Unlawful Deductions of Unjustified Claims for Damage

Unlawful Deductions of Unjustified Claims for Damage

Introduction 🚚

As a freight forwarder or carrier, it’s crucial to know your legal rights when it comes to unjustified claims for damage. In this case study, we will delve into a real-life court case that highlights the importance of standing up against unlawful deductions. Discover how Claims Trans, a leading cargo claims handling company, intervened to protect their client’s interests and secured a resounding legal victory.

Client Profile 🏢

Our client, a prominent carrier in the logistics industry, found themselves embroiled in a complex claim for water damage on goods. Operating on a large scale, with a reputation to uphold, they sought the expertise of Claims Trans to navigate this challenging dispute.

The Challenge 🌊 

The claim presented numerous challenges for our client. Firstly, it was filed after the specified timeframe, making it invalid as per the Regulation of Article 30.1 of the CMR Convention. Additionally, the claim lacked the required remarks on the consignment note to substantiate the alleged damage during unloading. These complexities jeopardized our client’s profitability and reputation, necessitating swift action.

Claims Trans Intervention 💪

Understanding the stakes involved, Claims Trans promptly assessed the situation. We recognized the unjust nature of the claim and immediately communicated with the claimant, urging them to refrain from making deductions. Unfortunately, our advice went unheeded, and the claimant unlawfully deducted the claim amount from our client’s payment.

Our Strategy ⚖️ 

Determined to protect our client’s rights, Claims Trans formulated a strategic approach. We meticulously prepared the case, emphasizing the flaws in the claimant’s submission and bolstering our client’s position. Our negotiation tactics were resolute and unwavering, underscoring the importance of complying with the CMR Convention regulations and providing the necessary evidence to validate a claim.

Impact & Lessons Learned 🎉 

In a momentous victory in court, our client emerged triumphant. The court not only dismissed the unjust claim but also ordered the claimant to pay legal taxes and fees that were three times higher than the initial wrongfully deducted claim. This outcome not only vindicated our client’s stance but also served as a powerful deterrent against future unjustified claims.

📚 This case underscores the importance of knowing your legal rights as a freight forwarder or carrier. By standing up against unlawful deductions and challenging unjust claims, our client showcased the critical role of proactive defense in retaining profitability and preserving reputational integrity.

Conclusion 🔍 

This case study showcases the unwavering commitment of Claims Trans in handling complex cargo claims and advocating for our clients. Through our client-centric approach, strategic thinking, and steadfast pursuit of justice, we achieved a resounding victory, safeguarding our client’s rights and setting a precedent for future disputes.

Another Successfully Resolved Case of Total Goods Damage Due to a Road Incident

Another Successfully Resolved Case of Total Goods Damage Due to a Road Incident

In the dynamic transport industry, incidents leading to total goods damage due to road accidents are not uncommon. These occurrences pose significant challenges for carriers and all parties involved, relying on seamless cargo delivery. However, with timely intervention, effective management, and expertise in transport law, successfully resolving such cases becomes possible.

Facts

Our client, a carrier, was tasked with transporting goods to Germany. During the transport, a road incident occurred due to a burst tire, resulting in the overturning of the composition, hitting the roadside barriers, and shifting into oncoming traffic. A severe incident, fortunately leaving the driver unharmed.

Challenges

Road incidents of this nature are highly dangerous, both for the driver and other road users. Timely arrival of the police at the accident site was crucial, leading to the drafting of a police report. This report was of significant importance in processing the claim by the insurers. Simultaneously, the composition with the scattered goods blocked the busy highway. It was imperative to promptly organize the clearing of the roadway and the removal of the composition and goods to the nearest parking lot by an assisting company. Another challenge emerged in the destruction of the damaged goods. As it was a food product, the goods had to be disposed of as quickly as possible, following certain standards, resulting in additional significant expenses.

Navigating the Process

We promptly informed the carrier’s insurer about the insurance event and requested immediate guidance. The insurer confirmed that engaging an surveyor in this case was unnecessary as the goods were entirely damaged – a total loss.

Quick Actions Lead to Results

Upon submitting all the necessary documents to the carrier’s insurer and maintaining active communication, the insurer provided a positive response, and the full value of the damaged goods was paid to the claimant. Moreover, the expenses incurred by the carrier in clearing the goods from the roadway and their destruction were fully reimbursed by the insurer.

Conclusions

The significant incident posed a challenge for both the carrier and the cargo owner. The carrier took responsibility, adhering to the standards and obligations outlined in the CMR Convention, which was crucial for the successful resolution of the case. It’s essential to note that thanks to rapid and effective communication and collaboration among all involved parties, the insurer completely satisfied the cargo owner’s claim, providing full compensation for the incurred losses. This successful outcome highlights the importance of a professional approach and the ability to act quickly and effectively when unexpected incidents occur during international cargo transport.

Our experts understand the importance of handling incidents and insurance claims. With our extensive experience and a team of transport and insurance law professionals, we are at your service to provide our expertise and commitment to resolving similar situations. Rest assured, with us, your interests and rights will be fully protected, and the process of settling insurance claims will be conducted efficiently and with special attention to details.

Reclaim Your Profits: The Ultimate Solution for Recovering Unpaid Freights in the Transport Industry

Reclaim Your Profits: The Ultimate Solution for Recovering Unpaid Freights in the Transport Industry

CLAIM DEPOT

T

he last economic cycle led global trade to a significant increase causing the transport industry to experience unprecedented demand, propelling businesses to new heights. However, as the market stabilizes, transport companies now face a pressing challenge – the prevalence of unpaid freights. These unpaid invoices are stifling cash flow and hindering the growth of transport businesses. Fortunately, unpaid freights are a familiar for Clams Trans and in this article, we share some key principles to follow in order to swiftly recover your dues and keep your business on the fast track to success.

The Problem Unraveled🚚

As the transport market adjusts to decreasing global trade, unpaid freights have become a persistent headache for transport companies. These unresolved invoices disrupt cash flow, impede operations, and strain relationships with suppliers and employees. These challenges proved to be unsurmountable even for the big players, visible through Yellow [1] and Surge Transportation [2] ‘s recent bankruptcy filings. With decreasing demand and freight rates dropping [3], every transport company should possess a robust strategy can turn the tables in their favor.

The Manifestation of the Problem✒️

Unpaid freights manifest in various ways, causing significant hurdles for transport companies. Late payments create cash flow bottlenecks, making it challenging to meet expenses and invest in growth. This cycle often leads transport companies to delay their own invoice payments, further exacerbating the issue. The time for a proactive and decisive approach is now.

Experience and Expertise

At Claims Trans, we have walked the path with numerous transport companies, facing and overcoming the problem of unpaid freights. Our expertise extends to handling multiple cargo claims involving freight withholding and unlawful deductions in damage claims. We understand the intricacies of your industry, and this invaluable experience empowers us to deliver results like no other.

The Path to Success🧩

Wondering what sets apart the most successful transport companies when it comes to recovering unpaid freights? Here’s the secret formula that guarantees results:

1. Thoroughly Assess Financial Status: Our cutting-edge tools delve deep into public and private databases to assess the financial standing of potential clients. Armed with this knowledge, you’ll make informed decisions, minimizing risks of non-payment.

2. Issue an Official Voluntary Payment Invitation: Our expertly crafted and polite payment invitations, complete with interest accumulation, leave no room for misunderstanding. Your clients will understand the implications of non-payment without any friction.

3. Engage Legal Experts: Should the need arise, our legal team, well-versed in debt recovery and transport industry intricacies, steps in to navigate any complexities swiftly and efficiently. Regardless of the debtor’s country of origin, our multitude of successful lawsuits in numerous European states allows us to provide legal protection internationally.

4. Consistency is Key: With Claims Trans by your side, you’ll stay consistent in your efforts until the invoice is paid in full. We’ll maintain open lines of communication and handle necessary documentation promptly, reinforcing your commitment to getting what’s rightfully yours.

5. Explore Barter Arrangements: In situations where cash flow is a concern for the client, explore the possibility of accepting cheaper loads or goods in exchange for the outstanding amount. This arrangement can be mutually beneficial and maintain a positive business relationship.

6. Installment Plans: For clients facing financial challenges, offering installment plans can ease the burden of a lump-sum payment. Structuring a reasonable and structured installment plan demonstrates goodwill and the willingness to support your clients during challenging times.

The Conclusion🚀

Unpaid freights no longer have to be a stumbling block for your transport business. With our unparalleled expertise and successful track record, Claims Trans ensures your cash flow stays robust and your business thrives. We understand the challenges you face, having dealt with multiple cargo claims involving freight withholding and unlawful deductions. Let us be your strategic partner in the pursuit of recovering unpaid freights, so you can focus on what you do best – driving your business towards unparalleled success. Take the first step now and contact Claims Trans today to put your business back on the fast track to prosperity.

Bibliography:
[1] Reuters. (2023, July 31). Teamsters says U.S. trucking firm Yellow shuts operations, to file for bankruptcy. CNBC. https://www.cnbc.com/2023/07/31/teamsters-says-us-trucking-firm-yellow-shuts-operations-to-file-for-bankruptcy.html
[2] Hawes, C. (2023, July 26). Surge Transportation blames bankruptcy filing on sales drop after e-commerce boom. FreightWaves. https://www.freightwaves.com/news/bankrupt-surge-transportation-unprepared-for-sales-drop-after-e-commerce-boom
[3] The European Road Freight Rate Benchmark Q1 2023. (2023) https://go.upply.com/en-gb/ti-upply-iru-european-road-freight-rates-benchmark-report-q1-2023