- 1 ACT NO. 26 OF 1925 [ 21st September, 1925.]
An Act to amend the law with respect to the carriage of goods by sea.
1. Short title and extent.
(1) This Act may be called the Indian Carriage of Goods by Sea Act, 1925 .
(2) It extends to 4[ the whole of India].
- 2. Application of Rules. Subject to the provisions of this Act, the
rules set out in the Schedule (hereinafter referred to as" the Rules")
shall have effect in relation to and in connection with the carriage of
goods by sea in ships carrying goods from any port in 5[ India] to any
other port whether in or outside 5[ India].
- 3. Absolute warranty of sea worthiness not to be implied in contracts
to which Rules apply. There shall not be implied in any contract for the
carriage of goods by sea to which the Rules apply any absolute undertaking
by the carrier of the goods to provide a seaworthy ship.
- 1. This Act has been extended to Goa, Daman and Diu by Reg. 12 of
1962, s. 3 and Sch., to Pondicherry by Reg. 7 of 1963, s. 3 and Sch. I and
to Laccadive, Minicoy and Amindivi Islands by Reg. 8 of 1965, s. 3 and Sch.
2. The words" including the delegates representing His Majesty" omitted by
Act 52 of 1964, s. 3 and Sch. II. 3. Ins. by Act 28 of 1993, s. 31 and Sch.
(w. e. f. 16. 10. 1992 ). 4. Subs. by s. 3 and Sch. II, ibid., for third
and fourth paragraphs. 5. Subs. by the A. O. 1950, for" all the Provinces
of India". 6. Subs., ibid., for" the provinces".
- 4. Statement as to application of Rules to be included in bills of
lading. Every bill of lading, or similar document of title, issued in 1[
India] which contains or is evidence of any contract to which the Rules
apply, shall contain an express statement that it is to have effect
subject to the provisions of the said Rules as applied by this Act.
- 5. Modification of Article VI of Rules in relation to goods carried in
sailing ships and by prescribed routes. Article VI of the Rules shall, in
relation to--
(a) the carriage of goods by sea in sailing ships carrying goods from any
port in 1[ India] to any other port whether in or outside 1[ India], and
(b) the carriage of goods by sea in ships carrying goods from aport in 1[
India] notified in this behalf in the Official Gazette by the Central
Government to a port in Ceylon specified in the said notification, have
effect as though the said Article referred to goods of any class instead
of to particular goods and as though the proviso to the second paragraph
of the said Article were omitted.
- 6. Modification of Rules 4 and 5 of Article III in relation to bulk
cargoes. Where under the custom of any trade the weight of any bulk cargo
inserted in the bill of lading is a weight ascertained or accepted by a
third party other than the carrier or the shipper and the fact that the
weight is so ascertained or accepted is stated in the bill of lading,
then, notwithstanding anything in the Rules, the bill of lading shall not
be deemed to be prima facie evidence against the carrier of the receipt of
goods of the weight so inserted in the bill of lading, and the accuracy
thereof at the time of shipment shall not be deemed to have been
guaranteed by the shipper.
- 7. Saving and operation.
(1) Nothing in this Act shall affect the operation of 2[ 3[ section 331
and Part X A] of the Merchant Shipping Act, 1958 , (44 of 1958 )] or the
operation of any other enactment for the time being in force limiting the
liability of the owners of sea- going vessels.
(2) The Rules shall not by virtue of this Act apply to any contract for
the carriage of goods by sea before such day 3[ , not being earlier than
the first day of January, 1926 , as the Central Government may, by
notification in the Official Gazette, appoint, nor to any bill of lading
or similar document of title issued, whether before or after such day as
aforesaid, in pursuance of any such contract as aforesaid.
- 1. Subs. by the A. O. 1950, for" the Provinces". 2. Subs. by Act 52 of
1964, s. 3 and Sch. II, for certain words. 3. Subs. by Act 28 of 1993, s.
31 and Sch., for" section 331 and 352" (w. e. f. 16. 10. 1992 ). 4. 1st
January, 1926, see Gazette of India, 1925, Pt. I, p. 950.
-
-
- SCHEDULE
- RULES RELATING TO BILLS OF LADING
-
- ARTICLE I.--Definitions. In these Rules the following expressions have
the meanings hereby assigned to them respectively, that is to say-- (a)
"carrier" includes the owner or the charterer who enters into a contract
of carriage with a shipper: (b) "contract of carriage" applies only to
contracts of carriage covered by a bill of lading or any similar document
of title, in so far as such document relates to the carriage of goods by
sea including any bill of lading or any similar document as aforesaid
issued under or pursuant to a charterparty from the moment at which such
bill of lading or similar document of title regulates the relations
between a carrier and a holder of the same: (c) "goods" includes goods,
wares, merchandises, 1*[containers, pallets or similar article of
transport used to consolidate goods if supplied by the shipper,] and
articles of every kind whatsoever, except live animals and cargo which by
the contract of carriage is stated as being carried on deck and is so
carried: (d) "ship" means any vessel used for the carriage of goods by
sea: (e) "crriage of goods" covers the period from the time when the goods
are loaded on to the time when they are discharged from the ship.
-
- ARTICLE II.--Risks. Subject to the provisions of Article VI, under
every contract of carriage of goods by sea the carrier, in relation to the
loading, handling, stowage, carriage, custody, care, and discharge of such
goods, shall be subject to the responsibilities and liabilities, and
entitled to the rights and immunities hereinafter set forth.
-
- ARTICLE III.--Responsibilities and Liabilities. 1. The carrier shall
be bound, before and at the beginning of the voyage, to exercise due
diligence to-- (a) make the ship seaworthy: (b) properly man, equip, and
supply the ship:
--------------------------------------------------------------------- 1.
Ins. by Act 28 of 1993, s. 31 and Sch. (w.e.f. 16.10.1992). 336 (c) make
the holds, refrigerating and cool chambers, and all other parts of the
ship in which goods are carried, fit and safe for their reception,
carriage and preservation. 2. Subject to the provisions of Article IV, the
carrier shall properly and carefully load, handle, stow, carry, keep, care
for and discharge the goods carried. 3. After receiving the goods into his
charge, the carrier, or the master or agent of the carrier, shall, on
demand of the shipper, issue to the shipper a bill of lading showing among
other things-- (a) The leading marks necessary for identification of the
goods as the same are furnished in writing by the shipper before the
loading of such goods starts, provided such marks are stamped or otherwise
shown clearly upon the goods if uncovered, or on the cases or coverings in
which such goods are contained, in such a manner as should ordinarily
remain legible until the end of the voyage: (b) Either the number of
packages or pieces, or the quantity, or weight, as the case may be, as
furnished in writing by the shipper: (c) The apparent order and condition
of the goods: Provided that no carrier, master or agent of the carrier,
shall be bound to state or show in the bill of lading any marks, number,
quantity, or weight which he has reasonable ground for suspecting not
accurately to represent the goods actually received, or which he has had
no reasonable means of checking. 4. Such a bill of lading shall be prima
facie evidence of the receipt by the carrier of the goods as therein
described in accordance with paragraph 3 (a), (b) and (c). 1*[However,
proof to the contrary shall not be admissible when the bill of lading has
been transferred to a third party acting in good faith.] 5. The shipper
shall be deemed to have guaranteed to the carrier the accuracy at the time
of shipment of the marks, number, quantity, and weight, as furnished by
him, and the shipper shall indemnify the carrier against all loss,
damages, and expenses arising or resulting from inaccuracies in such
particulars. The right of the carrier to such indemnity shall in no way
limit his responsibility and liability under the contract of carriage to
any person other than the shipper. 6. Unless notice of loss or damage and
the general nature of such loss or damage be given in writing to the
carrier or his agent at the port of discharge before or at the time of the
removal of the goods into the custody of the person entitled to delivery
thereof under the contract of carriage, or, if the loss or damage be not
apparent, within
--------------------------------------------------------------------- 1.
Added by Act 28 of 1993, s. 31 and Sch. (w.e.f. 16.10.1992). 337 three
days, such removal shall be prima facie evidence of the delivery by the
carrier of the goods as described in the bill of lading. The notice in
writing need not be given if the state of the goods has at the time of
their receipt been the subject of joint survey or inspection. In any event
the carrier and the ship shall be discharged from all liability in respect
of loss or damage unless suit is brought within one year after delivery of
the goods or the date when the goods should have been delivered. 1*[This
period may, however, be extended if the parties so agree after the cause
of action has arisen; Provided that a suit may be brought after the expiry
of the period of one year referred to in this sub-paragraph within a
further period of not more than three months as allowed by the court.] In
the case of any actual or apprehended loss or damage, the carrier and the
receiver shall give all reasonable facilities to each other for inspecting
and tallying the goods. 7. After the goods are loaded the bill of lading
to be issued by the carrier, master or agent of the carrier, to the
shipper shall, if the shipper so demands, be a "shipped" bill of lading,
provided that, if the shipper shall have previously taken up any document
of title to such goods, he shall surrender the same as against the issue
of the "shipped" bill of lading, but at the option of the carrier, such
document of title may be noted at the port of shipment by the carrier,
master, or agent with the name or names of the ship or ships upon which
the goods have been shipped and the date or dates of shipment, and when so
noted the same shall for the purpose of this Article be deemed to
constitute a "shipped" bill of lading. 8. Any clause, covenant or
agreement in a contract of carriage relieving the carrier or the ship from
liability for loss or damage to or in connection with goods arising from
negligence, fault or failure in the duties and obligations provided in
this Article or lessening such liability otherwise than as provided in
these Rules, shall be null and void and of no effect. A benefit of
insurance or similar clause shall be deemed to be a clause relieving the
carrier from liability.
-
- ARTICLE IV.--Rights and Immunities. 1. Neither the carrier nor the
ship shall be liable for loss or damage arising or resulting from
unseaworthiness unless caused by want of due diligence on the part of the
carrier to make the ship seaworthy, and to secure that the ship is
properly manned, equipped and supplied, and to make the holds,
refrigerating and cool chambers and all other parts of the ship in which
goods are carried fit and safe for their
--------------------------------------------------------------------- 1.
Added by Act 28 of 1993, s. 31 and Sch. (w.e.f. 16.10.1992). 338
reception, carriage and preservation in accordance with the provisions of
paragraph 1 of Article III. Whenever loss or damage has resulted from
unseaworthiness, the burden of proving the exercise of due diligence shall
be on the carrier or other person claiming exemption under this section.
2. Neither the carrier nor the ship shall be responsible for loss or
damage arising or resulting from-- (a) act, neglect, or default of the
master, mariner, pilot, or the servants of the carrier in the navigation
or in the management of the ship: (b) fire, unless caused by the actual
fault or privity of the carrier: (c) perils, dangers and accidents of the
sea or other navigable waters: (d) act of God: (e) act of war: (f) act of
public enemies: (g) arrest or restraint of princes, rulers or people, or
seizure under legal process: (h) quarantine restriction: (i) act or
omission of the shipper or owner of the goods, his agent, or
representative: (j) strikes or lock-outs or stoppage or restraint of
labour from whatever cause, whether partial or general: (k) riots and
civil commotions: (l) saving or attempting to save life or property at
sea: (m) wastage in bulk or weight or any other loss or damage arising
from inherent defect, quality, or vice of the goods: (n) insufficiency of
packing: (o) insufficiency or inadequacy of marks: (p) latent defects not
discoverable by due diligence: (q) any other cause arising without the
actual fault or privity of the carrier, or without the fault or neglect of
the agents or servants of the carrier, but the burden of proof shall be on
the person claiming the benefit of this exception to 339 show that neither
the actual fault or privity of the carrier nor the fault or neglect of the
agents or servants of the carrier contributed to the loss or damage. 3.
The shipper shall not be responsible for loss or damage sustained by the
carrier or the ship arising or resulting from any cause without the act,
fault or neglect of the shipper, his agents, or his servants. 4. Any
deviation in saving or attempting to save life or property at sea, or any
reasonable deviation shall not be deemed to be an infringement or breach
of these Rules or of the contract of carriage, and the carrier shall not
be liable for any loss or damage resulting therefrom. 5. Neither the
carrier nor the ship shall in any event be or become liable for any loss
or damage to or in connection with goods in an 1*[amount exceeding 666.67
Special Drawing Rights per package or unit or two Special Drawing Rights
per kilogram of gross weight of the goods lost or damaged, whichever is
higher], or the equivalent of that sum in other currency, unless the
nature and value of such goods have been declared by the shipper before
shipment and inserted in the bill of lading. 2*[Where a container, pallet
or similar article of transport is used to consolidate goods, the number
of packages or units enumerated in the bill of lading and as packed in
such article of transport shall be deemed to be the number of packages or
units for the purposes of this paragraph as far as these packages or units
are concerned. Neither the carrier nor the ship shall be entitled to the
benefit of limitation of liability provided for in this paragraph if it is
proved that the damage resulted from an act or omission of the carrier
done with intent to cause damage, or recklessly and with knowledge that
damage would probably result. Where the nature or value of the goods has
been knowingly mis- stated by the shipper in the bill of lading, the
liability of the carrier or ship shall not exceed the value so stated.]
This declaration if embodied in the bill of lading shall be prima facie
evidence, but shall not be binding or conclusive on the carrier. By
agreement between the carrier, master or agent of the carrier and the
shipper another maximum amount than that mentioned in this paragraph may
be fixed, provided that such maximum shall not be less than the figure
above named. Neither the carrier nor the ship shall be responsible in any
event for loss or damage to or in connection with goods if the nature or
value thereof has been knowingly mis-stated by the shipper in the bill of
lading. 6. Goods of an inflammable, explosive or dangerous nature to the
shipment whereof the carrier, master or agent of the carrier, has not
consented, with knowledge of their nature and character, may at any time
before discharge be landed at any place or destroyed or rendered innocuous
by the carrier without compensation, and the shipper of such goods shall
be liable for all damages and expenses directly or indirectly arising out
of or resulting from such shipment. If any such goods shipped with such
knowledge and consent shall become a danger to the ship or cargo, they may
in like manner be landed at any place or destroyed or rendered innocuous
by the carrier without liability on the part of the carrier except to
general average, if any.
--------------------------------------------------------------------- 1.
Subs. by Act 28 of 1993, s. 31 and Sch., for certain words (w.e.f.
16.10.1992). 2. Ins. by s. 31 and Sch., ibid. (w.e.f. 16.10.1992). 340
-
- ARTICLE V.--Surrender of Rights and Immunities, and Increase of
Responsibilities and Liabilities. A carrier shall be at liberty to
surrender in whole or in part all or any of his rights and immunities or
to increase any of his responsibilities and liabilities under the Rules
contained in any of these Articles, provided such surrender or increase
shall be embodied in the bill of lading issued to the shipper. The
provisions of these Rules shall not be applicable to charterparties, but
if bills of lading are issued in the case of a ship under a charterparty
they shall comply with the terms of these Rules. Nothing in these Rules
shall be held to prevent the insertion in a bill of lading of any lawful
provision regarding general average.
-
- ARTICLE VI.--Special Conditions. Notwithstanding the provisions of the
preceding Articles, a carrier, master or agent of the carrier, and a
shipper shall in regard to any particular goods be at liberty to enter
into any agreement in any terms as to the responsibility and liability of
the carrier for such goods, and as to the rights and immunities of the
carrier in respect of such goods, or his obligation as to seaworthiness,
so far as this stipulation is not contrary to public policy, or the care
or diligence of his servants or agents in regard to the loading, handling,
stowage, carriage, custody, care, and discharge of the goods carried by
sea, provided that in this case no bill of lading has been or shall be
issued and that the terms agreed shall be embodied in a receipt which
shall be a non-negotiable document and shall be marked as such. Any
agreement so entered into shall have full legal effect: Provided that this
Article shall not apply to ordinary commercial shipments made in the
ordinary course of trade, but only to other shipments where the charter or
condition of the property to be carried or the circumstances, terms and
conditions under which the carriage is to be performed, are such as
reasonably to justify a special agreement.
-
- ARTICLE VII -- Limitations on the Application of the Rules. Nothing
herein contained shall prevent a carrier or a shipper from entering into
any agreement, stipulation, condition, reservation or exemption as to the
responsibility and liability of the carrier or the ship for the loss or
damage to or in connection with the custody and 341 care and handling of
goods prior to the loading on and subsequent to the discharge from the
ship on which the goods are carried by sea.
-
- ARTICLE VIII -- Limitation of liability The provisions of these Rules
shall not affect the rights and obligation of the carrier under any
Statute for the time being in force relating to the limitation of the
liability of owners of sea- going vessels.
-
- ARTICLE IX The monetary units mentioned in these Rules are to be taken
to be gold value.
-
- BCAS: 7103-1001
-
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