1. Liability of Carrier
The carrier of the goods herein described is liable for any loss of or damage to goods accepted by the carrier or the carrier’s agent except as hereinafter provided.
2. Liability of Originating and Delivering Carriers
Where a shipment is accepted for carriage by more than one carrier, the carrier who issues the bill of lading (hereinafter called the originating carrier), and the carrier who assumes responsibility for delivery to the consignee (hereinafter called the delivering carrier), in addition to any other liability hereunder, are liable for any loss of or damage to the goods while they are in the custody of any other carrier to whom the goods are delivered and from which liability the other carrier is not relieved.
3. Recovery from Connecting Carriers
a. The originating carrier or the delivering carrier, as the case may be, is entitled to recover from any other carrier to whom the goods are delivered the amount that the originating carrier or delivering carrier, as the case may be, is required to pay for the loss of or damage to the goods while they were in the custody of such other carrier.
b. If there is a concealed damage settlement and the goods were interlined between carriers so that it is not clear as to who had custody of the goods when they were damaged, the originating carrier or delivering carrier, as the case may be, is entitled to recover from each of the interlined carriers an amount prorated on the basis of each carrier’s revenue for carriage of the damaged goods.
4. Remedy by Consignor or Consignee
Nothing in Article 2 or 3 deprives a consignor or consignee of any rights the consignor or consignee may have against any carrier.
5. Exceptions from Liability
The carrier shall not be liable for loss, damage or delay to any of the goods described in the bill of lading caused by an act of God, the Queen’s or public enemies, riots, strikes, a defect or inherent vice in the goods, an act or default of the consignor, owner or consignee, authority of law, quarantine or difference in weights of grain, seed or other consequential losses, including loss of income or profit(s), whether or not we had knowledge that such damages might be incurred.
No carrier is bound to carry goods by any particular public truck or in time for any particular market or otherwise that with due dispatch, unless by agreement that is specifically endorsed on the bill of lading and signed by the parties.
7. Routing by Carrier
If the carrier forwards the goods by a conveyance that is not a public truck, the liability of the carrier is the same as though the entire carriage were by public truck.
8. Stoppage in Transit
If goods are stopped and held in transit at the request of the party entitled to so request, the goods are held at the risk of that party.
Subject to Article 10, the amount of any loss or damage for which the carrier is liable, whether or not the loss or damage results from negligence, shall be the lesser of:
a. The value of the goods at the place and time of shipment, including the freight and other charges if paid;
b. Where at value lower than that referred to in paragraph (a) has been represented in writing by the consignor or has been agreed upon, such lower value shall be the maximum liability.
10. Maximum Liability
The amount of any loss or damage computed under paragraph (a) or (b) of Article 9, shall not exceed $2.00 per pound unless a higher value is declared on the face of the bill of lading by the consignor up to the carrier’s maximum liability of $25,000.00.
11. Notice of Claim
a. No carrier is liable for loss, damage or delay to any goods carried under the bill of lading unless notice thereof setting out particulars of the origin, destination and date of shipment of the goods and the estimated amount claimed in respect of such loss, damage or delay is given in writing to the originating carrier or the delivering carrier within sixty days after delivery of the goods or, in the case of failure to make delivery, within nine months from the date of shipment.
b. The final statement of the claim must be filed within nine months from the date of shipment, together with a copy of the paid freight bill.
12. Consignor’s Risk
a. If it is agreed that the goods are carried at the risk of the consignor, such agreement covers only such risks as are necessarily incidental to the carriage and the agreement does not relieve the carrier from liability for any loss or damage or delay that results from the negligence of the carrier or the carrier’s agents or employees.
b. The burden of proving absence of negligence shall be on the carrier.
13. Articles of Extraordinary Value
a. No carrier is bound to carry any documents, specie, or articles of extraordinary value unless by a special agreement to do so.
b. If such goods are carried without a special agreement and nature of the goods is not disclosed on the bill of lading, the carrier shall not be liable for any loss or damage in excess of the maximum liability stipulated in Article 10.
14. Freight Charges
a. If required by the carrier, the freight and all other lawful charges accruing on the goods shall be paid before delivery. Charges to be applied will be determined based on all carriers’ applicable tariffs and surcharges in effect at time of shipment.
b. If upon inspection it is ascertained that the goods shipped are not those described in the bill of lading, the freight charges must be paid upon the goods actually shipped with any additional charges lawfully payable thereon.
c. If a consignor does not indicate that a shipment is to move prepaid or does not indicate how the shipment is to move, it will automatically move on a collect basis.
15. Dangerous Goods
Every person, whether as principal or agent, shipping dangerous goods without previous full disclosure to the carrier as required by law, shall indemnify the carrier against all loss, damage or delay caused by failure to disclose and such goods may be warehoused at the consignor’s risk and expense.
16. Undelivered Goods
a. If, through no fault of the carrier, the goods cannot be delivered, the carrier shall immediately give notice to the consignor and consignee that delivery cannot be made and shall request disposal instructions.
b. Pending receipt of disposal instructions:
i. The goods may be stored in the warehouse of the carrier, subject to a reasonable charge for storage, or:
ii. If the carrier has notified the consignor of this intention, the goods may be removed to and stored in a public or licensed warehouse at the
expense of the consignor, without liability on the part of the carrier, and subject to a lien for all freight and other lawful charges, including a
reasonable charge for storage.
17. Return of Goods
If a notice has been given by the carrier pursuant to Article 16a, and no disposal instructions have been received within ten (10) days from the date of such notice, the carrier may return to the consignor, and the consignor’s expense, all undelivered shipments for which such notice has been given.
Subject to Article 19, any limitation on the carrier’s liability on the bill of lading and any alteration to the bill of lading shall be signed or initialed by the consignor and the originating carrier or their agents and unless signed and initialled shall be without effect.
19. Weights / Cube
a. It shall be the responsibility of the consignor to show correct shipping weights and cube of the shipment on the bill of lading.
b. If the actual weight or cube of the shipment does not agree with the weight or cube shown on the bill of lading may be corrected by the carrier, and a fee applied.
20. C.O.D. Shipments
a. A carrier shall not deliver a C.O.D. shipment unless payment received in full.
b. The charge for collecting and remitting the amount of C.O.D. bills for C.O.D. shipments must be collected from the consignee unless the consignor has instructed otherwise on the bill of lading.
c. A carrier shall remit all C.O.D. money to the consignor, or person designated by the consignor, within fifteen days after collection.
d. A carrier shall keep all C.O.D. money in a trust fund or account separate from the other revenues and funds of the carrier’s business.
e. A carrier shall include the charges for collecting and remitting money paid by consignees as a separate item in the schedule of rates.