Nigerian Company Maritime Cargo Damage Compensation Dispute Case
Industrial synthetic phenol from Tianjin degraded in colour during carriage; contractual colour limits and sealed samples anchored liability. SuitWin acted for Tianjin Company; the carrier was ordered to pay 2.37 million RMB.
Facts
A Nigerian company entered into a contract with a Chinese company in Tianjin for the sale of industrial synthetic phenol. The contract stipulated that the color value of the phenol must not exceed 10 Hassen. At the time of loading, the shipper and carrier jointly sealed a sample, which was transported with the cargo to serve as the basis for the consignee's quality inspection.
Upon arrival at the destination port, inspection revealed color changes in two of the three cargo holds. After the cargo from all three holds was mixed and unloaded into shore tanks, the overall color value reached 12 Hassel, far exceeding the pre-shipment standard of 5 Hassel. The Nigerian company consequently refused acceptance of the goods.
Legal analysis and proceedings
Tianjin Company entrusted SuitWin China Law Firm to handle the case. After adjudication by the Tianjin Maritime Court, it was determined that although national standards impose no mandatory requirements on the color value of industrial synthetic phenol, the color value indicator may be agreed upon by both parties.
The relevant sales contract explicitly stipulated an upper limit of 10 Hassen for color value. The sealing of samples during loading serves as crucial evidence for cargo quality inspection. Existing evidence indicated that the cargo's color changed during the carrier's custody period, and the overall color exceeded the standard after blending.
Outcome
The court ultimately ruled that the shipping company must compensate Tianjin Company 2.37 million RMB.