Study On Influences Of ISM Code On Rights And Duties Of Shipping Company Under International Contract Of Carriage Of Goods By Sea

ISM Code which will take effect compulsorily and completely on 1 July 2002 provide an international standard for safe management and operation of ships and for pollution prevention. In the paper, it is discussed influences of ISM Code on duties of seaworthiness and care for goods etc, rights of exemption and limitation of liability which fulfilled or enjoyed by shipping company when it performs international contract of carriage of goods by sea. Moreover, there are three opinions put forward in the paper. Firstly, a SMS which maintained effectively should to be a prima facie evidence that shipping company has fulfilled the duty of due diligence for ship's seaworthiness. Secondly, the "statement emphasizing the master's authority" could influence rights of exemption enjoyed by shipping company on faults in navigation or management of the ship. Thirdly, the "major non-conformity" of SMS which cause cargo damage should to be a conclusive evidence that shipping company lose rights of limitation of liability.