AN ANALYSIS OF SHIP AGENTS LIABILITY IN NIGERIA

ABSTRACT

Ship agents’ liability for damage to cargo in transit is a controversial issue that has received varied judicial treatment. This research examines ship agents’ liability, it also discusses the scope of ship agents authority, and the rights and liabilities of agents and principals. This study also examines the implication of the Admiralty Jurisdiction Act on ship agent’s liability. It was shown that the courts’ reasons have always been based on the general principles of the law of agency that an agent acting on behalf of a disclosed principal cannot incur personal liability in his capacity as agent or be sued where his principal is disclosed. Section 16 of the Admiralty Jurisdiction Act makes it possible for ship agents to incur personal liability irrespective of a disclosed or undisclosed principal. It also shows that Section 16(3) does not alter Nigerian law with regard to the liability of ship agents in any respect. Any other interpretation will amount to an alteration of the generally accepted principles of common law and the practice of carriage of goods by sea, which if the legislators intend to alter, must be done in clear and unequivocal terms. Therefore, the research recommends that ship agents should have compensation insurance, which covers any loss or damage to the containers and cargo while in transit. Failure of having the insurance can result in the agent being liable to pay compensation on their own.