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ARTICLE · 30 NOVEMBER 2015

"MSC EUGENIA" – Pin Codes For Electronic Cargo Release Systems: Handle With Care

Clyde & Co
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The bill of lading contained an express term that it had to be "surrendered by the Merchant to the Carrier ... in exchange for the Goods or a Delivery Order".

United KingdomTransport
Peter Ward
Peter Ward
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The Court held that a carrier, which had provided a shipper's agent with pin codes for an electronic cargo release system, had not fulfilled its obligations under a bill of lading pursuant to which the bill was to be exchanged either for the goods or for a delivery order.1

Background

MSC Mediterranean Shipping Co SA (MSC) carried three cargo containers from Fremantle to Antwerp under a bill of lading which named Glencore International AG (Glencore) as the shipper, and C Steinweg NV (Steinweg), Glencore's agents, as a notify party. A few days before the vessel's arrival at the discharge port, Steinweg lodged with MSC one of the bills of lading and soon after, MSC emailed to Steinweg a release note and pin codes for the electronic cargo release system (ERS) that MSC operated at that port.

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