Section 398: Limitation of action

(1)
An action relating to payment under this part of this Act shall be time barred if judicial or arbitral proceedings have not been instituted within a period of two years and the limitation period shall commence on the day which the salvage operations are terminated; provided that the said period shall be extended in cases where it has not been possible to arrest the vessel assisted or salved in Nigeria.
(2)
A person against whom a claim is made may, at any time during the running of the limitation period, extend that period by a declaration to the claimant and this period shall in like manner be further extended.
(3)
An action for indemnity by a person liable may be instituted even after the expiration of the limitation period provided for in subsection (1) and (2) of this section, if brought within the time allowed by law.