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Germany

Shipping & Transport

The German Parliament recently approved new rules on the use of private maritime security companies onboard German flagged vessels to fight piracy. Private maritime security companies must now be licensed under the new scheme, which is far more demanding than its predecessor. The new rules provide a clear legal framework for the licensing process and ensure that the quality of services is safeguarded.

A recent Stuttgart Court of Appeal decision partly reinstated the rule whereby no party is obliged to give evidence against itself in connection with sea carriage where a sub-carrier is engaged. It allows the carrier to limit its defence in relation to the question of whether it has the right to limit its liability according to Section 669(3) by alleging that it acted with due diligence when choosing the sub-carrier.

There has been much debate about German jurisdiction concerning the Convention on the Contract for the International Carriage of Goods by Road (CMR). The Federal Supreme Court recently dismissed an appeal ruling that the claimant could claim full compensation and, if it chose, calculate its damages according to Articles 23(1) and (2) of the CMR, regardless of the limitations in Article 23(3).