TNAG-1121-FCO40-1396-Amendment-of-Nuclear-Installations-Act-1965-extension-to-Dep-1982 — Page 20

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In this connexion Counsel's attention is drawn to the Merchant

Shipping Act 1981 (c. 10) (the 1981 Act) which enabled the UK to

ratify the 1979 Protocol to the International Convention relating

to the Limitation of Liability of Owners of Sea-going Ships 1957

and the 1979 Protocol to the International Convention for the

Unification of certain Rules of Law relating to Bills of Lading 1924,

as amended by the 1968 Protocol thereto (known as the Hague.

Visby

Rules). These seem to be relevant because they amended the relevant

Conventions by substituting SDRS for the gold franc as the unit of

account referred to in those Conventions. The unit of account

referred to in the Paris and Brussels Conventions is also based on

the gold franc which is no longer a satisfactory base because there

is no longer a fixed price for gold.

26. The provisions of section 3 of the 1981 Act relating to

conversion of SDRs into Sterling seem. entirely satisfactory for

the present purposes. Unless Counsel sees reason why référence should

not be made to SDRS in this case, the amount to be substituted for

the present sum of £50m substituted for £43 m. in section 18 (1)

and 4 (b) should be 300m. SDRs.

Reciprocity with other States in respect of the Brussels Convention

27.

There is, of course, no provision about this in the Conventions,

but the effect of the Protocol will be to complicate the potion

which it is desired to achieve. That is, that other States should not

reap the benefit either of the Brussels Convention or the Brussels

Protocol before they become party to t. That is possible as the

Act stands because the United Kingdom chose the second alternative

allowed by Article 3 of the Brussels Convention and pivides simply

the upper limit and then whittles it away.

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