(1) CLAUSE PARAMOUNT
A) Subject to clause 13 below this Bill of Lading insofar as it relates to sea carriage by any vessel whether names herein or not shall have effect subject to the Hague Rules or any legislation making such rules or the Hague Visby Rules compulsorily applicable (such as COGA of COGWA) to this Bill of Lading and the provisions of the Hague Rules or applicable legislation shall be deemed incorporated therein The Hague Rules (of COGSA or COGWA of this Bill of Lading is subject to US or Canadian law respectively) shall apply to the carriage of Goods by inland waterways and reference to carriage by sea in such Rules or legislation shall be deemed to include reference to inland waterways if and to the extent that the provisions of the Harter Act of the United States of America 1893 would otherwise be compulsorily applicable to regulate the carrier’s responsibility for the Goods during any period prior to loading on or after discharge from the vessel the Carrier’s responsibility shall instead be determined by the provisions of 6(3) below, but if such provisions are found to be invalid such responsibility shall be subject to COGSA.
B) The Carrier shall be entitled to (and nothing in this Bill of Lading shall operate to deprive of limit such entitlement) the full benefit of and rights to all limitations of and exclusions from liability and all rights conferred of authorised by and applicable law statute or regulation of any country including but not limited to where applicable any provisions or sections 4281 to 4287 inclusive of the Revised Statutes of the United State or regulation of thereto and where applicable any provisions of the laws of the United States of America and without prejudice to the generality of the foregoing also any law, statute or regulation available to the Owner of the vessel(s) on which the Goods are carried.
(2) PORT TO PORT SHIPMENT
The responsibility of the Carrier is limited to that part of the Carriage from and during loading onto vessel up to and during discharge from the vessel and the Carrier shall not be liable for any loss or damage whatsoever in respect of the Goods or for any other matter arising during any other part of the Carriage even though Charges for the whole Carriage have been charged by the Carriers. The Merchant constitutes the Carrier as agent to enter into contract on behalf of the Merchant with others for transport storage handling or any other services in respect of the Goods prior to loading and subsequent to discharge of the Goods from the vessel without responsibility for any act or omission whatsoever on the part of Carrier or others and the Carrier may as such agent enter into contracts with others on any terms whatsoever including terms less favourable than the terms in this Bill of Loading.
(3) COMBINED TRANSPORT
Save as is otherwise provided in this Bill of Lading the carrier shall be liable for loss of or damage to the Goods occurring from the time that the Goods are taken into the charge until the time of delivery to the extent set out below.
A] Where the stage of Carriage where the loss or damages occurred cannot be proved.
(i) The Carrier shall be entitled to rely upon all exclusions from liability under the Rules or legislation that would have been applied under 6(1) (A) above had the loss or damage occurred at sea or if there was no carriage by sea under the Hague Rules or COGSA or COGWA if this Bill of Lading is subject to US or Canadian law respectively.
(ii) Where under (i) above the Carrier is not liable in respect of some of the factors causing the loss or damage he shall only be liable to the extent that those factors for which he is liable have contributed to the loss or damage.
(iii) Subject to 6(4) (C) below, where the Hague Rules or any legislation applying such Rules or the Hague Visby Rules (such as COGSA or COGWA) is not compulsorily applicable the Carrier’s liability shall not exceed US $500 per package or shipping unit or US $200 per kilo of the gross weight of the Goods lost, damaged or in respect of which the claim arises or the value of such Goods which ever is less.
(iv) The value of the Goods shall be determined according to the commodity, exchange price at the place and time of delivery to the Merchant or at the place and time when they should have been so delivered or if there is no such price according to the current market price by reference to the normal value of Goods of the same kind and quality at such place and time.
B] Where the stage of Carriage where the loss or damage occurred can be proved
(i) The carrier shall be determined by the provisions contained in any international convention or national law of the country which provisions. (a) cannot be departed from by private contract to the detriment of the Merchant and (b) would have applied if the Merchant had made as separate and direct contract with the Carrier is respect of the particular stage of Carriage where the loss or damage occurred and had received as evidence thereof any particular document which must be issued in order to make such international convention or national law applicable.
(ii) with respect to the transportation in the United States of America or in Canada to the Port of Loading or from the Port of Discharge the responsibility of the Carrier shall be to procure transportation by Carriers (one or more) and such transportation shall be subject to the inland carriers and tariffs and any law compulsorily applicable the carrier guarantees the fulfillment of such inland carriers obligations under their contracts and tariffs.
(iii) where neither (i) above apply any liability of the Carrier shall be determined by 6(3) (A) above.
(4) GENERAL PROVISIONS
(A) Delay, Consequential Loss
Save as otherwise provided therein the Carrier shall no circumstances be liable for direct indirect or consequential loss or damage caused by delay or any other cause whatsoever and howsoever caused without prejudice to the foregoing if the Carrier is found liable for delay liability shall be limited to the freight applicable to the relevant stage of the transport.
(B) Package or Shipping Unit Limitation
Where the Hague Rules or any legislation making such Rules compulsorily applicable such as COGSA or COGWA) to this Bill of Lading apply the Carrier shall not unless a declared value has been noted in accordance with (c) below be or become liable for any loss or damage to or in connection with the Goods in an amount per package or shipping unit in excess of the package or shipping unit limitation as laid down by such Rules or legislation. Such limitation amount according to COGSA is US $500 and according to COGWA is Can $500 of no limitation amount is applicable under such Rules or legislation the limitation shall be US $500.
(C) Ad Valorem Declared Value of Place or Shipping Unit
The Carrier’s liability may be increased to a higher value by a declaration in writing of the value of the Goods by the Shipper upon delivery to the Carrier of the Goods for shipment such higher value being inserted on the front of this Bill of Lading in the space provided and if required by the Carrier extra freight paid in such case if the actual value of the Goods shall exceed such declared value the value shall nevertheless be deemed to be the declared value and the Carrier’s liability. If any shall not exceed the declared value and any part loss or damage shall be adjusted pro-rata on the basis of such declared value.
(D) Definition of Package of Shipping Unit
Where Container is used to consolidate Goods and such Containers stuffed by the Carrier, the number of packages or shipping units stated on the face of this Bill of Lading in the box provided shall be deemed the number of packages or shipping units for the purpose of any limit of liability per package or shipping unit provided in any international convention or national law relating to carriage of goods by sea Except as aforesaid the Container shall be considered the package or shipping unit.The words shipping unit shall mean each physical unit or piece of cargo not shipped in a package including articles or things of any description whatsoever except Goods shipped in bulk and irrespective of the weight of measurement unit employed in calculating freight charges. As to Goods shipped in bulk the limitation applicable thereto shall be the limitation provided in such convention or law which may be applicable and in no event shall anything herein be construed to be a waiver of limitation as to Goods shipped in bulk.
(E) Rust etc.
It is agreed that superficial rust, oxidation or any like condition due to moisture is not a condition of damage but is inherent to the nature of the Goods and acknowledgement of receipt of the Goods in apparent goods order and condition is not representation that such condition of rust ordination or the like did not exist on receipt.
(F) Notice of Loss or Damage
The carrier shall be deemed prima facie to have delivered the Goods as described in this Bill of Lading unless notice of loss or damage to the Goods indicating the nature of such loss or damage shall have been given in writing to the Carrier or to his representative at the place of delivery before or at the time of removal of the Goods into the custody of the person entitled to delivery thereof under this Bill of Lading or if the loss or damage is not apparent within three consecutive days thereafter.
The Carrier shall be discharged of all liability unless suit is brought in the proper forum and written notice thereof received by the Carrier within nine months after delivery of the Goods or the days when the Goods should have been delivered in the event that such time period shall be found contrary to any convention or law only compulsorily applicable the period prescribed by such convention or law shall the apply but in that circumstances only.