20:49
THATS SO FUNNY
Warning
Info
Warning
Info
LSDefine
Simple English definitions for legal terms
general average
Read a random definition: eat inde sine die
A quick definition of general average:
General average is a rule in maritime law that says if a ship or its cargo is intentionally sacrificed to avoid total loss, the cost of the sacrifice is shared by all parties involved in the voyage. This means that everyone who had an interest in the voyage, whether for the vessel or cargo, contributes to the loss sustained by some of the parties for the benefit of all. It is an exception to the principle of particular average, which means that any accidental partial loss or damage is borne solely by the person who suffered the loss. General average is an ancient principle that has been around for a long time.
A more thorough explanation:
Definition: General average is a term used in maritime law to describe a situation where intentional partial sacrifice of ship or cargo is made to avoid total loss. The liability for the loss is shared by all parties who had an interest in the voyage.
Examples: If a ship is in danger of sinking, the captain may decide to throw some cargo overboard to lighten the load and keep the ship afloat. The cost of the lost cargo is then shared by all parties involved in the voyage, including the ship owner, cargo owner, and insurers.
Another example could be if a ship is hijacked by pirates and the crew has to pay a ransom to secure their release. The cost of the ransom would be considered a general average expense and shared by all parties involved in the voyage.
Explanation: General average is an equitable principle derived from the general maritime law. It allows for the sharing of losses among all parties involved in a maritime adventure, rather than placing the burden solely on the party who suffered the loss. This principle encourages cooperation and mutual support among parties in the maritime industry.