Month: March 2023

Just like how a personal injury claim is a legal demand for compensation, companies and businesses can file cargo claims to recover the damages when they receive damaged or missing cargo or become victims of lost cargo. 

Although Ehline Law doesn’t handle cargo claims, our Truck accident lawyers have put together a guide to help you with the freight claim process.

What Is a Cargo Claim?

Also referred to as a freight claim, it is a legal process where a shipper pursues compensation against the motor carrier that transports goods for freight damage. 

In most cases, the shipper files a cargo claim when the shipment of goods that arrive is damaged or missing. The time you have to pursue a claim depends on the motor carrier, with some requesting affected victims to file within 30 days of delivery for domestic shipments and 14 days for international shipments.

However, under the law, affected individuals or businesses must pursue freight claims within nine months to recover the damages. You may bring many types of claims, such as property damage claims, but cargo claims are the most common.

Cargo Claims Liability: Who Is Liable for Cargo Claims?

In 1906, an amendment to the Interstate Commerce Act of 1877, referred to as the Carmack Amendment, held motor carriers responsible for any damage to the cargo. Under the amendment, brokers are not liable for cargo damages as they’re not dealing with the product, unlike motor carriers.

Motor carriers are the ones loading, unloading, and transporting the cargo, which means they’re the ones handling the logistics of cargo from one destination to the other, making them responsible for any damages incurred during the entire process.

To avoid unnecessary risks, the Bill of Lading (BOL) shows the details of the cargo and its quantity before loading and unloading and is often signed by both parties. The receiving party confirms the goods received by double-checking them with the arrived cargo and the details mentioned in the BOL.

However, sometimes, something might slip through the cracks, and the receiver may receive a BOL that suggests one thing while the physical cargo suggests another. This is typically referred to as a clean BOL. 

A clean BOL lets the receiver know there were no shortages in the shipment or other anomalies, releasing the shipper from liability.

It can be challenging to pursue a cargo claim if you’ve received a clean BOL, but that doesn’t mean you can’t hold the motor carrier liable for a damaged shipment even with a clean BOL.

A clean delivery receipt is prima facie evidence that the shipment received was in good order. But, claimants can present evidence that contradicts the BOL.

However, there are five exceptions to cargo claims liability under the Carmack Amendment that release the motor carrier from the burden of cargo liability, including the following.

An Act of God

A cargo company is only liable for the damages when the entire process (loading, unloading, and transportation) is under its control. However, if a natural disaster, such as floods or tornados, affects the cargo, the carrier may use it as a legal defense to avoid cargo claims liability.

An Act of War

Under the Carmack Amendment, the cargo carrier is not liable for the loss if any damage occurs to the cargo due to military forces or war. However, the act of war exemption is not available in the case of organized crimes.

An Act or Default of Shipper

In cases where the shipper is negligent, the cargo carrier can use that against the shipper to avoid liability during the claims process.

For example, if the shipper poorly packages the product, which gets damaged during transportation, the motor carrier will not be responsible for the loss.

Public Authority

In cases where the government is responsible for the damaged cargo (road closures, quarantines, and more), the motor carrier is not liable for the damages.

The Inherent Vice or Nature of the Goods Transported

Some products may suffer damage during transportation due to their nature. Perishable goods such as vegetables, fruits, chocolates, and other similar products have an expiration and require constant attention during transportation. 

The motor carrier must follow the instructions mentioned in the signed contract and follow them to avoid damage to the cargo.

However, perishable goods are difficult to handle, and even if the motor carrier follows the instructions, the cargo may not reach the receiver in optimal condition. 

Although the inherent vice or nature of goods transported is a challenging legal defense to prove, it is still possible to avoid cargo claims liability in such situations.

When Is Freight Brokerage Liable for Cargo Claims?

In most cargo claims cases, the freight broker is not liable for any damages to the cargo. However, in situations where the freight broker opts to assume the responsibility contractually, you may be able to hold the freight brokerage liable for the damages to the cargo.

Good freight brokers maintain two main types of insurance to compensate their customers in case of loss of cargo, and these include:

• Freight Brokerage Operations Coverage
• Contingent Cargo Insurance

The two main insurance policies can help freight brokers pay cargo claims and maintain a good relationship with their customers.

Ensuring a Smooth Claims Process

Whether it’s cargo claims or freight claims, pursuing a claim against a company or motor carrier is more challenging than you might think. 

You must first determine whether the freight broker or the motor carrier is responsible for the damages to your cargo. If the motor carrier is liable, you may struggle to recover compensation if your freight broker is not facilitating your claim.

Although they may not be liable for the damages, a good freight broker will always ensure that they assist their customers in every way possible, including facilitating claims or providing guidance until the motor carrier concludes the cargo claim.

You can also take the necessary steps to protect your cargo claim and ensure a smooth claims process, including the following.

Ensure a Correct Bill of Lading

A shipment’s BOL is essential documentation that can help identify where the damage occurred and can act as evidence in cargo claims.

When the cargo changes hands, it is crucial to record the shipment’s condition, quantity, and other details before signing the document. The consignee should verify the delivery receipt, count the cargo, and assess its conditions before signing off on the BOL.

The more information on the BOL, the better it is, as it can help investigate any damage during transit.

Pursue Claims as Soon as Possible

Although you have nine months to pursue cargo or freight claims, it is crucial that you do not wait that long and immediately fill out the claim form to start the recovery process. Work with the broker or freight forwarders to start the claims process and avoid issues associated with waiting too long to pursue financial compensation.

The claim form requires basic information about the claim, such as shipment, cargo, and payment details. It may also require the following evidence to support your cargo claim:

• Bill of lading
• Shipment invoice
• Invoices
• Other additional supporting documentation

Hold onto Damaged Cargo

Although damaged cargo won’t do any good and take up warehouse space, it plays a critical role in the success of damage claims. 

When you file a freight claim, the insurance company will carry out its investigation. Having physical evidence of damaged cargo to show the insurer can ensure a smooth claims process.

File with the Liable Party First

Some businesses file a claim with the broker first, only to realize they may not be liable for the damages. This can lead to a waste of time and eventually affect your cargo claim. It is best to pursue a claim against the motor carrier first to expedite the claims process.

Cooperate

It would help if you cooperated with the insurance adjusters to ensure a smooth claims process, but it is also important to note that insurance companies are almost always looking for ways to reduce or deny claims.

You may want to consider working with an experienced trucking lawyer to guide the legal aspects of a damage claim, handle the insurer and increase your chances of obtaining compensation.

Schedule a Free Consultation with Ehline Law

Like cargo claims, an injured victim can also pursue compensation for the damages incurred following an accident. Ehline Law and our personal injury attorneys have worked with injured victims for over 15 years, helping protect their rights and aggressively fighting for the compensation they deserve.

If you’ve suffered injuries in an accident in California or Texas, contact us at (833) LETS-SUE for a free consultation, as you may be able to seek compensation.

Missing a port due to the hurricane season or receiving lousy customer service can ruin the entire cruise experience. In such situations, cruise ship passengers must voice their concern with the cruise member, the guest services, or their travel ombudsman to address the problems.

Ehline Law and our cruise ship accident attorneys have over 15 years of experience acting as a travel “ombudsman” to injured passengers and helping them get the compensation they deserve. Here, we will go over how passengers can raise their issues and resolve their grievances following a bad cruise experience.

Who Is My Cruise Ship Travel Ombudsman?

When you have a complaint against the cruise line, you may seek compensation or resolution to help you resolve your grievances.

Whether the customer service was below par or there was a change in the cruise itinerary, reaching out to the cruise lines with formal complaints can be tiring for cruise passengers.

Suppose you’ve tried your best to communicate your concerns with the cruise line and don’t hear from them or get the positive response you’re looking for. In that case, you may want to consider launching a complaint with the Federal Maritime Commission’s Office of Consumer Affairs and Dispute Resolution Services (CADRS).

CADRS is a federal agency that acts as your travel ombudsman for complaints involving grievances against cruise lines. Many cruise lines avoid reaching out to customers, but when CADRS get involved, they ensure that the cruise line reads your complaint and reaches out to you.

Although CADRS won’t offer you the compensation you may be looking for, they are there to mediate talks between yourself and the cruise line.

What Services Does the Federal Maritime Commission CADRS Provide?

CADRS, a department of the Federal Maritime Commission, helps cruise ship passengers with problems associated with their cruise experiences. However, the department does not assist with gambling issues, safety problems, and any issues arising from travel agents.

The Federal Maritime Commission department deals with connecting passengers with the cruise lines about their grievances relating to cruise experiences for cruise ships departing from any port in the United States. CADRS does not provide assistance pertaining to cruise complaints on foreign cruises as it does not fall under their jurisdiction.

It is important to note that CADRS does not have statutory authority to force a cruise line into taking a particular action to address a complaint.

How to File Cruise Complaints with CADRS?

If you’ve had a problem with a cruise line staff or had a bad cruise experience and can’t connect with the cruise line after your trip for compensation, you should reach out to CADRS by emailing them at complaints@fmc.gov.

In your email, you should provide details about the nature of your complaint, the cruise you were on, your ticket details, and what sort of compensation you’re looking for. Send screenshots of any correspondence or evidence in the email attachment.

Handling Complaints on a Cruise

Cruise lines want the passenger’s experience to be excellent as they want them back. More loyal passengers mean big bucks for cruise companies.

Whether it is something small as a meal that is not to your liking or major issues like charges to your onboard account, water leaks in cabin rooms, missing cruise ports, or bad customer service, you should take immediate steps to notify the cruise line about it while on the cruise.

Inform the Cruise Line Staff

You must voice your concerns with the staff and let them know about your experience to initiate a dispute resolution process. Always remain calm and be polite to the staff you’re complaining about. If you’re rude and loud, the chance that the crew member would go out of their way to help you is minimal.

Allow the Cruise Ship to Make Things Right

Reach out to the crew members that could help resolve your issue. For example, if the cabin steward didn’t clean your room well after room service, you should speak to them directly.

Follow the Chain of Command

If speaking directly to the relevant cruise line staff does not make things right for you, it’s best to follow the chain of command and contact the supervisor about your complaint.

Reach out to Guest Services

For bigger problems that may take some time to resolve, it’s best to leave a complaint with guest services. They’ll hear you out and request you to write details of the nature of your complaint on the complaint card.

Follow up on Your Complaint

After you’ve filed your complaint, you must follow up with guest services the next day if they haven’t resolved your issue.

Remember, guest services might have a busy week which may explain why your complaint is taking longer than usual. Inquiring about your complaint can tell you whether they’re working towards fixing the problem or would instead propose an alternate solution.

Always be upfront with the guest services and tell them what you want. If it’s reasonable, they will most probably accommodate your request. 

However, cruise lines won’t entertain unreasonable requests such as requesting a free cruise or a full refund because you didn’t like your lunch buffet or the shore excursions weren’t up to your standard.

Contact Your Travel Agent

Whether you were on a Royal Caribbean cruise or any other cruise ship, contact your travel agent, as they can provide you with the email contact of the relevant cruise line department or person to help address your concerns.

Send an Email to CADRS

If the cruise line still doesn’t respond after your emails to them, contact CADRS and file a formal complaint to help mediate.

An Attorney Is Your Travel “Ombudsman” If You’re Injured on a Mega-ship

The bigger the ship, the longer the lines snaking around activities, which can increase the risk of accidents and injuries.

Although the US Coast Guard conducts checks to ensure that the cruise ships comply with laws and regulations, they cannot help you get compensation for the injuries sustained on a cruise ship.

Cruise passengers who suffer injuries due to the negligence of the cruise ship employees must speak to our experienced personal injury attorneys.

If you’ve suffered injuries due to the negligence of cruise ship employees, contact us at (833) LETS-SUE for a free consultation, as you may be able to seek compensation.

With so many overboard incidents on cruise ships and the recent Covid-19 outbreak on Princess Cruise, it raises some troubling questions on whether any regulatory bodies enforce cruise ship laws and ensures the protection of cruise ship passengers.

Previously, there were no regulations pertaining to cruise ships when the industry first began, but over time, the federal government gave authority to different organizations and introduced legislation that would ensure the safety of cruise ship passengers.

Ehline Law and our cruise ship accident attorneys have more than 15 years of experience handling cruise ship accident claims with a superior track record in applying relevant laws and recovering compensation for our injured clients.

Our cruise ship accident attorneys have deep knowledge of cruise ship laws and have discussed the relevant legislation on media channels such as CNN, NBC, and CBS. Let’s look at the regulatory bodies and the regulations surrounding the cruise industry.

Regulatory Authorities

Many different regulatory bodies enforce cruise ship laws during cruise operations, which may vary from one aspect of the cruise ship to another. Regulatory authorities are responsible for setting comprehensive standards pertaining to different aspects of the cruise, such as safety, security, health, environment, and the cruise ship workers. Some of these regulatory authorities include the following.

US Coast Guard

The US Coast Guard is responsible for enforcing and regulating cruise ship safety. Every cruise ship has to follow the vessel inspection laws of the flag it holds, meaning cruise ships registered in a particular country must follow the inspection laws of that country. 

However, when these cruise ships take on passengers at any port in the United States, they must follow the International Convention for the Safety of Life at Sea and any other regulations that may apply to the cruise ship. 

These regulations may pertain to structural fire protection, watercraft integrity, environmental protection, and many other aspects of the cruise ship. 

To ensure that the cruise ships follow the applicable laws in the United States, the US Coast Guard has the duty to conduct routine operations on the cruise ships.

Centers for Disease Control and Prevention (CDC)

The US Centers for Disease Control and Prevention (CDC) is the country’s top science-based, data-driven service organization that takes measures and creates awareness in order to protect the public’s health. 

It may seem unconventional for the CDC to work with cruise lines in enforcing regulations, but the organization has had the authority since 1944 after the passing of the US Federal Law, the Public Health Service Act.

In 1944, the newly instated law gave the federal government the authority to prevent the introduction, transmission, and spread of infectious diseases from other countries into the US.

In 1970, the CDC created the Vessel Sanitation Program to prevent gastrointestinal (GI) illnesses on cruise ships. Since cruise ships visit foreign countries where passengers disembark and then return to the United States, there may be a risk of spreading diseases, making it the responsibility of the CDC to enforce and implement health and safety regulations.

In January 2020, the CDC issued a “No Sail” order following the outbreaks of Covid-19 on the Diamond Princess and Grand Princess cruise ships.

Environmental Protection Agency (EPA)

The Environmental Protection Agency is a federal government agency whose mission is to protect human and environmental health. As the cruise ship industry grows, there is an alarming concern over the environmental impacts the industry may have, especially pertaining to cruise ship discharges.

The EPA has produced an overarching report that examines five different types of cruise ship discharges and discusses the following:

• The acceptable amount of waste generated by cruise ships
• The laws that apply to waste generation on cruise ships
• How the cruise ships should manage their waste
• The impact of cruise ship waste on the environment
• The actions the federal government has taken to address cruise ship waste
• Alternatives to addressing cruise ship waste in the future

The Environmental Protection Agency is responsible for enforcing cruise ship waste laws by conducting inspections and taking action against cruise lines that violate applicable laws.

Who Enforces Cruise Ship Laws: International Regulators and What They Oversee

International Labour Organization

The International Labour Organization focuses on advancing social and economic justice by setting international labor standards.

The International Labour Organization is responsible for introducing and implementing laws that protect seafarers. It establishes the standards for minimum conditions for “decent work” and many other issues such as discrimination, safety at sea, minimum wages, pension, and conditions of employment, among other issues.

World Health Organization

The World Health Organization (WHO) is responsible for international public health and works to promote health, keep the world safe, and serve the vulnerable. During the recent Covid-19 pandemic, we saw how the WHO played an active role in creating a checklist and providing a handbook (manual) for cruise ships to follow to prevent the spread of the coronavirus.

WHO reaches out to relevant organizations in the country to inform them of violations and requires them to take suitable measures or enforce laws to prevent the spreading of diseases. 

For example, if the WHO suspects a serious disease aboard a US cruise ship, it will work with relevant authorities in the port countries, such as the CDC in the United States, to prevent the spread of the disease.

International Maritime Organization

The International Maritime Organization (IMO) is a specialized agency of the United Nations that sets standards for shipping, the safety of life at sea, and related issues. It is responsible for developing and maintaining a comprehensive regulatory framework for shipping that includes environmental concerns, legal matters, cruise vessel security, and other aspects of international shipping.

In 1973, the IMO hosted an international gathering where they decided to tackle the oil spill issues following the tanker Torrey Canyon incident, the largest environmental disaster that pushed 120,000 tons of crude oil into the English Channel. 

Following the gathering, the IMO introduced guidelines that would help prevent large ship accidents and provide information on how to deal with environmental disasters.

Inspection and Enforcement

There are three layers of inspection and enforcement of international laws on cruise ships, including the following.

Port States

When a cruise ship visits another country, the port state has the authority to carry out necessary inspections and enforce international and national laws, including local regulations. These port states have the responsibility to enforce compliance where required.

Countries of Registration

Before issuing registration to a cruise ship, the flag state (where the cruise ship is registered) must ensure that the ship complies with all international and national requirements.

It is important to note that cruise lines register themselves in the country with relaxed laws, allowing them to operate without the US Coast Guard breathing on their necks.

Classification Societies

A ship classification society establishes and maintains standards pertaining to cruise ship construction and operation and offshore structures. Other societies also enforce domestic and international laws on cruise ships and ensure that the cruise ships follow applicable standards pertaining to environmental guidelines, safety, construction design, and other aspects.

These organizations (local and international) mentioned above constantly update their local or international regulations and lobby for laws that align with their mission. They may host annual or semi-annual meetings and general sessions whenever required to convey their message to the cruise industry.

Regulating the Cruise Industry Is Challenging

The cruise industry’s contribution to the US economy grew to $55.5 Billion in 2019, and it continues to expand as prices for a cruise ticket fall and the number of cruise passengers increases. As these companies get bigger, their control or power over bills and legislation becomes stronger.

An example of the cruise industry’s influence on Congress is visible with the Hammer Law bill introduced by Senator Deb Fischer. The bill looked at expanding protection to cruise ship passengers and their families by making additional compensation recoverable for nonpecuniary damages.

Considered a revolutionary bill backed by the American Association for Justice, it was a great move that would hold the cruise lines responsible for their actions. However, major cruise lines used their power and influence to block the bill.

The cruise industry spends millions every year to protect its own interests. In 2019, Carnival Cruise Line spent $400,000 in lobbying bills, and this is just one company out of the 50 cruise lines that make up the Cruise Lines International Association.

In 2020, the Norwegian Cruise Line Holdings, Carnival Corp, and Royal Caribbean cruise line released over $40,000 to senators to help them block laws that would damage the profit margins and reduce the influence of cruise lines in the United States.

When asked why they try to lobby such laws that protect the interests of cruise ship passengers, the Cruise Lines International Association argues that cruise ships are the safest mode of transportation, highlighting a reduction of 37% in cruise ship accidents from 2009 to 2018.

However, these figures do not match the government statistics that suggest an increase of 30% in cruise ship crimes. As the cruise lines get bigger with every passing year, they’ll gain more power and influence, allowing them to control cruise ship laws. 

But, we at Ehline Law are not afraid to enforce cruise ship laws against cruise lines to protect the rights of our clients suffering from cruise ship injuries and get them the compensation they deserve.

Schedule a Free Consultation with Ehline Law

If you’ve suffered injuries on a cruise vacation, contact us at (833) LETS-SUE for a free consultation to discuss your case, as you may be able to seek compensation.

Our cruise ship accident attorneys have a deep understanding of local and international laws and maritime law, and we can help assess your claim, build a strong case, and fight for the compensation you deserve!