(1) Whenever, by fault of two or more vessels, damage or loss is caused to one or more of them or to the cargo of one or more of them or to any property of the seafarers, passengers or other persons onboard one or more of them, the liability, including liability to third parties, to make good the damage or loss shall be in proportion to the degree in which each vessel was at fault.
(2) Nothing in this section shall be construed to render any vessel liable for any loss or damage to which her fault has not contributed.
(3) Nothing in this section shall affect the liability of any person under any contract, or shall be construed as imposing any liability upon any person from which he is exempted by any contract or by any provision of law, or as affecting the right of any person to limit his liability in the manner provided by law.
(4) For the purposes of this Chapter, references to damage or loss caused by the fault of a vessel shall be construed as including references to any salvage or other expenses consequent upon that fault, recoverable under any law for the time being in force by way of damages.
(2) Nothing in this section shall be construed to render any vessel liable for any loss or damage to which her fault has not contributed.
(3) Nothing in this section shall affect the liability of any person under any contract, or shall be construed as imposing any liability upon any person from which he is exempted by any contract or by any provision of law, or as affecting the right of any person to limit his liability in the manner provided by law.
(4) For the purposes of this Chapter, references to damage or loss caused by the fault of a vessel shall be construed as including references to any salvage or other expenses consequent upon that fault, recoverable under any law for the time being in force by way of damages.
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More sections of this act
Section 1 · Short title and commencement.Section 2 · Application of Act.Section 3 · Definitions.Section 4 · Establishment of National Shipping Board.Section 5 · Constitution of Seafarer’s Welfare Board.Section 6 · Power to make rules.Section 7 · Director-General of Maritime Administration.Section 8 · Officers.India Code, Government of India. Text fetched 25 Oct 2026. Check the linked official text and subsequent notifications when applying a provision.