The case of the insurance companies:
A condition of transit of the canal is that control of the ship must be turned over to pilots employed and selected by the canal authority.
In the case of the EverGiven, the pilots were grossly incompetent.
The pilots were responsible for grounding the ship with resulting:
Damage to the ship.
Delays to the ships schedule and the resulting loss of revenue.
Delays in the delivery of the cargo and possible resulting liability.
Furthermore,
The ship was then arrested and held ransom for almost One Billion Dollars.
This resulted in further liabilities for delayed delivery of cargo and loss of revenue for the Ever Given.
Furthermore,
There are multiple possible claims due delays of cargo carried by the large numbers of ships delayed by the blockage of the canal.
The total losses occasioned by the incompetence of the SCA employees may be in the order of Two Billion dollars.
As insurers, we must re-evaluate our insurance rates for transit of the canal.
We anticipate that the new rates may be so high that many ships will find it more economical to avoid transiting the canal in the future rather than pay the insurance premium.
Our terms for settlement:
1. The Ever Given to be released.
2. The SCA to hold the Ever Given blameless.
3. The SCA to be responsible for all costs associated with the refloating of the Ever Given.
4. The SCA to accept, now and in the future, responsibility for the actions of SCA pilots and other employees.
5. The SCA to maintain insurance coverage for future possible incidents. It is anticipated that the insurance underwriter will supervise a training and standards program for pilots and others responsible for the passage of ships through the canal.
In return the insurers agree that claims for delays and loss of earnings will not be pursued against the SCA.
Just a thought.
The Ever Given and the insurers may not have been totally powerless in this matter.
Bill
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Ohm's law
Not just a good idea;
It's the LAW!