Washington  |  International Law

Legal Question

Asked on: 5/24/13, 12:04 am

A ship‟s master issues a clean bill of lading, for 200 crankshafts to be sent to Lisbon from The Brazil. Only 100 were loaded on board, however. The seller had not booked freight space in advance, but the master intended to load the goods, & thought he had done so. The bill of lading is indorsed over to the buyer. Under the sale contract property passes on payment, which occurs three days after indorsement, & independently of it. The buyer, expecting the delivery of 200 crankshafts in apparent good order & condition, presents the bill of lading upon the arrival of the goods, but refuses to pay the freight after discovering the true situation. Freight has not been prepaid. The seller has since gone bankrupt. Consider all possible actions by the buyer against the ship-owner & master & the possible liability, if any, of the buyer to pay the freight. Would your answer be different if the Hague Visby Rules applied?

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