Section 7 Quarantine expenses
7.7.1 Costs covered
Compensation under this section requires a quarantine and/or disinfection order made as a consequence of an infectious disease on board the entered ship.
The expenses to be reimbursed are those directly and solely caused by the quarantine or disinfection, such as the costs of performing the procedure, accommodating the crew ashore and surveying the ship to obtain a health certificate.
The quarantine or disinfection may involve crew or passengers. Costs for medical treatment and related expenses are, however, covered under Rule 3.
Deduction should be made for costs saved whilst the ship is lying idle during the procedure.
7.7.2 Costs excluded
It follows from the section that there is no cover for the ship’s operating expenses during the delay such as port charges, crew wages, use of bunkers and consumption of fresh water.
The section excludes indirect consequences of the delay such as off-hire or the cancelling of a freight contract. This is reconfirmed by Rule 11 Section 2 (j) which also applies.
7.7.3 Call at infected port
The outbreak of an infectious disease on board the entered ship is required for cover. It is insufficient that authorities order the quarantine or disinfection after the ship has visited a port where there was an outbreak of the disease.
There shall be no recovery from the Association, when, at the time the entered ship was ordered to a port, the Member knew or it was reasonable to anticipate, that it would be quarantined.
7.7.4 Hague and Hague-Visby Rules exception for quarantine
The carrier is protected from liability under the Hague Rule exception (h) if loss or damage is caused to cargo by quarantine restrictions. See the comments under 220.127.116.11.
7.7.5 No cover for treatment of holds
The ship may have to treat the holds to get rid of infestation either in preparation for a voyage or after having carried an infested cargo. Where instructions have been issued by authorities, for instance in the U.S.A. and Canada in respect of Asian gypsy moth, or where infestation is characteristic of the cargo carried such as grain and crushed bones, treatment of the holds is regarded as a foreseeable operating cost. Such costs are not eligible for compensation. There is no compensation for the cost of inspecting the holds.
There may be situations where the costs of treatment of holds before or after a voyage may qualify for compensation under Rule 11 Section 2 (b).
There is no cover for the costs of rat extermination.