Ocean cargo/global logistics: NITL hails "Rottterdam Rules" at annual conference
New convention has been the subject of years of negotiations with the U.N. Commission on International Trade Law
Patrick Burnson -- Logistics Management, 11/15/2009
ANAHEIM—The National Industrial Transportation League (NITL) used its annual conference to once again applaud the growing support of countries in signing on to a new international cargo liability convention. Known by its informal title as the “Rotterdam Rules,†the NITL has been instrumental in moving the worldwide effort forward.
As reported in LM, the new convention has been the subject of years of negotiations within the United Nations (U.N.) working group known as the U.N. Commission on International Trade Law (UNCITRAL). The Rotterdam Rules are named after the port city of Rotterdam Netherlands, the site of last month’s signing ceremony.
The NITL and others from the United States were joined by 15 countries which signed the Rules thereby indicating their formal intent to adopt the provisions of the new convention into their own national law.
NITL president, Bruce Carlton, hailed this historic event by stating, “the support of the signing countries evidences the need to adopt a modern liability regime which effectively reflects today's shipping practices. Clearly this would not have been possible without the input of all industry sectors working together to identify the principles which could be incorporated into an international convention.â€
Joining the U.S. at the signing ceremony were Congo; Denmark; France; Gabon; Ghana; Greece; Guinea; Netherlands; Nigeria; Norway; Poland; Senegal; Spain; Switzerland and Toga.
Contrary to erroneous reports of limited support for the new convention, the U.N. said this “opening day†signing is officially UNCITRAL’s greatest success in terms of obtaining signatures of countries on the first day of any of its previous so-called “private law†conventions. The new convention will remain open for additional signatories.
The U.N. added that the percentage of world trade covered by the 16 original signatures is 25.7 percent which is significantly higher than the previous liability convention known at the Hamburg Rules.
Work began on the Rotterdam Rules over 10 years ago when it became evident that earlier liability regimes such as the Hague Rules approved in 1924 and ratified in the U.S. in 1936 as the Carriage of Goods by Sea Act (COGSA) as well as those adopted by other countries were no longer adequate to take into account today’s shipping practices including containerization, door-to-door transport contracts and the use of
electronic documents.
Rotterdam Rules Will Protect U.S. Shippers
09/10/2009NITL Endorses Universal Liability Reforms
05/06/2009International Trade 101 (page 2)
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