Rule 23

Payment

Rule 23

Payment

A. Every Call (Mutual Premium, Supplementary Premium or Overspill Call) shall be payable at such rate and, save as otherwise agreed in writing by the Managers, in such instalments and on such dates as the Directors may specify.

B. As soon as reasonably practical after the rate of any Call (Mutual Premium, Supplementary Premium or Overspill Call) shall have been so fixed the Managers shall notify each Owner concerned:

i. Of such rate;
ii. Of the date on which the Call concerned is payable or, if such Call is payable by instalments, of the amounts of such instalments and the respective dates on which they are payable;
iii. Of the amount payable by such Owner in respect of each ship entered by him;
iv. If such Call is payable by such Owner in any currency other than U.S. Dollars, of such fact.

C. The Managers may require any Owner to pay all or any part of any Call payable by him in such currency or currencies as the Managers may specify.

D. No claim of any kind whatsoever by an Owner against any of the Associations shall constitute any set-off against the Calls, fixed premiums or other sums of whatsoever nature due to the Associations or shall entitle an Owner to withhold or delay payment of any such sum.

E. Without prejudice to the rights and remedies of the Association under these Rules and in particular Rules 29 to 33 inclusive, if any Call or instalment or part thereof or any other sum of whatsoever nature (including, without prejudice to the generality of the foregoing, any fixed premium and any amount due pursuant to Rules 30 or 33 and any part thereof) due from any Owner is not paid by such Owner on or before the date specified for payment thereof, such Owner shall pay interest on the amount not so paid from and including the date so specified down to the date of payment at such rate as the Directors may from time to time determine, but the Directors may waive payment of such interest in whole or in part.

F. The Association shall have a lien or other right of action against any ship entered by the Owner in respect of any sum of whatsoever nature owed by him to any of the Associations, notwithstanding that the cover of the Owner or in respect of any ship entered by him may have ceased or been terminated or cancelled.

G. If any Call or other payment due from an Owner to any of the Associations is not paid and if the Directors decide that payment cannot be obtained, the sums required to make good any resulting shortfall or deficiency in the funds of the Associations shall be deemed to be expenses of the Associations for which, as the Directors may decide, Calls may be levied in accordance with Rule 19 (or, if the shortfall or deficiency is in respect of an Overspill Call under Rule 22, Section 5, a further Overspill Call under that Rule), or the reserves may be applied in accordance with Rules 24 and 25.

H. An Owner shall pay on demand to the Association or its order the amount of any premium tax or other tax levied on or in connection with the insurance or reinsurance provided by the Association to the Owner which the Association determines it or the Owner has or may become liable, and shall indemnify the Association and hold it harmless in respect of any loss, damage, liability, cost or expense which the Association may incur in respect of such premium tax or other similar tax.