What were the firm’s beginnings and how has it grown since?
Since 1962 Mateus Andrade Dias has acted in and outside court for a large range of clients related to shipping matters, such as: P&I Clubs; ship-owners; insurance companies; cargo owners and worked as a consultant to banks involved in ship finance, mainly representing foreign clients especially Anglo-Saxon based clients. The firm also represented Portuguese clients in all shipping matters. In 1982 António Labisa joined this office and so did, in 1991, Teresa Andrade Dias. In January 1994 the law firm Mateus Andrade Dias & Associados was founded by Mateus Andrade Dias and by two other partners, António Labisa and Teresa Andrade Dias. Despite Mateus Andrade Dias’ death in 1994, the firm maintained the same high level of quality of service rendered to clients which continue to request the services of the firm. The firm subsequently changed its name to Andrade Dias & Associados − Sociedade de Advogados. Maria Andrade Dias then joined in 1998 and became a partner in 1999. In the same year António Labisa left the firm and Pedro Andrade Dias joined, and became a partner in 2004. The lawyer Mateus Andrade Dias (Jr) joined and became a partner in 2004.

In 2006 the law firm changed its legal structure to a limited liability partnership changing its name to Andrade Dias & Associados − Sociedade de Advogados, RL.

Despite of all the changes and transformations that have happened throughout the years the soul of the firm did not change and the essential principles of work, professionalism and full dedication to clients’ interest were maintained.

Through the years the firm tried to keep principles of organisation based upon the responsibility of each lawyer to contribute to the firm as a whole but at the same time amenable to change whether economical, legal or social.
The different features and background experiences of the actual four partners contributes to team work in the most complex and complicated matters leading normally to good results for the client because the group’s vision is widened and enriched by the contribution of each lawyer.          

What makes Andrade Dias & Associados different from other law firms − what qualities does the company possess and what practices do you follow?
The actual partners belong to the same family. This fact allows a strong level of communication and cooperation between all partners which usually work as a team in the most urgent and complex client matters. It is a principle of this organisation to keep the client fully informed in due time about its pending matters in order to decide what are the best options for their protection. The aspect of communication between the lawyer and the client is a key factor of this organisation. The client is involved in the strategic decisions of its protection because he is informed in advance about what are his chances and the eventual outcome of his matters. The firm tries to adapt itself to the economical and social global evolution. As an example, in term of fees, the firm works on hourly time basis rates which have been adapted taking into consideration the economical situations. The firm has different rates, each rate is applied according with the difficulty of the matter, time spent, value of the claim, and economic capacity of the client but, in several occasions, the partners have the freedom to reduce their fee rate or their invoices. This flexibility and client orientated billing structure is only possible because we are a small firm where the costs are not as high as in larger law firms. The lawyers seek to increase their individual skills, knowledge and efficiency. The firm has an annual budget to invest in knowledge (technical books; magazines; conferences etc.) which is one of the most important factors in the development of the organisation because society and the law are constantly changing and the only way to be updated is through the improvement of each lawyer and the firm’s staff. This task can only be done trough continued investment in knowledge.         

You cover many areas of law. What would you say are you main areas of expertise and why are they important?
The firm’s main area of practice is maritime law. It renders legal assistance in all types of shipping maters, acting in court and out of court, in any type of disputes or negotiation of contracts connected with vessels’ interests or the maritime activity. The firm advocates in cases related to: arrest of vessels and other injunctions over cargo or bunkers; enforcement of maritime claims; labour, criminal and administrative offences related to the maritime activity; Protection and Indemnity (P&I Clubs); marine insurance; limitation of liability; collisions and all types of navigation accidents or incidents; salvage; pollution; wreck removal; ship sale and purchase; ship registration; ship finance; ship’s mortgages; charter-parties; carriage of goods by sea; general average; multimodal transport; freight forwarders; ship’s agency; harbour and customs law; seaman labour law and social security law; non judicial detention of vessels at Portuguese harbours; port state control and all maritime administrative proceedings related to the maritime safety. The firm is also involved in disputes related to road carriage contracts (CMR), contractual liability, liability in tort, vicarious liability and in the negotiation of contracts and representation of clients in disputes related to other areas of law, mainly commercial law.

Why should people invest in the Portuguese shipping market and do you think now is a good time for that investment?
A report with findings about the hyper cluster of the sea has been recently presented by a well known economist where a careful assessment was done to the present status of the sea-related economic activities and where several measures were implemented by the Government in order to enhance sea carriage, ship building and many other sea related economic activities. Inter alia it was detected that the present income tax system in force within the Conventional Registry impedes the growth of the Portuguese merchant fleet and therefore it should be replaced by a tonnage based tax system. The findings noted that this should be done in alternative to the present annual discretionary state aids that are given to Portuguese owners that operate their vessels within the legal frame work of the Conventional Registry.

Under this sea-related momentum Decree-law no. 8/2009 changed in favour of mortgages the ranking of priorities of claims over ships sailing under the Portuguese flag. The legislator’s aim is also to enhance the competitive positioning of the Portuguese merchant fleet and to increase the crewing of ships with Portuguese nationals. A new wording of article 578 of the Commercial Code was published moving the mortgagee claim from position 15 (below, inter alia, court costs; salvage awards; wages; repairs; cargo damage) up to position no. 3 (below only court costs and salvage rewards). A mortgagee will be then inclined to allow registration of ships in Portugal where it had a financing intervention.

Under the same token a draft navigation law has been prepared by Government and sent to Parliament for consultation, modification and approval. The draft navigation law is yet to be voted in Parliament and published and hence it is merely a sketch of what can be expected. The draft navigation law revokes however several old provisions of the Commercial Code and compiles the dispersed and separated extensive legislation applied to the shipping sector in one combined and unique law being therefore generally speaking not something new to what already existed but a codification of what existed in a dispersed form. It does however inter alia widens the list of claims that can base an arrest application under the Portuguese Civil Procedure Code (e.g. insurance claims) and releases the creditor of the burden of proof of the existence of the well grounded fear of losing security for its claim. This will facilitate the arrest of a ship in Portugal and will put the Portuguese internal regime in line with the 1952 Arrest Convention.

The Port Unique Window which is implemented in most of the main Portuguese shipping ports allows the entire process of ship and custom clearance of goods to be done online in a state of the art online platform where authorities and ship agents can upload and download information and / or requests and / or permissions in respect of the ship and her cargo. This was aimed at facilitating trade and vessel traffic within Portuguese territory.

The International Shipping Register of Madeira is a competitive ship register offering safe, swift and attractive conditions to ship owners, charterers and / or mortgages. The ship-owner operating within the International Shipping Register of Madeira will be exempt of corporate income tax and social security dues in respect of seafarers income (if the latter’s and the ship-owners agree on a voluntary social security protection regime). The seafarers will also be exempt of income tax. The International Shipping Register of Madeira is Port State Control white listed and is managed by a competent technical commission.

It has been reported that you refuse to follow the path of mass production; why is it important to you that your company supports smaller production methods?
In the area of maritime law each client and his pending legal problem is unique with his particular circumstances deserving adequate legal advice. Usually, in these matters the client needs a lawyer’s full availability to reply in quick time. The success of the firm is based upon the trust relation that was constructed along the years with the clients in this field of legal services. The mass production method is only possible with a team of junior lawyers working by goals supervised by senior lawyers that are mainly focused on the quantity of work instead of the quality of work. Generally, clients communicate and are assisted by junior lawyers overbooked by cases. At Andrade Dias & Associados we are of the view that the full availability and full concentration on the client’s problem is only possible with the personal relation of a lawyer who is not concentrating on the quantity of the work but the quality of the work achieved for his client.      

As a maritime law firm, who would you say your main clients are?
The firm’s leading clients are the major Protection and Indemnity Clubs (P&I Clubs or Mutual Insurance Associations), most of them Members of the International Group of P&I Clubs that provide liability cover for approximately 90 percent of the world’s ocean going tonnage. The firm also acts on behalf of banks and other ship finance institutions; insurance companies; recovery agents; shipyards; ship-owners; ship-operators; charterers; ship-managers; ship-chandlers; foreign maritime authorities; port operators; ship-agents; freight forwarding agents; carriers and maritime constructions companies.

In what respects to the remaining areas of practice, Andrade Dias & Associados acts on behalf of foreign or national companies (or investors) in their corporate or commercial matters. The road, rail and insurance areas are dealt mainly by representing insurance companies or underwriters. In what relates to the aviation practice, the firm has represented start ups undertaking passenger and / or cargo air carriage.

To date, what has been your biggest achievement as a firm?
To be recognised as a leading shipping law player both locally and internationally for more than forty years and to be able to run a family based firm in an utmost professional manner.

What has been the feedback from clients about your work?
Andrade Dias & Associados’ base clients have praised the professional nature of the firms work. The aspect of the quality of our advice and of our results has also been highly recognised by clients.

In terms of reporting we have been highly regarded, especially by foreign clients. Indeed, to have an internal translator allows Andrade Dias & Associados to report in full all developments in the client’s case and also allows the latter to take full informed decisions and instructions.  

A full breakdown of the time spent with matters, that is being prepared and sent to clients since the outset of the practice, was seen as breakthrough in the law practice market when adopted but is still highly appreciated.
Andrade Dias & Associados pre dispute opinions have been seen as truthful, professional and accurate by clients even when they represent the dropping of a claim by clients and the taking of no further instructions with the matter at hand.    

What is the current state of the Portuguese shipping market?
The Portuguese shipping market suffered the impact of the international economic crisis. We noticed that in 2009 the clients procured to reduce their expenses and exposures so clients preferred mainly to negotiate and settle their legal disputes at an early stage of the dispute instead of maintaining court litigations. According to official data already available, the evolution of the number of ships that called Portuguese mainland ports (Lisbon, Sines, Setúbal, Leixões, Aveiro, Viana do Castelo and Figueira da Foz) was globally positive for the period between 2004 / 2006, in 2007 it was stationary but in 2008 there was a slight global reduction of -1 percent but with an increase of the gross tonnage 5.9 percent. This reduction in 2008 is not uniform in the movement of the type of vessels: it was noticed a growth of cruise ships (24.3 percent); container ships (19.8 percent) and a reduction of general cargo ships (-4.3 percent), liquid bulk carriers (-3.8 percent) and solid bulk carriers (-13 percent) calling the Portuguese ports. Between 2004 and 2008 the movement of container vessels calling Portuguese mainland ports increased by 49 percent (global accumulated values) and in gross tonnage by 101.4 percent. The movement of cargo in the main mainland Portuguese ports, after an annual consecutive growth from 2004 to 2007, recorded a negative variation of –2.4 percent in 2008 before 2007 which is not uniform: container traffic by 10.7 percent and the roll on /roll off by 1.4 percent that minimises the effect of the reduction of movement of other cargos (solid bulk cargos (-8 percent) liquid cargo (-2.6 percent) and general cargo – 6.6 percent). The container movements recorded a positive growth of + 9 percent in 2008 before 2007. In our opinion, although subject to confirmation by official data, the tendency of the reduction verified in 2008 was aggravated in 2009.                              

When it comes to the future, what plans do you have for your firm and do you plan to expand your business?
We have recently received several proposals of cooperation from important Portuguese and international shipping players that are currently being evaluated and if accepted will for sure expand the business. We are studying the possibility to expand into other specialised areas of law due to our client’s requests for assistance in other areas of legal services but for such purpose we need to invest in other lawyers specialist knowledge in those areas and we are currently searching the market.