MARITIME LAW – system of laws which particularly relates to the affairs and business of the sea, to

ships, their crews and navigation, and to marine conveyances of persons and property.
- A corpus of rules, concepts and legal practices governing certain centrally important concerns of
the business of carrying goods and passengers by water.
- That system of laws which particularly relates to marine commerce and navigation, to business
transacted at sea or relating to navigation, to ships and shipping, to seamen, to the transportation
of persons and property by sea and to marine affairs generally.
Primary law on maritime commerce: New Civil Code provisions on common carriers
Suppletory laws: Code of Commerce and special laws (Salvage Law, COGSA, Ship Mortgage Decree
of 1978, etc.)
Characteristics of Maritime Transaction:
1. Real – similar to transactions over real property with respect to effectivity against third persons
which is done through registration. The evidence of real nature is shown by:
a. Limit of Liability – the limitation of the liability of the agents to the actual value of the
vessel and freight money
b. Maritime Lien – the right to retain the cargo and the embargo and detention of the vessel
even in cases where the ordinary civil law would not allow more than a personal action
against the debtor or person liable.
2. Hypothecary – the liability of the owner is limited to the value of the vessel itself. (Doctrine of
Limited Liability)
REAL AND HYPOTHECARY NATURE OF MARITIME LAW –means that the liability of the
carrier in connection with losses related to maritime contracts is confined to the vessel, which is
hypothecated for such obligations, or which stands as the guaranty for their settlement. Thus, the
liability of the vessel owner and agent arising from the operation of such vessel were confined to the
vessel itself, its equipment, freight, and insurance, if any, which limitation served to induce
capitalists into effectively wagering their resources against the consideration of the large profits
attainable in the trade. ( Aboitiz Shipping Corporation vs. General Accident Fire And Life Assurance
Corporation, Ltd)
There are two reasons why it is impossible to do away with these privileges, to wit:
(1) The risk to which the thing is exposed; and
(2) the 'real' nature of maritime law, exclusively 'real,' according to which the liability of the
parties is limited to a thing to which is at mercy of the waves.
PROCEEDING QUASI IN REM - one brought against persons seeking to subject the property of
such persons to the discharge of the claims assailed.  In an action quasi in rem, an individual is names
as defendant and the purpose of the proceeding is to subject his interests therein to the obligation or
loan burdening the property. In an action quasi in rem, an individual is named as defendant. But, unlike
suits in rem, a quasi in rem judgment is conclusive only between the parties.
MARITIME LIEN – a process to make perfect a right inchoate from the moment the lien attaches;
this claim or privilege travels with the thing, into whosoever possession it may come.
Maritime lien is akin to a mortgage lien in that despite the transfer of ownership, the lien is not
extinguished. The maritime lien is inseparable from the vessel and until discharged, it follows the
vessel.
A preferred maritime lien is not affected by the insolvency of the carrier. The issuance of the stay
order by the rehabilitation court does not impair or in any way diminish the creditor's preferred. The
enforcement of its claim through court action was merely suspended to give way to the speedy and
effective rehabilitation of the distressed shipping company. Upon termination of the rehabilitation
proceedings or in the event of the bankruptcy and consequent dissolution of the company, the creditor
can still enforce its preferred claim.
LIMITED LIABILITY RULE: NO VESSEL, NO LIABILITY – No vessel, no liability, expresses
in a nutshell the limited liability rule. The shipowner's or agent's liability is merely co-extensive with
his interest in the vessel such that a total loss thereof results in its extinction. The total destruction of
the vessel extinguishes maritime liens because there is no longer any res to which it can attach.
Philippine maritime law is of Anglo-American extraction, and is governed by adherence to both
international maritime conventions and generally accepted practices relative to maritime trade and
travel.
RATIONALE: "This doctrine is based on the real and hypothecary nature of maritime law which has
its origin in the prevailing conditions of the maritime trade and sea voyages during the medieval ages,
attended by innumerable hazards and perils. To offset against these adverse conditions and to
encourage shipbuilding and maritime commerce, it was deemed necessary to confine the liability of the
owner or agent arising from the operation of a ship to the vessel, equipment, and freight, or insurance,
if any.
STATUTORY PROVISIONS
Articles 587 (liability to third persons), 643, and 837 (collision cases):
ARTICLE 587. The ship agent shall also be civilly liable for the indemnities in favor of third persons
which may arise from the conduct of the captain in the care of the goods which he loaded on the
vessel; but he may exempt himself therefrom by abandoning the vessel with all her equipment’s and
the freight it may have earned during the voyage.
ARTICLE 643. If the vessel and her cargo should be totally lost, by reason of capture or wreck, all
rights shall be extinguished, both as regards the crew to demand any wages whatsoever, and as
regards the ship agent to recover the advances made.
If a portion of the vessel or of the cargo, or of both, should be saved, the crew engaged on
wages, including the captain, shall retain their rights on the salvage, so far as they go, on the
remainder of the vessel as well as on the amount of the freightage of the cargo saved; but sailors who
are engaged on shares shall not have any right whatsoever on the salvage of the hull, but only on
the portion of the freightage saved. If they should have worked to recover the remainder of the
shipwrecked vessel they shall be given from the amount of the salvage an award in proportion of the
efforts made and to the risks encountered in order to accomplish the salvage.
ARTICLE. 837. The civil liability incurred by the shipowners in the cases prescribed in this section,
shall be understood as limited to the value of the vessel with all her appurtenances and freight
earned during the voyage

COVERAGE OF LIMITED LIABILITY.

1. Art. 587 – civil liability for indemnities to third persons
2. Art. 590 – indemnities from negligent acts of the captain (NOT the shipowner or agent)
3. Art. 837 – collision
4. Art. 643 – liability for wages of the captain and the crew and for advances made
by the ship agent if the vessel is lost by shipwreck or capture Aboitiz Shipping Corporation v.
General Accident Fire and Life Assurance Corporation Ltd., " that taken together with related
articles, Articles 837, 587, and 590 cover only: (1) liability to third persons,(2) acts of the captain, and
(3) collisions.
(a.)In connection with Article 587, the carrier cannot invoke Articles 1733 and 1735 of the Civil
Code.
(b.) In the case of Gwison v. Philippine Shipping Company, involving the collision at the
mouth of the Pasig River between the motor launches Martha and Manila H in which the latter
was found to be at fault, the Supreme Court, applying Article 837 of the Code of Commerce
limited the liability of the agent to the value of the vessel.
(c.) In the case of Yangco v. Laserna, which involved the steamer SS "Negros" belonging to
Yangco which after two hours of sailing from Romblon to Manila encountered rough seas as a
result of which it capsized such that many of its passengers died in the mishap, several actions
for damages were filed against Yangco for the death of the passengers in the Court of First
Instance of Capiz. After rendition of the judgment for damages against Yangco, by a verified
pleading, he sought to abandon the vessel to the plaintiffs in the three cases together with all the
equipment without prejudice to the right to appeal.
a. "In the light of all the foregoing, we therefore hold that if the shipowner or agent may in
any way be held civilly liable at all for injury to or death of passengers arising from the
negligence of the captain in cases of collisions or shipwrecks, his liability is merely co-
extensive with his interest in the vessel such that a total loss thereof results in its
extinction. But assuming that petitioner is liable for a breach of contract of carriage, the
exclusively real and hypothecary nature' of maritime law operates to limit such
liability to the value of the vessel, or to the insurance thereon, if any. In the instant
case it does not appear that the vessel was insured. Whether the abandonment of the
vessel sought by the petitioner in the instant case was in accordance with law or not, is
immaterial. The vessel having totally perished, any act of abandonment would be an idle
ceremony
(d.) If the vessel is co-owned:
a. ARTICLE. 590. The co-owners of the vessel shall be civilly liable in the proportion of
their contribution to the common fund for the results of the acts of the captain, referred
to in Article 587.
 Each co-owner may exempt himself from this liability by the abandonment,
before a notary, of that part of the vessel belonging to him.
SHIPOWNER ENTITLED TO LIMITED LIABILITY. – applies to breach of contract and tortious
negligence.

AVERAGES
DEFINITION:

ARTICLE 806. For the purposes of this Code the following shall be considered averages:

1. All extraordinary or accidental expenses which may be incurred during the navigation for the
preservation of the vessel or cargo, or both.

2. All damages or deterioration the vessel may suffer from the time she puts to sea from the port of
departure until she casts anchor in the port of destination, and those suffered by the merchandise
from the time it is loaded in the port of shipment until it is unloaded in the port of consignment.

ARTICLE 807. The petty and ordinary expenses of navigation, such as pilotage of coasts and ports,
lighterage and towage, anchorage dues, inspection, health, quarantine, lazaretto, and other so-called
port expenses, costs of barges, and unloading, until the merchandise is placed on the wharf, and any
other expenses common to navigation shall be considered ordinary expenses to be defrayed by the
shipowner, unless there is a special agreement to the contrary.

ARTICLE 808. Averages shall be:

1. Simple or particular.

2. General or gross.

ARTICLE 809. Simple or particular averages shall be, as a general rule, all the expenses and
damages caused to the vessel or to her cargo which have not redounded to the benefit and common
profit of all the persons interested in the vessel and her cargo, and especially the following:

1. The damages suffered by the cargo from the time of its embarkation until it is unloaded, either
on account of the nature of the goods or by reason of an accident at sea or force majeure, and
the expenses incurred to avoid and repair the same.

2. The damages suffered by the vessel in her hull, rigging, arms, and equipment, for the same
causes and reasons, from the time she puts to sea from the port of departure until she anchored
in the port of destination.

3. The damages suffered by the merchandise loaded on deck, except in coastwise navigation, if
the marine ordinances allow it.

4. The wages and victuals of the crew when the vessel should be detained or embargoed by a
legitimate order or force majeure, if the charter should have been for a fixed sum for the voyage.
 5. The necessary expenses on arrival at a port, in order to make repairs or secure provisions.

6. The lowest value of the goods sold by the captain in arrivals under stress for the payment of
provisions and in order to save the crew, or to cover any other requirement of the vessel against
which the proper amount shall be charged.

7. The victuals and wages of the crew during the time the vessel is in quarantine.

8. The damage suffered by the vessel or cargo by reason of an impact or collision with another,
if it were accidental and unavoidable. If the accident should occur through the fault or
negligence of the captain, the latter shall be liable for all the damage caused.

9. Any damage suffered by the cargo through the faults, negligence, or barratry of the captain or
of the crew, without prejudice to the right of the owner to recover the corresponding indemnity
from the captain, the vessel, and the freight.

COASTAL NAVIGATION - safe conduct of a ship where the navigator has the land on one side of his
course and the open sea on the other, even though he is in fact navigating in what are known as pilotage
waters.

BARRATRY - willful misconduct on the part of the master or crew in pursuance of some unlawful or
fraudulent purpose without the consent of the owners, and to the prejudice of the owner’s interest

WHO BEARS THE RISK OF LOSS

ARTICLE 810. The owner of the goods which gave rise to the expense or suffered the damage shall
bear the simple or particular averages.

ARTICLE 732. Lenders on bottomry or respondentia shall suffer in proportion to their respective

interest, the general average which may take place in the goods on which the loan was made.

In particular averages, in the absence of an express agreement between the contracting parties, the
lender on bottomry or respondentia shall also contribute in proportion to his to his respective interest,
should it not belong to the kind of risks excepted in the foregoing article.

GENERAL AVERAGE:
ARTICLE 811. General or gross averages shall be, as a general rule, all the damages and expenses
which are deliberately caused in order to save the vessel, her cargo, or both at the same time, from a
real and known risk, and particularly the following:

1. The goods or cash invested in the redemption of the vessel or cargo captured by enemies,
privateers, or pirates, and the provisions, wages, and expenses of the vessel detained during the
time the arrangement or redemption is taking place.

2. The goods jettisoned to lighten the vessel, whether they belong to the vessel, to the cargo, or to
the crew, and the damage suffered through said act by the goods kept.
 3. The cables and masts which are cut or rendered useless, the anchors and the chains which are
abandoned in order to save the cargo, the vessel, or both.

4. The expenses of removing or transferring a portion of the cargo in order to lighten the vessel
and place her in condition to enter a port or roadstead, and the damage resulting therefrom to the
goods removed or transferred.

5. The damage suffered by the goods of the cargo through the opening made in the vessel in order
to drain her and prevent her sinking.

6. The expenses caused through floating a vessel intentionally stranded for the purpose of saving
her.

7. The damage caused to the vessel which it is necessary to break open, scuttle, or smash in order
to save the cargo.

8. The expenses of curing and maintaining the members of the crew who may have been wounded
or crippled in defending or saving the vessel.

9. The wages of any member of the crew detained as hostage by enemies, privateers, or pirates,
and the necessary expenses which he may incur in his imprisonment, until he is returned to the
vessel or to his domicile, should he prefer it.

10. The wages and victuals of the crew of a vessel chartered by the month during the time it should
be embargoed or detained by force majeure or by order of the Government, or in order to
repair the damage caused for the common good.

11. The loss suffered in the value of the goods sold at arrivals under stress in order to repair the
vessel because of gross average.

12. The expenses of the liquidation of the average.

REQUISITES:

(1) there must be a common danger,

(2) that for the common safety part of the vessel or of the cargo or both is sacrificed
deliberately,

(3) that from the expenses or damages caused follows the successful saving of the vessel and
cargo, and

(4) that the expenses or damages should have been incurred or inflicted after taking proper
legal steps and authority.

COMMON DANGER. – that both the ship and the cargo, after has been loaded, are subject to the
same danger, whether during the voyage, or in the port of loading or unloading; that the danger arises
from the accidents of the sea, dispositions of the authority, or faults of men, provided that the
circumstances producing the peril should be ascertained and imminent or may rationally be said to be
certain and imminent.
DELIBERATE SACRIFICE. There must be voluntary sacrifice of a part for the benefit of the whole
in order to justify general average contribution. For example, it may involve a voluntary jettison or
casting away of some portion of the associated interests for the purpose of avoiding the common peril
from the whole to a particular portion of those interests, It cannot involve a damage which resulted
beyond the control of the captain and crew or without any intention on their part. As a matter of
fact, the Code of Commerce prescribes a procedure in deciding whether a sacrifice should be made

DELIBERATE SACRIFICE

ARTICLE 816. In order that the goods jettisoned may be included in the gross average and the owners
thereof be entitled to indemnity, it shall be necessary in so far as the cargo is concerned that their
existence on board be proven by means of the bill of lading; and with regard to those belonging to the
vessel, by means of the inventory made up before the departure, in accordance with the first paragraph
of Article 612.

ARTICLE 817. If in lightening a vessel on account of a storm, in order to facilitate her entry into a
port or roadstead, part of her cargo should be transferred to lighters or barges and be lost, the owner of
said part shall be entitled to indemnity, as if the loss has originated from a gross average, the amount
thereof being distributed between the entire vessel and cargo which caused the same.

If, on the contrary, the merchandise transferred should be saved and the vessel should be lost, no
liability can be demanded of the salvage.

ARTICLE 818. If, as a necessary measure to extinguish a fire in a port; roadstead; creek, or bay, it
should be decided to sink any vessel, this loss shall be considered gross average, to which the
vessels saved shall contribute.

respective interest, should it not belong to the kind of risks excepted in the foregoing article.

COMPLAINCE WITH LEGAL STEPS

ARTICLE 813. In order to incur the expenses and cause the damages corresponding to gross average, a
PREVIOUS RESOLUTION of the captain, adopted after deliberation with the sailing mate and
other officers of the vessel, and with a hearing of the persons interested in the cargo who may be
present, shall be required.

If the latter shall object, and the captain and officers, or a majority, or the captain, if opposed to the
majority, should consider certain measures necessary, they may be executed under his liability, without
prejudice to the freighters exercising their rights against the captain before the judge or court of
competent jurisdiction, if they can prove that he acted with malice, lack of skill, or negligence.

If the persons interested in the cargo, being on the vessel, should not be heard, they shall not
contribute to the gross average, which contribution shall be paid by the captain, unless the urgency
of the case should be such that the time necessary for previous deliberation was lacking.

ARTICLE 814. The resolution adopted to cause the damages which constitute a general average must
necessarily be entered in the log book, stating the motives and reasons therefor, the votes against
it, and the reasons for the disagreement should there be any, and the irresistible and urgent causes
which moved the captain if he acted of his own accord.
In the first case the minutes shall be signed by all the persons present who could do so before
taking action if possible, and if not at the first opportunity; in the second case by the captain and by
the officers of the vessel.

In the minutes and after the resolution there shall be stated in detail all the goods cast away, and
mention shall be made of the injuries caused to those kept on board. The captain shall be obliged to
deliver one copy of these minutes to the maritime judicial authority of the first port he may make
within twenty-four hours after his arrival, and to ratify it immediately by an oath.

ORDER OF JETTISON

ARTICLE 815. The captain shall supervise the jettison, and shall order the goods cast overboard in the
following order:

1. Those which are on deck, beginning with those which embarrass the handling of the vessel or
damage her, preferring, if possible, the heaviest ones and those of least utility and value.

2. Those in the hold, always beginning with those of the greatest weight and smallest value, to
the amount and number absolutely indispensable.

SUCCESSFUL SACRIFICE

ARTICLE 860. If, notwithstanding the jettison of the merchandise, breakage of masts, ropes, and
equipment, the vessel should be lost running said risk, no contribution whatsoever by reason of
gross average shall be proper.

The owners of the goods saved shall not be liable for the indemnity of those jettisoned, lost, or
damaged.

ARTICLE 861. If, after the vessel having been saved from the risk which gave rise to the jettison,
she should be lost through another accident taking place during the voyage, the goods saved and
existing from the first risk shall continue liable to contribution by reason of the gross average
according to their value in their condition at the time, deducting the expenses incurred in saving
them.

WHO BEARS THE GENERAL AVERAGE

Born by those who benefitted from the sacrifice. These include the shipowner and the owners
of the cargo that were saved. Contribution may also be imposed on the insurers of the vessel or cargo
that were saved as well as lenders on bottomry or respondentia.

ARTICLE 812. In order to satisfy the amount of the gross or general averages, all the persons having
an interest in the vessel and cargo therein at the time of the occurrence of the average shall
contribute.

ARTICLE 732. Lenders on bottomry or respondentia shall suffer in proportion to their respective

interest, the general average which may take place in the goods on which the loan was made.

In particular averages, in the absence of an express agreement between the contracting parties, the
lender on bottomry or respondentia shall also contribute in proportion to his respective interest, should
it not belong to the kind of risks excepted in the foregoing article.
ARTICLE 859. The underwriters of the vessel, of the freight, and of the cargo shall be obliged to pay
for the indemnity of the gross average in so far as is required of each one of these objects respectively.

MARINE UNDERWRITER is a professional who provides insurance coverage for boats and ships.

INSURERS ( Art. 859)

"Section 166. A marine insurer is liable for a loss falling upon the insured, through a contribution in
respect to the thing insured, required to be made by him towards a general average loss called for by a
peril insured against: Provided, That the liability of the insurer shall be limited to the proportion of
contribution attaching to his policy value where this is less than the contributing value of the
thing insured.

"Section 167. When a person insured by a contract of marine insurance has a demand against others for
contribution, he may claim the whole loss from the insurer, subrogating him to his own right to
contribution. But no such claim can be made upon the insurer after the separation of the interests liable
to contribution, nor when the insured, having the right and opportunity to enforce contribution from
others, has neglected or waived the exercise of that right.

WHO IS ENTITLED TO INDEMNITY.

The owner of the goods which were sacrificed is entitled to receive the general average contribution.
However, the following goods even if sacrificed are not covered:

(a.)goods carried on deck unless the rule, special law or customs of the place allow the same;

(b.) goods that are not recorded in the books or records of the vessel;

(c.)fuel for the vessel if there is more than sufficient fuel for the voyage.

DECK CARGO. The rule with respect to deck cargo, the rule is no longer absolute that the sacrifice of
deck cargo is not considered general average.

EXCEPTIONS:
ARTICLE 860. If, notwithstanding the jettison of the merchandise, breakage of masts, ropes, and
equipment, the vessel should be lost running said risk, no contribution whatsoever by reason of gross
average shall be proper.
The owners of the goods saved shall not be liable for the indemnity of those jettisoned, lost, or
damaged.
ARTICLE 861. If, after the vessel having been saved from the risk which gave rise to the jettison, she
should be lost through another accident taking place during the voyage, the goods saved and existing
from the first risk shall continue liable to contribution by reason of the gross average according to their
value in their condition at the time, deducting the expenses incurred in saving them.

T
 HE SALVAGE LAW

SECTION 1. When in case of shipwreck, the vessel or its cargo shall be beyond the control of the crew,
or shall have been abandoned by them, and picked up and conveyed to a safe place by other
persons, the latter shall be entitled to a reward for the salvage. Those who, not being included in
the above paragraph, assist in saving a vessel or its cargo from shipwreck, shall be entitled to a like
reward.

SECTION 2.  If the captain of the vessel, or the person acting in his stead, is present, no one shall take
from the sea, or from the shores or coast merchandise or effects proceeding from a shipwreck or
proceed to the salvage of the vessel, without the consent of such captain or person acting in his stead.

SECTION 3.  He who shall save or pick up a vessel or merchandise at sea, in the absence of the captain
of the vessel, owner, or a representative of either of them, they being unknown, shall convey and
deliver such vessel or merchandise, as soon as possible, to the Collector of Customs, if the port has a
collector, and otherwise to the provincial treasurer or municipal mayor.

SECTION 4.  After the salvage is accomplished, the owner or his representative shall have a right to
the delivery of the vessel or things saved, provided that he pays, or gives a bond to secure, the expenses
and the proper reward. The amount and sufficiency of the bond, in the absence of agreement, shall be
determined by the Collector of Customs or by the Judge of the Court of First Instance of the province
in which the things saved may be found.

SECTION 5. The Collector of Customs, provincial treasurer, or municipal mayor, to whom a salvage is
reported, shall order:

a.  That the things saved be safeguard and inventoried.

b. The sale at public auction of the things saved which may be in danger of immediate loss or of those
whose conservation is evidently prejudicial to the interests of the owner,    when no objection is made
to such sale.

c.  The advertisement within thirty days subsequent to the salvage, in one of the local  newspapers or in
the nearest newspaper published, of all the details of the disaster, with a  statement of the mark and
number of the effects requesting all interested persons to make  their claims.

SECTION 6.  If, while the vessel or things saved are at the disposition of the authorities, the owner or
his representative shall claim them, such authorities shall order their delivery to such owner or his
representative, provided that there is no controversy over their value, and a bond is given by the owner
or his representative to secure the payment of the expenses and the proper reward. Otherwise, the
delivery shall not be made until the matter is decided by the Court of First Instance of the province.

SECTION 7. No claim being presented in the three months subsequent to the publication of the
advertisement prescribed in sub-section (c) of Section five, the things save shall be sold at public
auction, and their proceeds, after deducting the expenses and the proper reward shall be deposited in
the insular treasury. If three years shall pass without anyone claiming it, one-half of the deposit shall be
adjudged to him who saved the things, and the other half to the insular government.
SECTION 8. The following shall have no right to a reward for salvage or assistance:

(a.)The crew of the vessel shipwrecked or which was in danger of a shipwreck;

(b.) He who shall have commenced the salvage in spite of opposition of the captain or his 
representative; and
(c.)He who shall have failed to comply with the provisions of Section three.

SECTION 9. If, during the danger, an agreement is entered into concerning the amount of the reward
for salvage or assistance, its validity may be impugned because it is excessive, and it may be required
to be reduced to an amount proportionate to the circumstance.

SECTION 10. In a case coming under the last preceding section, as well as in the absence of an
agreement, the reward for salvage or assistance shall be fixed by the Court of First Instance of the
province where the things salvaged are found, taking into account principally the expenditures made to
recover or save the vessel or the cargo or both, the zeal demonstrated, the time employed, the services
rendered, the excessive express occasioned the number of persons who aided, the danger to which they
and their vessels were exposed as well as that which menaced the things recovered or salvaged, and the
value of such things after deducting the expenses.

SECTION 11.  From the proceeds of the sale of the things saved shall be deducted, first, the expenses
of their custody, conservation, advertisement, and auction, as well as whatever taxes or duties they
should pay for their entrance; then there shall be deducted the expenses of salvage; and from the net
amount remaining shall be taken the reward for the salvage or assistance which shall not exceed fifty
per cent of such amount remaining.

SECTION 12. If in the salvage or in the rendering of assistance different persons shall have intervened
the reward shall be divided between them in proportion to the services which each one may have
rendered, and, in case of doubt, in equal parts. Those who, in order to save persons, shall have been
exposed to the same dangers shall also have a right to participation in the reward.

SECTION 13. If  a vessel or its cargo shall have been assisted or saved, entirely or partially, by another
vessel, the reward for salvage or for assistance shall be divided between the owner, the captain, and the
remainder of the crew of the latter vessel, so as to give the owner a half, the captain a fourth, and all the
remainder of the crew the other fourth of the reward, in proportion to their respective salaries, in the
absence of an agreement to the contrary. The express of salvage, as well as the reward for salvage or
assistance, shall be a charge on the things salvaged on their value.