Liability for Damage during Pickup Loading and Handling of Export Cargo
Interlink編集部Liability for Damage during Pickup Loading and Handling of Export Cargo
During pickup of export cargo, the cargo may be moved from its storage position at the shipper’s warehouse or factory and loaded onto the pickup vehicle using a forklift, crane, hand pallet truck, tail-lift truck, truck-mounted crane vehicle, or other handling equipment. If the cargo is dropped, overturned, struck, compressed, or destabilised during this short operation, the matters that must be investigated will differ depending on who actually performed the work and who directed the operation.
However, the person who physically operated the forklift or other equipment is not automatically the party ultimately liable for the damage. The actual operator, person giving work instructions, provider of the handling equipment, contractual status of the parties, delegated work scope, subcontracting relationship, applicable Clause, and cargo condition before and after the incident must all be reviewed together.
Damage discovered while cargo is being loaded onto the vehicle does not necessarily mean that the damage occurred during loading. Pre-existing damage, damage during internal movement within the shipper’s premises, damage during loading, and damage during positioning or securing after loading must be distinguished.
Scope of This Article
| Item | Matters Covered in This Article | Other Articles or Matters Requiring Individual Review |
|---|---|---|
| Damage existing before pickup loading | External damage, deformation, wetting, torn packing, and other abnormalities identified before loading begins | The adequacy of packing design itself is covered in articles concerning packing and cargo characteristics |
| Damage during loading by the shipper | Incidents involving forklifts, cranes, or other equipment operated by the shipper’s employees or contractors | Damage occurring after the vehicle begins domestic transport is covered in “Liability for Damage during Domestic Pickup Transport of Export Cargo” |
| Damage during loading by the trucking company | Incidents where the driver or personnel arranged by the trucking company perform the loading | Damage occurring after departure is covered in “Liability for Damage during Domestic Pickup Transport of Export Cargo” |
| Damage during joint operations | Cases where the shipper and trucking side jointly perform guidance, loading, positioning, or securing | Liability must be reviewed individually rather than determined solely from the title or employer of the operator |
| Damage caused by a third-party handling contractor | Incidents involving a separate handling contractor arranged by the shipper or freight forwarder | The ordering party, subcontracting relationship, and applicable Clause require individual review |
| Damage during positioning or securing | Damage caused during cargo positioning, lashing, blocking, bracing, or similar work on the vehicle | The causal relationship with cargo shifting during transport is also reviewed in the domestic pickup transport damage article |
| Conditional pickup | Records, reservations, and instructions where cargo is picked up despite visible damage | Damage first reported after in-gate is covered in “Handling Damage Reported after Export Cargo In-Gate” |
| Repacking and continuation of transport | Decisions concerning repacking, repair, replacement cargo, or continuation of transport after damage | Specific marine cargo insurance coverage is covered in cargo insurance and claims articles |
Basic Damage Scenarios during Pickup Loading
| Scenario | Typical Situation | First Matter to Confirm | Main Evidence | Practical Caution |
|---|---|---|---|---|
| 1. Possible pre-existing damage | Torn packing, dents, wetting, or other external abnormalities are identified before loading | Cargo condition before loading began | Pre-shipment photographs, inspection records, and pickup receipt | Do not confuse the place where damage was discovered with the place or time where it occurred |
| 2. Damage during shipper-side handling | Cargo is dropped or struck while a shipper-side forklift is loading it onto the vehicle | Operator, work instructions, and equipment used | CCTV footage, photographs, and work reports | Separate the physical operation performed by the shipper from contractual liability |
| 3. Damage during trucking-company-side handling | Cargo overturns while the driver or other trucking personnel use a tail-lift truck or other equipment | Which party undertook the loading work | Pickup instructions, transport terms, and site records | Confirm whether loading was included within the agreed transport service |
| 4. Damage during joint operations | The shipper operates a forklift while the driver guides positioning or placement on the vehicle | The specific role performed by each participant | Video, witness statements, and site photographs | Do not allocate responsibility merely because the operation was described as joint work |
| 5. Damage caused by a third-party handling contractor | A separately arranged crane company or other handling contractor damages the cargo | Who engaged the handling contractor | Purchase order, quotation, and work instruction | Distinguish the physical operator from the contractual counterparty |
| 6. Damage discovered after loading | External damage is noticed after the cargo is on the vehicle, but the exact moment of occurrence is unknown | Last confirmed sound point and first confirmed abnormal point | Photographs before and after loading and receipt records | Do not conclude that loading caused the damage solely because it was discovered on the vehicle |
When Damage May Have Existed before Pickup Loading
If torn packing, a dented wooden case, a leaning pallet, or another abnormal condition is identified before loading begins, the condition should be recorded before any handling continues.
At this stage, the driver or freight forwarder should not independently conclude that the shipper is liable. The investigation should establish when the cargo was last confirmed to be sound, how it was moved within the shipper’s warehouse, and whether any abnormality was recorded during the pre-shipment inspection.
If the cargo is nevertheless picked up, the condition should be described specifically on the pickup receipt, other receipt document, or email, with supporting photographs. A specific description of the location, extent, and nature of the damage is more useful than a general notation such as “packing damaged.”
When the Shipper Performs the Loading
At a shipper’s warehouse or factory, the shipper’s forklift operator or other personnel may move the cargo to the pickup vehicle and load it directly onto the vehicle.
If the damage clearly resulted from penetration by forklift forks, dropping, cargo collapse, or contact with the vehicle during shipper-side handling, the immediate physical cause may be comparatively easy to identify.
However, final liability should not be determined only by identifying who operated the equipment. It is also necessary to confirm whose work scope included loading, whether the driver instructed the loading position, and whether information such as cargo weight, dimensions, centre of gravity, and cargo configuration had been properly shared.
When the Trucking Company Performs the Loading
The driver or personnel arranged by the trucking company may perform loading using a tail-lift truck, truck-mounted crane vehicle, forklift, or other equipment.
In such a case, it should be confirmed whether loading was included within the transport contract or individual pickup instructions, or whether it was separately requested as an additional handling service.
The suitability of the vehicle and handling equipment for the cargo weight, dimensions, centre of gravity, and cargo configuration should also be reviewed. The investigation should distinguish a simple operating error from a failure to provide information necessary to select appropriate equipment.
Damage during Joint Operations
In practice, several parties may jointly perform loading. For example, the shipper may operate the forklift while the driver stands on the vehicle and gives positioning instructions.
In such circumstances, it is inappropriate to conclude simply that the shipper is liable because the shipper operated the forklift, or that the trucking company is liable because the driver gave directions.
The investigation should identify who instructed the movement to begin, who determined the stopping position, who was responsible for checking blind spots, and who recognised any instability or dangerous condition immediately before the incident.
When a Third-Party Handling Contractor Is Involved
For heavy cargo, long cargo, or other shipments that cannot easily be loaded with the normal pickup vehicle alone, a crane company or other specialist handling contractor may be separately arranged.
In such cases, it is necessary to determine not only whether the third-party handling contractor physically caused the incident, but also who engaged that contractor. The contractor may have been arranged by the prime freight forwarder as a subcontractor, or engaged directly by the shipper.
The investigation should also identify who provided the handling instructions, cargo weight, centre-of-gravity information, lifting points, and other technical information, as well as the work scope undertaken by the handling contractor.
Comparison of Shipper-Side Loading, Trucking-Company-Side Loading, Joint Operations, and Third-Party Handling
| Item | Shipper-Side Loading | Trucking-Company-Side Loading | Joint Operations | Third-Party Handling |
|---|---|---|---|---|
| Main physical operator | Shipper’s employees or contractors | Driver or personnel arranged by the trucking company | Both shipper-side and trucking-side personnel | Specialist contractor such as a crane company |
| Main handling equipment | Equipment provided by the shipper | Vehicle-mounted or trucking-company-arranged equipment | Equipment from both sides may be used | Equipment provided by the specialist contractor |
| Positioning and work instructions | Not necessarily controlled solely by the shipper | The driver may determine loading position | Both parties may provide instructions | The ordering party and on-site supervisor must be identified |
| Cargo information | Often held primarily by the shipper | Work is based on information provided in advance | Information exchange between both sides is important | Weight, centre of gravity, and lifting points are particularly important |
| Possible causes | Operation, packing, or cargo information | Operation, equipment selection, or positioning | Combination of instructions and physical actions | Specialist work, equipment, lifting gear, or cargo information |
| Liability review | Not determined solely from who physically performed the work | Not determined solely from who physically performed the work | Each participant’s actions must be separated and reviewed | Ordering and subcontracting relationships must also be reviewed |
| Main evidence | Work records, photographs, and video | Transport instructions, vehicle records, and photographs | Video and statements from both sides | Purchase order, work instruction, and operation records |
Typical Causes by Handling Equipment
| Handling Method | Typical Incident | Matters to Confirm | Evidence to Preserve | Practical Caution |
|---|---|---|---|---|
| Forklift | Fork penetration, dropping, overturning, or cargo collapse | Fork position, cargo weight, centre of gravity, and insertion point | Fork marks, pallet, and video | Compare external damage marks with the shape and position of the equipment |
| Tail-lift truck | Overturning during lifting or falling from an edge | Platform height, lifting capacity, and cargo restraint | Condition of lift and vehicle photographs | Confirm equipment capacity against cargo weight |
| Truck-mounted crane vehicle | Dropping, contact damage, or lifting-gear failure | Lifting point, lifting gear, cargo weight, and operating radius | Lifting gear, crane position, and site photographs | Confirm the scope of responsibility for the lifting operation |
| Overhead crane | Swinging, contact with equipment, or lifting-gear release | Operator, signal person, and lifting points | CCTV footage and equipment records | A third party may perform the operation even where the equipment belongs to the shipper |
| Hand pallet truck or trolley | Overturning at a level difference, cargo collapse, or collision | Floor condition, slope, and cargo restraint | Floor photographs and cargo configuration photographs | Serious incidents can occur even with simple handling equipment |
| Manual handling | Dropping, impact, or uneven handling | Number of workers, cargo weight, and lifting method | Work records and witness statements | Confirm whether the work conditions were unreasonable for manual handling |
Distinguishing External Damage from Internal Damage
| Condition | External Appearance | Main Confirmation Method | Practical Caution |
|---|---|---|---|
| Minor external damage only | Scratches, small dents, or torn stretch film | Photographs and dimensional confirmation | Confirm whether the contents may have been affected before deciding whether transport can continue |
| Strong external impact marks | Broken wooden case, crushed corner, or puncture | External photographs and confirmation of impact location | Consider the possibility of internal damage |
| No external abnormality but possible internal damage | No visible external damage | Check abnormal noise, tilt, instruments, or other relevant indicators | Do not conclude that the contents are sound solely from the external appearance |
| Damage to packing structure | Broken pallet, cut bands, or displaced securing material | Cargo configuration, securing condition, and preserved packing materials | Record damage to the cargo separately from damage to the packing materials |
| Wetting or contamination | Water, oil, mud, or other contamination | Source, surrounding conditions, and photographs | Confirm whether the condition arose during loading or existed beforehand |
| Overturned cargo | Deformed cargo configuration or movement at the base | Direction of overturning, centre of gravity, and restraint condition | Internal inspection may be necessary even where external damage appears limited |
Pickup Receipts and Conditional Pickup
If visible damage is identified at pickup and the cargo is accepted without any reservation, a later dispute may arise over the condition of the cargo at the time of handover. Conversely, recording a reservation on the receipt does not by itself establish the cause of the incident or determine the responsible party.
| Record Method | Example | Purpose | Limitation | Additional Action |
|---|---|---|---|---|
| Notation on pickup receipt | Crushing observed on right side of wooden case | Preserve the condition at pickup | Does not establish the cause | Preserve supporting photographs |
| Photographs | Overall cargo view and close-up of damaged area | Objectively record the extent of damage | Time and circumstances of photography may need confirmation | Photograph from several directions |
| Conditional pickup | Damage confirmed; pickup continued on shipper’s instruction | Record cargo condition and instruction | Does not constitute a waiver or release of liability | Confirm by email or other written communication |
| Work suspension record | Loading stopped at 10:15 | Establish the post-incident chronology | The reason for suspension must also be recorded | Record the time of any instruction to resume work |
| Shipper confirmation | Condition confirmed in the presence of the shipper’s representative | Align the parties’ understanding of the condition | Does not necessarily constitute an admission of legal liability | Record the name of the confirming person |
| Instruction to continue transport | Continue delivery after repair | Preserve the decision-making process after the incident | Separate from insurance coverage or liability | Record the person giving the instruction and the time |
Decision Flow after Damage Is Discovered
| Stage | Required Action | Main Party to Contact | Record to Create |
|---|---|---|---|
| 1. Stop the operation | Temporarily suspend handling to prevent further damage | On-site personnel | Time work was stopped |
| 2. Photograph before moving the cargo | Photograph the cargo, handling equipment, vehicle, and surroundings | On-site representative | Time and person taking photographs |
| 3. Check external condition and packing | Check impact marks, tears, wetting, and pallet condition | Shipper and driver | Location and nature of abnormalities |
| 4. Identify the physical operators | Confirm who operated the equipment and who gave guidance | On-site parties | Specific actions of each person |
| 5. Establish the last confirmed sound point | Confirm when the cargo was last known to be free from abnormality | Shipper and warehouse personnel | Time and supporting evidence |
| 6. Establish the first confirmed abnormal point | Confirm who first identified the abnormality and when | Person who discovered the damage | Time and place of discovery |
| 7. Review contracts and work scope | Review the contractual and delegated scope of the shipper, prime freight forwarder, trucking company, and handling contractor | Relevant contract representatives | Contracting parties, applicable Clause, and work scope |
| 8. Decide whether transport can continue | Confirm safety, possible effect on the contents, and acceptance by the receiving facility | Shipper and receiving facility | Decision maker and reasons |
| 9. Consider repacking or repair | Consider repacking, pallet replacement, or other corrective work | Shipper and packing contractor | Work details and costs |
| 10. Check the effect on terminal cut-off | Confirm the effect on the CFS cut-off, CY cut-off, or air cargo acceptance deadline | Prime freight forwarder and receiving facility | Cut-off and alternative arrangements |
| 11. Confirm insurance notification requirements | Check incident notification, preservation requirements, and related procedures | Insurance agent and insurer | Notification time and instructions received |
| 12. Report while reserving liability | Separate confirmed facts from unresolved matters and report accordingly | Shipper and relevant parties | Report contents and reservation of liability |
Evidence and Records to Preserve
| Record | What It Can Establish | Preservation Consideration | Relevance to Liability Review |
|---|---|---|---|
| Pre-shipment photographs | Cargo condition before pickup | Confirm the date and time taken | Helps determine whether damage was pre-existing |
| Photographs immediately after the incident | Cargo and surrounding conditions | Take before moving the cargo | Helps reconstruct the incident |
| CCTV footage | Entire handling sequence | Secure before automatic overwrite | May show the actual moment of damage |
| Pickup receipt | Cargo condition, time, and reservations | Preserve original or electronic record | Helps establish condition at handover |
| Work instructions | Who instructed which operation | Preserve amendment history | Helps establish delegated scope |
| Quotation and transport terms | Contractual scope of loading work | Confirm the applicable version and conditions | Relevant to contractual responsibility |
| Handling contractor purchase order | Who engaged the third-party contractor | Also review any subcontracting | Helps identify contractual relationships |
| Cargo weight and dimension information | Information required for equipment selection | Confirm when the information was sent | Relevant to the adequacy of information provided |
| Packing List | Quantity and cargo configuration | Confirm consistency with the actual cargo | Helps establish cargo characteristics |
| Vehicle and equipment information | Handling capacity and specifications | Identify the actual vehicle and equipment used | Relevant to whether equipment selection was appropriate |
| Email and chat records | Incident reports, instructions, and approvals | Preserve in chronological order | Helps review post-incident conduct |
| Damaged packing materials | Direction of impact and handling marks | Review before disposal | May be important evidence in determining cause |
Deciding between Repacking, Repair, Replacement Cargo, and Continuation of Transport
If cargo is moved immediately simply to preserve the export schedule, it may later become difficult to verify the original damage condition or cause. On the other hand, where damage is limited to packing materials and appropriate repacking can restore safe transportability, prompt corrective work may reduce disruption to the export schedule.
| Response | Suitable Situation | Matters to Confirm | Practical Caution |
|---|---|---|---|
| Continue transport without repair | External damage is minor and transport remains safe | Shipper approval and receiving-facility acceptance | Fully document the existing damage |
| Repacking | Transport can continue after repairing packing materials or replacing the pallet | Condition of contents, work location, and required time | Photograph before and after the work |
| Inspection of contents | There are strong impact marks or other signs of possible internal damage | Authority to open the package and inspection method | Do not open the cargo without appropriate authority |
| Replacement cargo | Continued export of the damaged cargo is impractical and replacement is available | Delivery schedule, transport plan, and cost | Preserve the damaged cargo where necessary |
| Cancel pickup | The cargo cannot be transported safely | Vehicle arrangement, storage location, and repeated pickup | Record approval of additional costs |
Cases That Frequently Cause Practical Problems
| Case | Main Cause | Records to Review | Decision Point | Initial Response |
|---|---|---|---|---|
| Forklift fork penetrates a wooden case | Incorrect fork insertion position | Photographs, video, and handling records | Operator and contractual scope of loading work | Stop work, preserve fork marks, and check possible internal damage |
| Cargo overturns on a tail-lift truck | Insufficient restraint or offset centre of gravity | Vehicle photographs and cargo weight information | Equipment selection and sharing of weight information | Preserve the overturned condition and notify relevant parties |
| Cargo is dropped while being lifted by the shipper’s crane | Lifting gear, lifting point, or operational problem | Lifting gear, site photographs, and work records | Whether the operation was performed by the shipper or a third-party contractor | Preserve the site and identify the actual operator |
| Shipper’s forklift strikes the vehicle while following the driver’s guidance | Coordination failure during joint operations | Video and statements from both sides | Specific instructions and physical actions of each participant | Obtain separate factual accounts from both sides |
| Pallet was already broken before loading | Pre-existing packing damage | Pre-shipment and pickup photographs | When the damage occurred | Consider conditional pickup or repacking |
| Dent in wooden case discovered after loading | Exact time of occurrence unknown | Photographs before and after loading | Last confirmed sound point and first confirmed abnormal point | Establish chronology without prematurely allocating liability |
| Actual cargo weight exceeds the advance information and equipment capacity | Incorrect weight information | Packing List and instruction emails | Who provided which weight information and when | Stop the operation and arrange suitable equipment |
| Repair following a loading incident affects the CFS cut-off | Handling incident and repair time | Incident time, repair record, and applicable cut-off | Causal relationship between the damage and the missed cut-off | Review alternative arrangements and additional costs at the same time |
Standard Five Classifications Based on Freight Forwarder Involvement
The five classifications used in this article are not established by law or industry-wide consensus. They serve as an analytical framework within this series to clarify the scope of freight forwarder involvement.
| Classification | Typical Involvement in Pickup Handling | Main Matters to Confirm | Liability Review Consideration |
|---|---|---|---|
| 1. Simple Intermediary | Coordinates pickup and communicates information between the shipper and trucking company | Whether handling work was undertaken or only communication and coordination were provided | Participation in coordination does not itself mean that transport or handling responsibility was assumed |
| 2. Cargo Transportation Service Provider | Undertakes domestic pickup transport and arranges the Actual Carrier | Transport contract, loading scope, and Actual Carrier | Separate contractual responsibility to the shipper from recovery against the Actual Carrier |
| 3. NVOCC / House B/L Issuer | Arranges domestic pickup as part of international transport | House B/L, transport scope, and domestic pickup conditions | Being the House B/L Issuer is separate from being the physical handling operator |
| 4. Door-to-Door Single Contractor | Undertakes transport from pickup through destination as an integrated service | Single contract, subcontracting, incident stage, and applicable Clause | Separate responsibility to the shipper from internal recovery against subcontractors |
| 5. Agent / Coordinator for Specific Operations | Coordinates only specific matters such as loading time, handling equipment, or labour arrangements | Scope of the delegated coordination work | Coordination alone does not mean that the entire handling operation was undertaken |
Contracting Carrier and Actual Carrier are legal or contractual status concepts and do not replace the standard five classifications used in this article.
Practical operations such as pickup, internal movement, loading, forklift work, crane work, positioning, and securing do not by themselves constitute a sixth classification.
Example 1: Damage to a Wooden Case Discovered before Loading
Assume that the driver arrives at the pickup location and, immediately before the shipper’s forklift begins loading, a substantial dent is found on a corner of the wooden case.
The cargo should be photographed before loading begins and the condition should be confirmed with the shipper’s representative. The fact that the damage was discovered at the pickup location does not establish that the pickup carrier caused it.
Pre-shipment inspection records and internal warehouse movement records should be reviewed to determine when the cargo was last confirmed to be sound. If the shipper nevertheless instructs that transport continue, the condition and instruction should be recorded and the cargo may be accepted on a conditional basis.
Example 2: Cargo Overturns during Loading with a Tail-Lift Truck
Assume that heavy cargo tilts and overturns on the platform while being loaded using a tail-lift truck. Even if the driver was operating the lift, the trucking company should not automatically be assumed to bear full responsibility. Cargo weight, centre of gravity, cargo configuration, restraint method, and information provided in advance must also be reviewed.
For example, if the weight advised by the shipper was substantially lower than the actual weight and this affected the selection of appropriate equipment, the adequacy of the information supplied must be reviewed in addition to the actual operation.
After the incident, the cargo should not be raised or repositioned unnecessarily. The overturned condition, lift position, restraint condition, and surrounding circumstances should first be photographed before a safe recovery method is determined.
Example 3: Cargo Strikes the Vehicle during a Joint Operation
Assume that the shipper’s forklift is carrying the cargo while the driver gives positioning instructions from the vehicle, and the cargo strikes the side of the vehicle and is damaged.
The review should not stop at identifying the forklift operator. It should also establish what positioning instructions were given by the driver, whether the operator had a clear view of the cargo and vehicle, and whether an additional signal person should reasonably have been used.
In joint operations, liability should not be assessed by isolating a single person’s action. The instructions, movements, and information exchange immediately before the incident should be reviewed as one operational sequence.
When to Consult an Insurance Agent or Specialist
In handling incidents, damage to the cargo itself should be distinguished from liability claims against a carrier or handling contractor. Where the cargo is repaired, disposed of, repacked, or transported onward shortly after the incident, the effect on evidence preservation and insurance notification should also be considered.
| Situation | Main Party to Consult | Matter to Confirm | Reason for Early Consultation |
|---|---|---|---|
| High-value cargo or major damage | Insurance agent and insurer | Incident notification, preservation of cargo, and need for survey | Inspection may be required before the condition of the cargo changes |
| Several potentially responsible parties are involved | Insurance agent and maritime lawyer | Contractual relationships, incident stage, and potential recovery target | Premature admissions of liability should be avoided |
| Parties disagree about the cause of the incident | Maritime lawyer or appropriate technical specialist | Evidence, contract terms, and technical cause | Evidence should be secured before it is lost or altered |
| Urgent repair is required to preserve the export schedule | Shipper, insurance agent, and insurer | Repair method, evidence preservation, and costs | Repair may make later examination of the original condition difficult |
For an individual incident, the applicable coverage, exclusions, preservation requirements, and insurance claim procedures should be confirmed with the relevant insurance agent or insurer.
Common Misunderstandings
| Misunderstanding | Actual Practice | Practical Caution |
|---|---|---|
| If damage is discovered at the pickup location, the shipper is responsible | The place of discovery and the place or time of occurrence may differ | Establish the last confirmed sound point and the first confirmed abnormal point |
| The forklift operator must always bear final liability | Physical performance and contractual responsibility must be reviewed separately | Review contracts, delegated scope, and instruction relationships |
| If the shipper loads the cargo, the trucking company has no involvement | The driver may still be involved in positioning or safety instructions | Confirm each party’s specific role |
| If the driver loads the cargo, shipper-side circumstances are irrelevant | Weight, centre of gravity, cargo configuration, and information provided by the shipper may be relevant | Review the information supplied before pickup |
| Responsibility is automatically split equally during joint operations | Responsibility depends on the specific instructions, operations, contracts, and causes | Record the conduct of each participant separately |
| An unqualified receipt conclusively proves that the cargo was sound at pickup | An unqualified receipt is relevant evidence but is not necessarily conclusive | Review photographs and other records as well |
| If there is no external damage, the contents must be sound | Impact may cause internal damage without visible external damage | Consider the characteristics and sensitivity of the cargo |
| Liability investigation is unnecessary if marine cargo insurance pays the claim | Subrogated recovery may arise after an insurance payment | Preserve evidence concerning the cause and parties involved |
Decision Checklist
| Review Stage | Party to Contact | Matter to Confirm | Action if a Problem Is Identified |
|---|---|---|---|
| Pickup request | Shipper and prime freight forwarder | Cargo weight, dimensions, cargo configuration, and loading method | Obtain any missing cargo information |
| Vehicle arrangement | Trucking company | Vehicle type, handling equipment, and loading responsibility | Change to suitable vehicle or equipment |
| Vehicle arrival | Shipper and driver | Cargo condition before loading | Record any abnormality before work begins |
| Start of loading | On-site personnel | Who will operate equipment and who will provide guidance | Clarify roles before starting the operation |
| During handling | Operator and driver | Centre of gravity, tilt, restraint, and equipment capacity | Stop the operation if unsafe conditions arise |
| Damage discovery | Shipper and on-site supervisor | Time of discovery, cargo condition, and incident circumstances | Record the condition before moving the cargo |
| Cause investigation | Operators and witnesses | Actual movements, instructions, and equipment condition | Obtain factual accounts separately from relevant parties |
| Contract review | Shipper, prime freight forwarder, trucking company, and handling contractor | Contracting parties, work scope, applicable Clause, and subcontracting | Do not determine liability solely from the identity of the physical operator |
| Decision on continuation of transport | Shipper and receiving facility | Safety, condition of contents, and acceptance | Consider repacking, repair, or cancellation of pickup |
| Additional costs | Shipper and relevant service providers | Repair, repacking, repeated pickup, and other costs | Obtain necessary approval while reserving final liability |
| Insurance review | Insurance agent and insurer | Notification requirements, preservation, and coverage conditions | Do not dispose of or repair cargo on the assumption that insurance will respond |
| Incident reporting | Shipper and relevant parties | Confirmed facts, unresolved matters, and planned response | Separate confirmed facts from assumptions |
Summary
Liability for damage during pickup loading and handling of export cargo cannot be determined merely because the damage was discovered at the pickup location. The cargo condition before loading, last confirmed sound point, first confirmed abnormal point, actual operator, person giving instructions, and handling equipment used must all be established.
Shipper-side loading, trucking-company-side loading, joint operations, and third-party handling involve different operational structures. However, final liability should be assessed by reviewing the transport contract, delegated scope, applicable Clause, subcontracting relationship, and actual cause rather than relying solely on the identity of the physical operator.
When an incident occurs, the cargo, packing, vehicle, handling equipment, and surrounding conditions should be recorded before unnecessary movement. If transport is to continue, decisions concerning repacking, repair, or replacement cargo should be managed separately from the final determination of liability and cost allocation.
Particularly where joint operations or third-party handling are involved, an appropriate liability analysis requires reviewing not only who operated the equipment, but also who engaged the contractor, who instructed the positioning, who provided guidance, and what cargo information had been supplied before the operation.
