is provided by the Industry News service. Loss of cargo; damage to cargo; shortage of cargo incl. As explained above, by virtue agreemenr Clause 4 a iiithe ICA only applies where charterers can show the loss, damage, shortage, overcarriage or delay occurred after commencement of the loading of the cargo agreeement the chartered vessel and prior to completion of discharge from that vessel. Agrement distinction between discharge and delivery may be of vital importance if discharge is completed several days after the hatches are opened.

The purpose agreemejt the development of the ICA was to avoid costly and protracted litigation. See clause 4 c of the ICA This Ship Finder is updated on a daily basis. For the last 12 years the version ICA has been in operation. As a result, the new form says clearly that the addition of the words “and responsibility” in Clause 8 is not a material amendment even though the inclusion of such words will affect the manner in which liability is apportioned – see comments to “Apportionments” belowbut that the addition of the words “cargo claims” to Clause 26 renders the Agreement inoperative even if it is expressly incorporated into the charterparty.

Due to not having been paid for the cargo, the charterers ordered the vessel to wait off the discharge port for over 4 months. Both the ICA and the Agreement have worked well, been widely adopted by the maritime industry and have achieved their purpose.