IndexIntroductionSalvage and towingDefinition of salvage and towingTrailer compared to salvage Bill of ladingConclusionIntroduction The main purpose of this article is to analyze the difference between salvage and towing from a legal point of view and explain the function of the bill of lading as a document of ownership. The research questions this article will try to answer are: Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay1) How are salvage and towing services different? Salvage and towing are known to have some similarities, at least at first glance when you examine them. But this is mainly due to the fact that in certain circumstances a tow can become a rescue, but not the other way around. Thus, by focusing on the differences it will be clear how each of these terms differs from the other (White, 2000). 2) What is the function of the bill of lading as a document of title? The bill of lading is a security asset that contains the designation of a right characterized by its type, extent and ownership. This is a credit security. The right claimed in the bill of lading concerns the ownership of the goods (cargo and general cargo) that have been loaded onto a means of transport (vehicle, train, ship, plane, etc.) for which it was issued. The bill of lading is generally a document proving the loading of the goods (cargo) to be transported, as well as a document proving the rental contract, especially when no charter has been drawn up (White, 2000). These two questions will be answered with references to notable cases that will demonstrate the differences between salvage and towing and explain the functionality of the bill of lading as a document of title. Salvage and Towing Definition of Salvage and Towing What is towing? Towing differs from cargo transportation in that in a towing situation a self-propelled vessel generally tows one or more vessels, usually non-self-propelled barges. Towing is “the supply of power by a vessel. . . to draw another” ship. The key determination between towing and salvage is whether a hazard exists. Simply put, if the ship is not in “distress,” it is not a rescue. If a vessel simply provides a service, for example fuel, towing, assistance, then it is probably a tow (White, 2000). What is rescue? A valid salvage claim requires a contract or three elements: 1. A maritime peril. 2. Service rendered voluntarily when not required by an existing obligation or special contract. 3. Total or partial success or that the service rendered contributed to such success. Therefore, as described above, a vessel must be in distress, distress or specifically “peril”. For example, if it is a ship aground, the hazard may not be described as danger, whereas if it is aground, the danger may fall into the realm of “danger.” When a ship is in this dangerous state, the salvor must do so voluntarily, not out of duty like that of the coast guard or other similar mechanism. Ultimately, the rescue must be successful (SEMCO SALVAGE & MARINE PTE. LTD., 1997). Towing versus Salvage Admiralty courts have addressed the difference between 'simple towing' and salvage services on numerous occasions and have made it abundantly clear that, in most such situations, the services rendered are salvage. Indeed, a major Admiralty treatise described the act of saving a ship at sea by towing it to safety as the "prototypical" act of salvage. However, this does not meannecessarily that the savior will be entitled to a huge reward for such services. As discussed, a rescue service implies that there was some degree of danger and assistance beyond the towing provided. The danger does not have to be immediate. The property need only be in danger, currently or reasonably, to be seized. The best way to understand the application of the distinction between towing and salvage is to look at common law (Maritime Coverage Corp, 2016). To clarify the differences between salvage and towing we will examine and analyze some case studies. Evanow vs. M/V NEPTUNE The ship Neptune encountered a severe storm and docked in Crescent City harbor. While in port, the Neptune became incapacitated and ran aground on a sandbar. The Neptune's crew secured the barge alongside the disabled tug. That night, a terrible storm caused gusts of up to ninety knots and waves within the harbor that reached six to eight feet. These conditions slammed the barge into the port side of the tug. Due to the diesel fuel and oil aboard the Neptune as well as the hydraulic fluid in the landing craft unit, the Coast Guard's Pacific Pollution Strike Team assessed the pollution threat as “substantial” and a tugboat was called to recover the barge (Evanow v. M/V NEPTUNE, 1998). The question presented was whether it is a towing or salvage contract. The Court enumerated that this distinction has several consequences. The Court examined the nature of the service rendered to determine whether it is a salvage contract. The Court found a clear and clear distinction between a towing service and a rescue service. When a tug is called upon or taken from a sound vessel as a mere means of saving time, or from considerations of convenience, the service is classed as towing; but if the vessel is inoperable and requires assistance, it is a salvage service (Evanow v. M/V NEPTUNE, 1998). It has been established that the existence of a maritime danger distinguishes a salvage contract from a towage contract. This danger exists “when a ship is exposed to any real or feared danger which could result in its destruction”. Whether a marine hazard exists is a question of fact examined for errors. In this case it was determined that this was indeed a rescue action (Evanow v. M/V NEPTUNE, 1998). The Flottbek The Flottbek was a ship caught in a violent storm about a quarter of a mile or half a mile from the rocks. While the danger was in question, the fact that the ship was unable to exit the situation on its own accord was not. Therefore, he anchored and called for help. “In case of simple towing, only reasonable compensation is allowed, as quantum merit. In case of a bailout, the reward is on a larger and more liberal scale, as we have already stated. In the case of McConnochie v. Kerr, Justice Brown said: "A salvage service is a service rendered voluntarily to a vessel in need of assistance and is designed to relieve her of some present or reasonably foreseen distress or danger. A towage service is one rendered for the mere purpose to expedite the voyage without reference to any circumstances of danger” (McConnochie v. Kerr, 1881. The Court held that the crew believed they were in sufficient danger to call for assistance and drop anchor for an accelerated departure. Therefore, yes involved a salvage. Mississippi Valley Barge Line Co. v. Indian Towing Co. A barge was adrift in a calm sea when a tugboat stopped alongside the barge to let a mate aboard. So, starting the towand delivering the barge to the Pensacola dock three hours later. “An abandoned barge, like an abandoned person, may be exposed to many dangers, the least of which is sinking into an obvious shoal. Rescue at sea can, and often does, require the performance of exhilarating acts of great courage to save life or property from the jaws of near and certain doom. But it is not necessary, because the purpose of saving is to save. Helping before it is a “do or die” gamble with high risks, high stakes and high rewards, ensures the highest probability of recovery with the lowest risk. Maritime rescue isn't just for heroes. Its generous but judicious liberality is to encourage sailors to respond instinctively to needs, whether large or small, monotonous or spectacular” (D. Mississippi Valley Barge Line Co. v. Indian Towing Co., 1956). A barge is adrift, in danger? The Court thought so and therefore a wreck was found. Bill of lading The bill of lading is a multiple choice document, that is, it is valid as a contract for the transport of goods by sea, as a formal receipt of the goods shipped and as a title of ownership. The function attributed to the bill of lading is based on ancient habits and customs followed by traders in commercial fields which are largely regulated by their own law known as lexmarcatria mercantile law. Unlike the charter party, the contract for the carriage of goods by sea in liner traffic is proven by the bill of lading which in itself is not a contract for the carriage of goods but rather a proof of a transport contract already concluded orally between the shipper and carrier. It is specified that what is agreed orally between the sender and the carrier does not bind the legitimate owner who acts in good faith. The bill of lading as a document of ownership. In modern international trade and shipping this is probably the most important feature of the bill of lading. A "title document" is a document which allows the holder (the person who "owns" it) to treat the goods described in it as if he were the owner. “Title” is the right to ownership. “Ownership” can be explained as the right to use, alter, dispose of (i.e. sell) and destroy goods. This “ownership” or “title” can be transferred by a formal transfer of the document, such transfer being an “endorsement” and/or delivery of the document itself (Wegener v Smith, 1854). Leduc And Co V Wards is a case demonstrating the specific nature of the bill of lading, where the bill of lading contained a clause allowing the carrier to deviate from the agreed itinerary, resulting in the loss of the vessel and delay in delivery of the goods . The legitimate owner sued the carrier. The carrier argued that the shipper was aware of the diversion clause in the bill of lading. Therefore no breach of contract was created. However, the court refused to grant the carrier's request and held that "the rightful holder who is not aware of such an undertaking will not be bound to comply with it" (Leduc and Co V Wards case, 1888). Furthermore, as One of the mentioned characteristics of the bill of lading is that it is a document of ownership. For a bill of lading to be a document of ownership it must be negotiable, which simply means that it should be transferable. To be transferable, a bill of lading must be drawn up as consignee or assignee, a bill of lading issued specifically in the name of a trustee, would not fall within the category of negotiable instruments and would not be capable of transferring ownership of the goods in transit, such a bill of lading is called “direct bill of exchange”. traders prefer “order bill of lading” as it allows.