The National Agency for Waterway Transportation recently published Normative Resolution 18, regulating the rights and duties of users, intermediary agents and companies operating in offshore and port support, cabotage and deep-sea navigation and establishing administrative infractions. The normative has ultimately introduced innovations into this field – for example, regarding the regulation of intermediary agents and refusals to provide maritime transport services.
The Superior Court of Justice has reversed previous Sao Paulo State Court rulings and recognised the validity of foreign ship mortgages in Brazil. Respecting the acts of sovereignty of countries where vessels are registered, the court highlighted the economic importance of acknowledging ship mortgages of foreign states and emphasised that large vessels must be registered in their flag states and that these registrations have extraterritorial effects.
Federal law provides that all vessels registered before Brazil's port captaincies must buy the mandatory insurance for personal injury caused by vessels or their cargo. However, such insurance has been discontinued due to a lack of insurers willing to underwrite the risks involved. Now, after a number of passenger fatalities in recent accidents, industry players and the government are being called on to ensure that policies are offered which soften the burden borne by victims and their families.
The Ministry of Labour recently published Ordinance 790, amending Regulatory Standard 34 on Working and Environmental Conditions in the Shipbuilding and Ship Repair Industry. The amendments also regulate ship demolition activities. According to the Ministry of Labour, this is because the Brazilian fleet is aging and thus the demand for ship demolition activities may increase.
A majority of the Supreme Court recently ruled that the rules and international treaties limiting the liability of passenger airline carriers – in particular, the Warsaw and Montreal Conventions – prevail over the Consumer Protection Code. Among other things, this decision means that the value of compensation for lost luggage will be limited to the threshold set out in Article 22 of the Warsaw Convention and the amendments made by subsequent international agreements.