Contract of Carriage

Subject: Business Law

Overview

Binding contract that specifies the terms and conditions of transportation and outlines the obligations and privileges of both the transporter and the passenger (often shown by any airway bill, bill of lading, or ticket of a passenger). The transporter is in charge of getting people or things from a location the passenger specifies to a location they want to go to in exchange for a fee or freight. This agreement deals with matters specifically linked to the items or goods being transported, obligations associated with it, and the allocation, measurement, and payment of compensation for harm, damage, or loss to the passenger's property. It also includes the transporter in passenger transportation businesses like airlines, cruise ships, etc.

A carrier is a person, group, or thing used to transport people, objects, etc. The act of transporting someone else, their belongings, or both from one location to another for compensation or other reasons is another definition of the word "carrier." While an agreement of gratuitous carriage will describe the contract as one of deposit, the contract of carriage is typically for monetary compensation and is a type of situated location conducting operas that is a contract for the hiring and renting of services. Transportation of people or products may occur via land, water, rail, or air, but for the purposes of this assignment, the focus will be on transportation of people and goods via roads. The law categorizes carriers into one of two groups: either public carriers or private carriers. A public carrier is someone whose line of work or line of business is the movement of products; a private carrier, on the other hand, only occasionally transfers items for legitimate business needs. According to Common Law classification, both private and public carriers may transport commodities for payment or without payment. (i.e. without cause).

The transporter is in charge of getting people or things from a location the passenger specifies to a location they want to go to in exchange for a fee or freight. This agreement deals with matters specifically linked to the items or goods being transported, obligations associated with it, and the allocation, measurement, and payment of compensation for harm, damage, or loss to the passenger's property.

The law categorizes carriers into one of two groups: either public carriers or private carriers. A public carrier is someone whose line of work or line of business is the movement of products; a private carrier, on the other hand, only occasionally transfers items for legitimate business needs. According to Common Law classification, carriage of goods could be done either for reward or for no reward by both private and public carriers.(i.e. gratuitously).

Nature of contract

Only the carrier's route is covered by and governed by this contract of carriage. Any provision of this Contract of Carriage may not be waived or changed by a representative, agent, or servant of Carrier without the express written consent of a firm officer of Carrier. This Contract represents the whole understanding between the Passenger and the Carrier, unless prohibited by law. It was signed on their behalf.

Common Carrier:

Common law common carrier refers to an entity that presents itself to the public as being available to transport for hire, not as a one-time job but as a business, the goods of all people who deem it appropriate to do so, without having the right to specify what or for whom it should transport, or to limit transfer to full loads.

A common carrier is someone who claims to be willing to transport items for everyone.

Private Carriers:

A private carrier is someone who doesn't operate as a carrier on a regular basis but who occasionally transports items for pay. In actuality, he is a private carrier because he transports his own cargo.

Rights of Common Carrier:

The following are significant rights that a common carrier has:

  • Right of Reward:
    • A common carrier is entitled to get a fair payment for his services. It ought to be compensated for its contributions.
  • Right of Advance Payment:
    • Before accepting the products, he has the right to request payment in advance. He or she may request an advance if they feel uneasy or there are risks in the transfer.
  • Right to Retain the Goods:
    • If the charges are not paid to him, he has the right to hold onto the goods until payment is made.
  • Right of Selling:
    • If the recipient refuses to accept the delivery, the common carrier has the authority to sell the perishable items after receiving permission from the sender.
  • Right to Recover Damages:
    • If the products being transported are of a risky nature and result in harm, a common carrier is entitled to compensation for that damage.
  • Expenses Recovery Right:
    • The delivery may occasionally be refused by the recipient. As a result of his reluctance, he incurs certain costs. The common carrier may collect these costs from any of the parties.
  • Right to Limit Liability:
    • Additionally, he is entitled to use the unique agreement with the consignor to restrict his liabilities. Consignor should be included in the contract.
  • Right to Recover Goods:
    • Occasionally, a common carrier delivers the items to the wrong recipient. If the items were delivered incorrectly, he has the right to recover the goods or their worth from that person.
  • Recovery of Loss Caused by Concealing:
    • Consignors occasionally lie about the details of the gods. As a result, the common carrier experiences a loss. He, the consignor, is capable of making up for this loss.
  • Refusal Right:
    • In a few unique circumstances, he has the option to decline carrying the items. They are free to decline to transport the products.

Duties of Common Carrier:

  • Acceptance of Goods:
    • The first and most crucial responsibility of a common carrier, with some exceptions, is to accept the products from anyone who wishes to hire him to deliver their goods.
  • Common Route:
    • The carrier should transport the products starting from the common route. He must refrain from taking the quickest path. He should handle it just like any other situation.
  • To Carry the Goods Safely:
    • A crucial responsibility of the common carrier is to transport the products safely. The carrier is liable in the event of loss or damage.
  • In Time Delivery:
    • The common carrier is required to deliver the products exactly on the day and at the time specified in the contract or agreement.
  • To Obey the Instructions:
    • The carrier is required to follow the goods sender's instructions on the shipment of the items.
  • Delivery To A Right Person:
    • The common carrier also has a responsibility to deliver the items to the correct recipient. If not, it will be held accountable, or the carrier will be.
  • Proper Place:
    • The goods must be delivered at the precise site or location specified in the contract, which must be done at the proper time.

Liabilities of Common Carrier:

A common carrier is responsible for any damage they do to the goods or people. However, he won't be held accountable in some unique circumstances, such as when there is a war, a public adversary, a divine act, etc.

  • Liability in case of wrong delivery :-
    • The carrier is solely responsible for the incorrect delivery of the passenger or the goods if they are delivered in error. If the items are delivered to the incorrect location or person, the carrier is responsible.
  • Liability in case of negligence :-
    • If a passenger has an injury as a result of the carrier's negligence, the carrier will be responsible for the loss.

Reference:

  • Akrani, G. (2011, 09 2). kalyan-city. Retrieved from http://kalyan-city.blogspot.com/: http://kalyan-city.blogspot.com/2011/02/what-is-cheque-definition-kinds-and.html
  • Bragg, S. (2011). accountingtools. Retrieved from www.accountingtools.com: http://www.accountingtools.com/questions-and-answers/what-is-a-bill-of-exchange.html
  • Collins Dictionary of Law © W.J. Stewart, 2006
  • Ghai, K. (n.d.). yourarticlelibrary. Retrieved from http://www.yourarticlelibrary.com/essay/law-essay/law-meaning-features-sources-and-types-of-law/40363/
  • Law, E. o. (2008). thefreedictionary. Retrieved from thefreedictionary.com: http://legal-dictionary.thefreedictionary.com/promissory+note
  • Shrestha, R. P. (2007). Business Law. Kathmandu: M.K.Books.
Things to remember

Rights of Common Carrier:

This is the important rights of a common carrier :

  • Right of Reward 
  • Right of Advance Payment.
  • Right to Retain the Goods 
  • Right of Selling 
  • Right to Recover Damages
  • Expenses Recovery Right 
  • Right to Limit Liability 
  • Right to Recover Goods 
  • Recovery of Loss Caused by Concealing 
  • Refusal Right 

Duties of Common Carrier:

  • Acceptance of Goods 
  • Common Route 
  • To Carry the Goods Safely 
  • In Time Delivery 
  • To Obey the Instructions 
  • Delivery To A Right Person 
  • Proper Place 

Liabilities of Common Carrier:

  • Liability in case of wrong delivery
  • Liability in case of negligence

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