Commentary: Rule 25 Right of lien for amounts due to the Association

25.1 General

As result of the mutual nature of the Club it is in the interest of all Members to ensure that the premium agreed by any particular Member for entry in the Club is paid in full. The Club has a duty to take such steps to ensure that recovery is made from a defaulting Member.

25.2 The Club’s right to exercise a lien

This Rule provides a lien in favour of the Club over the Member’s ship and all other ships in the same fleet for all premiums and any other amounts due under these Rules. This contractual lien is in addition to any other rights available to the Club notwithstanding Rule 18 but including any maritime lien or right in rem available by statute or the law of any jurisdiction.

The 1999 Arrest Convention recognises a long list of claims which gives rise to a right of arrest. Unlike the previous arrest convention of 1952 in the 1999 convention there is a lien for insurance premiums which provides yet another tool for the Club to obtain payment from a defaulting Member.