GOOD TO KNOW

Freight Car General Terms and Conditions

1.      GENERAL

 

1.1.  The aim of the General conditions for carriage of goods by road is:

1.1.1.to give interpretations on the processes which are regulated by legislation with regard to provisions which allow different interpretations, including:

  • acceptance of contractual liability by parties;
  • time and place of the transfer of liability (consignor – carrier) for goods in the transport chain;
  • specification of the term ‘reasonable time’ for different activities (including loading and carriage times);
  • to develop understanding of terminology.

1.1.2. to regulate the processes in the transport chain which are not regulated by legislation .

 

1.2.  These conditions shall apply, unless agreed otherwise.

 

1.3.  These conditions have been drawn up proceeding from the following legal acts:

  1. Requirements of the revision of the Law of Obligations Act effective at the time of conclusion of the contract for carriage,
  2. Requirements of the Convention on the Contract for the International Carriage of Goods by Road (CMR),
  3. Regulation No. 81 of the Minister of Roads and Communications of 28 September 2000 and the amendments thereof, the ‘Rules for loading and securing of consignments for carriage of goods by road’ laid down in the Regulation No.56 of 29 August 2002, and the European Union standard CEN 12195-1:2003 (E) on the assurance of safety for the carriage of goods,

and the conditions  are in conformity with the General Conditions of the Estonian Freight Forwarders Association effective at the time of carriage.

1.4.  Regulations and other legislations of general application listed in point 1.3 shall apply for areas not covered by these General conditions for carriage of goods by road.

 

2.      TERMS

 

2.1.  Consignment

Consignment means the goods which are sent by the same consignment note from the same place of departure to the same destination by the same consignor to the same consignee using the same vehicle.

2.1.1.      Packaging unit

Packaging unit means an inseparable amount of goods in transport packaging.

2.1.2.      Transport packaging

Transport packaging is used for simplifying the handling of goods and ensuring of safety during the carriage of goods. Transport packaging shall enable fixed securing of goods in the freight space.

2.1.3.      Small package

Small package means a consignment the gross weight of which does not exceed 35 kg and which includes one packaging unit. The length of the packaging unit of a small package does not exceed 2 m, and the length + circumference does not exceed 3 m.

2.1.4.      Parcel consignment

Parcel consignment means a consignment the gross weight of which does not exceed 99 kg and it consists of three small packages as a maximum.

2.1.5.      Small consignment

Small consignment means a consignment the estimated gross weight of which is below 2,500 kg and the carriage of small consignments generally involves transhipment.

2.1.6.      Partial load

Partial load means a consignment the estimated gross weight of which is 2,500 kg or more and in addition to which there is space for and it is possible to load more consignments into a vehicle, and transport generally does not involve transhipment.

2.1.7.      Complete load

Complete load means a consignment which fills the total freight space, has the maximum authorized weight for the specific vehicle, otherwise the consignor shall pay for the use of total freight space. Transport generally does not involve transhipment.

2.1.8.      Consolidated  (combined) consignment

Consolidated  (combined) consignment means handling of different consignments as one single consignment at some stages of the carriage of goods.

2.2.      Estimated gross weight of consignment

The calculations of estimated gross weight are based on the highest of the following indicators:

– gross weight of consignment (weight of consignment plus packaging and transport equipment)

– 1 m3  (Cbm) = 333 kg

– 1 ldm (running loading metre of freight space) =1,850 kg

2.3.          Loading place

Loading place means the address indicated in the consignment note where the loading or unloading of consignment would take place.

2.4.          Loading

Loading includes the loading or unloading of consignment at the sides or back of the vehicle. Loading means the loading of consignment into vehicle at loading place, not further than 6 metres of the vehicle, appropriate stowage and securing of load. Unloading means the unloading of consignment from vehicle and placing it next to the vehicle or loading bay at the distance of no further than 6 metres.

2.5.          Loading time

Loading time is calculated from the moment the vehicle arrives at the loading place and the carrier hands over a copy of the consignment note to the consignor or informs of the arrival of the vehicle for loading.

Loading time is over when the goods are loaded or unloaded and the signed copy of the consignment note has been returned to the driver, other necessary carriage documents have been handed over, if necessary, and the vehicle is ready for departure (i.e. the box body is closed, the canopy secured and, if necessary, sealed).

2.6.          Vehicle

Vehicle is a truck or trailer used for carriage of goods.

2.7.          Freight space

Freight space is the part of vehicle which is used for carriage of goods. Freight space is a part of vehicle or a separate space (e.g. trailer, container) for stowage and securing of goods for the time of carriage. 

2.8.          Consignor

Consignor is a person who orders transport services and is responsible for the payment of carriage charges.

 

3.      CONTRACT FOR THE CARRIAGE OF GOODS.  CONCLUSION OF THE CONTRACT AND ORDERING OF CARRIAGE SERVICES

 

3.1.          Contracts are made by using generally the form (offer/acceptance) provided in the articles 9 and 10 of the general part of the Law of Obligations Act.

3.2.          A contract is deemed concluded, with accompanying liability to the parties, when the acceptance reaches the carrier and upon acceptance of it by the carrier.

3.3.          The transport order is deemed accepted when it is in conformity with the offer or with the conditions of an earlier agreed long-term contract, otherwise the offer shall be deemed as a new offer (counteroffer).

3.4.          In the case of new offer (counteroffer) the contract is deemed concluded after receipt of the acceptance of transport order confirmation or at taking over of freight for carriage.

3.5.          The order shall be presented in a format which can be reproduced in writing and shall include the following information:

1) consignor company, address, phone, contact person;

2) information on loading place:

– loading place, time, contact person and phone;

– unloading place, time, contact person and phone;

3) information on consignment:

– description and type of packaging,

– in the case of dangerous goods UN number and group of packaging (if available);

– number of packaging units;

– gross weight of goods or the expression of the quantity of goods in other units of measurement;

– other conditions with regard to handling of goods;

4)  notation on the payment of carriage charge;

5)  the amount of ‘cash on delivery’ on agreement of ‘cash on delivery’ charge;

6) instructions for possible customs clearance of goods and for other statutory operations related to goods;

7) special conditions for  vehicles (temperature requirements, special requirements regarding dangerous consignments,  tailgate lift, side loader,  etc.).

The consignor is responsible for the correctness of submitted data and shall annex to the consignment note necessary export documents and/or associated documents and/or instructions regarding the consignment.

 

3.6.          If the consignor wants the carrier to be the intermediary for arranging the goods in transit insurance for the consignment, the requirement shall explicitly be expressed in the written order.

3.7.          Conclusion of the contract for carriage is confirmed in the consignment note signed by the consignor and carrier or it can be done in the manner of equivalent legal force by signing the contract using information technology instruments.

3.8.          The contract for carriage will assume free traffic conditions without any hindrance and the possibility to perform carriage on drivable roads with necessary load carrying capacity.

3.9.          The following consignments shall be taken for carriage only by special agreements (contracts):

  1. valuables;
  2. consignments requiring special equipment or security solutions for carriage arrangements, loading or securing;
  3. consignments without or with insufficient packaging;
  4. consignments which might damage other consignments;
  5. consignments exceeding the height of 2 metres, the length of 6 metres or the breadth of 2.40 metres;
  6. consignments which cannot be transported with other goods although the quantities and route would allow it;
  7. consignments which cause different than usual load distribution (axis load, position of the centre of gravity, etc);
  8. livestock;
  9. plants;
  10. goods sensitive to temperature fluctuation;
  11. consignments which are graded as dangerous substances;
  12. consignments for which time-limits of loading and delivery are agreed (time guarantee);
  13. Consolidated consignments;
  14. mail;
  15. carriage of documents accompanying consignments (except for mandatory documents required by legislation – e.g. documents of hazardous consignments);
  16. consignments of increased risk (tobacco, alcohol, mobile communication equipment, IT equipment, etc);
  17. consignments which do not allow handling with conventional handling devices (counterbalance forklift trucks, pallet trucks) during carriage;
  18. medicinal products and pharmaceuticals.

3.10.      The instructions and related guidelines effective for the carriage of foodstuffs and dangerous (ADR) goods are applied with regard to the carriage of foodstuffs and dangerous (ADR) goods.

3.11.      In the case of carriage of goods outside normally scheduled working hours (8.00- 17.00 on working days) and other special carriage of goods (including removal, containers, etc) carriage conditions are agreed on a case by case basis.

3.12.      Time-limits for carriage are binding if the carrier has explicitly confirmed it in a format which can be reproduced in writing.

 

4.      CONSIGNOR’S DUTIES, LIABILITY AND AUTHORITY

 

4.1.          The consignor shall create conditions for handing over of the consignment to the carrier and for taking over of goods from the carrier, including ensuring access to the loading place, drivability of access road and conformity of the loading place with the following requirements:

–          a possibility to stop for loading;

–          the loading bay shall have hard cover, smooth surface, without gradient and steps;

–          the hold shall be in the field of visibility of the carrier or the security of the vehicle shall be guaranteed, etc .

4.2.          The consignor shall compensate all costs occurring as a result of accessing the loading place (paid entry, paid parking, costs for releasing goods in customs warehouses, ports, railway stations and airports, other charges and official expenses).

 

Considering the type and agreed manner of carriage, the consignor shall package the goods in a way that the consignment is protected against loss and damage and will not cause loss to the carrier.

4.3.1.      The packaging of consignment shall enable the consignment to be transported with other consignments, i.e. it shall not damage other consignments or the vehicle and shall allow loading of other consignments on top of it to the extent of the total height of freight space, unless it is complete load or it has been agreed otherwise.

4.3.2.      Each packaging unit of the consignment shall be packaged by the consignor into a transportable package in a manner which will allow securing of consignment in the freight space and will ensure preservation of goods during loading and carriage. Similarly, the packaging shall ensure the stability of load until it reaches its destination and will exclude shift of the centre of gravity of load.  Small consignments, which can be stowed on standard pallets due to their characteristics, shall be stowed on pallets.

4.3.3.      Each packaging unit shall be marked by the consignor and for identification of the consignment it shall include the following legible information:

  1. necessary data for identification of the consignor
  2. necessary data and address for identification of unloading place (of consignee, if necessary);
  3. internationally recognised warning signs;
  4. warning expressed by words;
  5. weight of packaging unit;
  6. number of packaging unit;
  7. dimensions of packaging unit, if necessary.

Marking is not required for carriage of a complete load from one consignor to one unloading place of one consignee.

 

4.4.          The consignor assumes the loading and securing obligation of partial load and complete load if transfer of consignment takes place in the freight space. Generally the carrier is obligated to be present at loading. The carrier may assist the consignor in the loading process, in such a case he will act in the name and responsibility of the consignor.

4.5.          When a canopy trailer is used for carriage, the carrier shall open the cables, sideboards and tailboard of the freight space, and if necessary, lift the canopy at the sides and/or at the back. If the consignment cannot be loaded without taking down the canopy, the consignor shall remove and then put back the top, frame and canopy of canopy trailer following the instructions of the carrier.

4.6.          The consignor shall load the consignment per one vehicle within the time limits of maximum loading time included in the loading price as follows (based on estimated gross weight):

Parcel consignment                 up to                10 min

Small consignment                  up to                20 min

If loading lasts longer, it will be recorded in the consignment note and each started 15 minutes shall be paid for separately.

In the case of partial loads and complete loads:

Consignment with estimated gross weight of 2,5 t     – 5 t      up to    30 min

Consignment with estimated gross weight over          5          -10 t     up to    45 min

Consignment with estimated gross weight over   10 t            up to    45 min for each 10 tons

If loading lasts longer, it will be recorded in the consignment note and each started 30 minutes shall be paid for separately.

If more than one consignment is loaded at the same loading place, the calculations of loading time will proceed from the total estimated gross weight.

 

4.7.          The consignor may refuse to transfer the consignment to the carrier:

  1. if the vehicle prepared for the consignor by the carrier is not in compliance with the requirements of the ordered vehicle with regard to load carrying capacity, maintenance, holding capacity and/or equipment of freight space, thus excluding the possibility of meeting the conditions agreed in the contract for carriage of goods;
  2. if the vehicle was not ready on the agreed date, time and place.

The consignor who terminates the contract for carriage of goods for the reasons stated above is entitled to compensation for the proven material damage caused to him, but not more than the amount of agreed carriage charge, if the failure to perform obligations by the carrier was caused by the circumstances which could not be controlled by the carrier.

The consignor has a right to refuse the ordered carriage until the time when the carrier starts to fulfil the order. If the carrier has started to execute the order and the order is cancelled, the carrier is entitled to get compensation which would cover his reasonable costs, but not more than the amount of agreed carriage charge.

 

5.    CARRIER’S DUTIES, LIABILITY AND AUTHORITY

 

5.1.Carrier’s duties during loading.

–          The carrier shall check the appearance, marking and the number of packaging units of consignment and will verify the accuracy by comparing it to the information presented in the consignment note. If it is not possible to check them or the information does not correspond to the information presented in the consignment note, the carrier will make a reasoned notation about it on all the copies of the consignment note.

–          The carrier shall load small packages and parcel consignments, and the named consignments shall be delivered (from hand to hand) to the place on the ground floor of the building designated by the consignor.

–          If possible, the carrier will load small consignments. The carrier is responsible for his activities in the freight space and at the tailboard. If the carrier participates in the loading process outside freight space, he will operate in the name and responsibility of the consignor.

5.2.      The carrier shall ensure the availability of harnesses, considering 1 harness for each pallet row, plus 2 harnesses for the last row. If the character of consignment requires special securing equipment or additional harnesses, the consignor will be responsible for the availability thereof; if agreed, the carrier may assist in acquiring additional securing equipment.

5.3.      The carrier has a right to choose an appropriate vehicle, freight space and transport route for the carriage of consignment, and at his discretion he may use direct transport or transhipment.

5.4.      The carrier may refuse the carriage assignment:

  1. if the consignor cannot hand over the consignment at the earlier agreed time, place or conditions, and the carrier’s refusal is justified by other tasks which will not allow him to postpone taking over of the given consignment or when it is not possible any more to meet the delivery terms (time-limit) presented in the contract for carriage;
  2. if the consignor does not confirm the notations made by the carrier on the consignment note.

The carrier who terminates the contract for carriage of goods for the reasons stated above is entitled to compensation for the costs incurred, but not more than the amount of agreed carriage charge, if the failure to perform obligations by the consignor was caused by the circumstances which could not be controlled by the carrier.

5.5.      If the consignee refuses to receive goods at the unloading place, the carrier has a right to claim compensation from the consignor for additional expenses.

5.6.      If the consignor wants to re-address the consignment without unloading it from the vehicle, it would mean making of a new contract for carriage of goods. The carrier has a right to refuse to make a new contract and he may require unloading of the consignment.

5.7.      If the carrier notices at some stage of the carriage that the gross weight of the consignment is higher than declared by the consignor, he has a right to unload the excess load immediately at the expense and risk of the consignor.

5.8.      If the gross weight of the consignment does not exceed the limits of estimated gross weights provided by legislation of general application, carriage of the load exceeding the estimated gross weight declared in the consignment note will be paid for by double tariff.

5.9.      The consignor shall compensate the carrier all fines and fees collected from the carrier in connection with incorrect indication of gross weight of the consignment or other incorrect information given about the consignment.

5.10.  The carrier has a right to unload the consignment immediately, to have it stored, collected or destroyed at the expense of the consignor, and the consignor will have to cover the cost incurred on the following occasions:

1)   it is discovered during carriage that the load contains dangerous substances or hazardous waste, the carrier was not correctly informed of before taking over of the consignment from the consignor;

2)   the consignor had not supplied the carrier with all necessary documents for carriage of dangerous goods, including packaging certificates required by shipping companies if the vehicle or container is transported for a period by sea;

3)   it is found that the classification, packaging and/or marking of dangerous goods is not in conformity with rules applicable to their carriage.

5.11.  The carrier shall refuse to follow any instructions of the consignor which would lead to the violations of rules regulating driving time and speed or working and rest time of the driver.

 

 

 

  • 6.      PAYMENT FOR CARRIAGE

 

 

6.1.      The carriage and related service charges and expenses shall be paid by the time of handing over of goods, unless agreed otherwise.

 

6.2.      The consignor, as the person giving the assignment to the carrier, irrespective of the agreement on payment of carriage charges, shall pay for carriage and other taxes if the carrier has not redeemed the consignment or has refused to pay carriage charges, or is incapable of making the payment for carriage.    Carriage charges for perishable goods or consignments of low value shall be paid in advance.

 

6.3.      If the work assignment accepted by the carrier is interrupted under circumstances not controlled by the carrier (e.g. strike, work stoppage), the carrier has a right to receive compensation for his work performed and costs incurred.

 

6.4.      Carriage charges are calculated individually for each consignment according to its estimated gross weight. Carriage charges shall be calculated by running meters of the freight space in the case of consignments which are difficult to load because of their different shape or inferior quality of packaging and when the conventional make-up of load is impossible together with other consignments.

 

6.5.      Actual consignment data is taken into account for calculation of carriage charges.

 

6.6.      The gross weight of consignment, on which carriage charges are calculated is rounded up as follows:

Parcel consignments with the accuracy of 1 kg;

Consignments of estimated gross weight under 1000 kg – with the accuracy of 10 kg;

Consignments of estimated gross weight over 1000 kg   – with the accuracy of 100 kg.

6.7.      Supplementary charges and other payments

 

–          In addition to actual carriage charges, other expenses arising during carriage are collected according to effective price lists or actual costs (including payments for additional securing equipment and payment for the return of the signed consignment note).

–          Supplementary charges are prescribed for the carriage of consignments which fully or partially contain dangerous substances.

–          Reward of waiting is collected for exceeding the time limit for loading.

–          Sending of written reminders may be for pay according to the carrier’s price list.

–          The consigner is not allowed to calculate set-off even when the consignor has claims on the carrier.

–          All costs incurred in the collection of invoices not paid on time shall be covered by the debtor.

–          If the limitation date of the exercise of claim has arrived, the creditor has a right to encumber the movables of the debtor in his possession by a pledge.

 

6.8.      ‘Cash on delivery’ charge. The carrier shall undertake the responsibility for supervision of the collection of ‘cash on delivery’ charges only with prior written agreement and when the carriage documents of the consignment bear notation about it and the amount and method of payment of the ‘cash on delivery’ charge is explicitly indicated and defined. The carrier has a right to require additional payment for it, as well as covering of all related additional costs.

 

FILING OF CLAIMS

 

Filing of complaints and claims will be pursuant to the procedures laid down in the Law of Obligations Act and the CMR Convention. Claims shall be filed in writing with documents giving reasonable grounds of the claim.

 

Settlement of claims will be pursuant to the legislation of the Republic of Estonia and international agreements ratified by the Republic of Estonia.

CMR Convention

CONVENTION ON THE CONTRACT FOR THE
INTERNATIONAL CARRIAGE OF GOODS BY
ROAD (CMR) (GENEVA, 19 MAY 1956)

 

PREAMBLE / [PREAMBLE] /

The Contracting Parties,

Having recognized the desirability of standardizing the conditions governing the contract for the international carriage of goods by road, particularly with respect to the documents used for such carriage and to the carrier’s liability,

Have agreed as follows:

 

CHAPTER 1 – SCOPE OF APPLICATION

 

ARTICLE 1

1. This Convention shall apply to every contract for the carriage of goods by road in vehicles for reward, when the place of taking over of the goods and the place designated for delivery, as specified in the contract, are situated in two different countries, of which at least one is a contracting country irrespective of the place of residence and the nationality of the parties.

2. For the purpose of this Convention, “vehicles” means motor vehicles, articulated vehicles, trailers and semi-trailers as defined in article 4 of the Convention on Road Traffic dated 19 September 1949.

3. This Convention shall apply also where carriage coming within its scope is carried out by States or by governmental institutions or organizations.

4. This Convention shall not apply:

(a) To carriage performed under the terms of any international postal convention;

(b) To funeral consignments;

(c) To furniture removal.

5. The Contracting Parties agree not to vary any of the provisions of this Convention by special agreements between two or more of them, except to make it inapplicable to their frontier traffic or to authorize the use in transport operations entirely confined to their territory of consignment notes representing a title to the goods.

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EFFA/ELEA General Conditions

Estonian Freight Forwarders Association and Estonian Chamber of Commerce and Industry have agreed on August 1st, 2000 to amend and complement the General Conditions of the Estonian Freight Forwarders Association agreed between aforesaid parties on June 6th, 1995 according to the General Conditions of the Nordic Association of Freight Forwarders NSAB 2000, valid since June 1st, 1998. Usage of the General Conditions of the Nordic Association of Freight Forwarders is based on their acceptance given on May 6th, 1995.

On 9 June 2011, the Estonian Logistics and Freight Forwarding Association (ELFA) and the Estonian Chamber of Commerce and Industry agreed to amend the wording of clause C of §27 of the General Terms and Conditions to ensure consistency with ELFA’s General Terms and Conditions for Warehousekeepers which entered into force on 1 February  2011. The amendments will enter into force on 13 June 2011.

 

Present conditions will be effective from January 1st 2001.

 

The conditions give the customer in all respects at least the degree of protection stipulated by the FIATA Model Rules for Freight Forwarding Services (1996 version).

_____________________________________________________________________

 

INTRODUCTORY CONDITIONS

 

The General Conditions of the Estonian Freight Forwarders Association set forth the freight forwarder’s and the customer’s rights and obligations, including the freight forwarder’s liability under various transport law conventions, such as CIM, SMGS, CMR, the Hague-Visby Rules and the Warsaw Convention.

 

APPLICABILITY

§ 1

Unless otherwise expressly agreed, these conditions will apply to the members of the Estonian Freight Forwarders Association, as well as other parties having agreed to apply them.

 

THE FREIGHT FORWARDER CONTRACT

 

§ 2

The freight forwarder contract is applied on the carriage and storage of goods as well as services in connection with the transport or storage of goods, such as

  1. customs clearance of goods,
  2. counceling the customer in the performance of his obligations under public law,
  3. handling and marking of goods,
  4. signing of insurance,
  5. assistance with documents for export and import,
  6. collection of “cash on delivery” charges and other assistance concerning the payment of the goods,
  7. advice in matters of transport and marketing.

The freight forwarder may carry out these services either on his own account or as intermediary.

A. The freight forwarder has a liability as carrier under §§ 15-23:

  1. when he performs the carriage of goods by his own means of transport (performing carrier), or
  2. when he has expressly or impliedly accepted liability as carrier (contracting carrier).

The freight forwarder shall be considered as contracting carrier:

  1. when he has issued a transport document in his own name,
  2. when in connection with marketing or in his offer he formulated his undertaking in such a way, e.g. quoting his own price for the transport, that it can be assumed that he has undertaken a liability as carrier,
  3. when in connection with carriage of goods by road.

B. Under §§ 24 – 26 the freight forwarder has a liability as intermediary, with regard to carriage of goods not covered by article A.

C. The freight forwarder’s liability also includes liability for contractors he has engaged to perform the contract and who are independent:

  1. when he has liability as carrier in accordance with article A.,
  2. when the services have been performed by himself with the help of his own equipment or employees, or
  3. when he has accepted responsibility for the services on his own account.

These conditions apply equally to the persons of whose services the freight forwarder makes use for the performance of the contract as to the freight forwarder himself, irrespective of the grounds for the claims against the freight forwarder and such other persons. The aggregate liability of the freight forwarder and such other persons is limited to what applies to the freight forwarder’s liability under these conditions. When the freight forwarder has undertaken to render services for his own account, general practice and generally accepted terms are applicable in so far as they do not contradict these conditions.

In other cases than those mentioned under subsections a-c the freight forwarder is responsible as intermediary without liability for other parties than his own employees.

 

D. With regard to warehousing, the conditions of § 27 apply.

 

THE CUSTOMER

§ 3

In the present conditions, the customer is the party that has concluded a contract with the freight forwarder, or that has acquired the rights and duties of that party. The liability of the customer is enacted by  § 28.

 

 

 

GENERAL CONDITIONS

THE PERFORMANCE OF THE CONTRACT

 

§ 4

It is incumbent upon the parties to provide each other information necessary for the performance of the contract. The freight forwarder undertakes to collect, take care of and accomplish the transport of goods in accordance with the contract and in a suitable way for the customer with generally used means and routes of transport.

Instructions to the freight forwarder concerning the scope of the contract shall be given directly to him. Information contained in the invoice stating that goods have been sold cash on delivery or a declaration of value specified in the dispatch instructions does not therefore mean that the freight forwarder has undertaken to collect the invoice amount or sign insurance.

 

§ 5

It is the duty of the freight forwarder to prove that he has protected the customer’s interests according to the contract.

Should the freight forwarder, or any of those for whom he is responsible, wilfully have caused damage, delay or other loss, he may not invoke the rules in these conditions, which exonerate him from or limit his liability, or alter the burden of proof, in cases it is in conflict with § 23.

 

§ 6

The freight forwarder is responsible for ensuring that the goods arrive within a reasonable time (without a time guarantee). When assessing such reasonable time, regard shall be had to information as to the expected time of arrival stated by the freight forwarder in his marketing or in connection with the signing of the contract.

The freight forwarder is (with a time guarantee) liable for the goods arriving within the time that:

–                     has been agreed upon in writing as a special, time guaranteed transport

–                     delivery at a fixed date has been submitted in writing as a condition of an offer undisputedly accepted by the freight forwarder

–                     delivery at a fixed date has been presented by the freight forwarder in a written quotation that was accepted by the customer.

 

§ 7

If becomes necessary for the freight forwarder in the performance of the contract to act before seeking instructions, he does so at the customer’s risk and for his account.

If the risk of depreciation of goods already taken over arises or, there is a danger to persons, their property or to the environment, and the customer cannot be reached, or should he not, upon being requested to remove the goods, arrange to do so, the freight forwarder may take appropriate measures in respect of the goods, and, if necessary, for example sell the goods in an appropriate manner. The freight forwarder can, depending on the circumstances and without notice, sell, render harmless or destroy goods which are in danger of becoming worthless or extensively depreciated, or which give rise to danger.

After deduction of reasonable expenses connected with the sale, the sum received from the sale shall be promptly reported to the customer.

The freight forwarder shall notify the customer as soon as possible about measures that have been taken, and, upon request, supply evidence of any expenses in connection herewith, as well as prove that he has exercised due diligence in limiting costs and risks.

For such expenses the freight forwarder may demand a special expense charge.

 

§ 8

The freight forwarder has a duty to notify a claim against a third party, when goods have been damaged, delayed or when some other loss has occurred due to third party’s acts or omissions. The freight forwarder shall inform the customer and consult with him in order to take such steps as are necessary to present a claim against the party who has caused the damage or who is responsible this.  Freight forwarder shall, when requested to do so, assist the customer in his relation to the third party.

If so requested, the freight forwarder shall transfer to the customer those rights and claims that the freight forwarder may have under his contract with a third party.

 

§ 9

The freight forwarder’s quotation is based on information relevant to the contract supplied to the forwarder, or else on circumstances that are normal for the contract. If the circumstances do not indicate otherwise, the freight forwarder should be able to assume that the goods that have been handed over from carriage are of such a nature and such a relation between weight and volume that is normal for the type of goods in question.

Unless otherwise agreed, the customer is obliged, upon request, to make advance payment for such expenses that may be incurred in the performance of the contract.

 

§ 10

Notwithstanding the customer’s obligations as to payment under contracts of sale or freight contracts with parties other than the freight forwarder, he has a duty upon request, to pay the freight forwarder what is due (advance payment for salary, refund of outlays) against appropriate documentation.

Unless otherwise agreed, when the goods have not yet been delivered for transport in agreed order and condition, and the contract cannot be wholly or partially executed as agreed, the freight forwarder has the right to receive payment for freight and other remuneration. From payment less what the freight forwarder has saved, or could have saved, by not executing the contract.

Although the freight forwarder has given the customer the right to defer payment until the arrival of the goods at destination, the customer has nevertheless a duty, when so requested, to pay the freight forwarder what is due, if due to circumstances beyond the freight forwarder’s control, the contract cannot be performed as agreed provided such non-performance does not engage the freight forwarder’s responsibility under these conditions.

 

§ 11

The freight forwarder has the right to special compensation for work in addition to what has been explicitly agreed upon or normally follows from the freight forwarder’s contract. The compensation is determined in accordance with the same principles as those applying to the compensation for the services under the contract.

As regards a refund of outlays in addition to those expressly agreed upon, or normally follow from the freight forwarder’s contract and which have not been paid in advance to him, the freight forwarder has the right to compensation for documented outlays and costs connected therewith.

 

§ 12

If the freight forwarder has outlays for the intermediated services, the customer has a duty upon request to refund these amounts subject to appropriate documentation. It is the freight forwarder’s duty to check, and if possible, ensure together with the customer, that the services rendered are within the scope of the contract. The freight forwarder shall, if possible, inform the customer prior to such payment being made.

 

§ 13

Should the performance of the contract be interrupted by reason of hindrances beyond the freight forwarder’s control, he is entitled to refund of outlays incurred and work carried out against appropriate documentation.

 

LIEN, ETC.

 

§ 14

The freight forwarder has a lien to encumber the goods under his control, for assuring payments, remuneration, warehousing charges as well as for all other amounts due from the customer under contract according to § 2 above.

Should the goods be lost or destroyed, the freight forwarder has right to meet his claims in respect of compensation payable by insurance companies, carriers or others.

Should the amount due to the freight forwarder not be paid at stated times, he has the right to arrange the sale, in a satisfactory manner, of as much of the goods as is required to cover the total amount due to him, including expenses incurred. The freight forwarder shall, if possible, inform the customer well in advance what he intends to do with regard to the sale of the goods.

 

SPECIAL CONDITIONS

THE FREIGHT FORWARDER’S LIABILITY AS CARRIER

 

§ 15

The freight forwarder is liable as carrier in accordance with §§ 16-23 for loss, depreciation of or damage to goods, occurring between the moments when the goods have been taken over for transport until the moment the goods have been delivered, as well as for delay in delivery.

The carrier’s liability ceases 15 days after the freight forwarder has informed the party who has the right to receive the goods that the goods have arrived, or has forwarded a written notice in this respect at the notified address.

Thereafter, the freight forwarder is liable for taking care of the goods as agreed or follows from his duty to protect the customer’s interests in a diligent manner under § 5.

 

§ 16

Freight forwarder is not liable if loss, depreciation of or damage to goods is caused by:

  1. fault or neglect of the customer,
  2. the customer or anyone acting on his behalf who has loaded, unloaded or otherwise handled the goods,
  3. the inherent nature of the goods to become damaged, e.g. by breakage, leakage, spontaneous combustion, rotting, rust, fermentation, evaporation or being susceptible to cold, heat or moisture,
  4. lack of or insufficient packing,
  5. faulty or insufficient address or marking of the goods,
  6. faulty or insufficient information about the goods,
  7. circumstances which the freight forwarder could not avoid and the consequences of which he was unable to prevent.

The stipulations of a – f notwithstanding, the freight forwarders is liable to the extent that his fault or neglect has caused or contributed to the loss, depreciation, damage or delay.

When assessing the freight forwarder’s liability under points b, d and e, consideration shall be taken of the fact whether, despite his knowledge of the circumstances, the freight forwarder has approved or failed to object to the customer’s measures concerning the preservation of the goods.

Unless otherwise agreed, the freight forwarder is not liable for money, securities and other valuables.

 

§ 17

Compensation for loss or depreciation of goods shall be calculated on the basis of their invoice value, unless it is proved that their market value, or the current value of goods of the same kind and nature at the time and place the freight forwarder took over the goods was different from the invoice value. Compensation will not be paid for antique value, sentimental value or other special value.

Freight charges, customs charges and other outlays connected with the transport of the goods lost will also be compensated. Apart from that, the freight forwarder is not obliged to pay any compensation, e.g. for loss of profit, loss of market or other loss of any kind whatsoever.

 

§ 18

Compensation for damaged goods shall be paid with an amount equivalent to the extent of depreciation in value. The amount is arrived at by using the percentage of depreciation in value consequent upon damage to the goods, in relation to the value of the goods, as laid down in § 17, par.1. Expenses referred to in § 17, par.2, first sentence, will also be paid to the same extent, but apart from this, the freight forwarder is not obliged to pay any further compensation.

 

§ 19

If the freight forwarder has paid the full value of the goods, he may take over title to the goods if he so desires.

 

§ 20

Delay 

A. If the goods are delivered after the date determined under § 6, par. 1, the freight forwarder shall compensate the customer for such direct and reasonable expenses that could have been foreseen as probable consequences of the delay at the time of the conclusion of the contract. The amount cannot exceed a sum corresponding to the amount agreed upon in the contract concerning freight or other compensation.

B. When a time guarantee has been agreed upon, according to § 6, par. 2, and the agreed time of transport has been exceeded, the freight forwarder shall, unless otherwise agreed, credit the customer for the freight or any other compensation agreed upon for the transport. This does not apply if the delay was caused by circumstances beyond the freight forwarder’s own control.

The customer shall be considered to have suffered a loss equivalent to the amount of the freight, as long as it cannot be shown that the amount of the loss is smaller. In the latter case only the amount equivalent to the actual loss shall be credited.

Compensation for delay shall never exceed the amount of the freight.

§ 21

Delay and total loss

The customer has the right to compensation as if the goods had been lost if no delivery has been made

–    with regard to international road transports, within 30 days after the expiry of the agreed period of time, or, if no particular period of time has been agreed upon, within 60 days form the moment the goods were accepted for transport,

–          for other types of transport, within 60 days from the time when the goods should have been arrived,

The client has no right to compensation as if the goods had been lost while the freight forwarder can prove within the terms named above that the goods are not being lost and can be over handed over reasonable time.

 

§ 22

For delay, depreciation of or damage to goods the freight forwarder’s liability is limited to SDR 8,33 per kg gross of the part of the goods that has been lost, depreciated or damaged.

 

§ 23

If a certain mode of transport has been expressly agreed upon, or if it is proved that loss, depreciation, damage or delay has occurred whilst the goods were being carried by a particular mode of transport, the freight forwarder shall instead be liable in accordance with the law applicable to such mode of transport and the commonly used and generally accepted conditions of carriage, to the extent that these deviate from what is laid down in § 5, par. 2 or §§ 15-22.

 

THE FREIGHT FORWARDER’S LIABILITY AS INTERMEDIARY

 

§ 24

The freight forwarder is liable for damage resulting from his lack of due diligence in the performance of the contract. It is the duty of the freight forwarder to prove that he has exercised such due diligence in order to protect the customer’s interests according to the contract.

The freight forwarder is not liable for acts or omissions of third parties in performing the transport, loading, unloading, delivery, clearance, storage, collection or other services rendered by the freight forwarder as intermediary, provided he can prove that he has acted with due diligence in choosing such third parties.

Unless otherwise agreed, the freight forwarder is not liable for money, securities and other valuable.

 

§ 25

In calculating the extent of compensation for loss, depreciation, damage and delay, the stipulations of §§ 17-19 and § 20 A., shall be applied correspondingly.

 

§ 26

The freight forwarder’s liability as intermediary, etc. is limited to SDR 50 000 in respect of each contract, provided that compensation cannot exceed:

  1. for delay sum corresponding to the amount agreed upon in the contract concerning freight or to the agreed compensation in respect of the contract;
  2. for loss, depreciation of or damage to goods SDR 8,33 per kg gross of the part of the goods which has been lost, depreciated or damaged.

 

STORAGE

 

§ 27

A. For storage of goods in connection with a transport for which the freight forwarder is liable as carrier, he is liable for a period of 15 days after the transport in accordance with the provisions of §§ 15 – 23.

B. When the freight forwarder arranges storage as intermediary the provisions of §§ 24 – 26 apply.

C. For other storage, the provisions of the General Terms and Conditions for Warehousekeepers shall apply and the freight forwarder shall also assume liability for persons involved in the performance of the contract. [amended on 9 June 2011]

 

 

THE CUSTOMER’S LIABILITY

 

§ 28

The customer has a duty to hold the freight forwarder harmless for damage or loss incurred by the freight forwarder owing to the fact that:

  1. the particulars concerning the goods are incorrect, unclear or incomplete,
  2. the goods are incorrectly packed, marked, declared or remained not packed, or incorrectly loaded or stowed by the customer,
  3. the goods have such harmful properties that could not have been foreseen by the freight forwarder,
  4. due to the errors or negligence committed by the customer the freight forwarder is obliged to pay duty or other official taxes or to provide security.

In assessing the customer’s responsibility in accordance with a) and b) regard shall be had to the fact that the freight forwarder, despite his knowledge of the circumstances, has accepted or failed to make an objection to the measures taken by the customer in respect of the goods.

Should the freight forwarder, in his capacity of charterer in connection with carriage of the customer’s goods by sea, be obliged to pay general average contribution to the carrier, or become exposed to claims from third parties for reasons stated above, the customer shall prevent any expenditures or losses that may occur to the freight forwarder.

NOTICE OF CLAIM AND DISPUTES

NOTICE OF CLAIM

 

§ 29

Notice of claim shall be given to the freight forwarder without undue delay. In case of apparent depreciation or damage, notice should be given immediately upon the receipt of the goods.

If notice of claim is given later than within seven days from the day when the goods were received, it is up to the party who gave notice of claim against the freight forwarder to prove that the damage or depreciation of the goods had occurred before the goods were received. If the claimant fails to prove this, the goods will be considered to have been delivered in perfect condition. Notice of claim concerning matters other than damage to, or depreciation or loss of the goods shall be given within fourteen days since the day on which the customer knew or ought to have known about the circumstances forming the basis of the freight forwarder’s liability. If such notice of claim has not been given, the customer has lost his right of claim.

When a particular mode of transport has been agreed upon with the freight forwarder, the statutory provisions and the generally approved conditions applicable to such mode of transport shall apply instead, to the extent that they deviate from what is stated in par.1 above.

 

EXPIRY

 

§ 30

Legal proceedings against the freight forwarder shall be commenced within period of one year since the right of claim emerges, otherwise the right of claim will become expired. The time limit period runs:

  1. upon depreciation of or damage to goods from the day upon which the goods were delivered to the consignee,
  2. upon delay, loss of the goods or other kind of loss from the time at which the delay, total loss or other loss could at the earliest have been noticed.

This expiry period shall apply when the freight forwarder’s place of business is located in Estonia.

When a particular mode of transport has been agreed upon with the freight forwarder, the statutory provisions and the generally approved conditions applicable to such mode of transport shall apply instead, to the extend that they deviate from what is stated in par. 1 above.

 

ARBITRATION (Finland, Norway and Sweden)

 

§ 31

Disputes between the freight forwarder and the customer regarding amounts that do not exceed 500 000 EEK or a dispute that arises with a customer who has entered into the contract mainly for private purposes shall be solved in Estonian court, unless otherwise agreed.

Dispute which amount exceeds 500 000 EEK shall be solved by the Arbitration court of the Estonian Chamber of Commerce and Industry Tallinn.

Incoterms

The Incoterms rules or International Commercial Terms are a series of pre-defined commercial terms published by the International Chamber of Commerce (ICC). They are widely used in International commercial transactions or procurement processes. A series of three-letter trade terms related to common contractual sales practices, the Incoterms rules are intended primarily to clearly communicate the tasks, costs, and risks associated with the transportation and delivery of goods. Here are some rules used daily in road transport.

EXW – “Ex Works” means that the seller delivers when it places the goods at the disposal of the buyer at the seller’s premises or at another named place (i.e.,works, factory, warehouse, etc.). The seller does not need to load the goods on any collecting vehicle, nor does it need to clear the goods for export, where such clearance is applicable.

FCA – “Free Carrier” means that the seller delivers the goods to the carrier or another person nominated by the buyer at the seller’s premises or another named place. The parties are well advised to specify as clearly as possible the point within the named place of delivery, as the risk passes to the buyer at that point.

CPT – “Carriage Paid To” means that the seller delivers the goods to the carrier or another person nominated by the seller at an agreed place (if any such place is agreed between parties) and that the seller must contract for and pay the costs of carriage necessary to bring the goods to the named place of destination.

CIP – “Carriage and Insurance Paid to” means that the seller delivers the goods to the carrier or another person nominated by the seller at an agreed place (if any such place is agreed between parties) and that the seller must contract for and pay the costs of carriage necessary to bring the goods to the named place of destination. The seller also contracts for insurance cover against the buyer’s risk of loss of or damage to the goods during the carriage. The buyer should note that under CIP the seller is required to obtain insurance only on minimum cover. Should the buyer wish to have more insurance protection, it will need either to agree as much expressly with the seller or to make its own extra insurance arrangements.

DDU – “Delivered Duty Unpaid” This term means that the seller delivers the goods to the buyer to the named place of destination in the contract of sale. A transaction in international trade where the seller is responsible for making a safe delivery of goods to a named destination, paying all transportation expenses but not the duty. The seller bears the risks and costs associated with supplying the goods to the delivery location, where the buyer becomes responsible for paying the duty and other customs clearing expenses.

DDP – “Delivered Duty Paid” means that the seller delivers the goods when the goods are placed at the disposal of the buyer, cleared for import on the arriving means of transport ready for unloading at the named place of destination. The seller bears all the costs and risks involved in bringing the goods to the place of destination and has an obligation to clear the goods not only for export but also for import, to pay any duty for both export and import and to carry out all customs formalities.

Liability of the carrier

Road Carrier’s Liability Insurance provides an opportunity to insure road carrier’s civil liability under the carriage of goods contract between the customer and road carrier.

Road Carrier’s Liability Insurance provides coverage for the claim filed against the road carrier under the carriage of goods contract between the customer and the road carrier. If goods are damaged or lost during transportation and the carrier incure liability for compensation of the loss or damage to the owner of the goods, then upon the existence of liability insurance the insurance company will cover the loss and damage according to the international CMR Convention.

Loading Units

Our temperature controlled trailers have capacity 33 EUR or 26 FIN pallets with cargo gross weight up to 22800 kg. Cargo volume varies between 82-85 m3, depending on the height of the trailer.

Here is a table with different units mainly used in road transport.

QTY       Unit     Weight LDM     Length  Width     Heigth

1              EUR     690      0.4         1.2          0.8         2.3

1              FIN      870       0.5         1.2          1             2.3

1              LDM    1740      1            1             2.4          2.3