Commercial Maritime Law

1. The insured may abandon the vessel to the insurer if: a) the vessel is a total loss; b) the cost of repair or rescue of the vessel amounts to 75% or more of its value as specified in the insurance policy; c) a three-month period lapses from the last time news about the vessel is received and it is presumed to have been lost as of the date of receipt of such news; or d) the vessel sustains damage that is irreparable or cannot be repaired due to the lack of material resources at the vessel’s location, unless it can be towed to a location where it can be repaired. 2. If the insurance covers war risks, the insured may abandon the vessel in case it is captured, arrested, or suspended by order of the public authorities, and he was unable to recover it within four months from notifying the insurer of the incident.