Helping You Understand Limited Liability

Injured On A Cruise? Contact Michael C. Black, P.A.

Boat owners can receive some protection from injury claims from our country’s Limited Liability law. Congress enacted the “Limitation Act” in 1851 in order to protect American shipowners from losing their fortune due to injury claims. If the crew or passengers aboard a ship suffered any kind of loss or personal injury while aboard the vessel, the boat’s owner will not be required to pay more than the value of the vessel at the end of the voyage.

The following calamities are included under the Limitation Act:

• Personal Injuries and Death
• Collisions
• Fire
• Sinking
• Lost and damaged cargo

In most personal injury cases that took place on the mainland, there is no set limit to how much a liable party can be required to pay. The Limited Liability rule ensures that the maximum a shipowner will pay is the cost of the boat itself. However, in order to qualify for this protection, a shipowner must apply for it and receive approval from the courts. The boat owner will have six months to apply for Limited Liability from the date of receiving written notice of someone’s intent to file a claim against him or her.

Furthermore, the courts will determine whether or not it can be proven that the shipowner was ignorant of the conditions that caused the accident in question. If it can be shown that the shipowner was aware of the ship’s hazards or unseaworthiness but failed to warn the crew, then the Limited Liability protection may not be granted.

If you suffered loss or injury aboard another person’s ship, be aware that the shipowner may be protected by this law and that you may not receive the amount of compensation you seek. Our firm can investigate every aspect of the situation to determine if the accident was caused by the shipowner’s negligence, and then pursue recovery for your damages.