A carrier's lien is a legal right that allows a carrier to retain possession of cargo until payment for transportation and any applicable storage fees is received. This lien applies specifically to carriers transporting goods by water, granting them the authority to hold the cargo until all charges are settled.
Carrier's liens are primarily used in the shipping and transportation industry. They are relevant in legal contexts involving contracts for the carriage of goods, maritime law, and commercial transactions. Users may encounter this term when dealing with freight contracts, shipping disputes, or when seeking to understand their rights and obligations as carriers or cargo owners. Legal templates from US Legal Forms can assist individuals in drafting agreements related to transportation and storage of goods.
Here are a couple of examples of abatement:
Example 1: A shipping company retains a shipment of electronics because the importer has not paid the agreed freight charges. The company can hold the cargo until payment is received.
Example 2: A carrier discovers that a customer has not paid for storage fees related to a shipment of agricultural products. The carrier may exercise their lien rights to retain the cargo until the fees are settled.
Examples of state differences (not exhaustive):
| State | Carrier's Lien Regulations |
|---|---|
| California | Allows carriers to retain cargo until payment for freight is made. |
| Florida | Similar provisions exist, but specific storage fees must be outlined in the contract. |
| New York | Enforces carrier's liens but requires written notice to the cargo owner. |
This is not a complete list. State laws vary, and users should consult local rules for specific guidance.
| Term | Definition | Difference |
|---|---|---|
| Warehouseman's Lien | A right to retain goods stored in a warehouse until payment is made. | Applies to storage facilities, not transport carriers. |
| Mechanic's Lien | A claim against property for unpaid work or materials. | Related to construction and repairs, not transportation. |
If you are a carrier facing unpaid charges, you may exercise your lien rights to retain the cargo. Ensure you understand your legal obligations and the specific requirements in your state. If you are a cargo owner, communicate with the carrier to resolve any outstanding payments. For assistance, consider using US Legal Forms to access templates for contracts and notices, or consult a legal professional if the situation is complex.
Browse our library of 85,000+ state-specific legal templates.
A carrier's lien is the right of a carrier to hold cargo until payment for transportation and storage fees is received.