General average

General average

The law of general average is a legal principle of maritime law according to which all parties in a sea venture proportionally share any losses resulting from a voluntary sacrifice of part of the ship or cargo to save the whole in an emergency. In the exigencies of hazards faced at sea, crewmembers often have precious little time in which to determine precisely whose cargo they are jettisoning. Thus, to avoid quarrelling that could waste valuable time, there arose the equitable practice whereby all the merchants whose cargo was on board would be called on to contribute a portion, based upon a share or percentage, to the merchant or merchants whose goods had been tossed overboard to avert imminent peril. While general average traces its origins in ancient maritime law, still it remains part of the admiralty law of most countries.

The first codification of general average was the York Antwerp Rules of 1890. American companies accepted it in 1949. General average requires three elements which are clearly stated by Mr. Justice Grier in Barnard v. Adams:

:"1st. A common danger: a danger in which vessel, cargo and crew all participate; a danger imminent and apparently 'inevitable,' except by voluntarily incurring the loss of a portion of the whole to save the remainder."

:"2nd. There must be a voluntary jettison, jactus, or casting away, of some portion of the joint concern for the purpose of avoiding this imminent peril, periculi imminentis evitandi causa, or, in other words, a transfer of the peril from the whole to a particular portion of the whole."

:"3rd. This attempt to avoid the imminent common peril must be successful".

See also:
*Rose, Francis D. (2005). "General Average : Law & Practice 2nd Edition"

External links

* [http://www.marlegal.com/mlgen.html General average]
* [http://www.wkwebster.com/general/generalav0.htm General average]
* [http://cargolaw.com/2008nightmare_msc_sabrina.html#GA MSC Sabrina grounds in St. Lawrence River, Canada]


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  • General average — General Gen er*al, a. [F. g[ e]n[ e]ral, fr. L. generalis. See {Genus}.] 1. Relating to a genus or kind; pertaining to a whole class or order; as, a general law of animal or vegetable economy. [1913 Webster] 2. Comprehending many species or… …   The Collaborative International Dictionary of English

  • general average — that part of the law merchant that provides that a loss incurred to save a vessel or cargo is distributed between all those benefiting thereby as parties to the maritime adventure. This encourages the jettisoning of cargo for the safety of all.… …   Law dictionary

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  • general average — A contribution by all the parties in a sea adventure to make good the loss sustained by one of their number on account of sacrifices voluntary made of part of the ship or cargo to save the residue and the lives of those on board from an impending …   Ballentine's law dictionary

  • general average — Gross Gross, a. [Compar. {Grosser}; superl. {Grossest}.] [F. gros, L. grossus, perh. fr. L. crassus thick, dense, fat, E. crass, cf. Skr. grathita tied together, wound up, hardened. Cf. {Engross}, {Grocer}, {Grogram}.] 1. Great; large; bulky;… …   The Collaborative International Dictionary of English

  • General average/New version — Average in maritime commerce to signify damages orexpenses resulting from the accidents of navigation. Average is either general or particular. General average arises when sacrifices have been made, or expenditures incurred, for the preservation… …   Wikipedia

  • general average loss — ➔ loss * * * general average loss UK US noun [C] INSURANCE, LAW ► a loss in which the cost of damage to a ship or the goods it is carrying is shared by all the insurance companies, not only those that protect the damaged property: »A general… …   Financial and business terms

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  • general average bond — A kind of bond, also called an average bond, which it is customary and lawful for the master of a ship to exact as a condition precedent to the delivery of the cargo in case a dispute has arisen as to liability for general average, or where… …   Ballentine's law dictionary

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