A marine surveyor has paid US$70,000 to settle a dispute triggered by incorrect data supplied by a subcontractor, highlighting the financial risks caused by inaccurate or unverified technical information, according to the International Transport Intermediaries Club (ITIC).
The surveyor had been appointed to confirm compliance of a commercial fishing vessel with safety authority rules and engaged a naval architect to provide data needed to calculate freeboard.
The information provided was wrong, leading to an incorrect assessment of the vessel’s lightweight and a recommendation for a full re-survey. The buyer subsequently incurred the cost of the unnecessary second survey and missed three fishing trips while awaiting clearance, claiming both survey costs and loss of income.
ITIC said that because the naval architect had no insurance and no formal contract with the surveyor, no recovery was possible. The claim was settled for US$70,000, covering the additional survey and an agreed portion of the lost earnings.
“Surveyors rely on a wide range of technical data and much of it comes from third-party specialists who work on a subcontracted basis,” said Mark Brattman, Claims Director at ITIC.
“When that information is wrong, the surveyor may be left carrying the liability, particularly where the subcontractor has no insurance of their own. This case shows how quickly a simple error can escalate into a claim that includes indirect losses.”
ITIC says it has updated its standard trading conditions for surveyors and consultants to help its members strengthen their contractual protections.
