A cargo arrives damaged at Fos or Le Havre. The consignee never signed the contract of carriage: all it holds is the bill of lading, sometimes received through its bank under a letter of credit. Yet that document, and that document alone, decides whether the consignee can sue, whom, before which court and for how much. Three functions are layered in it, and each comes with its own disputes.
A receipt: what was loaded, and in what condition
The bill of lading records that the carrier has taken charge of the goods: their nature, the number of packages, the weight, the apparent condition. A “clean” bill, with no remarks, raises a presumption that the goods were handed over in good order. If they arrive damaged, the carrier is presumed liable for loss and damage occurring between taking charge and delivery (Article L. 5422-12 of the French Transport Code), unless it proves one of the excepted perils.
Everything therefore turns on delivery. The consignee must send written reservations to the carrier or its agent at the port of discharge no later than delivery, or within three days of delivery, public holidays excluded, where the damage is not apparent (Article R. 5422-24 of the Transport Code). Failing that, the goods are presumed, unless proven otherwise, to have been received as described in the bill of lading.
A document of title: who can sue the carrier
The bill of lading represents the goods. Whoever lawfully holds it can demand delivery and sue the carrier, even without having concluded the contract of carriage. The holder must still be the lawful holder when it brings the claim: an irregular endorsement, a straight bill transferred the wrong way or an original left at the bank is enough to have the claim declared inadmissible.
The holder also inherits the clauses of the document. The most feared is the clause conferring jurisdiction on a foreign court. The Court of Justice has held it enforceable against a third-party holder who, under the applicable national law, succeeds to the shipper’s rights and obligations (ECJ, 9 November 2000, Coreck Maritime, C-387/98). Before issuing proceedings in Marseille, it is therefore essential to check what the reverse of the bill says and how the document has travelled.
Evidence of the contract: what the carrier owes, and up to what amount
The bill of lading brings in the mandatory regime governing the carriage of goods by sea. Any clause that relieves the carrier of liability or lowers the statutory limit is void (Article L. 5422-15 of the Transport Code). Depending on the applicable convention (Article L. 5422-13 of the Transport Code), compensation is capped at 666.67 special drawing rights per package or unit, or 2 special drawing rights per kilogram, whichever is higher, unless a value was declared on the bill of lading or the carrier is guilty of inexcusable fault.
Claims against the carrier are time-barred after one year (Article L. 5422-18 of the Transport Code). The period can be extended by an agreement made between the parties after the event (same article). Otherwise, an amicable claim or a joint survey does not stop it: proceedings must be brought, through summary proceedings if need be. The period is short, and it keeps running while the parties talk.
Charterparty and bill of lading: which document prevails
When the goods travel on a chartered vessel, two documents coexist. Between charterer and owner, the charterparty is the law of the parties. As regards the third-party holder of the bill of lading, it is the bill that applies, with its mandatory regime, even where it refers to the terms of the charterparty. An arbitration or jurisdiction clause in the charter binds the holder only if the bill of lading clearly incorporates it.
What the firm checks first
- Standing to sue: lawful holder, chain of endorsements, whereabouts of the originals.
- The reservations: date, form, addressee, and consistency with the survey report.
- The one-year time bar: starting point, written extensions obtained or to be obtained.
- The reverse of the bill: applicable convention, jurisdiction or arbitration clause, incorporation of a charterparty.
- The limit: number of packages declared, declaration of value, evidence of inexcusable fault.
For how the firm handles these cases, see Bill of lading and Carrier liability.
On the same subject: Bill of lading jurisdiction clauses: when the consignee can sue in France; Clean Bill of Lading Against a Letter of Indemnity: The Risks; Delivery Without the Original Bill of Lading: Letter of Indemnity.
This analysis is part of the firm’s work in maritime law.
Frequently asked questions
Can a consignee who did not sign the contract of carriage sue the carrier?
Yes, provided it is the lawful holder of the bill of lading when it brings the claim. The bill transfers to it the right to demand delivery and to claim damages, but also the clauses of the document that are enforceable against it.
Within what time must reservations be made?
No later than delivery, or within three days of delivery, public holidays excluded, where the damage is not apparent, in writing to the carrier or its agent at the port of discharge. Without reservations, the goods are presumed received as described in the bill of lading.
Is a foreign jurisdiction clause on the reverse of the bill binding on the consignee?
It is enforceable against the consignee if it succeeded to the shipper’s rights under the applicable national law (ECJ, 9 November 2000, Coreck Maritime, C-387/98). The answer therefore depends on how the document circulated, which must be examined before any proceedings are issued.