Merchant Shipping (Civil Liability and Compensation for Oil Pollution) Act 1998 · 2020 Revised Edition · Part 2 · Liability for Oil Pollution
15. Rights of third parties against insurers
Feedback & supportWhere it is alleged that the owner of a ship has incurred a liability under section 3 as a result of any discharge or escape of oil occurring, or as a result of any relevant threat of contamination arising, while there was in force a contract of insurance or other security to which a certificate mentioned in section 13 is related, proceedings to enforce a claim in respect of the liability may be brought against the person who provided the insurance or other security (called in this Act the insurer).
owner
“owner”, in relation to a ship, means the person registered as the owner of the ship, or, in the absence of registration, the person owning the ship, except that, in relation to a ship owned by a State which is operated by a person registered in that State as the ship’s operator, it means the person registered as its operator;
In any proceedings brought against the insurer by virtue of this section, it is a defence (in addition to any defence affecting the owner’s liability) to prove that the discharge or escape, or the relevant threat of contamination (as the case may be) was due to the wilful misconduct of the owner.
discharge or escape
“discharge or escape”, in relation to pollution damage, means the discharge or escape of oil from the ship;
The insurer may limit the insurer’s liability in respect of claims made against the insurer by virtue of this section in like manner and to the same extent as the owner may limit the owner’s liability but the insurer may do so whether or not the discharge or escape, or the relevant threat of contamination (as the case may be) resulted from anything done or omitted to be done by the owner as mentioned in section 6(4).
Where the owner and the insurer each apply to the Court for the limitation of the liability of the owner or insurer (as the case may be), any sum paid into Court pursuant to either application is treated as paid also in pursuance of the other.