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The Impact of Containerisation on Carrier Liability

Year of Publication: 2025
Month of Publication: 1
Author(s): Mustafa Yilmaz
Research Area(s): Admiralty/Maritime Law
Name of Working Paper Series:

NUS Law Working Paper No. 2025/001

NUS Centre for Maritime Law Working Paper 25/01

WPS Paper Number: CML-WPS-2501
Abstract:

This paper examines the impact of containerisation on carrier liability under the Hague and Hague-Visby Rules under English law. Containerisation, one of the most significant technological advancements in modern shipping, has transformed maritime transport by redefining its boundaries and operational dynamics. It has introduced concepts such as the supply of containers, stuffing and devanning, storage periods, and pre-and post-sea carriage processes. Today, most cargo loss or damage arises from defective containers and handling challenges like improper stuffing, management, and stowage. These developments expose the systemic limitations of the existing liability framework, designed in an earlier era when containerisation was not anticipated. This paper explores how English courts have addressed these challenges, focusing on the carrier's period of responsibility and basis of liability. It incorporates comparative perspectives from other common law jurisdictions, including Singapore, Australia, Canada, and the US, as well as some civil law jurisdictions. It also considers container-specific clauses in the standardised bills of lading used by the top ten shipping lines, which control about 85 per cent of global container shipping capacity. Finally, the paper reveals how carrier liability for containerised cargo has evolved, considers potential avenues for further development, and proposes ways to align the existing legal framework with the realities of containerisation.