Legal framework peculiarities for arresting of seagoing ships in Lithuania

• Main Author: Oleg Drobitko
• Format: Article
• Language: English
• Published: National University Odessa Law Academy 2018-04-01
• Series: Lex Portus
• Subjects: ship arrest; maritime claim; privileged claims; maritime liens; security; guarantee; P&I Club
• Online Access: https://lexportus.net.ua/vipusk-2-2018-new/oleg_drobitko_legal_framework_peculiarities_for_arresting_of_seagoing_ships_in_lithuania.pdf

The present article aims at presenting the legal framework peculiarities for arresting of seagoing ships in Lithuania. Analysis on the ratified Maritime Law Convention and national legislation within the said field. Comparison of the definitions of maritime claim, privileged claims, maritime liens and their peculiarities in Lithuania. Analysis on the main legal relations between maritime claims of the participants taking part in civil and other procedures. Analysis on which courts in Lithuania may grant an arrest of seagoing ships as a security for claims. Analysis on the legal framework for release of arrested seagoing ships. The present article also presents a brief analysis on the measures for releasing arrested ships, i.e., payment of the security of the required amount or provision of other guarantee and provides a brief synopsis on the financial products offered by the members of the International Group of P&I Clubs. In conclusion, author states the following: Firstly: Since the ratification of the 1952 Convention and 1993 Convention in Lithuania, a clear and transparent mechanism for regulating the arrest of seagoing ships has been formed. Essentially all of the ordinary courts within Lithuania may grant the arrest of seagoing ships as a security for claims in civil proceedings or commercial matters. Secondly: No conflicts were distinguished between national legislation regulating the arrest of seagoing ships and international maritime conventions ratified in Lithuania. Denying of the status of the privileged claim for claims arising due to shipbuilding in accordance to LMSRL may be noted as a certain imperfection of the legal framework. Thirdly: Clear and transparent legal framework for releasing arrested seagoing ships compliant with the requirements of the international maritime law and EU law is in place in Lithuania. The court releases the ship following the payment of the security of the required amount or provision of another guarantee. The use of the financial products of the members of the International Group of P&I Clubs is the preferable method for the provision of guarantee.