Put it in writing, warns ITIC

Thursday, May 02, 2002
Failure to confirm details in writing could have serious financial consequences for intermediaries, warns the International Transport Intermediaries Club (ITIC) in its latest Claims Review. In one case, an in-house liner agent received a booking for eight metal-clad switchgear units to be transported by his principal's service to Panama. Although the agent informed the shipper by telephone that he could not guarantee underdeck stowage for the switchgear, he failed to confirm this in writing. The units were stowed on deck and suffered wet and rust damage. The consignee refused to take delivery and the shipper sued the shipping line for $900,000 plus interest and costs. The case was in court for several years and was eventually settled by the line for $600,000, of which $500,000 was contributed by the in-house ship agent. If the agent had confirmed what he said on the telephone in writing, this claim would not have been pursued. Elsewhere in the Claims Review, agents are reminded of the need to have their own standard trading conditions. For example, a UK liner agent booked the carriage of an electrical cable from Southampton to Singapore via Felixstowe. During trucking, the cable struck the underside of a bridge. The cable was inspected and, as the damage appeared to be to the packing only, it was put on the ship. Unfortunately, when fully unpacked on arrival in Singapore, the cable was found to be useless for its intended purposes and a claim for $500,000 was presented to the line. The place of receipt on the bill of lading was Felixstowe and the UK liner agent was therefore acting for cargo during the pre-carriage. Fortunately, the agent had notified the cargo interests of his own standard trading conditions by means of a footnote on the booking confirmation and was able to limit his liability. If he had not done so he would have had to pay for the value of the cargo and probably any consequential losses too. ITIC is a specialist mutual insurer of professionals in the transport industry. It is managed by ITIM Co Ltd, a Thomas Miller company.

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter January 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Contracts

JFD Wins Lifeboat Design Contract for Flash Tekk

JFD, part of James Fisher and Sons plc, announced that it has won a contract with Singaporean company Flash Tekk Engineering for the design and manufacture of up

First Damen Tug for Fratelli Neri

Fratelli Neri S.p.A has taken delivery of a Damen ASD Tug 3212. The new vessel, called Luisa Neri, was handed over from Damen Maaskant Shipyards Stellendam in the Netherlands, on 25 January 2016.

Wood Group Extends North Sea Chevron Contract

Wood Group has secured an extension to continue to support Chevron Upstream Europe across four offshore assets in the North Sea. Wood Group PSN (WGPSN) will deliver

Finance

Obama’s Budget ‘Grossly Imbalanced’ For US Ports -AAPA

Landside freight transportation funds would increase; navigation, port security and emission reduction funds would drop    The American Association of Port Authorities

Amazon Expands Logistics Reach in China

Amazon.com Inc is aggressively expanding its logistics operations in China as part of a broader effort to control the rising cost of shipping billions of packages.

AIWA Highlights Investment Needs on the Nation’s Marine Highways

Nowhere is that more important than on the Atlantic Intracoastal Waterway. As 2016 begins, we at the Atlantic Intracoastal Waterway Association (AIWA) are looking

 
 
Maritime Careers / Shipboard Positions Maritime Security Navigation Pipelines Pod Propulsion Port Authority Salvage Ship Repair Ship Simulators Shipbuilding / Vessel Construction
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0667 sec (15 req/sec)