Joint Entries and Co-assureds
(i) The Managers may accept the entry of more than one person as a Joint Owner and the terms upon which each Joint Owner shall be entitled to recover losses from the Association and upon which the Association shall be entitled to recover Calls or Fixed Premiums from the Joint Owners shall be such as may be agreed in writing between the Joint Owners and the Managers; and,
(ii) for the purpose of this Rule, the liability of Joint Owners to each other shall not be excluded or discharged by reason of co-assurance and any payment to one of the Joint Owners in respect of any liabilities, losses, costs and expenses shall operate only as satisfaction but not exclusion or discharge of the liability of Joint Owners to each other.
PROVIDED ALWAYS that:
a) Unless otherwise agreed in writing by the Managers all Joint Owners shall be jointly and severally liable to pay all contributions or other sums due to the Association in respect of such entry, and the receipt by any one of such persons for any sums payable by the Association in respect of such entry shall be a sufficient discharge of the Association for the same.
b) The cover afforded under this Rule 10 A shall extend only to risks, liabilities and expenses arising out of operations and/or activities customarily carried on by or at the risk and responsibility of shipowners and which are within the scope of the cover afforded by the Rules and any special terms set out in the Certificate of Entry
The Managers may accept the addition to the entry of a ship by an Owner of the following person or persons as a Co-assured:
(i) Subject to Rule 5B(iv), a charterer, other than a bareboat charterer, which is affiliated to or associated with the Owner
PROVIDED ALWAYS that:
a) such charterer shall only be covered for the risks, liabilities, costs and expenses for which that the Owner has cover in accordance with the terms of entry of the ship with the Association;
b) for the purposes of this Rule 10 B(i) a charterer shall only be affiliated to or associated with the Owner if
(bi) both the Owner and the charterer have the same parent or
(bii) one of the Owner and charterer is the parent of the other; and
(biii) a parent is a company which owns at least 50% of the shares in and voting rights of another or owns a minority of the shares in the other and the ability to procure that it is managed and operated in accordance with its wishes.
(ii) A contractor (including a charterer) of the Owner for the provision of services by or to the entered ship and, if so requested by the contractor, any persons in the contractor’s group
PROVIDED ALWAYS that:
(a) the contract has been approved by the Association; and
(b) the contract is on knock for knock terms in respect of any and all persons in the contractor’s group; and
(c) the Co-assured contractor shall only be covered for liabilities and costs and expenses which are to be borne by the Owner under the terms of the contract and to the extent they would, if borne by the Owner, be recoverable from the Association in accordance with the terms of entry of the ship in the Association.
(iii) Other persons (except charterers other than bareboat charterers)
PROVIDED ALWAYS that
the liability of the Association to such persons only extends insofar as it may be found liable to pay in the first instance for loss or damage which is properly the responsibility of the Owner insured under the same entry and nothing herein contained shall be construed as extending cover in respect of any amount to the extent such amount would not have been recoverable from the Association by the Owner insured under the same entry had the claim in respect of such loss or damage been made or enforced against it. Once the Association has made indemnification under such cover it shall not be under any further liability and shall not make any further payment to any person whatsoever, including the Owner, Joint Owner or Co-assured insured under the same entry in respect of that loss or damage.
In relation to the Owner, Joint Owners and Co-assureds (hereafter in this Rule 10 C referred to individually as an “Assured” and collectively as “Assureds”):
(i) the Association shall not be bound to issue any Certificate of Entry or any Endorsement Slip to more than one Assured delivery of which to whom shall be sufficient delivery to all the Assureds;
(ii) payment to any one Assured of any sums payable by the Association shall be a sufficient discharge of the Association for the same in respect of all the Assureds;
(iii) the failure by any Assured to disclose material information within its knowledge shall be deemed to have been failure of all the Assureds;
(iv) notice served on one Assured by the Association pursuant to Rule 41 shall be deemed to be served on all Assureds;
(v) the conduct of any Assured which would have entitled the Association to decline to indemnify it shall be deemed the conduct of all the Assureds;
(vi) any provision of these Rules which would entitle the Association to reject or reduce recovery in respect of one Assured shall be deemed to apply to all the Assureds;
(vii) unless the Managers have otherwise agreed in writing, the contents of any communication from or on behalf of the Association to any Assured shall be deemed to be within the knowledge of all the Assureds, and any communication from any Assured to the Association, the Managers or their agents shall be deemed to have been made with the full approval and authority of all the Assureds;
(viii) there shall be no reimbursement from the Association of claims relating to any liabilities, costs, expenses or disputes among the Assureds.