BIMCO, an international shipping organisation that represents the interests of shipowners controlling 65 per cent of the world's tonnage, has published the GUARDCON standard contract for the employment of security guards on vessels.

This new contract has been developed to provide shipowners and private maritime security companies (PMSC) with a clearly worded and comprehensive standard contract to govern the employment and use of security guards, with or without firearms, on board merchant vessels.

"While BIMCO would not like to see the use of armed security guards on ships becoming institutionalised, it recognises armed guards provide an effective deterrent to piracy attacks," it said in a statement.

The shipping association's chief officer of Legal and Contractual Affairs, Grant Hunter, explained BIMCO's move: "In response to shipowners' increasing demand for security services, an ever growing number of private maritime security companies have entered the market to meet that demand.

"In the absence of a standard contract for these services, shipowners and their P&I Clubs are currently faced with the difficult and time consuming task of assessing large numbers of contracts from these security companies, all with varying terms and conditions.

"GUARDCON's objective is to create a contractual benchmark for the employment of security services so that minimum levels of insurance cover for PMSCs are established and that adequate safeguards are put in place to ensure that liabilities and responsibilities are properly addressed and that all necessary permits and licences are obtained."

According to BIMCO deputy secretary general, Soren Larsen, GUARDCON has been drafted by a small group of experts drawn from ship owners, insurance underwriters, P&I Clubs and lawyers with first-hand experience of working with contracts for security services. The drafting work also involved consultations with PMSCs.

Sample copies of the GUARDCON contract, with detailed Explanatory Notes, and the accompanying Guidance on the Rules of the Use of Force can be obtained through BIMCO's website (www.bimco.org).