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Stockholm Arbitration Report (SAR) - (Individual Back Volumes)
Stockholm Arbitration Report (SAR) - (Individual Back Issue)
Preview Page SAR 2002 - 1
Subject matters:
(1) Whether a contract for the packing and transport of industrial
equipment provided for a fixed or variable price.
(2) When the freight increases due to an increase in the volume of the
cargo, who shall bear the risk for such increase?
(3) Duty of a carrier to notify the customer in the event of expected
increase of costs for the transportation.
Findings:
(1) Interpreted according to its wording, the contract is not a global lump
sum contract (Global-Pauschalvertrag) but a Detail-Pauschalvertrag
under German law.
(2) A freight customer providing an estimate of the total volume of a cargo
must bear the risk of variations, unless the volume of cargo has been
exceeded due to improper packing by the carrier, or its subcontractors.
(3) When a carrier becomes aware of the fact that a contractual estimate of
volume might be considerably exceeded, and the freight costs thereby can
be expected to increase, the carrier must expressly advise the customer
without delay.
Parties:
Claimant: T, logistic and forwarding company (Hong Kong) Respondent:
B, trading company (Hong Kong)
Place of arbitration:
Stockholm
Applicable substantive law:
German