News & Noteworthy

Authored - NJ Contract Law Update - Contracts Involving Ocean Transit of Goods Require Analysis of Federal Law
APRIL 24, 2013

United Arab Shipping Co. v. Transworld Logistics Group, 2013 WL 845386 (N.J.App.Div. 2013), highlights the fact that when dealing with goods being shipped by ocean transit, the parties and their counsel must consult federal law in conjunction with the transaction and the resulting litigation. More specifically, United Arab makes it clear that a primary (though not necessarily exclusive) source of law applicable to such transactions is the "Carriage of Goods by Sea Act," also known as COGSA. In addition, general federal maritime law, apart from COGSA, may control various issues. The Court cited a number of examples; including issues of (1) recoupment, (2) statutes of limitation, and (3) limitations on the amount of recovery.

The details of the case are less important than the recognition that this is a highly specialized area of the law, requiring familiarity therewith before undertaking legal services.

Contact & Legal Disclaimer

Clark Alpert is the author of Guide to New Jersey Contract Law, published by the New Jersey Institute for Continuing Legal Education, originally published in 2007 and updated in November 2011. His updates on New Jersey contract law are based in recent issues and practical methods for addressing similar situations in your practice or business. They are not intended to serve as legal advice. Clark welcomes your questions and comments.


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