CARGO CLAIMS

The cause of action on cargo claims for marine insurance companies is primarily based on Article 2207 of the Civil Code, which states that, “If the plaintiff’s property has been insured, and he has received indemnity from the insurance company for the injury or loss arising out of the wrong or breach of contract complained of, the insurance company shall be subrogated to the rights of the insured against the wrongdoer or the person who has violated the contract. If the amount paid by the insurance company does not fully cover the injury or loss, the aggrieved party shall be entitled to recover the deficiency from the person causing the loss or injury.”

For the consignees, the cause of action is based on Article 1733 of the Civil Code, which provides that, “Common carriers, from the nature of their business and for reasons of public policy, are bound to observe extraordinary diligence in the vigilance over the goods and for the safety of the passengers transported by them, according to all the circumstances of each case. Such extraordinary diligence in the vigilance over the goods is further expressed in articles 1734, 1735, and 1745, Nos. 5, 6, and 7, while the extraordinary diligence for the safety of the passengers is further set forth in articles 1755 and 1756.” Additionally, Article 2176 of the same Act states that, “Whoever by act or omission causes damage to another, there being fault or negligence, is obliged to pay for the damage done. Such fault or negligence, if there is no pre-existing contractual relation between the parties, is called a quasi-delict and is governed by the provisions of this Chapter.”

For inquiries:
Tel. Nos. +632-5648400 / +632-5648500 / +632-5648700
Fax. No. +632-5610457
E-mail: linlaw@linsanganlaw.net

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