able under the charter-party for the portion lost; hence if the shipowner, at the time of shipment, insures the freight still due in a valued policy, fixing the amount of the valuation at half the freight payable under the charter-party, he cannot recover as for a total loss of half the freight, but can only recover as for a partial loss, the amount recoverable being a sum bearing the same proportion to the actual loss sustained as the amount insured bears to the total amount of freight payable. (Ex. Ch. reversing C. P.) Allison v. The Bristol Marine Insurance Company...

..page 312

23. Freight Ship chartered to proceed to port and there load-Prevented from proceeding within reasonable time by perils insured against-Total loss of freight.-Where a ship is chartered to proceed with all convenient speed from L. to N., and there load a cargo for S., the usual perils excepted, and after leaving L., but before reaching N., she gets aground, and the delay in getting the ship off and in repairing her will be necessarily so great as to make it unreasonable for the charterers to supply the agreed cargo at the end of the time, and so great as to put an end, in a commercial sense, to the speculation entered upon by the shipowner and the charterers, the latter are discharged from their contract on the ground that there is an implied condition of the contract that the ship shall arrive at N. within a reasonable time, and on the failure of this the contract is at an end. Consequently, the adventure having been frustrated by perils of the seas, there is a total loss of chartered freight within the meaning of a policy effected by the shipowner "on chartered freight at and from L. to N. in tow, while there and thence to S.," and the shipowner may recover thereon. (Ex. Ch. from C. P.) Jackson v. The Union Marine Insurance Company (Limited) 24. General average-Particular average-Foreign adjustment- Warranty against average unless general-Foreign law-Liability of underwriter. -Where a policy of insurance upon goods on board a vessel from Varna to Marseilles, contains the words "general average as per foreign statement," and a warranty against average unless general, and the voyage is by perils of the seas terminated at an intermediate port, and the average statement there duly made up in accordance with the law of the port of destination, and by such statement the damage sustained by the wheat is made to appear as general average, the loss, although only a particular average loss by the law of England, must be treated as general average as per foregin statement, and may be recovered from the underwriters. (C.P. and Ex. Ch.) Mavro and another v. The Ocean Marine Insurance Company..

435

...361, 590

.........

25. Particular average-Stranding-Foreign adjustment-Foreign law-Liability of Underwriters.When goods are first insured under a Dutch policy, and afterwards under an English policy, the latter containing the words "to cover only the risk excepted by the clause warranted free from particular average, unless the ship be stranded, sunk, or burnt, to pay all claims and losses on Dutch terms, and according to statement made up by the official depécheur in Holland," the terms of the English policy do not, in the absence of notice of the same or existence of the Dutch policy, amount to notice to the underwriters of the Dutch policy, and the English policy must be construed independently thereof; but if the ship be stranded according to English law, but not according to Dutch law, and an average

Where the interest of the insured has ceased before loss, a subsequent assignment of the policy is ineffectual. (Q. B.) The North of England Pure Oil Cake Company (Limited) v.The Archangel Maritime Bank and Insurance Company (Limited) 571 27. Policy on cargo-Assignment after interest ceased -Passing of policy.-Where cargo is insured for a voyage, including risk of lighters, and the assured during the voyage sells the cargo to be paid for in 14 days from being ready for delivery or at seller's option on handing shipping document (which option is not exercised) and the cargo is discharged into lighters employed by the purchasers, one of which sinks, and the assured afterwards assigns the policy to the purchasers, the purchasers cannot recover on the policy because the policy does not pass by the contract of sale, the interest of the assured ceases on delivery into the lighters and the subsequent assignment is void. (Q. B.) Id.......

28. Policy-Attaching of—" At a port"-Implied understanding or warranty-Risk-Variation of.

-When a policy of marine insurance is entered into insuring a ship or goods thereon "at and from a port," there is, in the absence of a direct representation, an implied understanding that the vessel shall be at that port within such a time that the risk shall not be materially varied; otherwise the risk does not attach. (Q. B.) De Wolf v. Archangel Maritime Bank and Insurance Company

571

273

29. Policy-Contract-Agent - Principal - Right to sue....A contract of marine insurance, entered into with underwriters by an agent in his own name, but without expressing the interest in the subject of insurance to be in any particular person, may be sued upon by the principal in whom the interest is. (P.C.) Browning (app.) v. The Provincial Insurance Company of Canada (resps.) 35 30. Policy-Contract-Form of A.B. As well in his own name, &c."-Agent - Principal · Certificate or slip-Right to sue.-Where the common form of policy of a marine insurance company contains the usual clause, "A.B. as well in his own name as and for and in the names of all and every other person or persons to whom the same shall appertain, &c.," and it is the usage of the company on accepting a risk to issue a certificate or slip as a provisional agreement entitling the assured to a policy in their common form, the certificate is to be construed as a contract containing the above clause, and, if the certificate is made out in the name of an agent, the principal on whose behalf the contract is made may (in Canada where there are no Stamp Acts as to agreements for marine insurance) sue upon the certificate in his own name. (P.C.) Id 31. Policy Fraud-Finding by court of lawCancellation of policy by Court of equity.Where an action of law has been brought on a policy of marine insurance, and it has been decided in a special case stated in that action that that policy and others given under the same circumstances were procured by fraud, the Court of Chancery will, upon the facts so established, make a decree cancelling the policies. (V.C.B.) London and Provincial Marine Insurance Company v. Seymour

35

169

338

ship is insured on a time policy at and from Montreal, to trade between the Island of Newfoundland, Nova Scotia, Cuba, &c., and Quebec and Montreal, and the policy contains a stipulation in the following words: "Not allowed under this policy to enter the Gulf of St. Lawrence before the 25th April, nor to be in the said Gulf after the 15th Nov.; nor to proceed to Newfoundland after the 1st Dec., or before the 15th March, without payment of additional premium, and leave first obtained, war risk, and sealing voyages excepted;" the policy is not to be construed as declaring that the vessel may proceed from any of the ports named in the policy to Newfoundland on or before the 1st Dec., notwithstanding it might have to pass through the Gulf after 15th Nov.; but under that clause the vessel is neither to be in the Gulf after the 15th Nov., nor to proceed to Newfoundland from any port after the 1st Dec.; and if the ship enters the Gulf after the 15th Nov., she commits a breach of warranty within the words of the policy, and the underwriters are not liable for any loss occurring in consequence of that breach, unless they accept abandonment with a knowledge of the breach. (Priv. Co.) The Provincial Insurance Company of Canada v. Leduc........ 34. Practice-Costs-Examination of defendants' witnesses before plea-Reg. Gen. H.T. 1853,R.12.Where in an action upon a policy of marine insurance witnesses are examined on behalf of defendants to save expense after declaration but before plea, the defendants not pleading through default of the plaintiffs, the cost of the examination are not costs before instruction for plea within the meaning of Reg. Gen., H. T., 1853, R. 12, and will be allowed upon taxation where the defendant having subsequently pleaded several pleas and paid money into court under the money counts, the plaintiff discontinues. (Q.B.) Previte and another v. The Adelaide Fire and Marine Insurance Company 35. Reinsurance-Agents abroad-Neglect to reinsure -Damages Suit in equity.—A claim for damages by an insurance company against their agent for not reinsuring, according to instructions, cannot be enforced in a suit in equity for an account of the transactions between the principal and agent. (L.JJ. reversing V. C. B.) The Great Western Insurance Company of New York v. Cunliffe 219, 298 36. Reinsurance-Agents abroad-Credit SystemRemuneration of Agents-Discount-Custom.Agents for an insurance company abroad, whose business it is to effect reinsurances for the company, but with respect to whose remuneration no stipulation has been made between the company and themselves, are entitled to retain, for their own benefit, the discount which they receive as brokers under the "credit" system (12 per cent.) by the custom of insurance business, more especially if the mode of remuneration has been made known to their principals; and they need not account for the same to their principals. (L.JJ. reversing V. C. B.) Id.. .219, 298

577

37. Risks insured against-Restraint of princes— Land transit-Marine policy — Liability.—A marine policy in the ordinary Lloyd's form against the usual perils, "arrests, restraints, and detainments of princes," on goods which are expressed in the policy to be carried by a route, which is (within the knowledge of the underwriters) partly by sea and partly by land, covers the risk of transit both by land and water, and if the goods are lost by the perils insured against while upon land, the assured are entitled to recover. (C.P. and Ex. Ch.) Rodocanochi and others v. Elliot and others.....

page 21, 399 38. Risks insured against-Restraint of princes— Land transit-Siege-Abandonment—Liability. -Where goods insured under a policy covering terrene risks, and against (inter alia), “arrests, restraints, and detainment of princes," are in course of their transit detained in a town by reason of that town being regularly besieged, the detention is a "restraint of princes" within the meaning of the policy, which will give the assured the right to abandon and claim as for a total loss. (C.P. and Ex. Ch.) Id.

.21, 399

39. Risks insured against-Restraint of princes— Land transit-Siege-Notice of abandonmentWhere to be given.—Semble, that in such a case notice of abandonment may be given immediately or within such a reasonable time after the commencement of the restraint as will enable the assured to ascertain whether the restraint is likely or not to be permanent. (C.P.) Id. 40. Ship Classification — Underwriters' Association- Suspension of class-Right of shipowner to relief. Where an underwriters' association for the registry of ships, having a ship classed on their lists submitted to them for inspection and being dissatisfied with her condition, bonâ fide and without malice make an entry on their books suspending the ship's class, and decline to remove the entry till certain alterations are made in the ship, the shipowners are not entitled to relief, although they may be injured by the entry. (V.C.M.) Clover v. Roydon......

21

167

323

42. Ship-Insurable interest-Joint purchase-Pay. ment of whole by one owner—Authority by other to insure whole-Right to recover in name of one.— Where a ship is purchased in the name of two persons A. and B., but the purchase money is by arrangement between them paid by A. only; and B., in order to give some security to A. for the payment of his share, authorises A. to insure the ship in his (A.'s) name alone, and in case of the loss of the ship, to receive the whole insurance money, and so pay himself the amount due to him from B., A. has an insurable interest in the whole ship, and may, in an action on a valued policy, recover in his own name the full amount insured. A statement by B. to a third person of this arrangement with A., being a declaration against his (B.'s) interest, is evidence against the insurers to show A.'s insurable interest. (Priv. Co.) The Provincial Insurance Company of Canada v. Leduc 338

43. Ship-Insurable interest—Material men—) -Necessaries Advances-Bottomry bond.-Where ma

terial men lend money to a ship's captain to provide necessaries for his ship at a foreign port receive a bottomry bond, insure the ship, and on an adjustment of average are awarded a sum as due to them under the policy from the underwriters, they have an insurable interest, and are entitled to recover the amount found due by the adjustment. (U.S. Sup. Ct.) The Merchants' Mutual Insurance Company v. Baring and others ...page 411 44. Ship-Insurable interest-Mortgage-Right of shipowner to insure.-A shipowner whose ship is mortgaged may, if he remains in possession, insure his ship to the full amount of her value. The Provincial Insurance Company of Canada v. Leduc

45. Ship-Fire - Policy on ship in dock "with
liberty to go into dry dock."-Lying in river for
repairs-Not covered.-A policy against fire in the
hull of a ship whilst "lying in the Victoria
Docks, London, with liberty to go into dry dock,
and light, boiler fires once or twice during the
currency of this policy," although covering the
ship whilst in the Victoria Dock and the dry dock
and during her passage up and down the river
between the two (if such passage be necessary by
reason of her being unable to go into dry dock
without so passing), does not cover the ship whilst
lying in the river for repairs, after coming out of
dry dock, and before returning to the Victoria
Dock. (Ex. Ch. from C.P.) Pearson v. The Com-
mercial Union Assurance Company.
46. Ship Sale by master-Total loss-Necessity for
sale-Notice of abandonment.-The master of a
ship may, under certain circumstances, effect the
sale of his ship so as to thereby render the under-
writers liable for a total loss without notice of
abandonment, but he can only do so in cases of
stringent necessity that is to say, a necessity
that leaves the master no alternative, as a pru-
dent and skilful man acting bona fide for the best
interests of all concerned and with the best and
soundest judgment that can be formed under the
circumstances, but to sell the ship as she lies. If
he comes to this conclusion hastily, either with-
out sufficient examination into the actual state of
the ship, or without having previously made every
exertion in his power with the means then at his
disposal, to extricate her from the peril or to
raise funds for her repair, he will not be justified
in selling, even though the danger at the time
appear exceedingly imminent, (P.C.) The Cobe-
quid Marine Insurance Compauy v. Barteaux
47. Ship-Time policy-Unseaworthiness-Know-
ledge of shipowner-Warranty.-When a jury
have found in an action on a time policy that a
vessel was sent to sea in an unseaworthy condition,
but that such condition was at the time unknown
to the shipowners, there being in such case no
waaranty of seaworthiness, they can recover even
though the unseaworthiness as a fact materially
contributed to the loss. (Q.B.) Dudgeon v. Pem-
broke........

48. Ship-Time policy-Warranty-Voyage and times specified-Effect of breach-Acceptance of abandonment-Estoppel.-A warranty in a time policy upon a ship for certain voyages, that the ship shall not proceed to or be at certain places after given dates, has not the effect of leaving the ship totally uninsured by the policy if, in breach of the warranty, she proceeds to, or is at those places after those dates, so as to preclude recovery in all cases; and if the underwriters, after a loss occurs whilst the ship is upon a voyage in breach of the warranty, duly accept abandonment, they will be estopped from setting up that there was no loss within the policy or the breach of warranty.

338

100

536

323

Presumption-Evidence.

viously to all appearances staunch and sound, and recently thoroughly repaired, and a few days before examined without any defects being discoverable, sinks suddenly at her moorings when she has taken in five-sixths of her cargo, and no direct evidence can be given why she founders, and no cause assigned for her doing so, these facts raise a presumption of unseaworthiness which mere conjectures and suggestions of a cause cannot displace. But evidence of the ship's excellent conduct up to the time immediately preceeding the loss, of extensive repairs recently done, of careful surveys recently made, and of the localisation of the injury, may be properly left to the jury on the questions as to seaworthiness and loss by a peril insured against, and is evidence on which they are justified in finding a loss by perils insured against, and they are not bound to find that she was unseaworthy. (C.P.) Anderson

Morice

---

50. Ship - Subject Warranty of seaworthiness matter of insurance.-The warranty of seaworthiness implied in a policy of marine insurance is to be considered with reference to each subject matter of insurance, and the ship can only be said to be seaworthy for the purposes of that warranty if it is seaworthy in respect of that subject-matter. (C.P.) Daniells v. Harris

51. Ship-Warranty of seaworthiness-Insurance on cargo-Effect of warranty-Destruction of cargo. -In a policy on cargo the implied warranty that the ship is seaworthy cannot be considered to contemplate the destruction, in order to save the ship on an ordinary voyage, of that very cargo which is the subject-matter of insurance. (C.P.) Id.

52. Ship-Warranty of seaworthiness-Insurance on cargo-Effect of warranty-Jettison of deck cargo. -Where a policy is effected on deck cargo it is not a compliance with the warranty of seaworthiness that the ship can, without danger to herself, should she encounter ordinary rough weather, be made seaworthy by the jettison of the deck cargo, which is the subject-matter of the insurance. (C.P.) Id.

53. Ship-Warranty of seaworthiness-Insurance on ship or under-deck cargo-Effect of warrantyJettison of deck cargo.-Semble, that if the policy had been on the ship and under-deck cargo, and not on the deck cargo, the implied warranty of seaworthiness would have been satisfied by the safety of the ship and under-deck cargo, and would not have been affected by the peril to or loss of the deck cargo, provided that the latter, by reason of the facility with which it could have been got rid of would have caused no danger to the ship, or subject-matter of insurance. (C.P.) Id. 54. Slip-Policy-Stamp Act-Contract not enforceable unless stamped-Not divisible.-An underwriter's slip is a contract of marine insurance within the meaning of the Stamp Act 1870, and such a contract cannot be enforced unless expressed in a stamped policy, and the agreement on behalf of underwriters signing a slip is not an agreement divisible into two parts, the one to make a contract of marine insurance, and the other to prepare a policy in accordance with that contract, but is a whole agreement to insure, which can only be enforced against underwriters after being expressed in a stamped policy. (Q. B. and Ex. Ch.) Fisher v. Liverpool Marine Insurance Company (Limited)

425

413

413

413

413

44, 254

See Carriage of Goods, No. 22-Charter-party, No. 1 -Jurisdiction-Marine Insurance Association— Necessaries, No. 3.

MARINE INSURANCE ASSOCIATION.

1. Rules of Power to expel member - Expulsion without hearing - Action against.-A mutual marine insurance association whose committee, by the rules, have absolute power to expel a member if they think his conduct suspicious, or that he is, for any other reason, unworthy of remaining in the society, cannot expel any member without hearing him, and giving him an opportunity of explaining his conduct, and any expulsion without a hearing is void; consequently an action will not lie against the committee for expelling a member without a hearing, he being still a member, and still entitled to enforce his rights in equity, and having sustained no legal damage. (Ex.) Wood v. Wood and others..... page 289 2. Rules of Members-Shipowner not member paying contributions - Right to sue-Estoppel.Where by the rules of a mutual marine insurance association no person can become a member, except by signing the articles; but a shipowner, having an equitable interest, and having transferred to him the legal interest in a ship, which has been insured in the association by its former owner, a member, pays the contributions claimed from him by the association, the latter are estopped from disputing the owner's interest in the policy and his right to sue on it, although he may not have complied with the rules as to membership. (Q.B.) Edwards v. Aberayron Mutual Shipping Insurance Society (Limited) 3. Rules of Settlement of disputes-Arbitration -Appeal-Condition precedent.-Where such a society provides by its rules that disputes are to be settled by the directors, and that an appeal shall be to the whole society, and that no action, &c., should be brought for any claims on the society by its members, such appeal must be resorted to, and is a condition precedent to any action against the society by a member for the recovery of any loss, (Q.B.) Id.

4. Rules of Several insurance-Policies signed by managers-Specification of names of insurers.-Stamp act.-Where by the rules of a marine assurance association, members severally, and not jointly, insure each other's ships for one year from noon of any day named, and the members make annual contributions to meet the losses, any excess going to a reserve fund, the managers signing the policies for all members, and being authorised to issue special rate policies for less than a year to members, and the managers issue special rate policies to members signing them with the names 66 as joint managers per procuration of the several members of the association for insuring each other's ships, every member bearing his equal proportion according to the sums mutually insured therein, excepting members paying special rates," such signatures to the policies are not valid within the meaning of sect. 7 of 30 Vict. c. 23, as they are not a specification of the names of the insurers, who are necessarily varying from time to time. (L. JJ. affirming M.R.) Re Average Association, Ex parte Cory and Hawkesley

469

469

.530, 570

5. Rules of Special rate policies-Non-membersUltra vires.-The issuing of special rate policies to non-members by the managers of such an association as above without authority by rule or otherwise is ultra vires. (L. JJ. affirming M. R.) Id. ..530, 570

MARITIME LIEN.

See Master's Wages and Disbursements, Nos. 9, 10-Mortgagees, No. 1-Necessaries, Nos, 1, 2, 3, 5.

MARSHALLING ASSETS.

See Master's Wages and Disbursements, No. 9.

MASTER.

See Carriage of Goods, Nos. 33, 34, 35, 36, 39, 43— Marine Insurance, No. 46-Master's Wages and Disbursements.

MASTER, DUTY AND POWERS OF. See Carriage of Goods, Nos. 33, 34, 35, 36, 39, 43. -Collision, Nos. 32, 33-Damage, No. 5-Marine Insurance, No. 46-Master's Wages and Disbursements Necessaries, No. 4-Sale of Ship.

MASTER'S WAGES AND DISBURSEMENTS.

..page 123 Account-

1. Co-owners-Set-off - Counter-claim-AccountMerchant Shipping Act 1854, sect. 191.-In a suit for wages and disbursements by a master, who is also co-owner, the other co-owners may, under the Merchant Shipping Act 1854 (17 & 18 Vict. c. 104) s. 191, set up a counter claim or set-off in respect of outstanding co-ownership accounts, and claim that the balance (if any) be paid to them. (Adm.) The City of Mobile 2. Co-owner Set-of Counterclaim Reference to registrar and merchant-Merchant Shipping Act 1854, sect. 191-Pleading.—To a petition claiming master's wages and disbursements, and praying a reference of any accounts arising in respect thereto to the registrar and merchants, an answer alleging the master to be also co-owner, and that accounts are outstanding between the plaintiff and the defendants, as coowners, showing a balance on all accounts in favour of the defendants, and praying a reference to the registrar and merchants of all master's and co-ownership accounts, will be allowed by the High Court of Admiralty. (Adm.) Id. 3. Forfeiture of wages Drunkenness in port.Occasional drunkenness in port on the part of the master of a vessel will not, if unaccompanied with neglect of duty, work a forfeiture of wages. (Adm.) The Roebuck... 4. Forfeiture of wages.

Constant drunkenness.Semble, that constant drunkenness on the part of a master, whether there be proof of neglect of duty or not, will work a forfeiture of either the whole or part of his wages, according to circumstances. (Adm.) Id......

123

387

387

5. Forfeiture of wages-Disobedience to ordersDamage to ship-Ship worked against orders.— Where a master receives express orders from his owners as to the voyage which he is to make, and the ports to which he is to take the ship, and those orders are given under and with a view to a state of circumstances (political) out of which danger might arise to the ship, and which are known to and discussed by the master and owner at the time when they are given, the master is not justified, out of an alleged apprehension of that danger, in taking the ship on other voyages and to other ports; and if he does so take the ship, he will not be entitled to recover his wages for the time during which she is engaged against the owner's orders, even if the voyage is for the owners' benefit (Adm.) Id. 387 6. Forfeiture of wages-Desertion-What amounts to-Animus revertendi.- A master's wages may