The clauses warrant the subject-matter free of particular average claims, but stranding, sinking, burning or collision with another ship or vessel voids this warranty, and damage by fire and contact as in the Institute Cargo clauses is payable irrespective of percentage.

Landing, warehousing, forwarding and special charges are paid, and partial loss during transhipment is covered. Cargo condemned at a port of distress owing to perils insured against gives rise to a valid claim.

Craft, raft and/or lighter risk to and from the vessel, each being deemed a separate insurance, is covered.

Additional craft risk is held covered at an agreed additional premium and clauses corresponding to the "Warehouse to Warehouse" and "Deviation" clauses of the Institute Cargo clauses are included.

Increased value insurances automatically enhance the agreed valuation in the policy to the amount to which such are effected. Such insurances to embrace advance freight if this is included in the original insurances on cargo.

INSTITUTE WAR RISK (CORN TRADE) CLAUSE.

This is as 1, 2 and 3 of the Institute Cargo Clauses (vide p. 211), but it is expressly mentioned that no claim arising from delay shall be admitted, and that risks of mines and/or torpedoes and/or bombs are included. The F.P.A. warranty not to apply to claims under the clause, but this is the usual practice in connection with all war risk losses covered under the standard wording.

FLOUR" ALL RISKS" CLAUSES.

This is a new set of clauses agreed between the Institute of London Underwriters and the National Association of Flour Importers for application to policies covering shipments of Australian flour to Great Britain and Ireland. In the plain form of policy, flour is warranted free of particular average unless the ship be stranded. By this set of clauses, subject

to a franchise of £1 in full on any one brand arriving on any one vessel, the flour is covered against all risks whatsoever-free of capture and seizure, strikes, riots and civil commotions-except vermin damage and loss due to inherent vice. The following clauses appear in standard form :

The "Warehouse to Warehouse" clause is included in a modified form.

Current " Flour Arrived" agreements of the London, Glasgow and Bristol Channel Associations are incorporated in the policy.

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INCREASED VALUE CLAUSE.

The object of this clause is merely to make all policies one interest concurrent, i.e., every policy effected for increased value increases the agreed value of the subjectmatter, and are treated just as if separate additional subscriptions to one ship.

MALICIOUS DAMAGE CLAUSE.

This is an extended form of the S.R. and C.C. clause, covering also loss or damage arising from incendiarism, use of explosives, bombs or other engines of destruction, or from any other malicious act whatever." The clause is almost self-explanatory; the principle ejusdem generis cannot be called into operation to restrict the meaning of "malicious act."

THE LONDON JUTE ASSOCIATION INSURANCE

CLAUSES.

As the great majority of the world's production of jute is shipped at either Calcutta or Chittagong, it is not surprising to observe that the Jute Trade clauses are expressed in accordance with the conditions at these places. The clauses consist of eight operative separate clauses, and a proviso as to the terms of increased value policies, but an alternative No. 1 clause operates in respect of Calcutta and Chittagong shipments respectively. In effect, the risk commences at either place on loading into craft or railway wagon in transit for shipment (but in the latter case the risk is suspended-Calcutta shipments—whilst the subjectmatter is in Port Commissioners' Dock or Jetty Sheds, or on Quays). The risk ceases at port of discharge fifteen days after discharge from overseas vessel, or, if this occur sooner than fifteen days

(1) On safe delivery into consignee's warehouse; or (2) On safe delivery into land, etc., conveyance; or (3) If intended for re-shipment, on delivery into consignee's craft.

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Clause 2 is a deviation clause, specially worded, but of similar effect to that in the Institute Cargo clauses. A foreign general average clause is included, no mention being made of Salvage Charges. The Waiver clause is reprinted. special Bill of Lading clause is introduced, but it may be suggested that this is not an improvement on the form in the Institute Cargo clauses. A similar agreement to that appearing in the Corn Trade clauses (q.v.), in respect of valuation in the event of increased value insurances being arranged,

appears.

In effect, the clauses are almost the same as Institute F.P.A. clauses, except that fire avoids the memorandum entirely. The Suez Canal clause appears. No mention is made of the payment of the insured value of any package totally lost in loading or discharge, but if this occurs during transhipment it is covered.

The clauses do not expressly include the F.C. and S. and S. R. and C. C. clauses.

River Plate Ten Days' Clause.

This merely puts a period on the time which may pass after landing of merchandise until fire risk ceases on arrival at store, etc. This period is ten days, and the utility of the clause is evidenced by its title, but cover against risks other than fire is allowed in the normal "Warehouse to Warehouse" form. In no case will fire risks after 10 days be covered this is the province of the fire policy.

Standard Nitrate Clauses.

These are used, in lieu of Institute F.P.A. clauses, to cover nitrate shipments, e.g., from Chilean ports. Craft risks at port of shipment are very heavy.

These clauses cover:

Total and/or constructive total loss;
General average loss and contribution;
Salvage charges;

Particular charges;

Sue and labour charges;

Particular average :—

(1) If the vessel or craft be stranded, sunk, burnt, or on fire;

(2) If the vessel put into a port of refuge and discharge

cargo;

(3) It the damage may reasonably be attributed to contact of the vessel or craft with any floating or sunken, movable or immovable object, especially ice;

(4) If the damage be caused by water resulting from bursting of hatches, and/or default or negligence of the crew;

Partial loss arising from transhipment;

The insured value of any package totally lost in loading, transhipment or discharge;

Fire risks in landing go-down.

The clauses do not cover :

Particular average except as above;

The following clauses appear in a special form :—

Craft risks (specially extended);

Foreign general average;

"Warehouse to warehouse ";
Bill of lading;

Negligence.

The following clauses appear in their ordinary form :—

F.C. & S.;

S.R. & C.C.;

Frustration, for use if F.C. & S. clause is deleted.

For average purposes only the standard equivalents of Spanish and Metric Quintals are defined. Other unfamiliar phrases appear, i.e., "including all risks incidental to steam navigation," including all risks attending to towing of vessel to destination if required."

The clauses are of too specialised a utility to call for further analysis.

Classification Clause.

In open covers and floating policies it is necessary that some standard be placed upon the vessels by which shipments may be effected at the rates fixed. It was usual to provide that shipments were to be by approved vessels or held covered. This was found not to operate as was desired, and vessels which certainly were not contemplated to be included at the rates agreed, were by the operation of competitive market conditions, forced to be accepted without additional premium. To obviate this as far as possible, this clause was drafted and is very frequently included in the conditions upon which floating policies and open covers are effected.