Oil Pollution of the Sea (Civil Liability and Compensation) (Amendment) Act, 1998

Limitation on liability for pollution damage.

6.—The Principal Act is hereby amended by the substitution of the following section for section 10:

“10.—(1) Subject to subsection (2), the following provisions shall apply in respect of an owner who is liable pursuant to section 7 for pollution damage, that is to say—

(a) the owner concerned may limit his liability in accordance with this Act;

(b) where the owner concerned limits his liability in accordance with this Act, his liability for any single incident shall not exceed—

(i) 3 million units of account, or

(ii) in the case of a ship exceeding 5,000 units of tonnage the aggregate of—

(I) 3 million units of account, and

(II) an amount in respect of each unit of tonnage in excess of 5,000 units of tonnage, where the amount of the owner's liability in respect of each such unit does not exceed 420 units of account:

Provided that the aggregate amount for which the owner shall be liable shall not exceed 59.7 million units of account in respect of a single incident;

(c) where a discharge of oil causes pollution damage both in the State and in the territory of a Convention Country, and the owner of the ship from which the oil was discharged has limited his liability in accordance with this Act, the limitation on the liability of the owner shall apply to the aggregate of his liability in the State and in any Convention Country concerned;

(d) where, in accordance with the law of a Convention Country, an owner has limited his liability, the court, tribunal or administrative authority in that Convention Country that has the jurisdiction or power to determine liability for pollution damage and to award compensation therefor shall be exclusively competent to determine all matters relating to the appointment and distribution of any monies lodged with the court, tribunal or administrative authority as the case may be, in respect of the owner's liability.

(2) The owner of a ship shall not be entitled to limit his liability under this Act where—

(a) the discharge of oil from the ship occurred as a result of his personal act or omission, and

(b) he intended by such act or omission to cause pollution damage, or was reckless as to whether, and had knowledge that, pollution damage would probably occur as a result of such act or omission.”.