Common use of Liability and Insurances Clause in Contracts

Liability and Insurances. 5.1 None of AMLP, their sub-contractors and their respective officers, employees (including Crew Members) and agents shall have any liability to Owners in relation to any liability, loss, cost, damage or expense whatsoever or howsoever incurred by Owners resulting from or arising in connection with any act, neglect or default of any of them in the performance of their duties hereunder or pursuant hereto or otherwise in connection with the Vessel or its crewing PROVIDED ONLY THAT where any such liability, loss, cost, damage or expense is shown to have resulted directly from the negligence or willful default of AMLP or their sub-contractors or their respective officers, employees or agents (but always excluding the Crew Members) AMLP’s liability shall be limited as follows: (a) any such liability in relation to all liabilities, losses, costs, damages and expenses arising from any one event or series of events shall be limited to an amount equal to the average Monthly Crew Lumpsum per Vessel, and (b) any such liability in relation to all liabilities, losses, costs, damages and expenses arising from all events or series of events occurring in any twelve month period shall be limited to an amount equal to three times the average Monthly Crew Lumpsum per Vessel. 5.2 Owners shall indemnify AMLP, their subcontractors and their respective officers, employees (including Crew Members) and agents in respect of any liability, loss, cost, damage or expense whatsoever or howsoever incurred by any of them resulting from or arising in connection with any act, neglect or default of any of them in the performance of their duties hereunder or pursuant hereto or otherwise in connection with the Vessel or its crewing PROVIDED ONLY THAT the aforementioned indemnity shall not apply to the extent that AMLP may have any liability to Owners pursuant to the provisions of Clause 5.1. 5.3 For the purpose of the foregoing provisions of this Clause 5, AMLP shall be deemed to be contracting not only for itself but also as agent on behalf of and as trustee for the benefit of any subcontractors of AMLP and all persons who are or are deemed to be officers, employees (including Crew Members) or agents from time to time, of AMLP or their subcontractors and all such persons shall to this extent be or be deemed to be parties of this Agreement. 5.4 The Owners shall ensure that throughout the Relevant Period the Vessel is kept insured at their cost for hull and machinery, war and protection and indemnity risks with first class underwriters in accordance with best market practice and to the reasonable satisfaction of AMLP and that (a) all such insurances shall be for such amounts as shall be approved by AMLP, provided that the protection and indemnity risks shall be covered for the maximum amount generally available from first class protection and indemnity associations; (b) AMLP and any subcontractors nominated by AMLP are named as co-assured on all such insurances; (c) all such insurances contain provisions (where the same are reasonably available in the insurance market) exempting AMLP and any sub-contractors from liability for premiums and calls waiving any rights the insurers may have to make subrogated claims against AMLP, their sub-contractors and their respective officers, employees and agents; (d) evidence of such insurances and of the prompt payment of premiums and calls is given to AMLP promptly on request made from time to time; and (e) the insurer of protection and indemnity risks (including crew risks) approves the terms of this Agreement and of the employment contracts entered into between AMLP and the Crew Members and that evidence of such approval is given to AMLP on request. 5.5 In the event of any inconsistency between the terms of this Clause S and the BIMCO “▇▇▇▇▇▇▇ 98” Agreement, the terms of the BIMCO Agreement shall prevail.