Carriage of Goods by Sea

International business transactions where goods are carried by sea, it is generally in one of two ways, first, a ship and its Crew may be chartered under a time charter or voyage charter and the goods loaded and carried by that ship. Secondly, the cargo owner may get a space on a general vessel that will carry his goods along with other goods from one port to another. These transactions involve several contracts and agreements between all the parties. Usually the transaction begins starting by the contract of sale between the buyer and seller of the goods throughout the contract of carriage with the carrier. The contract governing the relation with the carrier is called the bill of lading.

The bill of lading has been passed throughout different treaties and conventions that describes and determines the different liabilities of the parties' agreement.

The Hague rules and the Hague Visby rules are applied to every bill of lading for the carriage of goods between ports which are in two different countries whenever; the Bill of Lading is issued in a contracting state, when the carriage is from a port in a contracting state and if the contract contained in the bill of lading provides that the Hague rules or Hague Visby rules are applied or that the law of the a country which gives effect to the Hague rules or Hague Visby rules are applied on the one hand.

On the other hand the Hamburg rules apply to all contracts of carriage by sea between two different states if; the port of loading, as stated in the contract of carriage by sea is located in a contracting state, also when the port of discharge as provided for in the contract of carriage by sea is located in a contracting state, if one of the optional port of discharge (transshipment ports) in the contract of carriage of goods by sea is located in a contracting state, when the bill of lading or any other document proofing the existence of the contract of carriage of goods by sea is issued in a contracting state or the bill of lading itself provides that the Convention or the legislation of any state giving effect to the convention are to govern the contact.