The Marion - House of Lords (Lord Diplock, Lord Scarman, Lord Roskill, Lord Brandon & Lord Brightman) - 17 May 1984

Shipowners not entitled to limit liability

In 1977, whilst weighing anchor, the Marion fouled an oil pipeline which ran from the Ekofisk Field through Tees Bay to Teeside. The pipeline was severely damaged by Marion ’s anchor. The shipowners had admitted that the damage was caused partly by the negligence of the master because he had been navigating with the aid of a chart which was not corrected up to date. The shipowners brought a limitation action. The defendants were the oil companies and other persons having claims in respect of the damage to the pipeline. At first instance Sheen J. held that the shipowners were entitled to limit their liability to U.S. $982,292. They had established that the damage had not been caused “with their actual fault or privity”. A prudent shipowner was entitled to regard the provision of charts as the responsibility of the master unless he had good reason to think that the master was not carrying out his responsibility.