U.S. jurisdiction clause does not require application of COGSA

September 20, 2004

The U.S. Court of Appeals for the Fifth Circuit ruled that inclusion in a bill of lading of a clause providing for U.S. jurisdiction does not require application of the U.S. Carriage of Goods by Sea Act (COGSA) where the goods were shipped from Spain to China and the General Paramount Clause provided for application of the Hague-Visby Rules. In the instant case, the goods were damaged en route and the shipper brought suit against the vessel and the carrier. The carrier argued that the jurisdiction clause in the bill of lading required application of COGSA, greatly limiting the maximum recovery. The court held that the jurisdiction clause could not override the specific provisions of the General Paramount Clause. Foster Wheeler Energy Corp. v. M/V AN NING JIANG, No. 03-30038 (5th Cir. - HK Law)

U.S. jurisdiction clause does not require application of COGSA

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