Another Nail in the Coffin? Rotterdam Rules One for the Shelves?

When introduced more than a decade ago, the Rotterdam Rules were welcomed with great enthusiasm and many were optimistic that the Rules, which introduce a modern carriage regime suitable for the new century, would soon replace the old-fashioned Hague-Visby regime.

Not many believe that this is a genuine prospect any more. As of today only 4 countries have ratified the Rotterdam Convention, namely Cameroon, Congo, Spain and Togo and the Netherlands have recently taken the first steps towards ratification and implementation of the Rotterdam Rules by submitting two draft bills to Dutch Parliament. However, there seems to be no urgency amongst the trading nations to ratify the Rotterdam Rules. For example, the current administration in the US does not seem to be interested. The same is true for UK government which is at the moment consumed with BREXIT and its implications. Norway has appointed a law commission to review the Rotterdam Rules and its possible ratification, and the commission was in principle in favour of incorporating the Rotterdam Rules, but recommends that Norway does not ratify the convention before the US or any larger EU states do. Germany and Belgium expressed strong objections to the Rules. And China seems to be watching the developments at this stage showing no interest in ratifying the Convention but instead engaged in a review of its Maritime Code which will possibly introduce some aspects of the Rules into its national law.

But life goes on! And the news that Malaysian law makers decided to implement the Hague- Visby Rules into Malaysian domestic law is a very interesting one indeed. The Carriage of Goods by Sea (Amendment) Bill 2019 is expected to come into force in 2020. The amending bill does not set out the provisions of the Hague-Visby Rules but states that the Minister is entitled to amend the Schedule to the Act by order published in the Gazette (the Schedule presently sets out the provisions of the Hague-Visby Rules). So, the Rules will become part of Malaysian law after the Act comes into force and the Minister issues an order. The process might seem complicated for those who are not familiar with the constitution and public law of Malaysia but the step is important as it is a clear indication that emerging trading nations are now working under the assumption that no fundamental change will happen in this field and Hague Visby Rules will continue to dominate international carriage. There is no doubt that Rotterdam Rules introduce several sensible solutions to modern problems, i.e. electronic documents, which can be utilised when reforming national legal systems (and it is believed that China will do that) and some of its aspects might be introduced by contractual agreement into a carriage contracts, but it is also becoming clear that the Rules will probably not become part of international legal system.

For a legal analysis of Rotterdam Rules, you can read an article that the author wrote together with late Dr Theodora Nikaki:

A New International Regime for Carriage of Goods by Sea: Contemporary, Certain, Inclusive, and Efficient or Just Another One for the Shelves?’ (2012) 30 Berkeley Journal of International Law pp 303-348

Dr-Theodora-Nikaki

Dr Nikaki talking about Rotterdam Rules at IISTL’s 10th International Colloquium

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Professor Barış Soyer

Professor Soyer was appointed a lecturer at the School of Law, Swansea University in 2001 and was promoted to readership in 2006 and professorship in 2009. He was appointed Director of the Institute of Shipping and Trade Law at the School of Law, Swansea in October 2010. He was previously a lecturer at the University of Exeter. His postgraduate education was in the University of Southampton from where he obtained his Ph.D degree in 2000. Whilst at Southampton he was also a part-time lecturer and tutor. His principal research interest is in the field of insurance, particularly marine insurance, but his interests extend broadly throughout maritime law and contract law. He is the author of Warranties in Marine Insurance published by Cavendish Publishing (2001), and an impressive list of articles published in elite Journals such as Lloyd’s Maritime and Commercial Law Quarterly, Berkley Journal of International Law, Journal of Contract Law and Journal of Business Law. His first book was the joint winner of the Cavendish Book Prize 2001 and was awarded the British Insurance Law Association Charitable Trust Book Prize in 2002, for the best contribution to insurance literature. A new edition of this book was published in 2006. In 2008, he edited a collection of essays published by Informa evaluating the Law Commissions' Reform Proposals in Insurance Law: Reforming Commercial and Marine Insurance Law. This book has been cited on numerous occasions in the Consultation Reports published by English and Scottish Law Commissions and also by the Irish Law Reform Commission and has been instrumental in shaping the nature of law reform. In recent years, he edited several books in partnership with Professor Tettenborn: Pollution at Sea: Law and Liability, published by Informa in 2012; Carriage of Goods by Sea, Land and Air, published by Informa in 2013 and Offshore Contracts and Liabilities, published by Informa Law from Routledge in 2014. His most recent monograph, Marine Insurance Fraud, was published in 2014 by Informa Law from Routledge. His teaching experience extends to the under- and postgraduate levels, including postgraduate teaching of Carriage of Goods by Sea, Transnational Commercial Law, Marine Insurance, Admiralty Law and Oil and Gas Law. He is one of the editors of the Journal of International Maritime Law and is also on the editorial board of Shipping and Trade Law and Baltic Maritime Law Quarterly. He currently teaches Admiralty Law, Oil and Gas Law and Marine Insurance on the LLM programme and also is the Head of the Department of Postgraduate Legal Studies at Swansea.

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