| Category | MARITIME AFFAIRS | Organ of Promulgation | The Standing Committee of the National People’s Congress | Status of Effect | In Force |
| Date of Promulgation | 1992-11-07 | Effective Date | 1993-07-01 |
|
Maritime Code of the People’s Republic of China |
|---|
Contents
Chapter I General Provisions
Chapter II Ships
Chapter III Crew
Chapter IV Contract of Carriage of Goods by Sea
Chapter V Contract of Carriage of Passengers by Sea
Chapter VI Charter Parties
Chapter VII Contract of Sea Towage
Chapter VIII Collision of Ships
Chapter IX Salvage at Sea
Chapter X General Average
Chapter XI Limitation of Liability for Maritime Claims
Chapter XII Contract of Marine Insurance
Chapter XIII Limitation of Time
Chapter XIV Application of Law in Relation to Foreign-related Matters
Chapter XV Supplementary Provisions
(Adopted at the 28th Meeting of the Standing Committee of the Seventh
National People’s Congress on November 7, 1992, promulgated by Order No. 64
of the President of the People’s Republic of China on November 7, 1992, and
effective as of July 1, 1993)
Contents
Chapter I General Provisions
Chapter II Ships
Section 1 Ownership of Ships
Section 2 Mortgage of Ships
Section 3 Maritime Liens
Chapter III Crew
Section 1 Basic Principles
Section 2 The Master
Chapter IV Contract of Carriage of Goods by Sea
Section 1 Basic Principles
Section 2 Carrier’s Responsibilities
Section 3 Shipper’s Responsibilities
Section 4 Transport Documents
Section 5 Delivery of Goods
Section 6 Cancellation of Contract
Section 7 Special Provisions Regarding Voyage Charter Party
Section 8 Special Provisions Regarding Multimodal Transport Contract
Chapter V Contract of Carriage of Passengers by Sea
Chapter VI Charter Parties
Section 1 Basic Principles
Section 2 Time Charter Party
Section 3 Bareboat Charter Party
Chapter VII Contract of Sea Towage
Chapter VIII Collision of Ships
Chapter IX Salvage at Sea
Chapter X General Average
Chapter XI Limitation of Liability for Maritime Claims
Chapter XII Contract of Marine Insurance
Section 1 Basic Principles
Section 2 Conclusion, Termination and Assignment of Contract
Section 3 Obligations of the Insured
Section 4 Liability of the Insurer
Section 5 Loss of or Damage to the Subject Matter Insured and
Abandonment
Section 6 Payment of Indemnity
Chapter XIII Limitation of Time
Chapter XIV Application of Law in Relation to Foreignrelated Matters
Chapter XV Supplementary Provisions
Chapter I General Provisions
Article 1 This Code is enacted with a view to regulating the relations
arising from maritime transport and those pertaining to ships, to securing and
protecting the legitimate rights and interests of the parties concerned, and
to promoting the development of maritime transport, economy and trade.
Article 2 “Maritime transport” as referred to in this Code means the
carriage of goods and passengers by sea, including the sea-river and river-sea
direct transport.
The provisions concerning contracts of carriage of goods by sea as
contained in Chapter IV of this Code shall not be applicable to the maritime
transport of goods between the ports of the People’s Republic of China.
Article 3 “Ship” as referred to in this Code means sea-going ships and
other mobile units, but does not include ships or craft to be used for
military or public service purposes, nor small ships of less than 20 tons
gross tonnage.
The term “ship” as referred to in the preceding paragraph shall also
include ship’s apparel.
Article 4 Maritime transport and towage services between the ports of the
People’s Republic of China shall be undertaken by ships flying the national
flag of the People’s Republic of China, except as otherwise provided for by
laws or administrative rules and regulations.
No foreign ships may engage in the maritime transport or towage services
between the ports of the People’s Republic of China unless permitted by the
competent authorities of transport and communications under the State Council.
Article 5 Ships are allowed to sail under the national flag of the
People’s Republic of China after being registered, as required by law, and
granted the nationality of the People’s Republic of China.
Ships illegally flying the national flag of the People’s Republic of China
shall be prohibited and fined by the authorities concerned.
Article 6 All matters pertaining to maritime transport shall be
administered by the competent authorities of transport and communications
under the State Council. The specific measures governing such administration
shall be worked out by such authorities and implemented after being submitted
to and approved by the State Council.
Chapter II Ships
Section I Ownership of Ships
Article 7 The ownership of a ship means the shipowner’s rights to
lawfully possess, utilize, profit from and dispose of the ship in his
ownership.
Article 8 With respect to a State-owned ship operated by an enterprise
owned by the whole people having a legal person status granted by the State,
the provisions of this Code regarding the shipowner shall apply to that legal
person.
Article 9 The acquisition, transference or extinction of the ownership of
a ship shall be registered at the ship registration authorities; no
acquisition, transference or extinction of the ship’s ownership shall act
against a third party unless registered.
The transference of the ownership of a ship shall be made by a contract in
writing.
Article 10 Where a ship is jointly owned by two or more legal persons or
individuals, the joint ownership thereof shall be registered at the ship
registration authorities. The joint ownership of the ship shall not act
against a third party unless registered.
Section 2 Mortgage of Ships
Article 11 The right of mortgage with respect to a ship is the right of
preferred compensation enjoyed by the mortgagee of that ship from the proceeds
of the auction sale made in accordance with law where and when the mortgagor
fails to pay his debt to the mortgagee secured by the mortgage of that ship.
Article 12 The owner of a ship or those authorized thereby may establish
the mortgage of the ship.
The mortgage of a ship shall be established by a contract in writing.
Article 13 The mortgage of a ship shall be established by registering the
mortgage of the ship with the ship registration authorities jointly by the
mortgagee and the mortgagor. No mortgage may act against a third party unless
registered.
The main items for the registration of the mortgage of a ship shall be:
(1) Name or designation and address of the mortgagee and the name or
designation and address of the mortgagor of the ship;
(2) Name and nationality of the mortgaged ship and the authorities that
issued the certificate of ownership and the certificate number thereof;
(3) Amount of debt secured, the interest rate and the period for the
repayment of the debt.
Information about the registration of mortgage of ships shall be
accessible to the public for enquiry.
Article 14 Mortgage may be established on a ship under construction.
In registering the mortgage of a ship under construction, the building
contract of the ship shall as well be submitted to the ship registration
authorities.
Article 15 The mortgaged ship shall be insured by the mortgagor unless
the contract provides otherwise. In case the ship is not insured, the
mortgagee has the right to place the ship under insurance coverage and the
mortgagor shall pay for the premium thereof.
Article 16 The establishment of mortgage by the joint owners of a ship
shall, unless otherwise agreed upon among the joint owners, be subject to the
agreement of those joint owners who have more than two-thirds of the shares
thereof.
The mortgage established by the joint owners of a ship shall not be
affected by virtue of the division of ownership thereof.
Article 17 Once a mortgage is established on a ship, the ownership of the
mortgaged ship shall not be transferred without the consent of the mortgagee.
Article 18 In case the mortgagee has transferred all or part of his right
to debt secured by the mortgaged ship to another person, the mortgage shall be
transferred accordingly.
Article 19 Two or more mortgages may be established on the same ship. The
ranking of the mortgages shall be determined according to the dates of their
respective registrations.
In case two or more mortgages are established, the mortgagees shall be
paid out of the proceeds of the auction sale of the ship in the order of
registration of their respective mortgages. The mortgages registered on the
same date shall rank equally for payment.
Article 20 The mortgages shall be extinguished when the mortgaged ship is
lost. With respect to the compensation paid from the insurance coverage on
account of the loss of the ship, the mortgagee shall be enpost_titled to enjoy
priority in compensation over other creditors.
Section 3 Maritime Liens
Article 21 A maritime lien is the right of the claimant, subject to the
provisions of Article 22 of this Code, to take priority in compensation
against shipowners, bareboat charterers or ship operators with respect to the
ship which gave rise to the said claim.
Article 22 The following maritime claims shall be enpost_titled to maritime
liens:
(1) Payment claims for wages, other remuneration, crew repatriation and
social insurance costs made by the Master, crew members and other members of
the complement in accordance with the relevant labour laws, administrative
rules and regulations or labour contracts;
(2) Claims in respect of loss of life or personal injury occurred in the
operation of the ship;
(3) Payment claims for ship’s tonnage dues, pilotage dues, harbour dues
and other port charges;
(4) Payment claims for salvage payment;
(5) Compensation claims for loss of or damage to property resulting from
tortious act in the course of the operation of the ship.
Compensation claims for oil pollution damage caused by a ship carrying
more than 2,000 tons of oil in bulk as cargo that has a valid certificate
attesting that the ship has oil pollution liability insurance coverage or
other appropriate financial security are not within the scope of sub-paragraph
(5) of the preceding paragraph.
Article 23 The maritime claims set out in paragraph 1 of Article 22
shall be satisfied in the order listed. However, any of the maritime claims
set out in sub-paragraph(4) arising later than those under sub-paragraph (1)
through (3) shall have priority over those under sub-paragraph (1) through
(3). In case there are more than two maritime claims under sub-paragraphs
(1),(2),(3) or (5) of paragraph 1 of Article 22, they shall be satisfied at
the same time regardless of their respective occurrences; where they could not
be paid in full, they shall be paid in proportion. Should there be more than
two maritime claims under subparagraph (4), those arising later shall be
satisfied first.
Article 24 The legal costs for enforcing the maritime liens, the expenses
for preserving and selling the ship, the expenses for distribution of the
proceeds of sale and other expenses incurred for the common interests of the
claimants, shall be deducted and paid first from the proceeds of the auction
sale of the ship.
Article 25 A maritime lien shall have priority over a possessory lien,
and a possessory lien shall have priority over ship mortgage.
The possessory lien referred to in the preceding paragraph means the right
of the ship builder or repairer to secure the building or repairing cost of
the ship by means of detaining the ship in his possession when the other party
to the contract fails in the performance thereof. The possessory lien shall be
extinguished when the ship builder or repairer no longer possesses the ship he
has built or repaired.
Article 26 Maritime liens shall not be extinguished by virtue of the
transfer of the ownership of the ship, except those that have not been
enforced within 60 days of a public notice on the transfer of the ownership of
the ship made by a court at the request of the transferee when the transfer
was effected.
Article 27 In case the maritime claims provided for in Article 22 of this
Code are transferred, the maritime liens attached thereto shall be transferred
accordingly.
Article 28 A maritime lien shall be enforced by the court by arresting
the ship that gave rise to the said maritime lien.
Article 29 A maritime lien shall, except as provided for in Article 26 of
this Code, be extinguished under one of the following circumstances:
(1) The maritime claim attached by a maritime lien has not been enforced
within one year of the existence of such maritime lien;
(2) The ship in question has been the subject of a forced sale by the
court;
(3) The ship has been lost.
The period of one year specified in sub-paragraph (1) of the preceding
paragraph shall not be suspended or interrupted.
Article 30 The provisions of this Section shall not affect the
implementation of the limitation of liability for maritime claims provided for
in Chapter XI of this Code.
Chapter III Crew
Section 1 Basic Principles
Article 31 The term “crew” means the entire complement of the ship,
including the Master.
Article 32 The Master, deck officers, chief engineer, engineers,
electrical engineer and radio operator must be those in possession of
appropriate certificates of competency.
Article 33 Chinese “crew” engaged in international voyages must possess
Seaman’s Book and other relevant certificates issued by the harbour
superintendency authorities of the People’s Republic of China.
Article 34 In the absence of specific stipulations in this Code as
regards the employment of the crew as well as their labour-related rights and
obligations, the provisions of the relevant laws and administrative rules and
regulations shall apply.
Section 2 The Master
Article 35 The Master shall be responsible for the management and
navigation of the ship.
Orders given by the Master within the scope of his functions and powers
must be carried out by other members of the crew, the passengers and all
persons on board.
The Master shall take necessary measures to protect the ship and all
persons on board, the documents, postal matters, the goods as well as other
property carried.
Article 36 To ensure the safety of the ship and all persons on board, the
Master shall be enpost_titled to confine or take other necessary measures against
those who have committed crimes or violated laws or regulations on board, and
to guard against their concealment, destruction or forging of evidence.
The Master, having taken actions as referred to in the preceding paragraph
of this Article, shall make a written report of the case, which shall bear the
signature of the Master himself and those of two or more others on board, and
shall be handed over, together with the offender, to the authorities concerned
for disposition.
Article 37 The Master shall make entries in the log book of any
occurrence of birth or death on board and shall issue a certificate to that
effect in the presence of two witnesses. The death certificate shall be
attached with a list of personal belongings of the deceased, and attestation
shall be given by the Master to the will, if any, of the deceased. Both the
death certificate and the will shall be taken into safe keeping by the Master
and handed over to the family members of the deceased or the organizations
concerned.
Article 38 Where a sea casualty has occurred to a ship and the life and
property on board have thus been threatened, the Master shall, with crew
members and other persons on board under his command, make best efforts to run
to the rescue. Should the foundering and loss of the ship have become
inevitable, the Master may decide to abandon the ship. However, such
abandonment shall be reported to the shipowner for approval except in case of
emergency.
Upon abandoning the ship, the Master must take all measures first to
evacuate the passengers safely from the ship in an orderly way, then make
arrangements for crew members to evacuate, while the Master shall be the last
to evacuate. Before leaving the ship, the Master shall direct the crew members
to do their utmost to rescue the deck log book, the engine log book, the oil
record book, the radio log book, the charts, documents and papers used in the
current voyage, as well as valuables, postal matters and cash money.
Article 39 The duty of the Master in the management and navigation of the
ship shall not be absolved even with the presence of a pilot piloting the
ship.
Article 40 Should death occur to the Master or the Master be unable to
perform his duties for whatever reason, the deck officer with the highest rank
shall act as the Master; before the ship sails from its next port of call, the
shipowner shall appoint a new Master to take command.
Chapter IV Contract of Carriage of Goods by Sea
Section 1 Basic Principles
Article 41 A contract of carriage of goods by sea is a contract under
which the carrier, against payment of freight, undertakes to carry by sea the
goods contracted for shipment by the shipper from one port to another.
Article 42 For the purposes of this Chapter:
(1) “Carrier” means the person by whom or in whose name a contract of
carriage of goods by sea has been concluded with a shipper;
(2) “Actual carrier” means the person to whom the performance of carriage
of goods, or of part of the carriage, has been entrusted by the carrier, and
includes any other person to whom such performance has been entrusted under a
sub-contract;
(3) “Shipper” means:
a) The person by whom or in whose name or on whose behalf a contract of
carriage of goods by sea has been concluded with a carrier;
b) The person by whom or in whose name or on whose behalf the goods have
been delivered to the carrier involved in the contract of carriage of goods by
sea;
(4) “Consignee” means the person who is enpost_titled to take delivery of the
goods;
(5) “Goods” includes live animals and containers, pallets or similar
articles of transport supplied by the shipper for consolidating the goods.
Article 43 The carrier or the shipper may demand confirmation of the
contract of carriage of goods by sea in writing. However, voyage charter shall
be done in writing. Telegrams, telexes and telefaxes have the effect of
written documents.
Article 44 Any stipulation in a contract of carriage of goods by sea or a
bill of lading or other similar documents evidencing such contract that
derogates from the provisions of this Chapter shall be null and void. However,
such nullity and voidness shall not affect the validity of other provisions of
the contract or the bill of lading or other similar documents. A clause
assigning the benefit of insurance of the goods in favour of the carrier or
any similar clause shall be null and void.
Article 45 The provisions of Article 44 of this Code shall not prejudice
the increase of duties and obligations by the carrier besides those set out in
this Chapter.
Section 2 Carrier’s Responsibilities
Article 46 The responsibilities of the carrier with regard to the goods
carried in containers covers the entire period during which the carrier is in
charge of the goods, starting from the time the carrier has taken over the
goods at the port of loading, until the goods have been delivered at the port
of discharge. The responsibility of the carrier with respect to
non-containerized goods covers the period during which the carrier is in
charge of the goods, starting from the time of loading of the goods onto the
ship until the time the goods are discharged therefrom. During the period the
carrier is in charge of the goods, the carrier shall be liable for the loss of
or damage to the goods, except as otherwise provided for in this Section.
The provisions of the preceding paragraph shall not prevent the carrier
from entering into any agreement concerning carrier’s responsibilities with
regard to non-containerized goods prior to loading onto and after discharging
from the ship.
Article 47 The carrier shall, before and at the beginning of the voyage,
exercise due diligence to make the ship seaworthy, properly man, equip and
supply the ship and to make the holds, refrigerating and cool chambers and all
other parts of the ship in which goods are carried, fit and safe for their
reception, carriage and preservation.
Article 48 The carrier shall properly and carefully load, handle, stow,
carry, keep, care for and discharge the goods carried.
Article 49 The carrier shall carry the goods to the port of discharge on
the agreed or customary or geographically direct route.
Any deviation in saving or attempting to save life or property at sea or
any reasonable deviation shall not be deemed to be an act deviating from the
provisions of the preceding paragraph.
Article 50 Delay in delivery occurs when the goods have not been
delivered at the designated port of discharge within the time expressly agreed
upon.
The carrier shall be liable for the loss of or damage to the goods caused
by delay in delivery due to the fault of the carrier, except those arising or
resulting from causes for which the carrier is not liable as provided for in
the relevant Articles of this Chapter.
The carrier shall be liable for the economic losses caused by delay in
delivery of the goods due to the fault of the carrier, even if no loss of or
damage to the goods had actually occurred, unless such economic losses had
occurred from causes for which the carrier is not liable as provided for in
the relevant Articles of this Chapter.
The person enpost_titled to make a claim for the loss of goods may treat the
goods as lost when the carrier has not delivered the goods within 60 days from
the expiry of the time for delivery specified in paragraph 1 of this Article.
Article 51 The carrier shall not be liable for the loss of or damage to
the goods occurred during the period of carrier’s responsibility arising or
resulting from any of the following causes:
(1) Fault of the Master, crew members, pilot or servant of the carrier in
the navigation or management of the ship;
(2) Fire, unless caused by the actual fault of the carrier;
(3) Force majeure and perils, dangers and accidents of the sea or other
navigable waters;
(4) War or armed conflict;
(5) Act of the government or competent authorities, quarantine
restrictions or seizure under legal process;
(6) Strikes, stoppages or restraint of labour;
(7) Saving or attempting to save life or property at sea;
(8) Act of the shipper, owner of the goods or their agents;
(9) Nature or inherent vice of the goods;
(10) Inadequacy of packing or insufficiency or illegibility of marks;
(11) Latent defect of the ship not discoverable by due diligence;
(12) Any other causes arising without the fault of the carrier or his
servant or agent.
The carrier who is enpost_titled to exoneration from the liability for
compensation as provided for in the preceding paragraph shall, with the
exception of the causes given in sub-paragraph (2), bear the burden of proof.
Article 52 The carrier shall not be liable for the loss of or damage to
the live animals arising or resulting from the special risks inherent in the
carriage thereof. However, the carrier shall be bound to prove that he has
fulfilled the special requirements of the shipper with regard to the carriage
of the live animals and that under the circumstances of the sea carriage, the
loss or damage has occurred due to the special risks inherent therein.
Article 53 In case the carrier intends to ship the goods on deck, he
shall come into an agreement with the shipper or comply with the custom of the
trade or the relevant laws or administrative rules and regulations.
When the goods have been shipped on deck in accordance with the provisions
of the preceding paragraph, the carrier shall not be liable for the loss of or
damage to the goods caused by the special risks involved in such carriage.
If the carrier, in breach of the provisions of the first paragraph of this
Article, has shipped the goods on deck and the goods have consequently
suffered loss or damage, the