As a shipowner running a family business, knowing the law keeps your company safe. Below are the main maritime laws every shipowner in America should know. I keep this simple, clear, and direct.
1. Jones Act (Merchant Marine Act of 1920)
This law protects crew working on ships in US waters. If your crew is hurt at sea, they can claim compensation. Owners must provide a safe workplace and proper care.
2. Limitation of Liability Act
If something goes bad – cargo loss, accident, or damage – this act may let you limit what you pay out. It only covers issues beyond your control or due to unknown causes.
3. Carriage of Goods by Sea Act (COGSA)
This sets your duties and rights when shipping cargo. It limits your liability if you followed proper procedures and covers issues like lost or damaged cargo.
4. General Maritime Law
These are the basic rules that govern ship operations, crew rights, and owner responsibilities. Broken contracts, crew injury claims or disputes are judged by general maritime law.
5. Pollution and Environmental Laws
You must follow strict rules on pollution—oil spills, garbage dumping, and emissions. US Coast Guard and international conventions (like MARPOL) can fine or ban you for breaking rules.
6. Maritime Liens
If you owe money for repairs, crew wages, or supplies, your ship can be seized. Understanding liens lets you know how to protect your vessel and sort debts quickly.
7. Vessel Documentation & Registration Laws
Your ships must be properly registered. The US Coast Guard handles most documentation. Lack of paperwork means you can’t operate, and you risk heavy fines.
8. Crew Employment Laws
You must pay and treat your crew fairly. Hiring and contracts need to follow the law; skirting rules leads to lawsuits and trouble with authorities.
Tips for Shipowners
- Keep records on every contract, voyage, and repair.
- Train your crew on legal rights and safety procedures.
- Read updates from official agencies (Coast Guard, Department of Transportation).
- Treat everyone fair – from crew to clients – to avoid disputes.
- Speak to a maritime lawyer if you face law trouble.
Maritime law can be complex, but staying informed puts your business a step ahead. Tough shipowners know the rules and use them to protect what’s theirs.