Harter Act: Key Legal Insights and Definitions You Need to Know

Definition & Meaning

The Harter Act is a U.S. law that governs the transportation of goods by sea. It applies to shipments between U.S. ports and foreign ports, specifically addressing the responsibilities of vessel owners regarding cargo. Although some provisions of the Harter Act have been replaced by the Carriage of Goods by Sea Act (COGSA) of 1936, it remains relevant for certain shipments not covered by COGSA, such as those occurring before loading or after discharge. The Act prohibits vessel owners from including clauses in shipping contracts that attempt to limit their liability for cargo loss or damage due to negligence in handling or stowing goods. It also requires vessel owners to ensure that their ships are seaworthy and properly managed.

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Real-world examples

Here are a couple of examples of abatement:

Example 1: A shipping company transports electronics from New York to London. During loading, the crew improperly secures the cargo, leading to damage during transit. Under the Harter Act, the shipping company cannot escape liability for this negligence.

Example 2: A vessel owner claims that a storm caused damage to the cargo. If the owner did not ensure the vessel was seaworthy before departure, they may still be held liable for the loss under the Harter Act. (hypothetical example)

Comparison with related terms

Term Definition Key Differences
Harter Act U.S. law governing liability for cargo loss during maritime transport. Applies to domestic shipments and certain aspects of cargo handling.
COGSA U.S. law governing international shipping and liability for cargo loss. Supersedes Harter Act for international shipments but not for all domestic cases.

What to do if this term applies to you

If you are involved in shipping goods and the Harter Act applies to your situation, consider the following steps:

  • Review your shipping contracts for clauses that may limit liability.
  • Ensure that the vessel used is seaworthy and that proper care is taken in loading and stowing goods.
  • Consult with a legal professional if you face disputes regarding cargo loss or damage.
  • Explore US Legal Forms for templates that can assist in drafting contracts or filing claims.

Quick facts

  • Applies to: Transportation of goods by sea from U.S. ports.
  • Key focus: Liability for cargo loss or damage due to negligence.
  • Relevant laws: Harter Act and COGSA.
  • Potential penalties: Liability for damages incurred due to negligence.

Key takeaways

Frequently asked questions

The Harter Act is a U.S. law that regulates the responsibilities of vessel owners regarding the transportation of goods by sea.