Letter Of Undertaking

Letter of Undertaking (Lou) in Maritime Law

Note: There is more information on maritime/admiralty law here.

The following is a definition of Letter of Undertaking (Lou), produced by Tetley, in the context of admiralty law: [Translation of Letter of Undertaking in French: “lettre d’engagement”] [Translation of Letter of Undertaking in Italian: “lettera di impegno”] [Translation of Letter of Undertaking in German: “Schuldübernahme”] – A written undertaking provided by a P. & I. club (see P. & I. insurance, (see this legal term in this law dictionary)) to secure the release of a ship belonging to one of the Club’s shipowning members from arrest or attachment, or to prevent such arrest or attachment. The letter provides the seizing creditor with a guarantee that his claim will be satisfied up to the amount specified by the letter. It also usually replaces the ship as security and contains a submission to the jurisdiction of the competent court or , as well as an undertaking to accept service on behalf of the shipowners in personam besides in the name of the ship. See Tetley, M.L.C., 2 Ed., 1998 at pp. 1111-1118.

Letter of Undertaking in Admiralty Law

For information on letter of undertaking in this context, see the entry on letter of undertaking in the maritime law encyclopedia.