On 23 April 2025, a judgment of the Rotterdam District Court was published in a dispute concerning the determination of salvage remuneration after the rescue of a motor yacht (ECLI:NL:RBROT:2025:4549).
Presented facts
On 28 May 2023, a motor yacht ran aground on a sandbank due to a navigation error. The yacht was unable to refloat itself due to the persistently low water level. After the owner of the yacht contacted salvor Rederij Noordgat, the parties signed a salvage agreement. In the days that followed, the salvor made efforts with several tugboats to free the yacht from the sandbank. This was finally achieved on 1 June 2023, despite that the tugboats were unable to get close enough to the yacht for a long time. The salvor then took the yacht to a shipyard. A dispute then arose between the parties about the amount of the salvage fee to be paid by the owner to the salvor.
The owner ultimately transferred €15,000 to the salvor. The salvor claimed an additional payment of €85,000. The owner disputes that he owes anything to the salvor because there was no danger or imminent loss of the yacht, the yacht would have come loose on its own when the water level was high enough, the salvor was only called in for a simple towing service afterwards, and that all other efforts by the salvor were unnecessary and against the owner’s will, and that the salvage agreement is voidable.
Court considerations
The court considered that salvage within the meaning of Article 8:551 of the Dutch Civil Code is provided in the case of any activity carried out to assist a ship in danger in the water. Danger is present if there is a real threat of damage and the ship cannot escape from the dangerous situation without external assistance. The existence of danger must be assessed at the time when the salvage began.
The court considered that there was a dangerous situation. It is irrelevant whether there was a chance that the yacht would have come loose under its own power, but whether there was a real risk of further damage. According to the court, this was the case here. After all, the yacht was stranded in an area unknown to the owner where there was persistent low tide. Even if the yacht had become free on its own, there was a non-negligible risk of a second stranding and thus further damage to the yacht.
The court also considered that the question of whether the salvage agreement was voidable could be left open because the salvor had based its claim for salvage remuneration on statutory law, namely Article 8:551 of the Dutch Civil Code. The fact that the owner was not aware of the price consequences did not alter the fact that, from a legal point of view, salvage remuneration was payable. Furthermore, neither the owner nor her insurer protested against the salvage, even though both were aware of the work carried out.
With regard to the amount of the salvage fee, the court considered that it must be determined taking into account the criteria in Article 8:563 of the Dutch Civil Code, in short: (i) the salvaged value of the yacht, (ii) the skill and efforts of the salvors, (iii) the extent of the favourable outcome achieved by the salvors, (iv) the nature and seriousness of the danger, (v) the time spent by the salvors, the costs incurred and the losses suffered, (vi) the risk of liability and other risks incurred by the salvors, (vii) the speed of the services provided, (viii) the availability and use of ships or other equipment, and (ix) the state of readiness, effectiveness and value of that equipment.
In assessing these criteria, the court considered that the value saved amounted to at least €500,000 and that, with a slightly excessive crew and not always efficient use of equipment – but always in consultation – success was achieved at the first real opportunity by freeing the yacht from a somewhat dangerous but not acutely dangerous situation from which it could not rescue itself without assistance. After deducting the amount already paid by the owner, the court awards the salvor’s claim in the amount of €25,000.
Lessons learned
This case shows that determining the amount of the salvage fee after the rescue of a motor yacht depends on various circumstances. The parties are free to agree on the amount of the salvage fee, failing which the statutory provisions of Articles 8:563 of the Dutch Civil Code apply. Agreements made, however, may be wholly or partially annulled or amended by the court if they have been made through abuse of circumstances or under the influence of danger and the agreed conditions are unfair, or the agreed payment is excessively high or low in relation to the services actually provided.
We can assist you in drafting yacht salvage contracts and in litigating salvage fee on behalf of yacht owners and salvors. If you have any questions about the content of such contracts, please do not hesitate to contact us.
