ABSTRACT

Damage to or loss of cargo, fuel or stores sustained in consequence of their handling, discharging, storing, reloading and stowing shall be made good as general average, when and only when the cost of those measures respectively is admitted as general average. The old British practice, prior to 1883, was not to make any allowance in general average for loss of or damage to cargo caused by discharging it at a port of refuge. This was enshrined in a Custom of Lloyd's, reading: "Damage done to cargo by discharging it at a port of refuge, in the manner and under the circumstances customary at that port, is not allowed as general average". This practice contrasted with that which obtained in a number of other countries, and also with the universal practice of allowing in general average the loss or damage to cargo sustained in consequence of its discharge as part of the operation of refloating a stranded ship.