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Additional premiums shall be paid together with the following due instalment.
The first premium instalment must be received by the Managers within 10 days
upon the attachment date, unless agreed otherwise. Subsequent instalments must
be received by the Managers within 10 days upon commencement of each quarter
of the Policy Year, unless agreed otherwise. If the payment is effected through a
broker, the premium must be received by the broker within the abovementioned
period, passed on to the Managers immediately and received by the Managers within
a further seven days.
7.4 Premium Tax and Other Excise Taxes
The Assured shall pay on demand to the Club or its order the amount of any premium
tax or other excise tax for which the Club determines it or the Assured has or may
become liable. The Assured shall indemnify and hold harmless the Club in respect
of any loss, damage, liability, cost or expense which the Club may incur in respect of
such premium tax or other excise tax in accordance with Rule 23 (Indemnification).
The currency of payment of premiums, additional premiums or of any other sums
due to the Club shall be determined by the Managers.
The Club/Managers are entitled to offset any claims due against the next premium
instalment, instalments payable or any other sums due from the Assured to the Club.
No claim by the Assured against the Club shall afford that Assured, any right to make
any set-off against premiums or other sums due to the Club, nor shall it entitle the
Assured to withhold or delay payment of any such amounts.
The Club shall have a lien on the Entered Ship for all premiums and other sums due
to it under these Rules in respect of that Entered Ship. Such lien shall extend to any
and all other Ships entered with the Club by same Assured either alone or as Co-
Assured. Such lien shall be in addition to, and in no way construed as a waiver or
amendment of, any other contractual or maritime lien which the Club may expressly
or impliedly possess in respect of such Entered Ship or Ships.
Without prejudice to the rights and remedies of the Club under the Rules, if any
premium or part thereof or any sum of whatsoever nature due from the Assured to
the Club is not paid on or before the date specified for payment thereof, the Assured
shall pay interest on the amount not paid from and including the date so specified
down to the date of payment at the rate prescribed in England & Wales to be charged
on unsatisfied judgements, but the Managers may in their discretion waive the right
to receive payment of such interest in whole or in part.
Where, for any reason, a return of premium to the Assured is due, then unless the
Assured notifies and submits his claim for reimbursement to the Managers in writ-
ing within three months from the date when the return of premium becomes due, no
allowances or return shall be made, unless the Managers decide otherwise.
All Co-Assureds and the Assured are jointly and severally liable for payment of pre-
mium and other sums due to the Club.
If the FD&D Cover expires automatically or by termination of the charter contract
or by rescission or termination of the FD&D Cover by the Managers, the Assured is
entitled to a refund of premium paid for the time from the premature cessation and/
or termination of the FD&D Cover until the date of expiry stated in the Certificate of
Entry.
Rule 8 Period of FD&D Cover and Termination of FD&D Cover
FD&D Cover commences and expires on the dates indicated in the Certificate of
Entry. Unless agreed otherwise, FD&D Cover commences at 12:00:00 hours of the
first date and expires at 11:59:59 hours of the last date of the period indicated in the
Certificate of Entry. Current Rule applies irrespective of whether the Entered Ship is
en route at the time when the FD&D Cover expires.
Termination of FD&D Cover
The FD&D Cover terminates due to any reasons stated in Rules 8.2 - 8.4:
FD&D Cover ceases with immediate effect upon occurrence of any of the following
events (whichever is earlier) in relation to the Assured:
In case the Assured is an individual: Assured’s death or if a receiving order is made
against the Assured or if the Assured shall become bankrupt or make any composi-
tion or arrangement with the Assured’s creditors generally or if the Assured shall
become incapable by reason of mental disorder of managing and administering the
Assured’s property and affairs;
In case the Assured is a legal entity: passing of any resolution for the Assured’s vol-
untary winding-up or an order being made for compulsory winding-up or Assured’s
dissolution or a receiver or manager of all or part of the Assured’s business or un-
dertaking being appointed or possession being taken of any property of the Assured
under the provisions of any charge, mortgage or other encumbrance, whether legal
or equitable, secured under that property;
FD&D Cover ceases with immediate effect, upon occurrence of any of the following
events (whichever is earlier) in relation to the Entered Ship, without the Managers’
7.2
7.3
7.4
7.5
7.6
7.7
7.8
7.3
7.10
7.11
7.12
8.1
8.2
8.2.1
8.2.2
8.3