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at the end of the war occurred during the period of requisition or (ii) the vessel can be shown to have been a constructive Total Loss, there appears to be
This is a no liability on the Requisitioning authority for such damage. quibble on the working of the law and it is doubtful if the requisitioning
In the adsence of original surveys and after authority would wish to take it. this long interval it is probably quite impossible to establish with certainty I assume that what the condition of the ferries was at any particular time. the period of requisition may in cases of this kind be taken or have terminated at the date of sinking or capture.
(c) There is no doubt that all launches, etc., were requisitioned for use and,' on the law as printed, the values are to be determined on the higher formula. (a) In view of the ambiguities and inconsistencies in the legal provisions for compensation, which alone could be enforced in a court of law, I am sure that it would be greatly in the interest of the Hong Kong Government to avoid the establishment of the Shipping Claims Tribunal provided for under the Regulations, and instead to seek to negotiate settlements on a broad basis, if possible through a limited number of representative channels, e.g. solicitors representing (i) the river shipowners, (ii) the ferry owners and (iii) the launch owners. If these cases came before a Tribunal bound only by the Compensation (Defence) Regulations, it would be difficult to avoid inconsistencies and might well prove
The aim should be to play down the wording of more expensive in the long run. the Regulations, while admitting liability under them, and to reach an equitable
Regulation 17 foresees the settlement without reference to its terms.
negotiation of agreements outside the strict terms of the Regulations. (e) The following is a suggestion as to the basis on which a negotiated settle- ment might be attempted:-
Values:-
Hire:-
Out-of- Pockets:
1939 Hull and Machinery values plus 15%, as calculated by a local firm of Surveyors on the basis of second hand prices to present owners or cost price, if not a second-hand ship depreciated in accordance with the estimated life of the vessel, allowance being made (a) for alteration up to 1939 in the values of currency and (b) major repairs.
No hire would be payable in respect of the period from 8th December, 1941 till the date of loss.
If owners had any expenses in December, 1941 of which they can now produce proof e. g. for maintenance of crews, these should be met as if the ship had been on bareboat charter.
Damaged If the cost of repairs, including salvage, in Hong Kong dollars Recovered exceeds the sum calculated as above for the value of the vessel, Vessels:- the liability of the Hong Kong Government should be limited to the value. Otherwise the Hong Kong Government should pay the actual cost of rehabilitation to a state considered fair in the circumstances by a local firm of Surveyors.
They are
I would recommend appointment of the firm of Messrs. Carmichael & Clark, British Corporation Agents, in Hong Kong, as assessors for this purpose. probably familiar with all the craft in question from before the war.
MACHINERY FOR SETTLEMENT.
9.
(a) I would suggest that a small committee be formed representing the Hong Kong Government, the three Services, and, since I have been involved, Possibly it should have a the Ministry of Transport to deal with claims. neutral chairman. The Committee should be provided by the Hong Kong Government A carefully drafted with a Secretary who would handle day to day negotiations. notice should be gazetted to the effect that this Committee had been appointed
The Secretary would arrange to and would examine a limited category of claims,
After assessment and receive claims and have them assessed by the Assessors. verification so far as now possible of the facts of each claim, which in many cases might be very difficult, he would submit a recommended settlement to the Committee, which would then have an opportunity of approving it, before
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