1992 Fund Convention.docx

1992 Fund Convention.docx

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1992FundConvention

INTERNATIONALCONVENTIONONTHE

ESTABLISHMENTOFANINTERNATIONALFUNDFOR

COMPENSATIONFOROILPOLLUTIONDAMAGE,1992

TheStatesPartiestothepresentConvention,

BEINGPARTIEStotheInternationalConventiononCivilLiabilityforOilPollutionDamage,adoptedatBrusselson29November1969,

CONSCIOUSofthedangersofpollutionposedbytheworld-widemaritimecarriageofoilinbulk,

CONVINCEDoftheneedtoensurethatadequatecompensationisavailabletopersonswhosufferdamagecausedbypollutionresultingfromtheescapeordischargeofoilfromships,

CONSIDERINGthattheInternationalConventionof29November1969,onCivilLiabilityforOilPollutionDamage,byprovidingarégimeforcompensationforpollutiondamageinContractingStatesandforthecostsofmeasures,wherevertaken,topreventorminimizesuchdamage,representsaconsiderableprogresstowardstheachievementofthisaim,

CONSIDERINGHOWEVERthatthisrégimedoesnotaffordfullcompensationforvictimsofoilpollutiondamageinallcaseswhileitimposesanadditionalfinancialburdenonshipowners,

CONSIDERINGFURTHERthattheeconomicconsequencesofoilpollutiondamageresultingfromtheescapeordischargeofoilcarriedinbulkatseabyshipsshouldnotexclusivelybebornebytheshippingindustrybutshouldinpartbebornebytheoilcargointerests,

CONVINCEDoftheneedtoelaborateacompensationandindemnificationsystemsupplementarytotheInternationalConventiononCivilLiabilityforOilPollutionDamagewithaviewtoensuringthatfullcompensationwillbeavailabletovictimsofoilpollutionincidentsandthattheshipownersareatthesametimegivenreliefinrespectoftheadditionalfinancialburdensimposedonthembythesaidConvention,

TAKINGNOTEoftheResolutionontheEstablishmentofanInternationalCompensationFundforOilPollutionDamagewhichwasadoptedon29November1969bytheInternationalLegalConferenceonMarinePollutionDamage,

HAVEAGREEDasfollows:

GeneralProvisions

Article1

ForthepurposesofthisConvention:

1.“1992LiabilityConvention”meanstheInternationalConventiononCivilLiabilityforOilPollutionDamage,1992.

1bis.“1971FundConvention”meanstheInternationalConventionontheEstablishmentofanInternationalFundforCompensationforOilPollutionDamage,1971.ForStatesPartiestotheProtocolof1976tothatConvention,thetermshallbedeemedtoincludethe1971FundConventionasamendedbythatProtocol.

2.“Ship”,“Person”,“Owner”,“Oil”,“PollutionDamage”,“PreventiveMeasures”,“Incident”,and“Organization”havethesamemeaningasinArticleIofthe1992LiabilityConvention.

3.“ContributingOil”meanscrudeoilandfueloilasdefinedinsub-paragraphs（a）and（b）below:

（a）“CrudeOil”meansanyliquidhydrocarbonmixtureoccurringnaturallyintheearthwhetherornottreatedtorenderitsuitablefortransportation.Italsoincludescrudeoilsfromwhichcertaindistillatefractionshavebeenremoved（sometimesreferredtoas“toppedcrudes”）ortowhichcertaindistillatefractionshavebeenadded（sometimesreferredtoas“spiked”or“reconstituted”crudes）.

（b）“FuelOil”meansheavydistillatesorresiduesfromcrudeoilorblendsofsuchmaterialsintendedforuseasafuelfortheproductionofheatorpowerofaqualityequivalenttothe“AmericanSocietyforTestingandMaterials’SpecificationforNumberFourFuelOil（DesignationD396-69）”,orheavier.

4.“Unitofaccount”hasthesamemeaningasinArticleV,paragraph9,ofthe1992LiabilityConvention.

5.“Ship’stonnage”hasthesamemeaningasinArticleV,paragraph10,ofthe1992LiabilityConvention.

6.“Ton”,inrelationtooil,meansametricton.

7.“Guarantor”meansanypersonprovidinginsuranceorotherfinancialsecuritytocoveran

owner’sliabilityinpursuanceofArticleVII,paragraph1,ofthe1992LiabilityConvention.

8.“Terminalinstallation”meansanysiteforthestorageofoilinbulkwhichiscapableofreceivingoilfromwaterbornetransportation,includinganyfacilitysituatedoff-shoreandlinkedtosuchsite.

9.Whereanincidentconsistsofaseriesofoccurrences,itshallbetreatedashavingoccurredonthedateofthefirstsuchoccurrence.

Article2

1.AnInternationalFundforcompensationforpollutiondamage,tobenamed“TheInternationalOilPollutionCompensationFund1992”andhereinafterreferredtoas“theFund”,isherebyestablishedwiththefollowingaims:

（a）toprovidecompensationforpollutiondamagetotheextentthattheprotectionaffordedbythe1992LiabilityConventionisinadequate;

（b）togiveeffecttotherelatedpurposessetoutinthisConvention.

2.TheFundshallineachContractingStateberecognizedasalegalpersoncapableunderthelawsofthatStateofassumingrightsandobligationsandofbeingapartyinlegalproceedingsbeforethecourtsofthatState.EachContractingStateshallrecognizetheDirectoroftheFund（hereinafterreferredtoas“TheDirector”）asthelegalrepresentativeoftheFund.

Article3

ThisConventionshallapplyexclusively:

（a）topollutiondamagecaused:

（i）intheterritory,includingtheterritorialsea,ofaContractingState,and

（ii）intheexclusiveeconomiczoneofaContractingState,establishedinaccordancewithinternationallaw,or,ifaContractingStatehasnotestablishedsuchazone,inanareabeyondandadjacenttotheterritorialseaofthatStatedeterminedbythatStateinaccordancewithinternationallawandextendingnotmorethan200nauticalmilesfromthebaselinesfromwhichthebreadthofitsterritorialseaismeasured;

（b）topreventivemeasures,wherevertaken,topreventorminimizesuchdamage.

Compensation

Article4

1.ForthepurposeoffulfillingitsfunctionunderArticle2,paragraph1（a）,theFundshallpaycompensationtoanypersonsufferingpollutiondamageifsuchpersonhasbeenunabletoobtainfullandadequatecompensationforthedamageunderthetermsofthe1992LiabilityConvention,

（a）becausenoliabilityforthedamagearisesunderthe1992LiabilityConvention;

（b）becausetheownerliableforthedamageunderthe1992LiabilityConventionisfinanciallyincapableofmeetinghisobligationsinfullandanyfinancialsecuritythatmaybeprovidedunderArticleVIIofthatConventiondoesnotcoverorisinsufficienttosatisfytheclaimsforcompensationforthedamage;anownerbeingtreatedasfinanciallyincapableofmeetinghisobligationsandafinancialsecuritybeingtreatedasinsufficientifthepersonsufferingthedamagehasbeenunabletoobtainfullsatisfactionoftheamountofcompensationdueunderthe1992LiabilityConventionafterhavingtakenallreasonablestepstopursuethelegalremediesavailabletohim;

（c）becausethedamageexceedstheowner’sliabilityunderthe1992LiabilityConventionaslimitedpursuanttoArticleV,paragraph1,ofthatConventionorunderthetermsofanyotherinternationalConventioninforceoropenforsignature,ratificationoraccessionatthedateofthisConvention.ExpensesreasonablyincurredorsacrificesreasonablymadebytheownervoluntarilytopreventorminimizepollutiondamageshallbetreatedaspollutiondamageforthepurposesofthisArticle.

2.TheFundshallincurnoobligationundertheprecedingparagraphif:

（a）itprovesthatthepollutiondamageresultedfromanactofwar,hostilities,civilwarorinsurrectionorwascausedbyoilwhichhasescapedorbeendischargedfromawarshiporothershipownedoroperatedbyaStateandused,atthetimeoftheincident,only

onGovernmentnon-commercialservice;or

（b）theclaimantcannotprovethatthedamageresultedfromanincidentinvolvingoneormoreships.

3.IftheFundprovesthatthepollutiondamageresultedwhollyorpartiallyeitherfromanactoromissiondonewiththeintenttocausedamagebythepersonwhosufferedthedamageorfromthenegligenceofthatperson,theFundmaybeexoneratedwhollyorpartiallyfromitsobligationtopaycompensationtosuchperson.TheFundshallinanyeventbeexoneratedtotheextentthattheshipownermayhavebeenexoneratedunderArticleIII,paragraph3,ofthe1992LiabilityConvention.However,thereshallbenosuchexonerationoftheFundwithregardtopreventivemeasures.

4.（a）Exceptasotherwiseprovidedinsub-paragraphs（b）and（c）ofthisparagraph,theaggregateamountofcompensationpayablebytheFundunderthisArticleshallinrespectofanyoneincidentbelimited,sothatthetotalsumofthatamountandtheamountofcompensationactuallypaidunderthe1992LiabilityConventionforpollutiondamagewithinthescopeofapplicationofthisConventionasdefinedinArticle3shallnotexceed135millionunitsofaccount.

（b）Exceptasotherwiseprovidedinsub-paragraph（c）,theaggregateamountofcompensationpayablebytheFundunderthisArticleforpollutiondamageresultingfromanaturalphenomenonofanexceptional,inevitableandirresistiblecharactershallnotexceed135millionunitsofaccount.

（c）Themaximumamountofcompensationreferredtoinsub-paragraphs（a）and（b）shallbe200millionunitsofaccount6withrespecttoanyincidentoccurringduringanyperiodwhentherearethreePartiestothisConventioninrespectofwhichthecombinedrelevantquantityofcontributingoilreceivedbypersonsintheterritoriesofsuchParties,duringtheprecedingcalendaryear,equalledorexceeded600milliontons.

（d）InterestaccruedonafundconstitutedinaccordancewithArticleV,paragraph3,ofthe1992LiabilityConvention,ifany,shallnotbetakenintoaccountforthecomputationofthemaximumcompensationpayablebytheFundunderthisArticle.

（e）Theamountsmentionedinthis