Common Carriers Are Practically Insurers for the Goods They Carry

question 49

Multiple Choice

Common carriers are practically insurers for the goods they carry. Consolidated Shipping is a common carrier and is transporting two new ferry guidance systems to Singapore. During the shipping, both were damaged by corrosion. It was determined that the cause was "inadequate packaging". Is the carrier liable for these damages?

• A) No, because this is inherent vice.
• B) Yes, since this is not an act of God nor act of war.
• C) No, because both parties were aware of the poor packaging.
• D) Yes, since this is not an available defence for common carriers.
• E) No, since a standard exemption clause would protect it.