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"The container ship that collided with Baltimore’s Francis Scott Key Bridge, resulting in its collapse and casualties, is poised to be the subject of legal action against its owner, operator, and charterer.
However, their liability might be limited under U.S. maritime law.
Laws related to open-water navigation and shipping, shaped by court rulings and congressional acts, could restrict the scope of lawsuits against the Singapore-flagged ship's registered owner, Grace Ocean Pte Ltd, its manager Synergy Marine Group, and its charterer Maersk, potentially capping the damages they could be liable for, according to legal experts.
Representatives for Synergy and Maersk declined to comment on potential litigation, while attempts to contact a spokesperson for Grace Ocean were unsuccessful.
Martin Davies, director of the Maritime Law Center at Tulane University School of Law, noted that economic damages stemming from the closure of Baltimore's port, a key hub for car shipments, and the collapse of the bridge would likely not be recoverable through legal action.
This limitation arises from U.S. courts' interpretation of a 1927 U.S. Supreme Court ruling, barring the recovery of purely economic damages from maritime incidents against ship owners and operators.
Legal actions arising from the incident are expected to focus on injuries, deaths, and property damage or losses.
Davies and other experts anticipate that these lawsuits will be filed in federal court, where plaintiffs may seek to detain the ship to prevent its departure from the jurisdiction during the legal proceedings.
Those affected by economic losses may turn to insurance policies for compensation.
Analysts estimate that insurers could face substantial claims, potentially reaching billions of dollars, with one estimate pegging the cost at up to $4 billion, making it a record shipping insurance loss.
Although the ship was halted before the bridge collapse, eight individuals fell into the river, resulting in casualties.
Victims of the incident, including those injured or killed, could pursue claims against the ship's owner, operator, charterer, or the ship itself under maritime law.
Under an 1851 law, ship owners' liability is typically limited to the present value of the ship, which could amount to tens of millions of dollars. Ship owners are expected to seek this limitation of liability, relying on liability insurance to cover any damages.
Any evidence suggesting pre-existing issues with the ship could affect the ship owners' ability to limit their liability.
Claims filed for injuries or deaths in the collapse would not be subject to Maryland's non-economic damages cap in wrongful death cases, as maritime law does not recognize such limitations."