Global Trade, Admiralty Law And Zero Sum Games

Abstract

A shipment of heavy sand from Australia was contaminated by sea water during a hurricane. Upon examination of the ship’s hold hatches, it was determined by the consignee that the hold hatches were in poor repair and faulty. Immediate compensation for the insurance deductible and shipping expense was demanded of the ship’s owners. Claiming an act of God under Admiralty Law, the ship’s owner refused payment. Upon consultation with maritime attorneys, the consignee decided to apply a provision of maritime law and “arrest” the ship to force payment.