Carrier beware: you can be held liable for breach of duty under U.S. contract law

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TORONTO, Ont. — Carriers can be held liable for breach of duty CIFFA in a recent news bulletin.

The Canadian International Freight Forwarders Association cites the law of contracts involved the carriage of a mill shaft in 1848. As the carrier did not deliver the shaft in time, the mill could not operate. The miller sued the carrier for the down time of the mill. And lost.

A recent U.S. case, Texas A&M Research Foundation v. Magna Transportation took the same approach. A claimant can recover direct damages against a carrier who is liable for breach of duty. But the claimant only recovers for indirect, or special damages, if the circumstances in which those damages could arise were brought to the attention of the carrier at the time the contract is made.

Visit www.forwarderlaw.com for the above-cited case and other cases that have been tried in the U.S.

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