ABSTRACT

Loss of freight arising from damage to or loss of cargo shall be allowed as general average, either when caused by a general average act, or when the damage to or loss of cargo is so allowed. The court held that under English law the shipowner who had suffered a loss of his freight in consequence of the general average act was entitled to have this loss made good in general average. The 1924 Conference debated a proposal to add an additional paragraph providing for credit to be given against the allowance for loss of freight for any new freight earned by the shipowner having taken on new cargo to fill the space vacated by cargo lost through general average sacrifice. Even when freight is payable on delivery, it is not every case of loss or damage to cargo that will result in a loss of freight.