Rule 24  TERMINATION AND ITS EFFECTS

A . Upon a Member ceasing to be insured by the Association in respect of any ship by virtue of a notice given (whether by the Member or the Managers) in accordance with Rule 21or Rule 22 and without prejudice to the effects of cancellation of insurance pursuant to Rule 26, then:

i. Unless and to the extent that in the case of Call Entries the Member’s liability may have been otherwise agreed or assessed under paragraph [F] of Rule 25 (Release Calls upon cesser of insurance, other than Overspill Calls), such Member and his successors shall be and remain liable for all contributions, Calls and other sums payable in respect of the whole of the policy year in which such notice was given, and in respect of previous policy years, and

ii. Subject to the other provisions of these Rules and to the terms of entry, the Association shall remain liable in respect of such entered ship for all claims under these Rules arising by reason of any event which had occurred prior to 12 hours G.M.T. on 20th February immediately following the giving of such notice in respect of the cover under Rule 3 or Rule 4, or prior to 24 hours Beijing time on 31st December immediately following the giving of such notice in respect of the cover under Rule 5, but shall not otherwise be under any liability whatsoever by reason of anything occurring at or after that date and time.

B. Upon a Member ceasing to be insured by the Association in respect of any ship pursuant to paragraph [F] of Rule 8 or otherwise than in accordance with Rule 21, Rule 22, Rule 25 [A], [B], [C], or Rule 26 [A] then:

i. Unless and to the extent that in the case of Call Entries, the Member’s liability may have been agreed or assessed under paragraph [F] of Rule 25 (Release Calls upon cesser of insurance, other than Overspill Calls) such Member and his successors shall be and remain liable in relation to any Overspill Calls for the whole amount payable by him in accordance with Section 4 of Rule 16, and in relation to all other contributions, Calls/Premiums and other sums payable:

(i) in respect of the policy year in which such cessation occurs, on a pro rata basis, namely, in respect of the cover under Rule 3 or Rule 4, for the proportion of such sums applicable to the period beginning at the commencement of that policy year (or, in the case of a ship entered during that policy year, the date of entry)  and ending at 12 hours G.M.T. on the date of such cessation, or in respect of the cover under Rule 5, for the proportion of such sums applicable to the period beginning at the commencement  of that policy year (or, in the case of a ship entered during that policy year, the date of entry) and ending at 24 hours Beijing time on the date of such  cessation,  and

(ii) in respect of previous policy years, for the whole of those policy years.

ii. Subject to the other provisions of these Rules and to the terms of entry, the Association shall remain liable in respect of such entered ship for all claims under these Rules arising by reason of any event which had occurred prior to 12 hours G.M.T. on the day of such cessation in respect of the cover under Rule 3 or Rule 4, or prior to 24 hours Beijing time on the day of such cessation in respect of the cover under Rule 5, but shall not otherwise be under any liability whatsoever by reason of anything occurring at or after that date and time.

PROVIDED ALWAYS that nothing in paragraph [B] of this Rule shall be taken to confer validity on any notice purporting to terminate the entry of any ship given otherwise than inaccordance with Rule 21, Rule 22 or Rule 26 [A].