Cargo Loss and Damage Claims: Cases of Interest

Posted by on Feb 28, 2012 in Bills of Lading, Cargo Liability, Tariffs, Transportation Kevin and I recently attended the semi-annual meeting of a relatively small group of transportation attorneys who specialize in freight loss and damage claims.   At the meetings, specific, recently decided legal decisions are summarized by a designated presenter, which then is followed by a group discussion.  Below is a summary of the cases we discussed that should be of interest to...
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Cargo Security Should Not be Scary

Posted by on Oct 31, 2011 in Cargo Liability, Contracts, Transportation As Halloween approaches, a truly scary pattern has emerged in the news: the new found boldness/audacity/stupidity of thieves.  For instance, two brothers in Pennsylvania recently stole an entire bridge (50 feet by 20 feet) and tried to sell it for scrap.  The trucking industry has also been hit hard.  FreightWatch reported that cargo thefts in the third quarter of 2011 rose markedly.  It is...
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Certificates of Insurance: False Assurance?

Posted by on Aug 3, 2011 in Cargo Liability, Contracts, Transportation Recent changes to the Acord 25 Certificate of Liability Insurance present additional problems for certificate holders. Certificates are problematic and frequently misunderstood, and the recent elimination of the “notice of cancellation” provision aggravates those shortcomings. Obtaining certificates for motor carriers to be used is standard practice. In fact, it is more than standard...
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The Disconnect Between Carrier Liability and Cargo Insurance

Posted by on Jul 14, 2011 in Cargo Liability, Contracts, Transportation Cargo insurance does not provide protection against all losses a motor carrier may be liable for under the Carmack Amendment or common law.  There is no single standard form of cargo insurance that a carrier can go out and buy and be fully protected.  Similarly, a certificate of insurance stating that a motor carrier has a specified amount of cargo insurance does not mean that the...
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Limitations of Liability Under Carmack

Posted by on Mar 3, 2011 in Bills of Lading, Cargo Liability, Tariffs, Transportation It is critical for a carrier to know how to limit its liability under the Carmack Amendment, 49 USC 14706. The Carmack Amendment imposes substantial liability on a carrier for freight loss and damage. A carrier is liable for the “actual loss or injury to the property” except where the loss or damage is caused by (1) the act of God, (2) the public enemy, (3) the public authority,...
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Cargo Insurance Filings to be Eliminated

Posted by on Feb 22, 2011 in Cargo Liability, Regulations, Transportation On March 21, 2011, FMCSA cargo insurance filings by common carriers and freight forwarders (excluding household goods common carriers and freight forwarders) will no longer be required, and all certificates then on file will become null and void. This change was made months ago, effective next month. This is unfortunate. The FMCSA should have expanded the rule by requiring  all  common...
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