Marine Liability Act

Version of section 87 from 2003-01-01 to 2010-01-01:


Marginal note:Offer of compensation

  •  (1) If the Administrator makes an offer of compensation to a claimant under section 86, the claimant shall, within 60 days after receiving the offer, notify the Administrator whether the claimant accepts or refuses it and, if no notification has been received by the Administrator at the end of that period, the claimant is deemed to have refused the offer.

  • Marginal note:Appeal to Admiralty Court

    (2) A claimant may, within 60 days after receiving an offer of compensation from the Administrator or a notification that the Administrator has disallowed the claim, appeal the adequacy of the offer or the disallowance of the claim to the Admiralty Court, but in an appeal from the disallowance of a claim that Court may consider only the matters described in paragraphs 86(3)(a) and (b).

  • Marginal note:Acceptance of offer by claimant

    (3) If a claimant accepts an offer of compensation from the Administrator under section 86,

    • (a) the Administrator shall without delay direct payment to the claimant of the amount of the offer out of the Ship-source Oil Pollution Fund;

    • (b) the claimant is then precluded from pursuing any rights that the claimant may have had against any person in respect of matters referred to in subsection 51(1) in relation to the occurrence to which the offer of compensation relates;

    • (c) the Administrator is, to the extent of the payment to the claimant, subrogated to any rights of the claimant mentioned in paragraph (b); and

    • (d) the Administrator shall take all reasonable measures to recover the amount of the payment from the owner of the ship, the International Fund or any other person liable and, for that purpose, the Administrator may commence an action in the name of the Administrator or the claimant and may enforce any security provided to or enforceable by the claimant, including any claim against a shipowner’s fund established under subsection 58(1).

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