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“No cure, no pay” or “best endeavours”: the shifting risk paradigm of commercial salvage

“No cure, no pay” or “best endeavours”: the shifting risk paradigm of commercial salvage
“No cure, no pay” or “best endeavours”: the shifting risk paradigm of commercial salvage
As long as there are ships, there will be marine casualties and, as a result, salvage companies. Salvors have traditionally worked under the “no cure, no pay” ethos, and the mature thread of common law that has developed over its long history. Since then the Lloyd’s Open Form (LOF), among others, has developed, ensuring “reasonable compensation” for efforts to protect the environment, and bringing a degree of contractual certainty to common law salvage. However, as ships grow ever larger, and thus more difficult to salvage, the concept of “best endeavours” is becoming more popular. This article looks at the definition of “best endeavours” in law, and the possible consequences or benefit of the use of this clause. What are the pitfalls of a “best endeavours” contract to the modern salvage company, or indeed owner/underwriter, how strict is the duty, and how is it properly executed?
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Caldwell, Graham
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Caldwell, Graham
ddfe6c43-a384-4ad4-a3cb-a27de0dfaf6f

Caldwell, Graham (2015) “No cure, no pay” or “best endeavours”: the shifting risk paradigm of commercial salvage. Shipping & Trade Law, 15 (5), 1-2.

Record type: Article

Abstract

As long as there are ships, there will be marine casualties and, as a result, salvage companies. Salvors have traditionally worked under the “no cure, no pay” ethos, and the mature thread of common law that has developed over its long history. Since then the Lloyd’s Open Form (LOF), among others, has developed, ensuring “reasonable compensation” for efforts to protect the environment, and bringing a degree of contractual certainty to common law salvage. However, as ships grow ever larger, and thus more difficult to salvage, the concept of “best endeavours” is becoming more popular. This article looks at the definition of “best endeavours” in law, and the possible consequences or benefit of the use of this clause. What are the pitfalls of a “best endeavours” contract to the modern salvage company, or indeed owner/underwriter, how strict is the duty, and how is it properly executed?

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More information

Published date: 1 June 2015
Organisations: Southampton Law School

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Local EPrints ID: 378703
URI: http://eprints.soton.ac.uk/id/eprint/378703
PURE UUID: add47d53-2ea7-4408-956d-4ca56e3c3526

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Date deposited: 09 Jul 2015 10:16
Last modified: 22 Jul 2022 19:27

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Author: Graham Caldwell

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