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Rotterdam Rules- The Treaty still in the rough seas.

Today, we’re going to talk about the Rotterdam Rules, also known as the Rotterdam Treaty—one of the most important, and at the same time, one of the most controversial developments in modern maritime law. The Rotterdam Rules are formally called the United Nations Convention on Contracts for the International Carriage of Goods Wholly or Partly by Sea. They were adopted in 2008 with the goal of modernising international cargo law, which for decades has been dominated by much older conventions like the Hague Rules and the Hague–Visby Rules. Those earlier rules were created in a time when shipping was mainly port to port, paperwork was done on paper, and containerisation was still in its infancy. But global trade today looks very different—and that’s where the Rotterdam Rules come in. The main reason for introducing the Rotterdam Rules was the need to reflect modern shipping practices. Most international shipments today are door-to-door, involving not just sea transport, but also road, rail, or inland waterways. However, older conventions only apply to the sea leg of the journey, leaving major gaps in legal coverage. Another key reason was lack of uniformity. Different countries apply different rules, creating uncertainty, higher legal costs, and disputes over which law should apply. The Rotterdam Rules were designed as a single, comprehensive framework to bring consistency to international carriage contracts. One of the most unique features of the Rotterdam Rules is that they apply to contracts involving carriage wholly or partly by sea. This means the Rules can cover the entire transport chain, not just what happens on board the ship. They also formally recognise electronic transport records, including electronic bills of lading—something earlier conventions never anticipated but which is essential in today’s digital trade environment. Another important change is the carrier’s duty of continuous seaworthiness. Under the Rotterdam Rules, carriers must exercise due diligence not only at the start of the voyage, but throughout the journey, which significantly strengthens shipper protection. So, with all these modern features, you might be wondering—why have so few countries ratified the Rotterdam Rules? The first reason is complexity. The Convention contains ninety-six articles, making it long, detailed, and difficult to interpret. Many governments and industry players feel it is simply too complicated to implement. Secondly, there has been strong resistance from carriers and insurers. The Rules increase carrier responsibilities and potential liability, which translates into higher operational and insurance costs. Another major concern is legal uncertainty. Because the Rotterdam Rules are not widely adopted, there is very little case law. Countries are reluctant to replace familiar systems like the Hague–Visby Rules with a treaty that has not yet been tested by courts. There are also concerns about overlap with other transport conventions, such as those governing road, rail, or air transport. This creates uncertainty rather than clarity in multimodal transport disputes. As a result, despite their ambition, the Rotterdam Rules have been ratified by only a small number of countries. In terms of disadvantages, critics argue that the Rules are overly complex, reduce contractual freedom, increase compliance costs, and—most importantly—lack practical value without widespread international acceptance. To conclude, the Rotterdam Rules represent a bold attempt to modernise maritime cargo law for the twenty-first century. However, their complexity and limited ratification mean that, for now, they remain more influential in academic discussion than in day-to-day shipping practice. Thank you for watching, and if you found this helpful, don’t forget to like, share, and subscribe. I’ll see you in the next video.

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