What are the exclusions and limitations under the International Convention on Civil Liability for Oil Pollution Damage?

The International Convention on Civil Liability for Oil Pollution Damage has several exclusions and limitations on the liability of ship owners and operators when it comes to oil pollution damage. Under the Convention, ship owners and operators are not liable for pollution damage if the incident was caused by war, a nuclear incident, or an act of God. In addition, ship owners and operators are not liable for pollution damage if they can prove that the oil spill was caused by a third party, or if the incident happened outside the boundaries of the Convention. This means the ship owner or operator is not responsible if the incident occurred in an international waters outside the territorial waters of a signatory country. There are also limits on the amount of compensation a ship owner or operator has to pay in an oil spill incident. Under the Convention, the amount of compensation is set at the equivalent of 200 million SDRs (Special Drawing Rights, a type of international currency). If the amount of harm caused by the incident is greater than this amount, the ship owner or operator is still not liable for any additional costs. Finally, in cases where a ship owner or operator is found liable for pollution damage, they are only liable for the cost of damages up to the amount of insurance or other financial security they have in place. This means if a ship owner or operator does not have enough insurance or financial security to cover the full cost of damages, they are not liable for making up the difference.

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What are the exclusions and limitations under the International Convention on Civil Liability for Oil Pollution Damage?

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