I. MLC Undertakings
We hereby undertake and agree that in consideration of the Association agreeing to issue the above MLC Certificates at our request:
(a) we know of no events or claims which may give rise to a demand under the MLC Certificates;
(b) we and all Co-assureds and Joint Members will be bound by the terms of the MLC Extension Clause 2016² which is deemed incorporated herein;
(c) where any payment by the Association under any such certificate is in respect of war risks, we will indemnify the Association to the extent that such payment is recoverable under the Member's P&I war risks policy, or would have been recoverable if the Member had maintained and complied with the terms and conditions of a standard P&I war risks insurance policy;
(d) to assign to the Association all the rights of the Member under any social security scheme, or other insurance or national fund or other similar arrangement where such scheme, insurance, national fund or arrangement applies in respect of all or any liabilities arising under the MLC Certificates;
(e) 30 days from a notice to the Flag State of the termination thereof we shall take all necessary steps to remove the Certificates and any copies thereof from the Vessel(s) and return them to the Association;
(f) we have the authority of all Co-assureds and Joint Members to make this request and to bind each of them to all the obligations under the MLC Extension Clause 2016 and hereunder.
II. Undertakings for Trading Certificates (Blue Cards and/or MLC Certificates) prior to Entry
Certificates under CLC, Bunkers Convention, Athens Convention/PLR, MLC 2006 and WRC will be issued once a binding agreement has been reached for entry of the vessel(s If Blue Cards and/or MLC Certificates are requested before such agreement has been concluded, the following undertaking is required:
In consideration of the Association, upon our request and prior to entry in the Association of the above Vessels being concluded, providing Blue Cards and/or MLC Certificates so as to satisfy the certification requirements applicable to such Vessels pursuant to any or all of the following Conventions and to ensure that such Vessels are able to trade without delay and without the risk of penalties or fines for failing to satisfy such certification requirements [please indicate which blue cards are needed in the table above]:
(a) Article 7 of the International Convention on Civil Liability for Bunker Oil Pollution Damage 2001 (Bunkers Convention)
(b) Articles VII of the International Convention on Civil Liability for Oil Pollution Damage 1969 and 1992 (CLC)
(c) Regulation (EC) No 392/2009 of the European Parliament and of the Council of 23 April 2009 on the Liability of Carriers of Passengers by Sea in the Event of Accidents (PLR non-war only)
(d) Article 4bis of the Athens Convention Relating to the Carriage of Passengers and Their Luggage by Sea, 1974 and the Protocol of 2002 ("Athens") to the 1974 Athens Convention
(e) Article 12 of the Nairobi International Convention on the Removal of Wrecks, 2007 ("WRC")
(f) Regulation 2.5.2, Standard A2.5.2, Regulation 4.2 and Standard A4.2.1 paragraph 1(b) of the Maritime Labour Convention 2006 (MLC 2006)
III. Undertakings for Trading Certificates (Blue Cards and/or MLC Certificates) prior to Renewal
We request you to issue Blue Cards and/or MLC Certificates for the period up to Noon GMT 20 February 2025 and/or for the period Noon GMT 20 February 2025 to Noon GMT 20 February 2026 and hereby undertake and agree that:
(1) it is our intention to enter the above Vessels in the Association, or in another Association in the International Group of P&I Associations for the next policy year; and,
(2) if we do not effect such entry we will indemnify the Association and hold it harmless in respect of any and all liabilities, losses, damages, risks, costs or expenses which it may suffer or incur under the terms of the Blue Cards and/or MLC Certificates or as a direct or indirect consequence of issuing the Blue Cards and/or MLC Certificates including any liability the Association may incur under any applicable international compensation regime or implementing domestic legislation;
In consideration of the Association agreeing to issue Blue Cards and/or MLC Certificates whether or not prior to entry in the Association of the above vessel(s) being concluded, at the request of the owners or their agent, in support of a Bunker Convention, CLC certificate, PLR Non-war and/or Athens and/or WRC and/or MLC Certificates we hereby agree that, where any payment by the Association under any such certificate is in respect of war risks, we will indemnify the Association to the extent that such payment is recoverable under the Owner's P&I war risks policy, or would have been recoverable if the Owner had maintained and complied with the terms and conditions of a standard P&I war risks insurance policy, and, further, we agree to assign to the Association all the rights of the Owner under such insurance and against any third party.
These undertakings shall be governed by and construed in accordance with the law of the State of New York and any claim, dispute, legal action or proceeding arising out of or in connection with this letter of undertaking shall be subject to the exclusive jurisdiction of the United States District Court for the Southern District of New York.
When called upon to do so, we will instruct attorneys in New York to accept, on behalf of the Owners of any of the above Vessels, service of proceedings issued on behalf of the Association in connection with this Letter of Undertaking.