Hanjin Shipping Bankruptcy Case

Important Lessons for Exporter & Importer on the Right Choice of Incoterms & Methods of Payment to Avoid Risks

The recent bankruptcy of Hanjin Shipping is most unprecendented.  80 container ships with over 500,000 containers belonging to Hanjin Shipping were stranded.  Many exporters and importers were affected. In our forthcoming master class entitled “Incoterms 2010 – The Language of Domestic & International Trade” scheduled on 7 & 8 December 2016Crystal Crown Hotel, PJ we will be highlighting the following issues:

Issues:
1.  When a transporter fails to deliver the goods as per the carriage contract due to
insolvency, which party (exporter or importer) shall bear the relevant risks and
consequences?
2.  Is the buyer still liable to pay the purchase price though it has not received the
goods as expected due to Hanjin’s bankruptcy?
3.  Can the seller or buyer claim marine cargo insurance for the damages caused by
Hanjin?
4.  If the goods are discharged at a port other than the destination port, who is
responsible for transporting the goods to the destination port?  Who bears the
additional costs incurred?  Does marine cargo insurance cover such loss?
5.  A detailed analysis  of the 11 Incoterms (E, F, C & D groups) – the common
misunderstanding and misuse by reference to the Hanjin Shipping case.
6.  A detailed analysis of about the exposure of using DAP, DAT and DDP terms in the
Hanjin Case.

 

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