Law Offices of Countryman & McDaniel
THE CARGO LETTER 
Air & Ocean Logistics - Customs Broker News
Good Thursday evening from our Observation Deck......overlooking the officially designated "
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Here is what happened in our industry during the Month of October 2012.
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Michael S. McDaniel, Editor, Countryman & McDaniel, forwarder/broker, hull & machinery attorneys at LAX.
INDEX to The Cargo Letter:
OUR "A" Section: Trade, Financial & Inland News***
1. Freight Forwarder Trade Briefs ______________
3. Freight Forwarder World Air Briefs ____________
4. FF World Ocean Briefs _____________________
**Back By Popular Demand**
OUR "D" Section: FF in Cyberspace***
6. The Cargo Letter "Cyber Ports of Call" _________
OUR "E" Section: The Forwarder/Broker World***
OUR "A" Section: Trade, Financial & Inland News***
1. Freight Forwarder Trade Briefs _____________
***Iran Sanctions Increase ....... as President Obama has signed an executive order 'Authorizing the Implementation of Certain Sanctions Set Forth in the Iran Threat Reduction and Syria Human Rights Act of 2012 and Additional Sanctions with Respect to Iran'. Amongst the most significant clauses of the Act is section 4, which effectively bars the non-U.S. subsidiaries of U.S. companies from transactions with the Iranian government and persons 'subject to the jurisdiction of the government of Iran'. Read the Order:
***China's Economic Growth Continues ...... as 3rd quarter GDP grew 7.4%, the seventh consecutive quarter of declining growth, Bloomberg reported. The growth figure was slightly below 7.6% in the second quarter but matched economist expectations, according to a Bloomberg survey of 43 economists. Retail sales, industrial production and fixed-asset investment increased in September, signs that the economy may be rebounding, economists said. Industrial production increased to 9.2% from 8.9% in August while retail sales were up 14.2%. Growth in fixed-asset investment, excluding rural households, improved to 20.5%.
***Our Friends In
***China Steel Tariff Not Legal ....... as the World Trade Organization (WTO) ruled Chinese tariffs on U.S. steel imports are illegal, confirming an initial ruling in June that Beijing had violated int'l trade law, reports London's Financial Times.
***Customs Compatability .....as Australian Customs and Border Protection Service has marked 40 years of bilateral co-operation between Australia and China by signing a new strategic partnership described as the most comprehensive and ambitious ever signed between the two customs agencies. The agreement commits both agencies to enhanced co-operation in six key areas. These are the targeting of port-to-port cargo movements, the international mail environment, trade data exchange, co-operation on trade facilitation measures, an exchange of cargo clearance procedures and co-operation focused on responding to the increased movement of ContacNT between the two nations. ContacNT is a pharmaceutical product which contains pseudoephedrine. It has become a key precursor chemical for illicit drug manufacture in
***Buying Russian Rail ...... as the rail freight sector may soon be experiencing yet another change in ownership, following news of two offers on the table for the remaining 25% stake in Freight One, which is due to be sold off by state carrier Russian Railways. A large portion of Freight One is currently owned by Vladimir Lisin, a Russian even wealthier than Evtushenkov. Lisin's company, UCL Holdings, currently holds a 75 percent stake in Freight One, and expressed interest in the remaining shares, which will be sold for a minimum of 45 billion rubles ($1.45 billion), according to the Russian newspaper Kommersant.
***Coming Home To A Job On The Road ...... as President Barack Obama has signed into law the Military Commercial Drivers' License Act of 2012. The demand for qualified, safe truck drivers has risen over the past few years and the new law will make it easier for
***TNT Purchase Eyed ....... as the EU anti-trust regulator has expressed concern at the US$6.85Bn take over of Dutch parcel firm TNT Express by UPS for fear it will corner the market. The European Commission (EC) has raised objections to the deal because of increased concentration in an already concentrated market. However, the EC Commissioner Joaquin Alumnia emphasised the usefulness of consolidation to promote efficiency and create strength in two different countries with no overlap. The question is whether the bid from the largest parcel courier of UPS with TNT Express would take up too much of the pan-European network where it too will reduce from four down to three firms.
***First Invent The Product -- Then How To Carry Your Creation? ....... as C.H. Robinson Worldwide Inc.has two new, compatable products for the produce industry. The Eco-Crate is a recyclable crate that is lighter and more efficiently stacked than other crates, and the CantaBella is a melon with sweet orange flesh and a distinct aroma, according to a news release from Eden Prairie, Minn.-based C.H. Robinson. Because of the patent-pending Eco-Crate's easy stackability, 30% more crates can be loaded per truckload, compared to other crates. The Eco-Crate also generates less shrink, it's safer than wood and its labels adhere better than other crates, according to the release. The CantaBella, developed by Timco Worldwide, a C.H. Robinson subsidiary, is a cross between a conventional cantaloupe and a Charentais, a French melon. In addition to being sweeter than a cantaloupe, the CantaBella has smoother skin, which minimizes food safety risks, according to the release.
***Checking Off Chek ..... as C.H. Robinson Worldwide Inc. (CHRW) announced it has sold its payment services business, T-Chek Systems, Inc., to Electronic Funds Source, LLC or EFS for US$302.5M in cash. EFS acquired the assets and assumed certain liabilities of T-Chek. T-Chek is a business-to-business provider of spend management and payment processing services. T-Chek's technology supports a variety of funds transfer, vendor payment, fuel purchasing, and online expense management tools. T-Chek has 190 employees and had annual payment services net revenues of US$49.3M and operating income of US$24.6M in 2011. T-Chek has been a subsidiary of C.H. Robinson since 1984.
***Damco Buys In Oz ...... as the stand alone logistics arm of the AP Moller-Maersk Group, will acquire Melbourne-based PacNet, a forwarder in China and Australia with 382 staff and annual revenues of US$180M.
***Border War Continues ....... as a three-judge panel of the U.S. Circuit Court of Appeals for the District of Columbia has agreed to hear oral arguments in Dec. from a pair of federal lawsuits challenging the U.S.-Mexico cross-border pilot trucking program. The two lawsuits filed last year, one by the Owner-Operator Independent Drivers Association and the other by the Teamsters union, allege the program allowing Mexican carriers into the United States does not comply with U.S. federal safety laws and regulations. So far, the program has not met expectations, with only seven Mexican-domiciled carriersbeing granted operating authority to participate in the Federal Motor Carrier Safety Administration's program.
***Angry Cargo ...... as several emergency responders have been stung after a flatbed truck carrying honeybees rolled over in rural
***Truckers of The Living Dead ....... as drivers may have gotten a chuckle out of an electronic message board in
**Forward Air Corp. DOWN with a 4.6% year-on-year decline in 3rd quarter profit to US$12.3M, drawn on revenues of US$143.5M, an increase of 5.7%.
**Kuehne + Nagel. UP with a 4% increase in gross profit in the first 9 months of 2012 to US$4.89Bn, drawn on a 6% growth in revenue.
**Union Pacific Corp. UP with a 15% rise in profits to US$1.04Bn in the third quarter, compared with US$904M in the third quarter of 2011, following a rise in automobile and chemical shipments.
3. Freight Forwarder World Air Briefs __________
***Phoning In Your Air Cargo .......as delivery of millions of latest iPhone5s has created an air cargo boom leading to an increase in freight costs per kilogramme due to sharp demand to get them to stores in time for the cell phone fashion period. The release of the latest Apple smartphone, coined "Operation iPhone Drop" by freight companies and air carriers, adds to an increasing freight shipment for consumers of must-have technology gadgets at release date. The rush to get the iPhone5 to market boosted freight rates last seen in March with the release of the latest iPad at 20% price increase. According to LA-based supplychaindigital.com, the boom in electronic freight shipment was mentioned in the U.S. Federal Reserve latest quarterly report. Such is Apple's influence to uplift a sector in the doldrums that freight rates, which hit their lowest ebb in July since 2009 are to sure soar to their highest levels with the iPhone5 launch, an item which has sold five million within the first days of
***U.S. Transport Secretary Speaks To The Future ..... as a healthy air cargo industry is essential in helping the U.S. to achieve its goal of doubling its exports by 2015, said Secretary of Transportation Ray LaHood to delegates at Tiara's Int;l Air Cargo Forum & Exposition in Atlanta, Georgia. "We are committed to your industry - because what's good for air cargo is good for the
***Int'l Air Freight Dips ...... as volume was 1.3% lower in Aug. for the 2nd consecutive month against a slight increase in capacity of 0.7%, said the International Air Transport Assn. (IATA). Asia-Pacific recorded its sixth consecutive month of decline with capacity off 3.7% on year and its freight ton kilometres (FTK) down 6.3%.
***More Fixing Fines ..... as the Federal Court in Sydney has fined Emirates Airline AUD$10M for engaging in price fixing, an action that jump-starts the Australian Competition and Consumer Commission's formal proceedings against a number of airlines. The addition of Emirates — the 10th airline to settle with the Australian government — brings the total number of fines levied by the ACCC during these proceedings to AUD$68M. In the case of Emirates, the government watchdog charged the carrier AUD$7M for participating in an airfreight cartel from Oct. 2001 to May 2006 and AUD$3M for conspiring with DAS Air Cargo to fix prices on airfreight shipments from
***More Carbon Tax Fall Outs ...... as
***Fall From Grace ...... as just weeks ago, American Airlines was working its way through bankruptcy court, on schedule for one of the fastest turnarounds in aviation history. Planes were full. Revenue was pouring in. Then seemingly overnight, American became the butt of jokes from Facebook to late-night TV. A slowdown American blamed on pilots caused massive delays and cancellations. Then rows of seats came loose on a few planes. Passengers wondered if they'd get where they were going on time - and in one piece. "American Airlines has a new slogan," Jay Leno joked on NBC's "The Tonight Show." ''Your seat is free to move about the cabin." Some travel experts advised booking on other airlines to avoid getting stranded on American. Low-cost rival Spirit Airlines picked on American with this ad: "We let low fares loose, not seats." American's on-time record fell well below its competitors, and its cancellations were the highest of any airline. There are signs the trouble - which began in Sept. when American threw out the union contract of its pilots - is causing passengers to switch. Domestic traffic fell by 7.1% in Sept. from the same month a year earlier. No other major airline experienced a drop like that. As a consequence, American Airlines' freight traffic plunged 8.3%, year-over-year, in Sept., while cargo volumes receded 1.2% from the first 9 months of 2012. AMR, which filed for Chapter 11 in late Nov., could still emerge from bankruptcy protection early in 2013. That would mark a quicker turnaround than the 38 months it took United and the 19 months for Delta.
***Southern Air Bankrupt ....... as the all cargo carrier has applied for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court in
***New FedEx Hub ..... as the cargo giant has opened a new S$97M transportation hub, consolidating its air, ground and customs clearance operations under one roof. Located within the Air Cargo Express Hub at
***Joining The Team ....... as
***Open Skies At The Other Frankfurt ...... as Shanghai's Yangtze River Express and Navitrans, a Taiwan-Turkish company, have found advantage in the night flight ban at Frankfurt-Main airport by flying into neighbouring Frankfurt-Hahn airport, which is untouched by the restriction that mostly affects cargo flights. Yangtze River Express has been joined by Navitrans, the new Taiwan-Turkish joint venture, as well as MyCargo and
***Tapped To Be One ...... as Qatar Airways was elected member designate to the Oneworld Alliance; it will be the second Middle East airline member after Royal Jordanian. The carrier's implementation into oneworld is expected to take 12-18 months. Its network serves 120 destinations in 70 countries in the Middle East, Europe, Africa, North and South America, Asia and Australasia, including oneworld hubs Amman, Berlin Tegel, Buenos Aires Ezeiza, Hong Kong, London Heathrow, Madrid, Melbourne, Moscow Domodedovo, New York JFK, Osaka Kansai, Sydney, Tokyo Narita, and the Kuala Lumpur home of oneworld member elect Malaysia Airlines. It operates a fleet of 111 Boeing and Airbus aircraft.
***Qantas Shake Up ...... as it has made major changes to its freight sector, having reached an agreement to sell 50% of its freight company, StarTrack at the same time as acquiring 100% of air freight business Australian Air Express. Following the sale of StarTrack, Qantas expects to receive net proceeds of US$408M, plus completion adjustments of approximately US$5M from the transaction, which it hopes will result in an estimated profit of US$30M. Under joint venture arrangements between Qantas and Australia Post, each party currently owns 50% of Australian air Express and StarTrack in an arrangement that has existed since 2003.
***Walking Cargo Boost ....... as movement of animals has softened declines in the air cargo by remaining a constant speciality freight and producing steady revenue for carriers. The profitability of animal freight lies in the value of larger animals such as thoroughbred horses, giant pandas and dolphins on int'l flights which create bigger margins for the carriers, Reuters reports. Lufthansa's Cargo animal unit creates steady sales of EUR30 million (US$39M) per year against the group's overall revenue of EUR$1.4 billion, but it remained constant during the downturn. Lufthansa invested EUR10 million in its Animal Lounge, a 4,000-square-meter animal facility, opened 4 years ago to expand the business that increases revenue by 3% to 4%a year compared to other freight which has experienced a drop of 9.2% in volume in the first half of 2012.
***DHL Express To The Zoo ..... as it hauled a Sumatran tiger from Cincinnati/Northern Kentucky Airport to ZSL London Zoo on Oct. 14. The successful transportation of the tiger, Jae-Jae, came less than one month after DHL Express flew Melati, a female tiger, from
***The Dream In Service ...... as on Oct. 5, Boeing marked a historic milestone with delivery of the first 787 Dreamliner built at its
***Guarenteed Production ...... as the U.S. Export-Import Bank has authorized a US$117.5M loan guarantee supporting exports of Boeing 737-800 planes to flydubai, a low-cost airline owned by the Dubai government.
***Flying The Big Fish ....... as weighing in at 91,000 pounds, the world's largest salmon landed in Anchorage Oct. 4 to a cheering crowd of hundreds of Alaska Airlines employees and seafood industry executives. Stretching nearly 129 feet, the fish-themed Boeing 737-800 is the most intricately painted commercial aircraft in the world and celebrates the partnership of Alaska Airlines and the Alaska Seafood Marketing Institute. The new "Salmon-Thirty-Salmon II" design is nearly identical to an earlier version of the paint scheme that Alaska Airlines unveiled on a 737-400 in 2005, which was re-painted with the carrier's traditional Eskimo livery last year. See the Big Fish:
***Schenker Limited In New Hub ...... as the UK arm of the global services provider DB Schenker Logistics has formally opened their new head?quarters building London Heathrow, 9,900 square meter facility, which will be the main airfreight hub for the UK.
***Volumes >>> American Airlines' freight traffic plunged 8.3%, year-over-year, in Sept., while cargo volumes receded 1.2% from the first 9 months of 2012. >>>
***Int'l Incident .......... as a Syrian A320 Airbus, forced down by Turkish F-16s to Ankara's Esenboga airport, had no arms or illegal cargo aboard, says Russia's foreign minister, which Turkey has failed to deny after making initial claims to the contrary. A Turkish diplomat told
***Dressed To Kill ....... as a man arrested at
***Without Conscience .....as the testimony at a federal drug trafficking trial was chilling: Jurors heard how bribed baggage handlers at
OUR "C" Section: FF World Ocean News***
4. FF World Ocean Briefs
***The Fight Moves West ....... as West African pirates, striking off the coast of Cote d'Ivoire captured a tanker, took it to a distance location where it pumped off some of its cargo of petrol to another tanker, reports GAC Port News. The pirates use smaller tankers to offload the cargo and take to final destination, said the International Maritime Bureau (IMB), adding that they have ship movement intelligence, a substantial fencing network, expert personnel and expensive equipment. According to a report from the IMB, the vessel carrying 30,000 tons of petrol was attacked by 14 pirates armed with knifes and AK47s. Once under siege the hijacked vessel left its anchor and passed
***Following The Trend ....... as
***A Good "High Season" Seen ...... as import cargo volume at the nation's major retail container ports is expected to increase 9.9% in Oct. as merchants wrap up the annual shipping cycle for holiday merchandise, according to the monthly Global Port Tracker report released by the National Retail Federation and Hackett Associates.
***Investment Lags ....... as
***Fleet Volume Will Increase ....... as delivery of container vessels is on the rise in 2013 with shipyards set to deliver 1.7 million TEU, expanding the global fleet 9.5%, which surpasses levels reached in 2008, the last record high since the economic recession with 1.5 million TEU delivered against this year's 1.3 million TEU. According to
***Increasing The Load ....... as containr stacking weights can be modified to allow the carriage of more cargo, and as much as 10% weight could be added to the cargo transported aboard an 18,000-TEU ship, says Lloyd's Register marine director Tom Boardley. "The results come from looking hard at ship efficiency - and how we optimise designs. Examining the forces involved in container stacks is throwing up interesting and innovative results," said Mr Boardley in a report in
***Paying The Piper? ....... as International Longshore and Warehouse Union (ILWU) president Bob McEllrath has been sentenced to one day in jail and an 89-day suspended sentence following a 3-day trial on his part in an attack by ILWU members at a new facility Export Grain Terminal (EGT) near the Port of Longview, southern Washington state. The vandalism consisted of damage to the facility where the union has demanded rights to work at with 400 longshoremen blocking a BNSF train from entering the EGT and in turn dumping the grain and withholding security officials at the grain terminal. A jury was unable to reach a verdict in June on Mr. McEllrath's charges of misdemeanour in trespassing in the 2nd degree and blocking a BNSF train from entering the EGT and in turn dumping the grain on
***France Supports It's Flag Line ....... as the sovereign's wealth fund, Fonds Strategique d'Investissement (FSI), has agreed to buy US$150M in CMA CGM bonds, convertible into a six per cent equity in the Marseille-based company, reported London's Container International. Istanbul-based Yildirim Group, which bought a 20% stake of the company for US$500M in 2010, has agreed to buy US$100M of the new convertible bond issue that would raise its stake another 4% of the world's third largest container shipping line.
***More Accross The Top of The World........ as the total cargo transported on the Northern Sea Route (NSR) is already almost 200 000 tons more than in last year's season, updated numbers from Rosatomflot show. 35 vessels have transported a total of 1,022,577 tons of different goods between
***Hapag-Lloyd's New Giant ...... as it has received the 13,169-TEU M/V
***China's New Coastal Route ...... as COSCO and China Shipping (CSCL) have joined to provide full coastal service from the provinces of Shantou in the north to Guangdong in the south, linking up to Fujian in between, reports Xinhua.
***Moving Chassis Ownership From Steam Ships To The Motor Carriers ....... as Memphis trucker, IMC Companies, has purchased 1,500 container chassis from OOCL (USA) Inc and placed the chassis into one of six Consolidated Chassis Management (CCM) pools-the Mid-South Consolidated Chassis pool-for OOCL's dedicated use. This comes as the company, along with other members of the American Trucking Associations' Intermodal Motor Carrier Conference group, are studying creation of a motor carrier cooperative that would purchase chassis from ocean carriers. The North American Chassis Pool Cooperative would contribute chassis to neutral pools such as CCM, which is owned by 18 container shipping lines and has 120,000 chassis under management in six regional cooperative pools. Last year, the U.S. Federal Maritime Commission granted approval to CCM to accept chassis contributed by truckers and shippers, as well as ocean carriers, said media reports.
***Certified Maritime ...... as this year the State Bar of California has established a new area of legal specialization for licensed attorneys, This is the first legal certification program for admiralty and maritime lawyers west of the
***The Dwindling "Moth Ball Fleet" ....... as the U.S. Transportation Dept. is scrapping old unwanted ships in the Suisun Bay Reserve Fleet in
***Throughput >>> In Latvia ports cargo throughput increased 23.8% to 278,630 TEU from January to Sept. and the Freeport of Riga handled 275,025 TEU in the first nine months a 23.5% increase year on year. >>> Container volumes of the
***This Month In U.S. Navy History
1863 - Confederate steamer David seriously damages USS New Ironsides with a spar torpedo off Charleston, S.C.
1914 - USS Jupiter (AC 3) is first Navy ship to complete transit of the Panama Canal.
1922 - Lt. Cmdr. Virgil C. Griffin, in a Vought VE-7SF makes first the takeoff from a U.S. Navy aircraft carrier, USS Langley (CV 1) anchored in
1941 - German U-boat U-568 torpedoes and damages USS Kearny (DD 432) near
1944 - Naval Forces land Army Rangers on islands at the entrance to
1989 - Following the
2000 - Terrorists in a boat make a suicide attack on USS Cole (DDG 67) while the ship refuels in the
***Low Sulpher Vessel Danger ...... as ships using costly, eco-friendly low sulphur fuel suddenly lose power and therefore control, causing accidents at times when maneuverability is most needed, said a Risk Focus bulletin from the marine insurer, UK P&I Club. The UK Club's risk assessors looked into 700 claims and found main engine failures and blackouts tend to occur most regularly at the point in a voyage where the ship is at its most vulnerable. Eco-friendly low-sulphur fuel has been mandated by the UN's International Maritime Organisations and now enforced in the
***Hull Fouling Geographics ....... as Finland's Eniram Limited has analysed hull fouling on 60 cruise ships in different seas, including the Caribbean, around California and Alaska, the Mediterranean and the Baltic. The results show high levels in the
***Smugglers Monkey Around ....... as a major cocaine seizure in
**Back By Popular Demand**
We're sorry, but there were so many sinkings, explosions, pirate attacks, fires, cargo mishaps, battles on the water & other disasters at sea that we do not have room to print even the highlights this month. Many people lost their lives at sea this month!!
But you can read all this month's disaster news at our special Internet web feature which provides full details of each event -- our Vessel Casualties & Pirate Activity Database. Bookmark the site and visit every day! Updated twice daily.
SPECIAL NOTE: Please view the dramatic new pictures at our special "Gallery of Cargo Loss" website feature.
See our new feature for Oct. 2012: "Final Endeavour"
See our newest photo feature "Singles Only" - Transportation Disasters Told In A Single Photo!
Daily Vessel Casualties ...... as we don't want you to miss the excitement of our 24 hour reports of the dramatic events at sea each day -- stories of casualties & pirates --- almost none of which are carried on your local news. Edited daily by Christoph Wahner, Esq. of Countryman & McDaniel.
NOTE: The historic dangers of carriage by sea continue to be quite real. Shippers must be encouraged to purchase high quality marine cargo insurance from their freight forwarder or customs broker. It's dangerous out there.
OUR "D" Section: FF in Cyberspace***
6. The Cargo Letter "Cyber Ports Of Call"
Here are our suggested world wide web sites of the week for your business, your information and your amusement..............
Cargo & Trade>>>>>>
Int'l Trade Administration (ITA) & Environmental Protection Agency (EPA) Environmental Solution Exporter Portal
Int'l Trade Administration (ITA) Antidumping and Countervailing Duty Fact Sheet .......... investigation of hardwood and decorative plywood from China
Supply Chain Risk 2.0 – Strategies for Disaster Response ...... free white paper
U.S. Office of Foreign Assets Control Prohibited Transactions & Sanctions FAQ
U.S. Customs FAQs On In-Bond Transition From ACS To ACE
Webinar -- Armed Guarde Aboard Merchant Vessels To Combat Piracy
Int'l Institute of Marine Surveying
Marine Insurance Legislation
Salvo DockMonitor ........live graphic information running on a PC interface for assessment of overall site performance and individual dock statistics.
Trade Shows, Exhibitions, Conferences & Business Events Worldwide
World Trade Organization Events
7th World Cargo Symposium .......12-14 March 2013, Doha, Qatar
17th Annual Regional & Business Aviation Industry Suppliers Conference .....14-16 Nov. 2012,
19th Annual GAD 2012 - Global Airport Development Conference ..... 5 -
21st Annual Admiralty and Maritime Law Conference ........
AirCargo 2013 ......... 10-13 March 2013, Red Rock Casino,
Air Cargo Africa 2013 ........ 20-23 Feb. 2013, Johannesburg, South Africa
Cargo Security Summit ........Nov. 12 - 14, 2012 - Washington, DC
IATA 8th Cargo Claims and Loss Prevention Conference ........6-8 Nov. 2012, Houston
Intermodal Europe 2012 ......... 27-29 Nov. 2012, Amsterdam RAI, Holland
International Air Transport Assn. Legal Symposium 2013 ........ 17-19 Feb. 2013, Radisson Blu Hotel, Berlin, Germany
JAXPORT 2013 Logistics & Intermodal Conference ......18-20 March 2013, Omni Amelia Island Plantation Resort, Amelia Island, Florida
Maritime Piracy & Security Summit ....... 30-31 Jan. 2013, London
Transport Security Expo 2012 .......14-15 Nov.,London Olympia
Uncollected Cargo Seminar ......28 Nov. 2012, 2 pm - 4 pm, YMCA of Hong Kong
World Cargo Symposium 2013 ......12-14 March 2013, Doha, Qatar
Apps For That - iPhones & Galaxy>>>>>>>>>
Delivery Status Touch , A Package Tracker ........ follows every major service provider by recognizing it's unique tracking number -- even in an email. Very handy
Incoterms 2010 ....... useful tool
SuMo -- the first fully functioning mobile application which converts employee behaviour into profits by decreasing wastage on non-salary employment costs such as business travel, energy, heating, cooling, lighting, water & waste.
10 Worlds Most Dangerous Airports
70 Years of Jet Powered Flight ...... the first
747 Crashes in Suburban Street
Mega-Fly - Autonomously Guided Parafoil Based Heavy Load Delivery System
Pan Am Boeing 377 "Stratocruiser"-1950 .......... traveling in true style. When flying was like a luxury cruise
Remembering the Cuban Missile Crisis
Royal Thai Navy, Third Naval Area Command - Gangnam Style
OUR "E" Section: The Forwarder/Broker World***
7. New U.S. Transport Related Legal Cases _______
Contractual Force Majeure Defense Upheld
Starke vs. United Parcel Service
E.D.N.Y No. 10-CV-1225, 24 Sept. 2012
The United States District Court for the Eastern District of New York upheld UPS' Terms and Conditions for carriage excluding liability for delays "due to causes beyond UPS' control." The Plaintiff shipped a letter by UPS' "Next Day Air, Early A.M." service amidst severe weather, which wreaked havoc on the Northeast's roads and airports. When the letter arrived 23 hours late, he demanded a refund pursuant to UPS' otherwise guaranteed service. The Court ruled in favor of UPS and was unconvinced by the Plaintiff's argument that forseeability of severe weather evicserated UPS' Force Majeure defense. Logistics providers are reminded to protect themselves by including Force Majeure language in their carriage terms. The attorneys at Countryman & McDaniel can assist in providing proven language for a variety of different potential Force Majeure events
***When Is Delivery of Ocean Cargo By The NVOCC Complete?
Under the ubiquitous port to port or CY-CY house bill of lading, the carrier responsibility of the NVOCC terminates at the port or container yard. Not so under an ocean through bill of lading issued by the NVOCC, where carrier responsibility terminates only at the final destination designated on the through bill.
But when at what point is delivery actually achieved under either variant of house bill of lading? The U.S. Supreme Court addressed the issue many years ago and held delivery is complete upon the cargo being made "available" to the consignee under the respective house bill of lading terms. Importantly, delivery does not depend upon the consignee accepting the cargo. Any issue of non-conformance of the cargo is properly the subject of discussion between the consignee and consignor. It generally is not the responsibility of the NVOCC to assure cargo conformity.
NVOCCs are advised to avoid situations where the consignee can argue delivery is dependent upon acceptance of the cargo. A letter of credit which is conditioned on consignee approval of the cargo should raise a red flag, just as should allowing the motor carrier to return to port with the load still in the container because the consignee has refused to accept it.
As a practical matter, to avoid these situations, NVOCCs are advised to adhere to the age-old rule that the consignee not be allowed to inspect or have any access to the cargo -- for any reason whatsoever -- prior to surrendering the original bill of lading at the port or otherwise accepting delivery in writing. A Pandora's Box will almost certainly be opened if the consignee finds some issue of cargo non-conformity before accepting delivery and then refuses the shipment -- with the consignor doing so as well – leaving the NVOCC in the unenviable middle.
These situations present thorny problems, as equipment control responsibility rests with the motor carrier (and, ultimately, with the NVOCC) for an inland delivery. Because of this, it is highly undesirable to drop a container with a consignee who has refused the shipment, just as with a consignee whose letter of credit nominally requires cargo approval. A lawsuit may be inevitable, but the NVOCC has a legal defense that delivery was performed upon the cargo being made available to the consignee, and that cargo disposition expenses are therefore the duty of the consignee, who is best situated to handle cargo disposition.
Written from wire stories, the Associated Press, Reuters, Hong Kong Shipping News Lloyds & other world sources.
Michael S. McDaniel, Esq. Editor (Countryman & McDaniel)
Christoph M. Wahner, Esq. (Countryman & McDaniel) Daily Vessel Casualties
Bruce Lindsay, Esq. (Countryman & McDaniel) Features
Maria Payne (Countryman & McDaniel)
_The Cargo Letter_
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_The Cargo Letter_ is published by The Law Offices of Countryman & McDaniel: Legal, Business, Marine Insurance and Claims representation of Air/Ocean Freight Forwarders, NVOCC's, Indirect Air Carriers, Shipper's Agents, Inland Carriers and Customs Brokers......and Liability & Marine insurance Underwriters since 1978 in the United States & world-wide via The Cargo Law Network. Member, Maritime Law Association of the
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