General Average is a principle of maritime law born out of the idea that the shipper and the vessel owner are entering into a joint business venture, and that if it weren’t for the shipper’s cargo, the vessel would not be sailing on its (at times dangerous) voyage. General Average dictates that in the event that an intentional sacrifice is made for the safety of the individuals and cargo on board the vessel, all parties involved with the ocean voyage will proportionally share in the losses of the cargo and the ship. All parties involved must share the cost of any losses caused by the sacrifice so that in the event of an emergency, the crew doesn’t waste time deciding whose cargo should be sacrificed. The party whose cargo is lost in the incident has the right to compensation from the parties whose cargo was saved as a result of the sacrifice.

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