Hong Kong Ordinances

MERCHANT SHIPPING (LOCAL VESSELS) ORDINANCE - SECT 23C

Obligation on users of vessels to be insured against third party risks

(1) No owner, charterer or coxswain of a local vessel to which this Part
applies may use, or cause or permit any other person to use, the vessel in the
waters of Hong Kong unless there is in force in relation to the use of the
vessel by such owner, charterer or coxswain or that other person, as the case
may be, such policy of insurance as complies with section 23D.

(2) If an owner, charterer or coxswain contravenes subsection (1), he commits
an offence and is liable—

   (a)  where the offence relates to the use of a local vessel permitted to
        carry more than 12 passengers, to a fine at level 6 and to
        imprisonment for 2 years; or

   (b)  where the offence relates to the use of a local vessel permitted to
        carry no more than 12 passengers, to a fine at level 4 and to
        imprisonment for 1 year.

(3) It shall be a defence to a charge under subsection (2) for the person
charged to prove that he took all reasonable precautions and exercised all due
diligence to prevent the contravention to which the charge relates. (Part VA
added 24 of 2005 s. 9)