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The Air Cargo Supply Chain and Contract of Carriage

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Law and Regulation of Air Cargo
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Abstract

Air cargo carriage often results in the cargo being trucked to its ultimate destination. This creates a complex supply chain across customs borders that call for multiple parties to be involved. In addition, various documents of carriage are used in the composite carriage and liabilities of various parties may ensued for loss or damage to cargo. The process involves (in that order) the consignor, origin freight forwarder, ground handler, carrier, ground handler, destination freight forwarder, and finally the consignee. The processes these players in the multimodal carriage go through (in that order) are, pick up, consolidation, acceptance of cargo and documentation, departure, arrival and delivery, deconsolidation, and final delivery.

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Notes

  1. 1.

    In June 2011 ICAO and the World Customs Organization signed a memorandum of understanding on security in multimodal transportation focusing on aligning the regulatory framework of both Organizations relative to air cargo that will involve electronic advance data, the sharing of information at various levels (government-to-government, Customs-to-Customs and Customs-to-industry), training and education, and risk management. See ICAO and WCO join forces to strengthen air cargo security, Brussels, 27 June 2011, Press Release, http://www.wcoomd.org/en/media/newsroom/2011/june/icao-and-wco-join-forces-to-strengthen-air-cargo-security.aspx.

  2. 2.

    There is no formal definition of ground handling. However, ground handling is understood to broadly include services necessary for an aircraft’s arrival at and departure from an airport but to exclude those provided by air traffic control. Although fuelling, catering, loading, security and maintenance are included in the list of services in the SGHA, it is quite common for these services to be provided by specialist companies, i.e. fuel companies providing fuelling, catering companies provide catering loading, etc. They are, therefore, not regarded as core ground handling services as they are not necessarily provided by a ground handling agent. See Annex 6 to the Convention on International Civil Aviation (Operation of Aircraft), Part 1, International Commercial Air Transport—Aeroplanes), Eighth Edition, July 2001, Definitions. See also Manual on the Regulation of International Air Transport, ICAO Doc 9626, Second Edition, 2004, Chapter 4.10 at 4.10-1.

  3. 3.

    See the Airports Economics Manual, ICAO Doc 9562, Second Edition: 2006 at 2.91.

  4. 4.

    The ICAO Air Transport Regulation Panel, in following up on the World-wide Air Transport Conference held in Montreal in 1994, developed a model clause on ground handling that States could use whenever appropriate in their bilateral and multilateral air service agreements.

  5. 5.

    See S/C/W/59 Annex 2 pp. 53–54 for the text. Panel recommendations are found in the same Annex on pages: 51–53.

  6. 6.

    Todd (2017).

  7. 7.

    http://ec.europa.eu/environment/noise/index_en.htm.

  8. 8.

    Application no. 9310/81. See https://hudoc.echr.coe.int/eng#{“itemid”:[“001-57622”]}.

  9. 9.

    26 DR 5 (1982).

  10. 10.

    501 U.S. 252 (1991).

  11. 11.

    https://supreme.justia.com/cases/federal/us/501/252/case.html.

  12. 12.

    328 U.S. 256 (1946).

  13. 13.

    Id. 328.

  14. 14.

    [1977] Q.B. 966.

  15. 15.

    [1981] Q.B. 88.

  16. 16.

    REVIEW OF NIGHT CURFEW RESTRICTIONS (Presented by India), A37-WP/270 EX/55 21/09/10.

  17. 17.

    Id. At 3.

  18. 18.

    [1962] 2 Q.B. 26 (CA).

  19. 19.

    Id. 32.

  20. 20.

    Bank of British Columbia v. Turbo Resources Ltd., (1983) 148 D.L.R. (3d) 598.

  21. 21.

    See Some Recent Judicial and Legislative Developments of Interest to Commercial Litigation Practitioners in Alberta Prepared For: Legal Education Society of Alberta, Prepared By: James T. Eamon Q.C. Gowling Lafleur Henderson LLP Calgary, Alberta (Calgary Seminar) Presented By: Geoffrey D. Holub Gowling Lafleur Henderson LLP Calgary, Alberta, at p. 2. The paper appears at https://www.lesaonline.org/samples/07_43_05_p1.pdf.

  22. 22.

    [1979] A.C. 757 (HL).

  23. 23.

    Id. 771.

  24. 24.

    [1981] 1 W.L.R. 711 (H.L) 219.

  25. 25.

    Id. 232.

  26. 26.

    (1919) 48 D.L.R. 350 (P.C).

  27. 27.

    [1923] 4 D.L.R. 751 (P.C).

  28. 28.

    (1968) 67 D.L.R. (2d) 393 (Ont., C.A).

  29. 29.

    [1942] AC 356, [1942] 1 All ER 337.

  30. 30.

    Id. AC 367.

  31. 31.

    [1975] Ch. 302.

  32. 32.

    Id., at 307.

  33. 33.

    Central Trust Co., v. Rafuse (1986) 31 D.L.R. (4th) 481.

  34. 34.

    (1871) L.R. 6 Q.B. 597.

  35. 35.

    See Morgan v. Lifetime Building Supplies Ltd., (1967) 61 D.L.R. (2d) 178.

  36. 36.

    (1978) 83 D.L.R. (3d) 400.

  37. 37.

    Id. 412. See the earlier case of Canadian Pacific Ry Co. v. Parent ((1915) 21 D.L.R. 681, where the Court held there is no evidentiary value of a person’s signature to a contract if he cannot read and understand the contents of the contract document.

  38. 38.

    [1953] 2 Q.B. 450 (C.A.).

  39. 39.

    156 Eng. Rep. at 141.

  40. 40.

    Id., 151.

  41. 41.

    [1969] 1 App. Cas. 350 (1967).

  42. 42.

    Id. 384–386.

  43. 43.

    Eisenberg (1992), p. 566.

  44. 44.

    [1978] 1 Q.B. 791 (C.A.).

  45. 45.

    Id. At 802.

  46. 46.

    [1966] 3 All ER 128, [1966] 1 WLR 1428.

  47. 47.

    Id. 138.

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Abeyratne, R. (2018). The Air Cargo Supply Chain and Contract of Carriage. In: Law and Regulation of Air Cargo. Springer, Cham. https://doi.org/10.1007/978-3-319-92489-2_7

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