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Lloyd's Maritime and Commercial Law Quarterly

CANADIAN MARITIME LEGISLATION AND DECISIONS 1996–1997

William Tetley*

LEGISLATION

A. Canada Shipping Act (Maritime Liability) (Bill S–4)

An Act to amend the Canada Shipping Act (maritime liability),1 introduced in the Canadian Senate, will enable Canada to become a party to the Convention on Limitation of Liability for Maritime Claims 19762, as amended by its 1996 Protocol3, as well as to the 1992 Protocols4 to the Civil Liability Convention 19695 and the Fund Convention 19716. The Bill in effect reintroduces Bill C–58 of 1996, which died on the Order Paper when Parliament was dissolved in April 1997 for the federal General Election of June 1997. Once enacted, Bill S–4 will significantly increase the compensation available in respect of maritime liability, replacing the existing Canada Shipping Act provisions based on the Limitation of Shipowners’ Liability Convention 19577 with the greater limitations of the 1976 Limitation Convention and its 1996 Protocol. The maximum compensation for oil pollution will also increase, from approximately Can. $120 million to approximately Can. $270 million, including the limitation amount payable under the Civil Liability Convention 1969 and a supplementary sum available from the International Oil Pollution Compensation (IOPC) Fund. Claimants will also be entitled to recover the costs of preventive measures taken in expectation of a spill from a tanker, and shipowners will be liable for reasonable measures of reinstatement in cases where oil pollution from a ship results in environmental impairment. The legislation will cover both Canada’s inland waters and territorial sea and extend to its Exclusive Economic Zone (EEZ). Canadian law

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