General Average is an internationally recognised system of casualty management which can trace its’ origins back to around 500 AD. Where a ship gets in to difficulty with cargo on board, any extraordinary sacrifice or expenditure which is intentionally and reasonably made or incurred for the common safety for the purpose of preserving from peril the property involved in a common maritime adventure may give rise to a General Average. Where there is a General Average, those extra ordinary sacrfices or expenses get shared between the parties in accordance with the terms and conditions in the bill of lading, charterparty or other contract of affreightment.
We can assist with:
Advice to shipowners and others with regard to whether a General Average exists and the necessary steps required to manage the situation.
Collection of General Average security from the various interests to secure payment of the various parties contributions.
Adjustment of the General Average in accordance with the terms of the bills of lading, charter party, contract of affreightment or relevant law.
Collection of the contributions due under the adjustment.