Court examines whether liability for damage to cargo can be limited to $500 per package

A recent Maritime and Commercial Court case concerned liability for damage to a container transported from Denmark to the United States. The bill of lading included a network liability clause which limited liability to $500 per package when damage or loss occurred during sea carriage or where the damage occurred could not be localised. The court found that the damages had been caused during the land transport leg in the United States and therefore the carrier’s liability could not be limited.