Duty of Care; Contractual Limitation of Carrier's Liability

  1. Law
  2. Georgia Code
  3. Commercial Code
  4. Warehouse Receipts, Bills of Lading, and Other Documents of Title
  5. Bills of Lading: Special Provisions
  6. Duty of Care; Contractual Limitation of Carrier's Liability

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  1. A carrier that issues a bill of lading, whether negotiable or nonnegotiable, shall exercise the degree of care in relation to the goods which a reasonably careful person would exercise under similar circumstances. This subsection does not affect any statute, regulation, or rule of law that imposes liability upon a common carrier for damages not caused by its negligence.
  2. Damages may be limited by a term in the bill of lading or in a transportation agreement that the carrier's liability may not exceed a value stated in the bill or transportation agreement if the carrier's rates are dependent upon value and the consignor is afforded an opportunity to declare a higher value and the consignor is advised of the opportunity. However, such a limitation is not effective with respect to the carrier's liability for conversion to its own use.
  3. Reasonable provisions as to the time and manner of presenting claims and commencing actions based on the shipment may be included in a bill of lading or a transportation agreement.

(Code 1933, § 109A-7 - 309, enacted by Ga. L. 1962, p. 156, § 1; Ga. L. 2010, p. 481, § 1-1/HB 451.)

The 2010 amendment, effective May 27, 2010, rewrote this Code section. See the Editor's notes for applicability.

Cross references.

- Standard of care for carriers and common carriers generally, § 46-9-1.

Power of common carriers to limit liability generally, § 46-9-2.

Editor's notes.

- Ga. L. 2010, p. 481, § 3-1, not codified by the General Assembly, provides that: "This Act applies to a document of title that is issued or a bailment that arises on or after the effective date of this Act. This Act does not apply to a document of title that is issued or a bailment that arises before the effective date of this Act even if the document of title or bailment would be subject to this Act if the document of title had been issued or bailment had arisen on or after the effective date of this Act. This Act does not apply to a right of action that has accrued before the effective date of this Act." This Act became effective May 27, 2010.

Ga. L. 2010, p. 481, § 3-2, not codified by the General Assembly, provides that: "A document of title issued or a bailment that arises before the effective date of this Act and the rights, documents, and interests flowing from that document or bailment are governed by any statute or other rule amended or repealed by this Act as if such amendment or repeal had not occurred and may be terminated, completed, consummated, or enforced under that statute or other rule." This Act became effective May 27, 2010.

RESEARCH REFERENCES

Am. Jur. 2d.

- 14 Am. Jur. 2d, Carriers, §§ 555, 560, 571, 579.

C.J.S.

- 13 C.J.S., Carriers, §§ 418, 419, 448. 80 C.J.S., Shipping, § 68 et seq.

U.L.A.

- Uniform Commercial Code (U.L.A.) § 7-309.

ALR.

- Carrier's liability where shipper furnishes or selects car, 5 A.L.R. 108.

Freight as an element of damage where contract fixes value or limits carrier's liability for property lost or damaged, 5 A.L.R. 152.

Stipulation limiting amount of carrier's liability as applicable where goods are stolen by its employee, 5 A.L.R. 986; 52 A.L.R. 1073.

Duty of carrier to shipper as to condition of stock pens or yards, 15 A.L.R. 200.

Liability of carrier for furnishing unwholesome water or food to livestock, 18 A.L.R. 1116.

Validity, construction, and effect of provision of contract for carriage of livestock whereby shipper assumes responsibility for condition of car, 28 A.L.R. 526.

Duty of carrier to render special service to protect goods en route, as affected by the fact that it is not provided for by the published tariff, 32 A.L.R. 111.

Necessity of notice to consignor to render him liable for demurrage, 32 A.L.R. 642.

Construction of provision of Interstate Commerce Act dispensing with notice or filing of claim, 44 A.L.R. 1360.

Liability of carrier which negligently delays transportation or delivery for loss of or damage to goods from causes for which it is not otherwise responsible, 46 A.L.R. 302.

Stipulation limiting amount of carrier's liability as applicable where goods are stolen by its employee, 52 A.L.R. 1073.

Presumption and burden of proof as to carrier's responsibility for goods received in good condition and delivered to consignee in bad condition, 53 A.L.R. 996; 106 A.L.R. 1156.

Wholesale or retail price as measure of damages against carrier for loss of goods, 67 A.L.R. 1427.

Remedy as against carrier of consignor or consignee who wrongfully refuses to accept goods and pay freight because of damages for which carrier is responsible, 96 A.L.R. 774.

One in general employment of carrier as servant temporarily of shipper or consignee while aiding in loading or unloading or moving cars, as regards responsibility for his negligence, and vice versa, 102 A.L.R. 514.

Liability of consignee who reconsigns for the freight, 105 A.L.R. 1216.

Necessity of proving specific reason for injury or damage to shipment of fruit or vegetables in order to overcome prima facie case against carrier where shipment was received in good condition and delivered in bad condition, 115 A.L.R. 1274.

Provision in telegraph or carrier's contract regarding amount of recovery or damages as provision for liquidated damages (or valuation of right) or a mere limitation of liability, 128 A.L.R. 632.

Carriers: sufficiency of compliance with stipulation requiring claim, or notice of claim, for damages to shipment, 175 A.L.R. 1162.

Liability of carrier by land or air for damage to goods shipped resulting from improper loading, 44 A.L.R.2d 993.

Shipper's misdescription of goods as affecting carrier's liability for loss or damage, 1 A.L.R.3d 736.

Validity and construction of stipulation exempting carrier from liability for loss or damage to property at nonagency station, 16 A.L.R.3d 1111.

Validity, construction, and effect of provision in shipping contract or bill of lading that carrier shall have benefit of shipper's insurance against loss of or damage to shipment, 27 A.L.R.3d 984.

PART 4 WAREHOUSE RECEIPTS AND BILLS OF LADING: GENERAL OBLIGATIONS


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