STOPIA 2006 Charterparty Clause
(for tankers of 29,548gt or less)
Owner warrants that it is a Participating Owner and that the vessel is entered in the Small Tanker Oil Pollution Indemnification Agreement 2006 (STOPIA 2006) and shall so remain during the currency of this charter, provided always that:
- the vessel is and remains a Relevant Ship as defined in cl. III of STOPIA 2006.
- STOPIA 2006 is not terminated in accordance with cl. IX of that Agreement.
Source: International Group
Published: February 2006
TOPIA 2006 Charterparty Clause
(for all tankers)
Owner warrants that it is a Participating Owner and that the vessel is entered in the Tanker Oil Pollution Indemnification Agreement 2006 (TOPIA 2006) and shall so remain during the currency of this charter, provided always that
- the vessel is and remains a Relevant Ship as defined in cl. III of TOPIA 2006,
- TOPIA 2006 is not terminated in accordance with cl. IX of that Agreement.
Source: International Group
Published: February 2006
STOPIA & TOPIA Clauses - Commentary
Suitable for
Tanker Charterparties.
Purpose
The pollution liability of tanker owners and their P&I insurers is in many jurisdictions (but not the US) determined by one or more Conventions (the Civil Liability Convention, the Fund Convention and the Supplementary Fund Convention) which are funded by P&I Clubs and the oil industry. The funding arrangements have been modified by two voluntary agreements.
STOPIA, which applies only to small tankers (29,548 gt or less), provides that owners agree to pay a minimum of SDR 20 m. (approximately USD 30 m.) i the event of a pollution claim subject to CLC (even if liability under CLC would be at a lower figure).
TOPIA, which applies to all tankers, is an agreement by owners to contribute 50% of all claims falling on the Supplementary Fund.
While the details complex, members are automatically covered for their liabilities under the under these Agreements - see Rule 14.1.4 & 14.5.
Although it is not strictly speaking necessary, the International Group anticipated that many charterers would require a clause and therefore published the above Clause which accompanied Skuld Circular dated 17 February 2006.