Allianz Global Risks US Insurance Co. v. Moosonee Trans. Ltd.

In Carriage of Goods by Sea on (Updated )

This was a subrogated claim for several vehicles and other cargo lost when a barge sank en route to James Bay. The defendants were a company that arranged the transportation and the actual carrier. A preliminary issue in the case was whether the claim was governed by Canadian maritime law or the Civil Code of Quebec. The Court had little difficulty in determining that the claim was governed solely by Canadian maritime law. The Court next considered whether the plaintiff was bound by the contract between the intermediary and the carrier and the exclusion clause contained therein. The Court held that the intermediary was a freight forwarder acting on behalf of the plaintiff and not a carrier and that, accordingly, the plaintiff was bound by the contract between the intermediary and the carrier. The Court next considered whether the contract of carriage was subject to the Hague-Visby Rules and held that the rules did not apply as the contract was evidenced by a non-negotiable shipping receipt (not a bill of lading) and the cargo was loaded on deck and was so stated in the contract. As a result, the exclusion clause in the shipping receipt was held to be applicable. (Note: Regrettably, this case, as with many cases decided by Quebec courts, is reported only in French. The author has relied on his limited command of the French language and computer translation in preparing this summary.)