Liability and powers of the consignee in multimodal transport in Vietnam

Liability and powers of the consignee in multimodal transport in Vietnam (Internet image)

According to Decree 87/2009/ND-CP, liability and powers of the consignee in multimodal transport in Vietnam are as follows:

+  Taking in charge of goods

• The consignee must prepare ail conditions for taking in charge of the goods upon obtaining the carrier's notice on the arrival of the goods.

• If the consignee does not come to receive the goods or refuses to receive the goods or delays the unloading of the goods beyond the time limit indicated in the contract or prescribed by law. the multimodal transport operator may unload the goods, deposit it at a safe place, handle it and notify the consignor thereof. For perishable goods, the multimodal transport operator may immediately handle it. All costs and losses incurred shall be borne by the consignee. Within 90 days from the date the goods must be taken in charge of under the multimodal transport contract, if nobody comes to take in charge of the deposited goods, the warehouse and storing yard operator may auction such goods. After subtracting reasonable expenses of the involved parties, the remainder of the proceeds from such auction shall be remitted into the state budget.

+ Payment of freight and other expenses

• The consignee shall fully pay freight and other expenses relating to multimodal transport to the multimodal transport operator as mentioned in the multimodal transport document.

+ Sanctions for acts of not paying freight and other expenses

• If the multimodal transport operator is not paid the amounts indicated in the multimodal transport contract, he/she may retain the goods and notify such in writing to the consignee. Within 60 days from the date of notification, if the multimodal transport operator is still not yet fully paid the above amounts, he/she may sign a contract for authorized auction of the retained goods. The proceeds from such auction shall be handled under current regulations.

• The above duration in which the goods is placed under the ownership of the multimodal transport operator as a result of exercising his' her right to retain the goods shall not be aggregated for calculating the time of delay in delivery under Articles 20 and 21 of Decree 87/2009/ND-CP.

More details can be found in Decree 87/2009/ND-CP on multimodal transport, which comes into force from December 15, 2009, and annuls Decree 125/2003/ND-CP.

Long Binh

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