UNITED States representative John Garamendi has introduced a new bill intended to hold foreign shipowners accountable for maritime accidents that occur in American waters.
The Congressman introduced the Justice for Victims of Foreign Vessel Accidents Act alongside fellow U.S. Representative Hank Johnson, citing the recent collapse of the Francis Scott Key Bridge in Baltimore due to an allision with the vessel Dali.
In the official announcement of the bill, Mr Garamendi said that access to America’s ports and its consumers was a privilege, not a right.
“If the foreign owners of the cargo vessel that took down the Francis Scott Key Bridge in Baltimore think they can leave American taxpayers holding the bag, I have a message for them: you broke it, you bought it” Mr Garamendi said.
“If the foreign owners of the (Dali) want to keep that privilege, they can break out their checkbooks, call their insurance company, and pay their fair share of the bridge replacement costs and compensation to the families of the six workers who died tragically that day.”
Under current U.S. law enacted in 1851, vessel owners are allowed to file petitions in U.S. federal court limiting their legal liability for damages to the dollar value of the vessel and its cargo, minus expenses.
According to the announcement, Dali’s Singapore-based corporate owner and vessel manager filed jointly in the U.S. District Court for Maryland to limit their total liability for the bridge collapse and recovery effort to just US$43.7 million, valuing the vessel at US$90 million.
The Justice for Victims of Foreign Vessel Accidents Act would increase the liability for foreign-flagged vessels to up to ten times the dollar value of the vessel and its cargo, minus expenses.
The bill’s introduction would require Dali’s owners to pay an additional US$854 million in damages.
The proposed act would maintain the current liability threshold for U.S.-flagged vessels, which, the announcement says, unlike foreign-flagged vessels are subject to federal or state law and inspected regularly by the U.S. Coast Guard and state regulators.
The act would also retroactively apply the new, higher liability level for damages by foreign-flagged vessels to March 25 this year, the night before the Francis Scott Key Bridge collapse.
Congressman Hank Johnson, co-sponsor of the bill, said it is a crucial step towards ensuring accountability in maritime liability.
“By enhancing the financial responsibilities of foreign vessel owners, this bill provides essential support to victims and their families in reinforcing our resolve to uphold justice following tragic maritime incidents” Mr Jonhson said.
Mr Garamendi is a senior member of the Transportation and Infrastructure Committee, and the Subcommittee on Coast Guard and Maritime Transportation, on which he served as the top Democrat from 2013 to 2018.
He was elected as California’s Insurance Commissioner from 1991 to 1995 and again from 2003 to 2007.
