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About us Press-room Blogs Who is responsible towards a Container Terminal for storage costs: Container Line or Cargo Interests?

Who is responsible towards a Container Terminal for storage costs: Container Line or Cargo Interests?

28.04.2012

In practice Container Terminals insist that Container Lines to conclude a service agreement, which is binding Lines with responsibility of settlement of storage costs for laden containers shipped by the Line and stored at Terminal in favor of Cargo Interests. I am of opinion the Line is acting in favor and for account of Cargo Interests and the contract of storage is to be concluded between the Terminal and the Cargo Interests, where the Line is acting as Agents for the Cargo Interests. The storage at the port of destination is not a part of contract of carriage, but the Line has to perform due care about Cargo Interests' property before the cargo is delivered.

However Terminals attempt to bind Lines with direct contract, where the responsibility for settlement of storage costs is putted on a Line, but not on Cargo Interests, probably because a LIne is an easier target than Cargo Interests.

We have a few pending court litigations with the subject above and shall keep you informed about the development of a court practice in this respect.

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08.06.2016, 11:13

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