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Liability, efficiency, and innovation: Applying economic theory to the Liability Rule in Athens 2002 for death and personal injury to passengers in shipping incidents on remote-controlled and autonomous passenger ships

Liability, efficiency, and innovation: Applying economic theory to the Liability Rule in Athens 2002 for death and personal injury to passengers in shipping incidents on remote-controlled and autonomous passenger ships
Liability, efficiency, and innovation: Applying economic theory to the Liability Rule in Athens 2002 for death and personal injury to passengers in shipping incidents on remote-controlled and autonomous passenger ships
Death and personal injury in shipping incidents on remote-controlled and autonomous passenger ships challenge aspects of the regime within Athens 2002. Despite this writer concluding that remote-controlled and autonomous ships can be subject to Athens 2002, some issues remain as to the effectiveness of Athens 2002 as a regime for these ships. These include the increased role of the manufacturer versus the carrier, compensatory shortfall, and deciding whether fault-based or strict liability is more appropriate. Through economic theory, this thesis also identifies other potential issues including the role of insurance in liability, and the potential to use alternative rules (such as social insurance, guaranteed compensation schemes, and replacing tort-based liability with criminal law). Economic theory allows certain factors to be identified within a best compromise liability rule (e.g. reduction of accident costs, deterrence, compensation, loss and risk distribution, and a limited role for justice and individual rights). Economic theory provides an argument for limitation of liability in the balance it brings between society, shipping industries, and passengers, and thus provides efficient deterrence. This thesis concludes that Athens 2002 already provides a solution to the debate between fault-based and strict liability in the form of a hybrid of the two. It is also concluded that it is necessary for law to recognise the greater role of the manufacturer, not just on remote-controlled and autonomous passenger ships but all passenger ships. It is suggested that central funds could provide this solution with minimal disruption to the existing regime. Passenger ships, liability rules, maritime law, and issues concerning remote-controlled and autonomous ships, have a lot to gain from the use of economic theory. As such, this thesis promotes its continued and future use.
University of Southampton
Stones, Hannah
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Stones, Hannah
9e100445-5088-451c-bbc2-d1222c6d01d8
Gibbs, Alun
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Stones, Hannah (2022) Liability, efficiency, and innovation: Applying economic theory to the Liability Rule in Athens 2002 for death and personal injury to passengers in shipping incidents on remote-controlled and autonomous passenger ships. University of Southampton, Doctoral Thesis, 229pp.

Record type: Thesis (Doctoral)

Abstract

Death and personal injury in shipping incidents on remote-controlled and autonomous passenger ships challenge aspects of the regime within Athens 2002. Despite this writer concluding that remote-controlled and autonomous ships can be subject to Athens 2002, some issues remain as to the effectiveness of Athens 2002 as a regime for these ships. These include the increased role of the manufacturer versus the carrier, compensatory shortfall, and deciding whether fault-based or strict liability is more appropriate. Through economic theory, this thesis also identifies other potential issues including the role of insurance in liability, and the potential to use alternative rules (such as social insurance, guaranteed compensation schemes, and replacing tort-based liability with criminal law). Economic theory allows certain factors to be identified within a best compromise liability rule (e.g. reduction of accident costs, deterrence, compensation, loss and risk distribution, and a limited role for justice and individual rights). Economic theory provides an argument for limitation of liability in the balance it brings between society, shipping industries, and passengers, and thus provides efficient deterrence. This thesis concludes that Athens 2002 already provides a solution to the debate between fault-based and strict liability in the form of a hybrid of the two. It is also concluded that it is necessary for law to recognise the greater role of the manufacturer, not just on remote-controlled and autonomous passenger ships but all passenger ships. It is suggested that central funds could provide this solution with minimal disruption to the existing regime. Passenger ships, liability rules, maritime law, and issues concerning remote-controlled and autonomous ships, have a lot to gain from the use of economic theory. As such, this thesis promotes its continued and future use.

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More information

Published date: May 2022
Additional Information: Parts of this work have been published as:- Stones H, ‘Objective and Subjective Safety in Unmanned Shipping’ (2016) 16(9) S.T.L.4 Stones H, ‘Uncrewed Ships and the Future of Passenger Transport’ in Maria Newbery, Nicholas Flores Martin, Brenna Gibson, Robbie Mayon, and Sarah Westbury (eds.) Sea Lines of Communication: Discovery (University of Southampton 2016). Stones H, ‘Will the Smart Ship also be the Liable Ship?: An analysis of the application of liability to the ship itself’ in Smart Ship Technology, 24-5 January 2017, London, UK, Papers (Royal Institution of Naval Architects 2017).

Identifiers

Local EPrints ID: 457343
URI: http://eprints.soton.ac.uk/id/eprint/457343
PURE UUID: 64920653-b7cb-486f-b842-3177fd80d3de
ORCID for Hannah Stones: ORCID iD orcid.org/0000-0002-9326-742X

Catalogue record

Date deposited: 01 Jun 2022 16:44
Last modified: 23 Jul 2022 02:13

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Contributors

Author: Hannah Stones ORCID iD
Thesis advisor: Alun Gibbs

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