Limitation of Liability Actions

Maritime Laws

Limitation of Liability Actions

LOLA only permits boat owners to limit their liability for loss, damage, or injury if the act, damage or injury occurred without the owner’s privity or knowledge or malfeasance and/or nonfeasance. 46 U.S.C.App. § 183 Determining whether LOLA applies instead requires the Court to go through a two-step analysis. Hercules Carriers, Inc. v. Florida, 768 F.2d 1558, 1563-64 (11th Cir.1985). First, the court must determine what acts of negligence or conditions of unseaworthiness caused the accident. Second, the court must determine whether the shipowner had actual knowledge or privity of those same acts of negligence or conditions of seaworthiness. Id.

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