On 18 June 2026, Argentina published Law No. 27,812 in the Official Gazette, approving the Nairobi International Convention on the Removal of Wrecks, 2007 (“Nairobi Convention”).
The Nairobi Convention establishes a uniform international framework governing the removal of hazardous wrecks, aimed at ensuring the prompt and effective removal of wrecks located beyond the territorial sea. Among other features, it introduces compulsory insurance requirements and grants a right of direct action against insurers.
As is well known, the Nairobi Convention applies, as a general rule, to wrecks located within the Exclusive Economic Zone (“EEZ”) of a State Party.
However, Article 3(2) allows each State Party to extend the Convention’s application to its own territory, including its territorial sea, by making a specific declaration to the Secretary-General of the International Maritime Organization (IMO).
At the time of publication of Law No. 27,812, the Argentine legislation approving the Convention does not contain such declaration, nor has any public notification to that effect been made.
Accordingly, unless and until such declaration is made, wrecks located within Argentina’s territorial sea and internal waters will continue to be governed by the provisions of the Argentine Navigation Law (Law No. 20,094) rather than by the Nairobi Convention.
Some of the key differences between the Nairobi Convention and the Argentine domestic regime include:
1. Geographical application
The Nairobi Convention applies within the EEZ of a State Party (pending declaration of extension) whereas the Argentine Navigation Law governs wrecks located within Argentina’s territorial sea and internal waters.
2. Compulsory insurance
The Nairobi Convention requires State-Party ships of 300 GT and above to maintain compulsory insurance or other financial security covering liability under the Convention.
The Argentine Navigation Law contains no equivalent compulsory insurance regime for wreck removal.
3. Direct action against insurers
The convention grants a statutory right of direct action against the insurer or other financial security provider, subject to the defences available to the shipowners (except bankruptcy or winding up).
No equivalent statutory right exists under the Argentine Navigation Law.
4. Limitation of liability
The Nairobi Convention preserves the shipowner’s right to limit liability under any applicable national or international limitation regime.
Argentina is not a party to the international limitation conventions, such as the 1976 LLMC Convention and its 1996 Protocol. Instead, the Argentine Navigation Law contains its own limitation regime, including provisions under which shipowners may, under certain circumstances, limit their liability for wreck removal costs by abandoning the wreck to the State, subject to the requirements established by Law No. 20,094.
5. Different legal framework
Consequently, until the Convention is expressly extended to Argentina’s territorial sea, two different legal regimes will coexist:
- the Nairobi Convention, for wrecks falling within its geographical scope; and
- the Argentine Navigation Law, for wrecks located within Argentina’s territorial sea and internal waters.
Comment:
Argentina’s approval of the Nairobi Convention represents an important step towards the adoption of internationally harmonised rules on wreck removal. However, various other Conventions appealing to such international harmonisation have not been approved yet, such as the 1989 Salvage Convention, 2010 HNS Convention and 2001 Bunkers Convention, to name a few.
Nevertheless, the geographical scope of the Nairboi Convention should not be overlooked. The approval legislation does not extend its application to Argentina’s territorial sea, meaning that, for the time being, domestic legislation will continue to govern the vast majority of wreck removal cases arising in Argentine ports, rivers and coastal waters.
Accordingly, careful consideration should be given in each case to determining which legal regime applies before addressing issues such as compulsory insurance, direct action against insurers, limitation of liability and the allocation of wreck removal costs.
Notice: the content of this circular and its annexes is for information only. Even though it has been issued carefully, and to the best of our knowledge, it has a general purpose, and we can accept no liability whatsoever for any particular action taken upon it. © Pandi Liquidadores SRL 2026 All rights reserved.
