Article 89p. 89

COMMERCIAL LAWS NEGOTIABLE INSTRUMENTS, CORPORATION, INSURANCE, TRANSPORTATION, BANKING

arising from negligence, fault, or failure in the duties and

obligations provide in this section or lessening such

liability otherwise than as provided in this Act, shall be

null and void and of no effect. A benefit of insurance in

favor of the carrier, or similar clause, shall be deemed to

be a clause relieving the carrier from liability.

RIGHTS AND IMMUNITIES

SECTION 4. (1) Neither the carrier nor the ship shall be

liable

for

loss

or

damage arising or resulting from

unseaworthiness unless caused by want of due diligence

on the part of the carrier to make the ship seaworthy and

to secure that the ship is properly manned, equipped,

and supplied, and to make the holds, refrigerating and

cooling chambers, and all other parts of the ship in which

goods are carried fit and safe for their reception, carriage,

and preservation, in accordance with the provisions of

paragraph (1) of Section (3).Whenever loss or damage has

resulted from unseaworthiness, the burden of proving

the exercise of due diligence shall be on the carrier or

other person claiming exemption under this section.

(2) Neither the carrier nor the ship shall be responsible for

loss or damage arising or resulting from —

(a) Act, neglect, or default of the master, mariner, pilot, or

the servants of the carrier in the navigation or in the

management of the ship;

(b) Fire, unless caused by the actual fault or privity of the

carrier;

(c) Perils, dangers, and accidents of the sea or other

navigable water;

(d) Act of God;

(e) Act of war;

(f) Act of public enemies;

(g) Arrest or restraint of princes, rulers, or people, or

seizure under legal process;

(h) Quarantine restrictions;

(i) Act or omission of the shipper or owner of the goods,

his agent or representative;

(j) Strikes or lockouts or stoppage or restraint of labor

from

whatever

cause,

whether

partial

or

general:

Provided,

that

nothing

herein

contained

shall

be

construed to relieve a carrier from responsibility for the

carrier's own acts;

(k) Riots and civil commotions;

(l) Saving or attempting to save life or property at sea;

(m) Wastage in bulk or weight or any other loss or

damage arising from inherent defect, quality, or vice of

the goods;

(n) Insufficiency or packing;

(o) Insufficiency or inadequacy of marks;

(p) Latent defects not discoverable by due diligence; and

(q) Any other cause arising without the actual fault and

privity of the carrier and without the fault or neglect of

the agents or servants of the carrier, but the burden of

proof shall be on the person claiming the benefit of this

exception to show that neither the actual fault or privity

of the carrier nor the fault or neglect of the agents or

servants of the carrier contributed to the loss or damage.

(3) The shipper shall not be responsible for loss or

damage sustained by the carrier or the ship arising or

resulting from any cause without the act, or neglect of

the shipper, his agents, or his servants.

(4) Any deviation in saving or attempting to save life or

property at sea, or any reasonable deviation shall not be

deemed to be an infringement or breach or this Act or of

the contract of carriage, and carrier shall not be liable for

any

loss

or

damage

resulting

therefrom:

Provided,

however, that if the deviation is for the purpose of loading

or unloading cargo or passengers it shall, prima facie ,be

regarded as unreasonable.

(5) Neither the carrier nor the ship shall in any event be or

become liable for any loss or damage to or in connection

with the transportation of goods in an amount exceeding

$500 per package of lawful money of the United States, or

in case of goods not shipped in packages, per customary

freight unit, or the equivalent of that sum in other

currency, unless the nature and value of such goods have

been declared by the shipper before shipment and

inserted in the bill of lading. This declaration, if embodied

in the bill of lading, shall be prima facie evidence, but

shall not be conclusive on the carrier.

By agreement between the carrier, master or agent of the

carrier, and the shipper another maximum amount than

that mentioned in this paragraph may be fixed: Provided,

that such maximum shall not be less than the figure

above named. In no event shall the carrier be liable for

more than the amount of damage actually sustained.

Neither the carrier nor the ship shall be responsible in any

event for loss damage to or in connection with the

transportation of the goods if the nature or value thereof

has been knowingly and fraudulently mis-stated by the

shipper in the bill of lading.

(6) Goods of an inflammable, explosive, or dangerous

nature to the shipment whereof, the carrier, master or

agent of the carrier, has not consented with knowledge of

their nature and character, may at any time before

discharge

be

landed

at

any

place

or

destroyed or

rendered innocuous by the carrier without compensation,

and the shipper of such goods shall be liable for all

damages and expenses directly or indirectly arising out of

or resulting from such shipment. If any such goods

shipped with such knowledge and consent shall become

a danger to the ship or cargo, they may in like manner be

landed at any place, or destroyed or rendered innocuous

by the carrier without liability on the part of the carrier

except to general average if any.

SURRENDER OF RIGHTS AND IMMUNITIES AND

INCREASE OF RESPONSIBILITIES AND LIABILITIES

SECTION 5. A carrier shall be at liberty to surrender in

whole or in part all or any of his rights and immunities or

to increase any of his responsibilities and liabilities under

this Act, provided such surrender or increase shall be

embodied in the bill of lading issued to the shipper.

The provisions of this Act shall not be applicable to

charter parties; but if bills of lading are issued in the case

of a ship under a charter party, they shall comply with the

terms of this Act. Nothing in this Act shall be held to

prevent the insertion in a bill of lading of any lawful

provisions regarding general average.

SPECIAL CONDITIONS

SECTION

6.

Notwithstanding

the

provisions

of

the

preceding section, a carrier, master or agent of the carrier,

and a shipper shall, in regard to any particular goods be

at liberty to enter into any agreement in any terms as to

the responsibility and liability of the carrier for such

goods, and as to the rights and immunities of the carrier

in

respect

to

such

goods,

or

his

obligation

to

seaworthiness,

(so

far

as

the

stipulation

regarding

seaworthiness is contrary to public policy),or the care or

diligence of his servants or agents in regard to the

loading, handling, stowage, carriage, custody, care and

discharge of the goods carried by sea; provided, that in

this case no bill of lading has been or shall be issued and

that

the

terms

agreed

shall

be

a

non-negotiable

document and shall be marked as such.

Any agreement so entered into shall have full legal effect:

Provided, that this section shall not apply to ordinary

commercial shipments made in the ordinary course of

trade but only to other shipments where the character or

condition

of

the

property

to

be

carried

or

the

circumstances, terms and conditions under which the

carriage is to be performed are such as reasonably to

justify a special agreement.

SECTION 7. Nothing contained in this Act shall prevent a

carrier or a shipper from entering into any agreement,

© Compiled by RGL

89 of 211