In the recent article Cost reductions across Members’ operational landscape, the Shipowners’ Club introduced its Members to the ‘CTRL benefit’ clause. Members of the Shipowners’ Club are able to take advantage of two hours’ free legal work each year for qualifying matters.
CTRL deals with English law and can accept instructions in a wide variety of shipping matters, including contract review work and debt recovery, as well as the types of matters traditionally covered by Protection and Indemnity (P&I) or Legal Costs Cover (LCC).
From 20 February 2017, Members of the Shipowners’ Club will note that their policy documents with the Club contain the following wording:
|CTRL BENEFIT CLAUSE
Members having an entry or entries with the Club as owners or charterers are entitled, as an additional benefit of Membership, to two hours free legal advice from CTRL, a law firm wholly owned by the Association, on claims and legal queries which are subject to English law and which fall within CTRL’s expertise, whether or not the matter falls within the scope of the Members’ cover with the Association.
CTRL offers to carry out the first two hours’ worth of work free of charge on 1 new instruction per year. CTRL is regulated by the Law Society of England & Wales and retains discretion over the nature and type of instructions that it accepts under this clause.
The relationship between the Member, as defined above, and CTRL will be governed by CTRL’s standard terms of business, which will be provided to the Member at the outset of each new instruction.
Taking advantage of the CTRL benefit clause
Members can take advantage of the CTRL benefit clause in two ways. For claims which are covered by P&I or LCC with the Club, Members will be advised by their claims handler whether the claim is suitable to be referred to CTRL. If so, the first two hours spent on that claim by CTRL will be free of charge.
For claims which fall outside Club cover, Members can contact CTRL directly or via their underwriter or broker. CTRL will advise whether the matter falls within their expertise and whether they are free to accept instructions. If so, the first two hours spent on that matter by CTRL will be free of charge.
Members may take advantage of the CTRL benefit clause once per year, although CTRL may use its discretion to extend the scope of this offer for Members as appropriate.