What is NOT true regarding a Lloyd's Open Form (LOF) Salvage Agreement?
Official USCG Answer & Rule Citation
Correct Answer: Option C — The LOF is subject to the law of the country the two parties agree upon
The Lloyd's Open Form (LOF) is governed by English Law, not the law of the country where the parties agree. It is a standardized international contract, and the 'no cure, no pay' principle applies, while Article 13 allows for special compensation if environmental damage is prevented.
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