Encl. (1) to COMDTINST 4610.6
c.
Beginning of Liability. A common carrier assumes liability when it receives the freight
under its control; that is, as soon as the delivery is complete and the possession of the
goods has been transferred from the shipper to the carrier. No formal acceptance is
necessary; the fact that a bill of lading (BL) has not been receipted does not indicate the
carrier has not accepted the goods. However, delivery cannot be complete if anything
remains to be done by the shipper before the goods can be forwarded. Yet, if the thing
remaining to be done is something which is the carrier's duty to do, without further action
on the shipper's part, the carrier's liability has begun.
d.
Terms of the Contract of Carriage. The B/L contains the terms of the contract of
carriage. The relations between the shipper and the carrier are contractual in nature even
though the terms of the contract are fixed by law and not by agreement of the parties.
While a shipping receipt may be no more than a mere receipt for goods, it may constitute
the contract of carriage and is evidence, although not conclusive, of delivery to the carrier
of goods of the quantity and condition receipted for. A B/L is both a receipt and a
contract; a receipt as to quantity and description of the goods, and a contract to transport
and deliver such goods to the designated consignee on the terms specified. A B/L is prima
facie evidence that the goods represented by it were delivered to the carrier. It is prima
facie evidence of the quantity and quality of the goods delivered, at least so far as external
conditions are concerned. The issuance of a B/L carries the presumption that the goods
were delivered to the carrier. The receipt clauses contained in a B/L are subject to
explanation, variation, or contradiction by evidence.
e.
Carrier's Duty to Protect Property. A carrier's duty is not limited to the transportation
of goods delivered for carriage. The carrier is required by law to protect the goods from
destruction and injury from conditions which it could prevent. The carrier must guard the
goods from destruction or injury from the elements, the effects of delays, and any other
source of injury which, by exercising care and ordinary intelligence, it could know about,
anticipate, and prevent.
2
Previous Page
