Detention and demurrage charges are a shipper’s worst nightmare. These charges can add up to thousands of unforeseen dollars spent and have a massive impact on a shipper’s financial bottom line. The number of Detention and demurrage claims submitted to shipping lines by the exporters and importers has increased drastically in the year 2021- 2022. Luckily, there are ways to prevent these unanticipated expenses. This is easier to do than you may think…
When cargo arrives at its destination and is damaged or has been pilfered during transit, it’s not always clear where to start the claim process, and what documents submit the liable party. Recoupex makes claiming process straightforward for all customers who are unsure of their rights, lack the time, or lack the expertise to embark on the claims process themselves.
Time bar has been a hot topic, especially when genuine cargo claims are extinguished by carriers after a certain period of time. The nature of the time bar clauses and the concept itself is quite draconian. Every cargo claim is subject to a limitation period.
The starting point for a court is that if a claim is not made within the applicable time limit it cannot be made at all and while some courts may have the discretion to permit a claim which has been made out of time, persuading courts that claims should be allowed in such circumstances can be a lengthy and uncertain process. Missing a time limit can therefore have severe financial consequences.
Fresh and frozen cargo claims recoveries from liable carriers can be daunting, and in some cases, you might feel like giving up. Here’s what you can do to seriously enhance your chances to be paid.
Cargo exporters very often receive claim rejections from shipping lines based on “pre-shipment issues”, “hot stuff”, “load, stow, count” clauses. More often than not, shippers struggle to settle claims or settle at the higher level due to a lack of pre-shipment cargo evidence.
Cargo claims. Water ingress. The light test is so important to do before loading cargo into a container, or when the buyer receivess cargo that is inexplicably wet. The light test is great evidence to prove where the water ingressed the container and why the shipping line has to pay for cargo losses.