The subject of this assignment is to elaborate system of limitations of liability of shipping companies in maritiem law. The shipping company is responsible for the goods and persons that are transported. The purpose of this work is to highlight the institute of limitation of liability through which the shipping company can invoke and use the privilege of limitations. A historical review of the development of this institute will be presented both on the international level and Croatian law. Differenct conventions which try to address the issue of limitation are analyzed, all aiming to unify this problem in maritime law. Reagrdless of the large number of conventions and protocols, the struggle for alignment continues. As far as liability is concerned the carrier's limitation is an important segment in maritime law, and the absence of a unique legal matter raises the question of the correctness of the legal obligations appropriate to the shipowner.