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CA Admiralty Specialist practice questions

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Question 1Admiralty and Maritime Law

Under the general maritime law of the United States, which type of lien arises automatically in favor of a person who furnishes necessaries to a vessel on the order of the vessel's owner?

  1. A statutory lien on cargo
  2. An equitable vendor's lien
  3. A preferred ship mortgage
  4. A maritime lien on the vessel Correct answer.

Explanation

The provision of necessaries to a vessel on the order of the owner or an authorized person creates a maritime lien against the vessel itself under the general maritime law. The lien attaches to the vessel and may be enforced in rem, independent of any contract claim against the owner personally.

Question 2Admiralty and Maritime Law

Which of the following best describes the doctrine of general average?

  1. The shipowner alone absorbs all sacrifice made to save the voyage
  2. Each cargo interest bears its own loss without contribution
  3. Extraordinary sacrifice intentionally made for the common safety is shared proportionately by ship, cargo, and freight Correct answer.
  4. Only the master's personal property contributes to losses at sea

Explanation

General average requires an extraordinary sacrifice or expenditure intentionally and reasonably made for the common safety of ship and cargo. The resulting loss is apportioned among the contributing interests in proportion to their saved values.

Question 3Admiralty and Maritime Law

A vessel collides with another in fog. Under the traditional divided-damages rule applied by U.S. admiralty courts when both vessels are at fault, how is the loss generally allocated?

  1. The vessel with the greater fault pays the entire loss
  2. Damages are divided equally between the two vessels Correct answer.
  3. The loss is apportioned in proportion to each vessel's degree of fault
  4. Each vessel bears its own loss with no cross-claim

Explanation

Under the traditional rule of mutual fault, admiralty courts divided the total damages equally between the colliding vessels, subject to the major-exception for limited liability. This equal division applied regardless of differing degrees of fault.

Question 4Admiralty and Maritime Law

Which statute is the principal source of federal admiralty jurisdiction over civil cases in the United States?

  1. The Limitation of Liability Act
  2. The Death on the High Seas Act
  3. The Longshore and Harbor Workers' Compensation Act
  4. Article III, Section 2 and the Judiciary Act's saving-to-suitors clause Correct answer.

Explanation

Federal admiralty jurisdiction derives from Article III's extension of judicial power to cases of admiralty and maritime jurisdiction, implemented through the Judiciary Act. The saving-to-suitors clause preserves common-law remedies in certain circumstances.

Question 5Admiralty and Maritime Law

A seaman is injured aboard a vessel in navigable waters due to the unseaworthiness of the ship. Which claim does the general maritime law provide?

  1. A claim under the Jones Act for negligence only
  2. A claim for breach of the warranty of habitability
  3. A claim for maintenance and cure only
  4. A claim for unseaworthiness against the vessel owner Correct answer.

Explanation

The general maritime law imposes on a vessel owner an absolute duty to provide a seaworthy vessel, and a seaman injured by unseaworthiness may recover without proof of negligence. This remedy is separate from and cumulative with Jones Act negligence and maintenance and cure.

Question 6Admiralty and Maritime Law

What is the primary purpose of a bill of lading issued by a carrier of goods by sea?

  1. To serve as the contract of carriage, a receipt for the goods, and a document of title Correct answer.
  2. To guarantee the goods will arrive undamaged
  3. To transfer ownership of the vessel to the cargo owner
  4. To fix the seaworthiness of the vessel at the time of loading

Explanation

A bill of lading functions as evidence of the contract of carriage, a receipt acknowledging the goods shipped, and a document of title that can be negotiated. These three functions are the classic attributes of the instrument.

Question 7Admiralty and Maritime Law

Which international convention governs the carrier's liability for cargo under bills of lading and is implemented in the United States through the Carriage of Goods by Sea Act?

  1. The Rotterdam Rules
  2. The Warsaw Convention
  3. The Hague-Visby Rules Correct answer.
  4. The Hamburg Rules

Explanation

The Hague-Visby Rules set the carrier's minimum obligations and liability limits for cargo carried under bills of lading, and the United States implemented them through COGSA. The Hamburg and Rotterdam Rules are later, separate instruments.

Question 8Admiralty and Maritime Law

In a salvage operation, what is the basic condition for a salvor to be entitled to a salvage award?

  1. The salvor must have acted without any risk to itself
  2. The salvor must have performed the operation with some degree of success in saving maritime property from peril Correct answer.
  3. The salvor must have been engaged by a governmental authority
  4. The salvor must have a written contract with the vessel owner

Explanation

Salvage awards rest on the principle of success: the salvor must have voluntarily rendered service that saved maritime property from peril. The amount of the award depends on factors such as the risk, the value saved, and the salvor's efforts.

Question 9Admiralty and Maritime Law

A shipowner seeks to limit liability after a casualty. Under the Limitation of Liability Act, the owner's liability is generally limited to the value of the vessel and pending freight if the owner can show which of the following?

  1. That the vessel was insured for the full value
  2. That the cargo owner consented to the voyage
  3. That the casualty was caused by the negligence of the master
  4. That the owner had no privity or knowledge of the fault causing the loss Correct answer.

Explanation

The Limitation of Liability Act allows a shipowner to limit liability to the value of the vessel and pending freight when the loss occurred without the owner's privity or knowledge. Privity or knowledge means the owner participated in or was aware of the fault.

Question 10Admiralty and Maritime Law

A cargo owner sues a carrier for damage to goods. The carrier invokes the exception for errors in navigation. Under COGSA, which statement is correct?

  1. The carrier is excused only if the cargo owner was also negligent
  2. The carrier is excused only if the vessel was unseaworthy
  3. The carrier is liable because navigation errors are never excused
  4. The carrier is excused from liability for loss caused by negligent navigation of the vessel Correct answer.

Explanation

COGSA contains a nautical fault exception excusing the carrier from liability for loss resulting from errors in the navigation or management of the ship. This exception applies to the carrier's navigation and management of the vessel, though the carrier must still exercise due diligence to make the ship seaworthy.

Question 11Admiralty and Maritime Law

A maritime worker injured on a pier while loading a vessel files suit against the vessel owner. Which Supreme Court decision held that a vessel owner owes a duty to exercise reasonable care to protect longshore workers from hazards?

  1. Scindia Steam Navigation Co. v. De Los Santos Correct answer.
  2. Yamaha Motor Corp. v. Calhoun
  3. The Harrisburg
  4. Southern Pacific Co. v. Jensen

Explanation

In Scindia, the Supreme Court addressed the vessel owner's duty to longshore workers and held that the owner must exercise reasonable care to avoid exposing them to hazards. The decision clarified the interplay between the vessel and the stevedore employer.

Question 12Admiralty and Maritime Law

A vessel owner enters a preferred ship mortgage and fails to record it. What is the consequence under the Ship Mortgage Act?

  1. The mortgage becomes a maritime lien with priority over all claims
  2. The mortgage is void entirely
  3. The mortgage is valid but does not enjoy preferred status against third parties Correct answer.
  4. The mortgage converts into an equity interest in the vessel

Explanation

To obtain preferred status, a ship mortgage must be properly recorded under the Ship Mortgage Act. An unrecorded mortgage may remain valid between the parties but lacks the preferred priority needed to prevail against subsequent claimants.

Question 13Admiralty and Maritime Law

A passenger on a cruise ship slips on a wet deck. Which standard generally governs the shipowner's liability to the passenger?

  1. Strict liability for any injury aboard
  2. Absolute liability limited to the value of the vessel
  3. Liability only if the passenger paid a premium fare
  4. Reasonable care under the circumstances Correct answer.

Explanation

A shipowner owes passengers the duty to exercise reasonable care under the circumstances, including maintaining safe conditions and warning of hazards. This is a negligence standard rather than strict or absolute liability.

Question 14Admiralty and Maritime Law

Which of the following is a key requirement for a maritime contract to fall within admiralty jurisdiction?

  1. The contract must relate to a vessel and maritime commerce Correct answer.
  2. The contract must involve a foreign party
  3. The contract must be governed by state law
  4. The contract must be performed entirely on land

Explanation

Admiralty jurisdiction over contracts requires a sufficient relationship to maritime commerce, typically involving a vessel in navigation. Purely land-based contracts are generally outside admiralty jurisdiction.

Question 15Admiralty and Maritime Law

A seaman falls ill during a voyage and requires medical treatment. Which remedy requires the shipowner to pay for unearned wages and medical expenses until the seaman reaches maximum medical improvement?

  1. Jones Act negligence
  2. Maintenance and cure Correct answer.
  3. General average contribution
  4. Unseaworthiness

Explanation

Maintenance and cure obligates the shipowner to provide food and lodging (maintenance) and medical care (cure) to a seaman who becomes ill or injured in the service of the ship. The obligation continues until maximum medical improvement is reached, and it applies without regard to fault.

Question 16Admiralty and Maritime Law

Under the doctrine of forum non conveniens in admiralty, a court may dismiss a case when which circumstances are present?

  1. The plaintiff has filed in the wrong federal district only
  2. The defendant resides in a different state
  3. An alternative forum is available and the balance of convenience strongly favors it Correct answer.
  4. The case involves a foreign vessel owner

Explanation

Forum non conveniens permits dismissal when an adequate alternative forum exists and the balance of private and public interests strongly favors litigating elsewhere. In admiralty, the doctrine is applied with particular attention to the interests of the parties and the forum.

Question 17Admiralty and Maritime Law

A charter party provides that the charterer will pay for fuel and port charges while the owner retains control of navigation. Which type of charter is this?

  1. Demise charter
  2. Time charter Correct answer.
  3. Bareboat charter
  4. Voyage charter

Explanation

In a time charter, the charterer pays for fuel and port charges but the owner retains control of navigation and operation of the vessel. This distinguishes it from a bareboat or demise charter, where the charterer takes full possession and control.

Question 18Admiralty and Maritime Law

A vessel is arrested in an in rem action to enforce a maritime lien. What is the effect of the vessel's arrest?

  1. It converts the lien into a preferred mortgage
  2. It extinguishes all other liens on the vessel
  3. It brings the vessel into the custody of the court to satisfy claims against it Correct answer.
  4. It transfers ownership of the vessel to the lienholder

Explanation

An in rem action proceeds against the vessel itself, and arrest places the vessel in the custody of the court so that claims may be enforced against it. A sale ordered by the court can then satisfy the liens in order of priority.

Question 19Admiralty and Maritime Law

Which of the following best describes the doctrine of laches as applied in admiralty?

  1. A procedural rule that applies only to cargo claims
  2. A rule that requires claims to be filed within one year of the injury
  3. A fixed statute of limitations that bars all claims after three years
  4. An equitable doctrine barring stale claims where the plaintiff's delay caused prejudice to the defendant Correct answer.

Explanation

Admiralty courts apply laches, an equitable doctrine that bars a claim when the plaintiff has unreasonably delayed and the defendant has been prejudiced by that delay. Where a statute supplies an analogous limitations period, courts often look to it as a guide.

Question 20Admiralty and Maritime Law

A shipowner and cargo owner agree that all disputes will be resolved by arbitration in London. A U.S. court is asked to enforce the agreement. What is the likely result under the Convention on the Recognition and Enforcement of Foreign Arbitral Awards?

  1. The court will convert the arbitration clause into a maritime lien
  2. The court will enforce the agreement only if the cargo owner consents at the time of suit
  3. The court will refuse enforcement because maritime disputes are outside the Convention
  4. The court will generally enforce the agreement and compel arbitration Correct answer.

Explanation

The New York Convention requires courts of contracting states to recognize written arbitration agreements and refer parties to arbitration unless the agreement is invalid or incapable of performance. Maritime disputes are arbitrable, so a U.S. court would generally compel arbitration.

Question 21Admiralty and Maritime Law

A vessel spills oil in U.S. navigable waters. Which statute primarily governs liability for oil pollution from vessels?

  1. The Jones Act
  2. The Limitation of Liability Act
  3. The Carriage of Goods by Sea Act
  4. The Clean Water Act's oil pollution provisions and the Oil Pollution Act Correct answer.

Explanation

The Oil Pollution Act and the Clean Water Act establish liability and response obligations for oil discharges into navigable waters. These statutes impose strict liability on responsible parties for removal costs and damages.

Question 22Admiralty and Maritime Law

A seaman sues under the Jones Act for injuries caused by the employer's negligence. Which standard of causation applies?

  1. Slight negligence under a relaxed causation standard Correct answer.
  2. Intentional misconduct
  3. Gross negligence
  4. Proximate cause only

Explanation

The Jones Act applies a relaxed causation standard, often described as requiring only slight negligence and a causal connection. This standard favors seamen compared with ordinary negligence actions.

Question 23Admiralty and Maritime Law

A vessel owner seeks exoneration from or limitation of liability after a fire. Several claimants have filed separate suits in different districts. What procedural mechanism is typically used to consolidate the claims?

  1. A salvage arbitration
  2. A motion to transfer under the forum non conveniens doctrine
  3. A concursus proceeding in the limitation action Correct answer.
  4. An in rem arrest of the cargo

Explanation

The Limitation of Liability Act provides for a concursus, a single proceeding in which all claims arising from the casualty are consolidated for determination. This avoids inconsistent results and allows the court to adjudicate the owner's right to limit liability once.

Question 24Admiralty and Maritime Law

A time charterer orders the vessel to a port that the master knows is unsafe. The vessel is damaged. Which principle governs the allocation of liability between owner and charterer?

  1. The owner bears all liability because the master retained navigation control
  2. The loss is shared equally regardless of fault
  3. The charterer bears all liability because it issued the order
  4. Liability depends on whether the master reasonably relied on the charterer's warranty of safety, with the unsafe-port warranty generally allocated to the charterer Correct answer.

Explanation

A time charterer generally warrants that the ports it orders are safe, but the master's independent knowledge and reasonable judgment can affect allocation. Courts examine whether the master reasonably relied on the charterer's order and whether the charterer breached its safe-port warranty.

Question 25Admiralty and Maritime Law

A ship collides with a pier. The pier owner sues in admiralty, but the vessel was on a purely internal voyage in non-navigable waters. What is the likely jurisdictional outcome?

  1. Admiralty jurisdiction attaches because a vessel was involved
  2. Admiralty jurisdiction attaches because the pier is a maritime structure
  3. Admiralty jurisdiction is lacking because the incident occurred on non-navigable waters Correct answer.
  4. Admiralty jurisdiction attaches only if the vessel was foreign

Explanation

Admiralty tort jurisdiction generally requires that the incident occur on navigable waters or have a sufficient maritime nexus. An incident on non-navigable waters with no maritime connection falls outside admiralty jurisdiction.

Question 26Admiralty and Maritime Law

In admiralty law, what does the term 'demurrage' refer to?

  1. The payment made by the shipowner to the charterer for failing to provide a seaworthy vessel
  2. The compensation paid by the charterer to the shipowner for exceeding the allowed laytime for loading or unloading Correct answer.
  3. The fee charged by a port authority for the use of its docking facilities
  4. The penalty imposed on a carrier for delivering cargo to the wrong consignee

Explanation

Demurrage is a form of liquidated damages payable by the charterer when the vessel is detained beyond the agreed laytime for cargo operations. It compensates the shipowner for the extra time the vessel is off-hire from its next employment.

Question 27Admiralty and Maritime Law

Which of the following is a general average act?

  1. Paying for routine maintenance of the vessel's engines during a voyage
  2. Compensating a stevedore injured while loading cargo in port
  3. Jettisoning cargo to lighten a vessel that has run aground and is in peril Correct answer.
  4. Incurring fuel costs for the vessel's normal propulsion

Explanation

General average requires an intentional and reasonable sacrifice or expenditure made for the common safety of ship and cargo in a moment of peril. Jettisoning cargo to refloat a grounded vessel is the classic example, and the loss is shared proportionately among the venture.

Question 28Admiralty and Maritime Law

What is the effect of a clause paramount in a bill of lading?

  1. It incorporates the Hague or Hague-Visby Rules into the contract of carriage Correct answer.
  2. It requires the carrier to provide a seaworthy vessel at all times
  3. It exempts the carrier from liability for negligence in navigation
  4. It designates the law of the flag state as governing the contract

Explanation

A clause paramount is a contractual provision that makes the Hague Rules, Hague-Visby Rules, or other specified international convention applicable to the bill of lading. It ensures that the carrier's liability and obligations conform to the chosen regime even when the governing law might not otherwise apply.

Question 29Admiralty and Maritime Law

Which of the following is required for a maritime lien to arise in favor of a supplier of necessaries to a vessel?

  1. The supplier must record the lien in the office of the flag state
  2. The supplier must have a written contract with the vessel's registered owner
  3. The vessel must be in port at the time the supplies are ordered
  4. The necessaries must be supplied to the vessel on the order of the owner or an authorized person Correct answer.

Explanation

A maritime lien for necessaries arises when goods or services are furnished to a vessel upon the order of the owner or a person authorized by the owner, such as the master or charterer. The lien attaches to the vessel itself and may be enforced in rem.

Question 30Admiralty and Maritime Law

Under the Jones Act, what must a seaman prove to recover for injuries caused by the employer's negligence?

  1. That the injury occurred while the seaman was off duty
  2. That the vessel was unseaworthy at the time of the injury
  3. That the employer's negligence was the sole proximate cause of the injury
  4. That the employer's negligence played any part, even the slightest, in causing the injury Correct answer.

Explanation

The Jones Act adopts a relaxed causation standard: the seaman need only show that the employer's negligence contributed in any way to the injury. This is often described as requiring that negligence played any part, even the slightest, in producing the harm.

Question 31Admiralty and Maritime Law

What is the primary function of a notice of readiness in a charter party?

  1. To notify the port authority that the vessel intends to enter the harbor
  2. To request permission from the charterer to deviate from the agreed route
  3. To declare the vessel's intention to exercise a lien on the cargo
  4. To inform the charterer that the vessel has arrived at the loading or discharging port and is ready to commence cargo operations Correct answer.

Explanation

A notice of readiness is tendered by the master or owner to the charterer to signify that the vessel has arrived at the agreed port and is ready in all respects to load or discharge cargo. Its acceptance often triggers the commencement of laytime.

Question 32Admiralty and Maritime Law

In a safe berth clause, who typically bears the risk of damage to the vessel caused by an unsafe berth?

  1. The shipowner, who retains responsibility for navigation
  2. The cargo interests, who select the loading location
  3. The port authority, which controls the berth
  4. The charterer, who warrants that the berth is safe for the vessel Correct answer.

Explanation

A safe berth clause is a warranty by the charterer that the nominated berth is safe for the vessel to reach, lie at, and depart from. If the berth is unsafe and the vessel is damaged, the charterer may be liable for breach of that warranty.

Question 33Admiralty and Maritime Law

What is the purpose of the doctrine of laches in admiralty cases?

  1. To bar a claim when the claimant has unreasonably delayed in bringing suit and the delay has prejudiced the defendant Correct answer.
  2. To require that all maritime claims be brought within one year of the incident
  3. To impose a mandatory six-month waiting period before a maritime lien can be enforced
  4. To allow a court to dismiss a case solely because the plaintiff filed in the wrong venue

Explanation

Laches is an equitable defense that bars an admiralty claim when the claimant has unreasonably delayed in asserting rights and the delay has caused prejudice to the opposing party. Unlike a statute of limitations, laches depends on the circumstances and the harm caused by the delay.

Question 34Admiralty and Maritime Law

A vessel collides with a dock while maneuvering in a busy harbor. The dock owner sues the vessel owner in admiralty. Which standard of liability generally applies to the collision?

  1. The vessel owner is liable if the vessel was navigated negligently and that negligence caused the damage Correct answer.
  2. The vessel owner is liable only if the dock was unseaworthy
  3. The vessel owner is immune from liability because collisions are inherent in navigation
  4. The vessel owner is strictly liable for all damage to docks regardless of fault

Explanation

In a maritime collision with a fixed structure such as a dock, liability is generally based on negligence. The dock owner must prove that the vessel was operated negligently and that the negligence caused the damage.

Question 35Admiralty and Maritime Law

A shipowner files a petition under the Limitation of Liability Act. Which of the following is a prerequisite for the owner to limit liability?

  1. The owner must prove that the vessel was seaworthy at the time of the casualty
  2. The owner must obtain consent from all claimants before filing
  3. The owner must demonstrate that the crew was properly licensed
  4. The owner must show that the casualty occurred without the privity or knowledge of the owner Correct answer.

Explanation

Under the Limitation of Liability Act, a shipowner may limit liability to the value of the vessel and pending freight only if the casualty occurred without the privity or knowledge of the owner. Privity or knowledge generally means that the owner had actual or constructive awareness of the condition or act that caused the loss.

Question 36Admiralty and Maritime Law

A charterer fails to pay hire on time under a time charter. The shipowner exercises the right to withdraw the vessel. What is the effect of withdrawal?

  1. The charter party is terminated and the shipowner is free to employ the vessel elsewhere Correct answer.
  2. The charter party continues but the charterer must pay a penalty
  3. The shipowner may only suspend performance until payment is made
  4. The withdrawal automatically transfers ownership of the vessel to the charterer

Explanation

A right of withdrawal allows the shipowner to terminate the charter party when hire is not paid by the due date. Upon withdrawal, the charterer's rights to the vessel end, and the owner may relet the vessel to another party.

Question 37Admiralty and Maritime Law

A seaman is injured aboard a vessel in U.S. waters. The seaman sues the vessel owner for unseaworthiness. Which of the following is an element of the unseaworthiness claim?

  1. The seaman was contributorily negligent
  2. The injury occurred during a recreational activity
  3. The owner failed to provide a safe place to work under the Longshore Act
  4. The vessel or its equipment was not reasonably fit for its intended purpose Correct answer.

Explanation

An unseaworthiness claim requires proof that the vessel, its gear, or its crew was not reasonably fit for the service in which it was engaged. The owner's duty to provide a seaworthy vessel is absolute and does not depend on negligence.

Question 38Admiralty and Maritime Law

A cargo owner discovers that goods were damaged due to the carrier's failure to properly ventilate a hold. The carrier argues that the damage was caused by an inherent vice of the goods. Which principle determines whether the carrier is liable?

  1. The cargo owner must prove that the carrier intended to cause the damage
  2. The carrier is exempt from liability if the goods were shipped in containers
  3. The carrier is automatically liable for all cargo damage regardless of cause
  4. The carrier must prove that the damage would have occurred even with proper care Correct answer.

Explanation

When a carrier asserts the inherent vice exception, it must show that the loss was attributable to the nature of the goods and would have occurred despite the exercise of due diligence. If the carrier's failure to ventilate contributed to the damage, the exception may not apply.

Question 39Admiralty and Maritime Law

A vessel is arrested in an in rem action to enforce a maritime lien. The vessel owner posts a bond to secure release. What is the effect of the bond?

  1. The bond substitutes for the vessel as security, and the action proceeds against the bond Correct answer.
  2. The bond extinguishes the maritime lien and bars any further claims
  3. The bond transfers ownership of the vessel to the lien claimant
  4. The bond requires the claimant to dismiss the action immediately

Explanation

When a vessel is arrested, the owner may post a bond or other security to obtain release. The bond stands in place of the vessel as the res, and the in rem action continues against the bond rather than the vessel itself.

Question 40Admiralty and Maritime Law

A shipowner and a cargo owner enter into a contract for the carriage of goods. The contract includes a clause selecting English law and London arbitration. A dispute arises, and the cargo owner files suit in a U.S. district court. How should the court likely respond to a motion to compel arbitration?

  1. The court should dismiss the case for lack of subject matter jurisdiction
  2. The court should compel arbitration and stay the litigation, enforcing the arbitration clause Correct answer.
  3. The court should transfer the case to the English courts automatically
  4. The court should deny the motion because admiralty claims are not arbitrable

Explanation

Arbitration clauses in maritime contracts are generally enforceable under the Federal Arbitration Act and international conventions. A U.S. court should compel arbitration and stay the proceedings, respecting the parties' agreement to arbitrate in London.

Question 41Admiralty and Maritime Law

A vessel discharges oil into navigable waters, causing damage. Under the Oil Pollution Act of 1990 (OPA), which party is primarily responsible for cleanup costs?

  1. The cargo owner whose oil was discharged
  2. The port authority where the discharge occurred
  3. The salvage company hired to contain the spill
  4. The responsible party, typically the owner or operator of the vessel Correct answer.

Explanation

OPA imposes liability for oil pollution on the responsible party, which is generally the owner or operator of the vessel or facility from which the oil is discharged. The responsible party is liable for removal costs and damages, subject to statutory limits and defenses.

Question 42Admiralty and Maritime Law

A seaman is injured due to the negligence of a fellow crew member. Under the Jones Act, which of the following is true regarding the seaman's recovery?

  1. The seaman may recover only from the fellow servant personally
  2. The seaman is barred from recovery under the fellow servant rule
  3. The seaman may recover damages from the employer for the fellow servant's negligence Correct answer.
  4. The seaman may recover only if the fellow servant was intoxicated

Explanation

The Jones Act abolishes the fellow servant rule in maritime employment. An employer is liable for injuries to a seaman caused by the negligence of a fellow crew member acting within the scope of employment.

Question 43Admiralty and Maritime Law

A vessel is chartered under a voyage charter. The charter party provides for a fixed laytime of five days for loading. The charterer completes loading in three days. What is the charterer entitled to?

  1. Dispatch money as a reward for saving laytime
  2. Nothing extra; laytime is the maximum allowed, and the charterer bears the risk of faster loading Correct answer.
  3. A pro rata reduction in freight
  4. An extension of laytime for the return voyage

Explanation

Laytime is the period allowed for cargo operations, and the charterer bears the risk of completing them within that time. Unless the charter party expressly provides for dispatch, the charterer is not entitled to a reward for loading faster than the allowed laytime.

Question 44Admiralty and Maritime Law

A shipowner seeks to enforce a maritime lien for repairs made to a vessel. The repairs were ordered by the vessel's master while the owner was unavailable. Which of the following is true regarding the lien?

  1. The lien is invalid because the owner did not personally authorize the repairs
  2. The lien is valid because the master is presumed to have authority to order necessaries Correct answer.
  3. The lien is valid only if the repair yard recorded it with the coast guard
  4. The lien is invalid because only the registered owner can create a lien

Explanation

The master of a vessel is presumed to have authority to bind the vessel for necessaries such as repairs when the owner is not present or available. A maritime lien therefore arises in favor of the repair yard for the value of the services.

Question 45Admiralty and Maritime Law

A vessel collides with another vessel in dense fog. Both vessels were operating radar but neither was maintaining a proper lookout. Under the divided damages rule (traditional admiralty rule), how are damages allocated?

  1. Damages are allocated in proportion to each vessel's degree of fault
  2. Damages are divided equally between the vessels regardless of the degree of fault Correct answer.
  3. Damages are borne entirely by the vessel that was moving at the time
  4. The vessel with the more experienced crew bears all damages

Explanation

The traditional admiralty rule of divided damages requires that when both vessels are at fault in a collision, the total damages are divided equally, without regard to the comparative degree of fault. This rule has been modified in some jurisdictions, but it remains the classic admiralty approach.

Question 46Admiralty and Maritime Law

A cruise line includes a clause in its passenger ticket requiring all personal injury claims to be brought within six months of the injury. A passenger is injured and files suit after eight months. What is the likely effect of the clause?

  1. The clause is unenforceable because the cruise line did not provide consideration
  2. The clause is automatically void because admiralty law prohibits contractual limitations
  3. The clause is likely enforceable if it is reasonable and the passenger had notice Correct answer.
  4. The clause is valid only if the passenger signed it in the presence of a notary

Explanation

Admiralty law generally enforces reasonable contractual limitations periods in passenger tickets, provided the passenger had notice of the term. A six-month limit may be upheld if it is not unconscionable and the ticket gave adequate notice.

Question 47Admiralty and Maritime Law

A shipowner files a limitation petition after a casualty. A claimant seeks to proceed with a separate state court action against the owner. What is the effect of the limitation proceeding on the claimant's separate action?

  1. The separate action proceeds independently, and the limitation proceeding is suspended
  2. The separate action may proceed only if the claimant posts a bond
  3. The separate action is stayed, and all claims must be brought in the limitation proceeding Correct answer.
  4. The separate action is dismissed with prejudice

Explanation

When a shipowner files a limitation petition, the court typically stays all other proceedings against the owner to allow the claims to be consolidated in the limitation action. This ensures that the owner's right to limit liability is protected and that all claimants share in the limited fund.

Question 48Admiralty and Maritime Law

A vessel owner discovers that a charterer has sub-chartered the vessel to a third party without consent, in breach of a clause prohibiting sub-chartering. The owner seeks to terminate the charter. Which principle applies?

  1. The owner may terminate only if the sub-charterer is insolvent
  2. Any breach of a charter party automatically allows termination
  3. The owner may not terminate because sub-chartering is a customary right
  4. The breach may justify termination if it deprives the owner of a substantial benefit of the contract Correct answer.

Explanation

Termination for breach of a charter party depends on whether the breach is repudiatory or deprives the innocent party of substantially the whole benefit of the contract. A prohibition on sub-chartering may be a condition, and its breach could justify termination if the owner can show that the breach goes to the root of the contract.

Question 49Admiralty and Maritime Law

A vessel is arrested in a foreign port for a maritime claim. The owner seeks to have the arrest set aside by arguing that the claim is subject to an arbitration clause. Which of the following is the most likely outcome?

  1. The arbitration clause is unenforceable in admiralty proceedings
  2. The court must retain the vessel until the arbitration is concluded
  3. The court may release the vessel on security and refer the parties to arbitration Correct answer.
  4. The arrest is automatically void because arbitration clauses preclude in rem actions

Explanation

Many legal systems permit the arrest of a vessel to obtain security even when the underlying dispute is subject to arbitration. The court may release the vessel upon provision of adequate security and stay the in rem proceedings in favor of arbitration.

Question 50Admiralty and Maritime Law

A seaman suffers injuries due to the unseaworthiness of the vessel. The vessel owner argues that the seaman's own negligence contributed to the injury. Under general maritime law, how does comparative negligence affect the seaman's recovery?

  1. Comparative negligence does not apply to unseaworthiness claims
  2. The seaman's damages are reduced in proportion to his or her comparative fault Correct answer.
  3. The seaman is completely barred from recovery under the doctrine of contributory negligence
  4. The seaman's recovery is doubled if the vessel was unseaworthy

Explanation

General maritime law applies comparative negligence, which reduces a claimant's damages by the proportion of fault attributable to the claimant. This principle applies to unseaworthiness claims, so the seaman's recovery is diminished but not barred by his or her own negligence.