Piracy, war, terrorism and maritime security

We are specialists when it comes to the serious issue of advising on the legal issues that arise from war, piracy and terrorism. The war in Ukraine has thrown up issues focussing on the total loss of vessels trapped in the various Black Sea port.  Warlike acts of terror aimed at commercial shipping have happened with alarming regularity.  The world does not get any safer. It is difficult not to transit across waters where coastal states are subject to internal conflict and where vessels are not potentially exposed to collateral damage from attacks by warring factions or criminal gangs.

Somalian piracy has receded with the increased use of armed guards, Best Management Practice and the continued presence of the coalition navies. However, the threat of kidnapping and hijacking remains high in the Gulf of Guinea. Tensions remain high in the Straits of Hormuz and in the Red Sea, particularly off Yemen. Iran is seen as a real threat to shipping as seen with the boarding of the Stena Impero and the bombing of ships off Fujairah. Increasingly vessels are becoming pawns in geo-political tit for tat actions by maritime nations.

Civil war continues to ravage several Middle Eastern countries and that in turn has fuelled an exodus of immigrants who in turn present their own unique challenges to shipping both in the Mediterranean and increasingly in the English Channel.

Maritime Security Law

The UK like other countries has a strict licensing system imposed through the Export Control Order 2008 and the Firearms Act 1968 which maritime security companies must adhere to when buying weapons and moving them between countries. We are used to working with industry bodies on these issues and understand the regulatory framework governing the use and deployment of weapons and their storage in, for example, floating armouries. We have dealt with conflicts and issues arising from both.

In Stephen Askins, we have someone who was involved in the drafting of GUARDCON (and the more recent SEV GUARDCON) which is now one of the most used BIMCO standard contract. We can advise on contractual and liability issues that may arise.

We advise owners on the legal issues that may arise and the Private Maritime Security Companies that provide security to commercial shipping as well as floating armouries. Indeed, our team was heavily involved in acting for the “Chennai 6” who were wrongfully imprisoned in India and released after 4 years in November 2017.

Complex environments

Complex environments cover those countries and jurisdictions which represent a hostile threat to those seeking to trade there.  More often than not this means there is a physical threat to the ship and crew.  Other countries, expose the ship to a capricious legal system which can see lengthy and politically motivated detentions which give rise to immediate contractual issues but long term may see the vessel exposed to total loss under war risk policies.

Evolving and ever more draconian regimes of sanctions exist in Iran, Venezuela and Russia in particular, but there are others like Sudan and Libya. Some of these countries also harbour warring factions who are a direct threat to the safety of the maritime adventure. However, there are countries that are seen as friendly like Saudi Arabia which is part of a coalition of nations operating against Iran which has seen vessels calling into Yemen exposed to robust and lengthy inspection regimes and even confiscation. Other jurisdictions expose ships to the perils of smuggling and arrest, often for long periods as crimes are investigated. Those are made worse when crew members are wrongly implicated. Our involvement in the Heroic Idun involving complex discussions with the authorities in Nigeria and Equatorial Guinea means we are uniquely placed to deal with arbitrary actions by the local navies. We have experience in all these difficult places often working with your insurers to bring things to a resolution.

Apart from the physical and practical issues that arise there are also potential contractual

claims. Whether you are a charterer or an owner you will want to know:

• whether an order to proceed is lawful;
• if trouble arises in port whether you can leave and what the consequences of that are;
• whether relevant ports are legally safe;
• the duty towards crews; and
• the obligations towards cargo.

Hijacks and kidnaps

Somali piracy has receded to background levels as the effect of armed guards, Best Management Practice and the effective action of the coalition navies. However, the threat of kidnapping and hijacking remains high in places like the Gulf of Guinea and in the South China Sea.

Having crew kidnapped puts you as an owner under unique pressure. If the worst does happen, you will want advisors who have been through this and not only understand the regulatory picture and laws relating to ransoms but also how to deal with the families of those taken.

Like any incident at sea a hijacking will involve your insurers and P & I Club, and funding a ransom and moving money to the right place at the right time is not straightforward. In Stephen Askins, we have someone who is recognised as a market leader in this field, and who is used to working with an owner’s Crisis Management Team to help manage the recovery and evacuation of crew. Indeed we work together with a trusted well tested set of advisers and have a complete solution to a maritime kidnap or hijack with the safe return of crew in a reasonable time and without complications.

The recently passed Counter-Terrorism and Security Act 2015 amended the Terrorism Act 2000 expressly prohibiting insurers from indemnifying an assured where funds are believed to have been paid to terrorists. We are used to working with your insurers’ compliance teams in ensuring that funds are not paid in breach of this or indeed any relevant legislation and money laundering regulations.is or indeed any relevant legislation and money laundering regulations.