Royal Insurance Co News

COGSA Trumps Hague-Visby in Complex Situation

In an awkward decision, the US Court of Appeals for the Sixth Circuit ruled that the US Carriage of Goods at Sea Act (COGSA) applies to a claim by a shipper against a carrier for goods damaged at sea on a voyage from Le Havre to Montreal. The goods were being shipped from Blanquefort, France to Detroit. They traveled overland from Blanquefort to Le Havre, where they were loaded aboard ship. The through bill of lading called for the goods to be shipped overland from Montreal to Detroit. The court held that COGSA would not normally apply since no seaport of the United States was involved in the shipment. Thus, the court found that the Hague-Visby Rules would normally apply, since both France and Canada subscribed thereto.