Law of Salvage - Concept of Salvage Under Maritime Law

Concept of Salvage Under Maritime Law

The right to be rewarded for salvage at sea under common law is based both on equitable principles and public policy and is not contractual in origin. Historically, salvage is a right in law, when a person, acting as a volunteer (that is, without any pre-existing contractual or other legal duty so to act) preserves or contributes so to preserving at sea any vessel, cargo, freight, or other recognized subject of salvage from danger. This is the typical case of salvage and is distinct from Prize law, which is the rescuing of property from the enemy at a time of war, for which a reward is made by the Court of Admiralty sitting as a Prize Court.

The law seeks to do what is fair to both the property owners and the salvors. The right to salvage may not necessarily arise out of an actual contract but is a legal liability arising out of the fact that property has been recovered. The property owner who had benefit of the salvor's efforts must make remuneration, regardless of whether he had formed a contract or not. The assumption here is that when faced with the loss of his vessel and cargo, a reasonable prudent owner would have accepted salvage terms offered, even if time did not permit such negotiations.