CODE OF COMMERCE-COMMERCIAL CONTRACTS FOR

TRANSPORTATION

TITLE VII – COMMERCIAL CONTRACTS FOR TRANSPORTATION

ARTICLE 349. A contract of transportation by land or water ways of any kind

shall be considered commercial:

1. When it has for its object merchandise or any article of commerce.

2. When, whatever its object may be, the carrier is a merchant or is habitually
engaged in transportation for the public.

ARTICLE 350. The shipper as well as the carrier of merchandise or goods may
mutually demand that a bill of lading be made, stating:

1. The name, surname and residence of the shipper.

2. The name, surname and residence of the carrier.

3. The name, surname and residence of the person to whom or to whose order
the goods are to be sent or whether they are to be delivered to the bearer of said
bill.

4. The description of the goods, with a statement of their kind, of their weight,
and of the external marks or signs of the packages in which they are contained.

5. The cost of transportation.

6. The date on which shipment is made.

7. The place of delivery to the carrier.

8. The place and the time at which delivery to the consignee shall be made.

9. The indemnity to be paid by the carrier in case of delay, if there should be

any agreement on this matter.

ARTICLE 351. In transportation made by railroads or other enterprises

subject to regulation rate and time schedules, it shall be sufficient for the bills
of lading or the declaration of shipment furnished by the shipper to refer, with
respect to the cost, time and special conditions of the carriage, to the schedules
and regulations the application of which he requests; and if the shipper does not
determine the schedule, the carrier must apply the rate of those which appear
to be the lowest, with the conditions inherent thereto, always including a
statement or reference to in the bill of lading which he delivers to the shipper.

ARTICLE 352. The bills of lading, or tickets in cases of transportation of

passengers, may be diverse, some for persons and others for baggage; but all of
them shall bear the name of the carrier, the date of shipment, the points of
departure and arrival, the cost, and, with respect to the baggage, the number
and weight of the packages, with such other manifestations which may be
considered necessary for their easy identification.

ARTICLE 353. The legal evidence of the contract between the shipper and the
carrier shall be the bills of lading, by the contents of which the disputes which
may arise regarding their execution and performance shall be decided, no
exceptions being admissible other than those of falsity and material error in the
drafting.

After the contract has been complied with, the bill of lading which the carrier
has issued shall be returned to him, and by virtue of the exchange of this title
with the thing transported, the respective obligations and actions shall be
considered cancelled, unless in the same act the claim which the parties may
wish to reserve be reduced to writing, with the exception of that provided for in
Article 366.

In case the consignee, upon receiving the goods, cannot return the bill of lading
subscribed by the carrier, because of its loss or of any other cause, he must give
the latter a receipt for the goods delivered, this receipt producing the same effects
as the return of the bill of lading.

ARTICLE 354. In the absence of a bill of lading, disputes shall be determined

by the legal proofs which the parties may present in support of their respective
claims, according to the general provisions established in this Code for
commercial contracts.

ARTICLE 355. The responsibility of the carrier shall commence from the
moment he receives the merchandise, personally or through a person charged
for the purpose, at the place indicated for receiving them.

ARTICLE 356. Carriers may refuse packages which appear unfit for
transportation; and if the carriage is to be made by railway, and the shipment is
insisted upon, the company shall transport them, being exempt from all
responsibility if its objections, is made to appear in the bill of lading.

ARTICLE 357. If by reason of well-founded suspicion of falsity in the

declaration as to the contents of a package the carrier should decide to examine
it, he shall proceed with his investigation in the presence of witnesses, with the
shipper or consignee in attendance.

If the shipper or consignee who has to be cited does not attend, the examination
shall be made before a notary, who shall prepare a memorandum of the result of
the investigation, for such purpose as may be proper.

If the declaration of the shipper should be true, the expense occasioned by the
examination and that of carefully repacking the packages shall be for the account
of the carrier and in a contrary case for the account of the shipper.

ARTICLE 358. If there is no period fixed for the delivery of the goods the carrier
shall be bound to forward them in the first shipment of the same or similar goods
which he may make point where he must deliver them; and should he not do so,
the damages caused by the delay should be for his account.

ARTICLE 359. If there is an agreement between the shipper and the carrier as
to the road over which the conveyance is to be made, the carrier may not change
the route, unless it be by reason of force majeure; and should he do so without
this cause, he shall be liable for all the losses which the goods he transports may
suffer from any other cause, beside paying the sum which may have been
stipulated for such case.

When on account of said cause of force majeure, the carrier had to take another
route which produced an increase in transportation charges, he shall be
reimbursed for such increase upon formal proof thereof.

ARTICLE 360. The shipper, without changing the place where the delivery is
to be made, may change the consignment of the goods which he delivered to the
carrier, provided that at the time of ordering the change of consignee the bill of
lading signed by the carrier, if one has been issued, be returned to him, in
exchange for another wherein the novation of the contract appears.

The expenses which this change of consignment occasions shall be for the
account of the shipper.

ARTICLE 361. The merchandise shall be transported at the risk and venture of
the shipper, if the contrary has not been expressly stipulated. As a consequence,
all the losses and deterioration which the goods may suffer during the
transportation by reason of fortuitous event, force majeure, or the inherent
nature and defect of the goods, shall be for the account and risk of the shipper.
Proof of these accidents is incumbent upon the carrier.

ARTICLE 362. Nevertheless, the carrier shall be liable for the losses and
damages resulting from the causes mentioned in the preceding article if it is
proved, as against him, that they arose through his negligence or by reason of
his having failed to take the precautions which usage has established among
careful persons, unless the shipper has committed fraud in the bill of lading,
representing the goods to be of a kind or quality different from what they really
were.

If, notwithstanding the precautions referred to in this article, the goods

transported run the risk of being lost, on account of their nature or by reason of
unavoidable accident, there being no time for their owners to dispose of them,
the carrier may proceed to sell them, placing them for this purpose at the
disposal of the judicial authority or of the officials designated by special
provisions.

ARTICLE 363. Outside of the cases mentioned in the second paragraph of

Article 361, the carrier shall be obliged to deliver the goods shipped in the same
condition in which, according to the bill of lading, they were found at the time
they were received, without any damage or impairment, and failing to do so, to
pay the value which those not delivered may have at the point and at the time at
which their delivery should have been made.

If those not delivered form part of the goods transported, the consignee may
refuse to receive the latter, when he proves that he cannot make use of them
independently of the others.

ARTICLE 364. If the effect of the damage referred to in Article 361 is merely a
diminution in the value of the goods, the obligation of the carrier shall be reduced
to the payment of the amount which, in the judgment of experts, constitutes
such difference in value.

ARTICLE 365. If, in consequence of the damage, the goods are rendered
useless for sale and consumption for the purposes for which they are properly
destined, the consignee shall not be bound to receive them, and he may have
them in the hands of the carrier, demanding of the latter their value at the
current price on that day.

If among the damaged goods there should be some pieces in good condition and
without any defect, the foregoing provision shall be applicable with respect to
those damaged and the consignee shall receive those which are sound, this
segregation to be made by distinct and separate pieces and without dividing a
single object, unless the consignee proves the impossibility of conveniently
making use of them in this form.

The same rule shall be applied to merchandise in bales or packages, separating

those parcels which appear sound.

ARTICLE 366. Within the twenty-four hours following the receipt of the
merchandise, the claim against the carrier for damage or average be found
therein upon opening the packages, may be made, provided that the indications
of the damage or average which gives rise to the claim cannot be ascertained
from the outside part of such packages, in which case the claim shall be admitted
only at the time of receipt.

After the periods mentioned have elapsed, or the transportation charges have
been paid, no claim shall be admitted against the carrier with regard to the
condition in which the goods transported were delivered.

ARTICLE 367. If doubts and disputes should arise between the consignee and
the carrier with respect to the condition of the goods transported at the time their
delivery to the former is made, the goods shall be examined by experts appointed
by the parties, and, in case of disagreement, by a third one appointed by the
judicial authority, the results to be reduced to writing; and if the interested
parties should not agree with the expert opinion and they do not settle their
differences, the merchandise shall be deposited in a safe warehouse by order of
the judicial authority, and they shall exercise their rights in the manner that
may be proper.

ARTICLE 368. The carrier must deliver to the consignee, without any delay or
obstruction, the goods which he may have received, by the mere fact of being
named in the bill of lading to receive them; and if he does not do so, he shall be
liable for the damages which may be caused thereby.

ARTICLE 369. If the consignee cannot be found at the residence indicated in

the bill of lading, or if he refuses to pay the transportation charges and expenses,
or if he refuses to receive the goods, the municipal judge, where there is none of
the first instance, shall provide for their deposit at the disposal of the shipper,
this deposit producing all the effects of delivery without prejudice to third parties
with a better right.

ARTICLE 370. If a period has been fixed for the delivery of the goods, it must
be made within such time, and, for failure to do so, the carrier shall pay the
indemnity stipulated in the bill of lading, neither the shipper nor the consignee
being entitled to anything else.
If no indemnity has been stipulated and the delay exceeds the time fixed in the
bill of lading, the carrier shall be liable for the damages which the delay may
have caused.

ARTICLE 371. In case of delay through the fault of the carrier, referred to in
the preceding articles, the consignee may leave the goods transported in the
hands of the former, advising him thereof in writing before their arrival at the
point of destination.

When this abandonment takes place, the carrier shall pay the full value of the
goods as if they had been lost or mislaid.
If the abandonment is not made, the indemnification for losses and damages by
reason of the delay cannot exceed the current price which the goods transported
would have had on the day and at the place in which they should have been
delivered; this same rule is to be observed in all other cases in which this
indemnity may be due.

ARTICLE 372. The value of the goods which the carrier must pay in cases if
loss or misplacement shall be determined in accordance with that declared in
the bill of lading, the shipper not being allowed to present proof that among the
goods declared therein there were articles of greater value and money.

Horses, vehicles, vessels, equipment and all other principal and accessory means
of transportation shall be especially bound in favor of the shipper, although with
respect to railroads said liability shall be subordinated to the provisions of the
laws of concession with respect to the property, and to what this Code
established as to the manner and form of effecting seizures and attachments
against said companies.

ARTICLE 373. The carrier who makes the delivery of the merchandise to the
consignee by virtue of combined agreements or services with other carriers shall
assume the obligations of those who preceded him in the conveyance, reserving
his right to proceed against the latter if he was not the party directly responsible
for the fault which gave rise to the claim of the shipper or consignee.

The carrier who makes the delivery shall likewise acquire all the actions and
rights of those who preceded him in the conveyance. The shipper and the
consignee shall have an immediate right of action against the carrier who
executed the transportation contract, or against the other carriers who may have
received the goods transported without reservation.
However, the reservation made by the latter shall not relieve them from the
responsibilities which they may have incurred by their own acts.

ARTICLE 374. The consignees to whom the shipment was made may not defer
the payment of the expenses and transportation charges of the goods they receive
after the lapse of twenty-four hours following their delivery; and in case of delay
in this payment, the carrier may demand the judicial sale of the goods
transported in an amount necessary to cover the cost of transportation and the
expenses incurred.
 COMMONWEALTH ACT NO. 65

IN ACT TO DECLARE THAT PUBLIC ACT NUMBERED FIVE HUNDRED AND

TWENTY-ONE, KNOWN AS “CARRIAGE OF GOODS BY SEA ACT,”
ENACTED BY THE SEVENTY-FOURTH CONGRESS OF THE UNITED
STATES, BE ACCEPTED, AS IT IS HEREBY ACCEPTED BY THE NATIONAL
ASSEMBLY

WHEREAS, the 74th Congress of the United States enacted Public Act No. 521,
entitled Carriage of Goods by Sea Act;

WHEREAS, the primordial purpose of the said Acts is to bring about uniformity
in ocean bills of lading and to give effect to the Brussels Treaty, signed by the
United States with other powers;

WHEREAS, the Government of the United States has left it to the Philippine
Government to decide whether or not the said Act shall apply to carriage of goods
by sea in foreign trade to and from Philippine ports;

WHEREAS, the said Act contains advanced legislation, which is in consonance

with modern maritime rules and the practices of the great shipping countries of
the world;

WHEREAS, shipping companies, shippers, and marine insurance companies,

and various chambers of commerce, which are directly affected by such
legislation, have expressed their desire that said Congressional Act be made
applicable and extended to the Philippines; therefore, be it enacted by the
National Assembly of the Philippines:

Section 1. That the provisions of Public Act No. 521 of the 74th Congress of the
United States, approved on April 16, 1936, be accepted, as it is hereby accepted
to be made applicable to all contracts for the carriage of goods by sea to and from
Philippine ports in foreign trade: Provided, that nothing in this Act shall be
construed as repealing any existing provision of the Code of Commerce which is
now in force, or as limiting its application.

Section 2. This Act shall take effect upon its approval.

(Approved: October 22,1936).

TITLE I

Section 1. When used in this Act —

(a) The term “carrier” includes the owner or the charterer who enters into a
contract of carriage with a shipper.
(b) The term “contract of carriage” applies only to contracts of carriage covered
by a bill of lading or any similar document of title, insofar as such document
relates to the carriage of goods by sea, including any bill of lading or any similar
document as aforesaid issued under or pursuant to a charter party from the
moment at which such bill of lading or similar document of title regulates the
relations between a carrier and a holder of the same.

(c) The term “goods” includes goods, wares, merchandise, and articles of every
kind whatsoever, except live animals and cargo which by the contract of carriage
is stated as being carried on deck and is so carried.

(d) The term “ship” means any vessel used for the carriage of goods by sea.

(e) The term “carriage of goods” covers the period from the time when the goods
are loaded on to the time when they are discharged from the ship.

RISKS

Section 2. Subject to the provisions of section 6, under every contract of carriage

of goods by sea, the carrier in relation to the loading handling, stowage, carriage,
custody, care, and discharge of such goods, shall be subject to the
responsibilities and liabilities and entitled to the rights and immunities
hereinafter set forth.

RESPONSIBILITIES AND LIABILITIES

Section 3. (1) The carrier shall be bound, before and at the beginning of the
voyage, to exercise due diligence to –

(a) Make the ship seaworthy;

(b) Properly man, equip, and supply the ship;

(c) Make the holds, refrigerating and cooling chambers, and all other parts of the
ship in which goods are carried, fit and safe for their reception carriage and
preservation.

(2) The carrier shall properly and carefully load, handle, stow, carry, keep, care
for, and discharge the goods carried.

(3) After receiving the goods into his charge the carrier, or the master or agent of
the carrier, shall, on demand of the shipper, issue to the shipper a bill of lading
showing among other things —
(a) The leading marks necessary for identification of the goods as the same are
furnished in writing by the shipper before the loading of such goods starts,
provided such marks are stamped or otherwise shown clearly upon the goods if
uncovered, or on the cases or coverings in which such goods are contained, in
such a manner as should ordinarily remain legible until the end of the voyage.

(b) Either the number of packages or pieces, or the quantity or weight, as the
case may be, as furnished in writing by the shipper.

(c) The apparent order and conditions of the goods: Provided, That no carrier,
master, or agent of the carrier, shall be bound to state or show in the bill of
lading any marks, number, quantity, or weight which he has reasonable ground
for suspecting not accurately to represent the goods actually received, or which
he has had no reasonable means of checking.

(4) Such a bill of lading shall be prima facie evidence of the receipt by the carrier
of the goods as therein described in accordance with paragraphs (3) (a), (b), and
(c) of this section: (The rest of the provision is not applicable to the Philippines).

(5) The shipper shall be deemed to have guaranteed to the carrier the accuracy
at the time of shipment of the marks, number, quantity, and weight, as
furnished by him; and the shipper shall indemnify the carrier against all loss,
damages, and expenses arising or resulting from inaccuracies in such
particulars. The right of the carrier to such indemnity shall in no way limit his
responsibility and liability under the contract of carriage to any person other
than the shipper.

(6) Unless notice or loss or damage and the general nature of such loss or
damage by given in writing to the carrier or his agent at the port of discharge or
at the time of the removal of the goods into the custody of the person entitled to
delivery thereof under the contract of carriage, such removal shall be prima facie
evidence of the delivery by the carrier of the goods as described in the bill of
lading. If the loss or damage is not apparent, the notice must be given within
three days of the delivery.

Said notice of loss or damage may be endorsed upon the receipt for the goods
given by the person taking delivery thereof.

The notice in writing need not be given if the state of the goods has at the time
of their receipt been the subject of joint survey or inspection.

In any event the carrier and the ship shall be discharged from all liability in
respect of loss or damage unless suit is brought within one year after delivery of
the goods or the date when the goods should have been delivered: Provided,
that, if a notice of loss or damage, either apparent or concealed, is not given as
provided for in this section, that fact shall not affect or prejudice the right of the
shipper to bring suit within one year after the delivery of the goods or the date
when the goods should have been delivered.

In the case of any actual or apprehended loss or damage, the carrier and the
receiver shall give all reasonable facilities to each other for inspecting and tallying
the goods.

(7) After the goods are loaded the bill of lading to be issued by the carrier,
master, or agent of the carrier to the shipper shall if the shipper so demands,
be a “shipped” bill of lading: Provided, that if the shipper shall have previously
taken up any document of title to such goods, he shall surrender the same as
against the issue of the “shipped” bill of lading, but at the option of the carrier
such document of title may be noted at the port of shipment by the carrier,
master, or agent with the name or names of the ship or ships upon which the
goods have been shipped and the date or dates of shipment, and when so noted
the same shall for the purpose of this section be deemed to constitute a
“shipped” bill of lading.

(8) Any clause, covenant, or agreement in a contract of carriage relieving the

carrier of the ship from liability for loss or damage to or in connection with the
goods, arising from negligence, fault, or failure in the duties and obligations
provide in this section or lessening such liability otherwise than as provided in
this Act, shall be null and void and of no effect. A benefit of insurance in favor
of the carrier, or similar clause, shall be deemed to be a clause relieving the
carrier from liability.

RIGHTS AND IMMUNITIES

Section 4. (1) Neither the carrier nor the ship shall be liable for loss or damage
arising or resulting from unseaworthiness unless caused by want of due
diligence on the part of the carrier to make the ship seaworthy, and to secure
that the ship is properly manned, equipped, and supplied, and to make to the
holds, refrigerating and cool chambers, and all other parts of the ship in which
goods are carried fit and safe for their reception, carriage, and preservation in
accordance with the provisions of paragraph (1) of section 3. Whenever loss or
damage has resulted from unseaworthiness, the burden of proving the exercise
of due diligence shall be on the carrier or other persons claiming
exemption under the section.

(2) Neither the carrier nor the ship shall be responsible for loss or damage arising
or resulting from —

(a) Act, neglect, or default of the master, mariner, pilot, or the servants of the
carrier in the navigation or in the management of the ship;

(b) Fire, unless caused by the actual fault or privity of the carrier;
(c) Perils, dangers, and accidents of the sea or other navigable waters;

(d) Act of God;

(e) Act of war,

(f) Act of public enemies;

(g) Arrest or restraint of princes, rulers, or people, or seizure under legal process;

(h) Quarantine restrictions;

(i) Act or omission of the shipper or owner of the goods, his agent or
representative;

(j) Strikes or lockouts or stoppage or restraint of labor from whatever cause,

whether partial or general; Provided, That nothing herein contained shall be
construed to relieve a carrier from responsibility for the carrier’s own acts;

(k) Riots and civil commotions

(l) Saving or attempting to save life or property at sea;

(m) Wastage in bulk or weight or any other loss or damage arising from inherent
defect, quality, or vice of the goods;

(n) Insufficiency of packing;

(o) Insufficiency of inadequacy of marks;

(p) Latent defects not discoverable by due diligence; and

(q) Any other cause arising without the actual fault and privity of the carrier and
without the fault or neglect of the agents or servants of the carrier, but the
burden of proof shall be on the person claiming the benefit of this exception to
show that neither the actual fault or privity of the carrier nor the fault or neglect
of the agents or servants of the carrier contributed to the loss or damage.

(3) The shipper shall not be responsible for loss or damage sustained by the
carrier or the ship arising from any cause without the act, fault, or neglect of the
shipper, his agents, or servants.

(4) Any deviation in saving or attempting to save life or property at sea, or any
reasonable deviation shall not be deemed to be an infringement or breach of this
Act or of the contract of carriage, and the carrier shall not be liable for any loss
or damage resulting therefrom: Provided, however, That if the deviation is for the
purpose of loading cargo or unloading cargo or passengers it shall, prima facie,
be regarded as unreasonable.

(5) Neither the carrier nor the ship shall in any event be or become liable for any
loss or damage to or in connection with the transportation of goods in an amount
exceeding $500 per package lawful money of the United States, or in case of
goods not shipped in packages, per customary freight unit, or the equivalent of
that sum in other currency, unless the nature and value of such goods have been
declared by the shipper before shipment and inserted in the bill of lading. This
declaration, if embodied in the bill of lading, shall be prima facie evidence, but
shall not be conclusive on the carrier.

By agreement between the carrier, master, or agent of the carrier, and the
shipper another maximum amount than that mentioned in this paragraph may
be fixed: Provided, That such maximum shall not be less than the figure above
named. In no event shall the carrier be liable for more than the amount of
damage actually sustained.

Neither the carrier nor the ship shall be responsible in any event for loss or
damage to or in connection with the transportation of the goods if the nature or
value thereof has been knowingly and fraudulently misstated by the shipper in
the bill of lading.

(6) Goods of an inflammable, explosive, or dangerous nature to the shipment

whereof, the carrier, master or agent of the carrier, has not consented with
knowledge of their nature and character, may at any time before discharge be
landed at any place or destroyed or rendered innocuous by the carrier without
compensation, and the shipper of such goods shall be liable for all damages and
expenses directly or indirectly arising out of or resulting from such shipment. If
any such goods shipped with such knowledge and consent shall become a danger
to the ship or cargo, they may in like manner be landed at any place, or destroyed
or rendered innocuous by the carrier without liability on the part of the carrier
except to general average, if any.

SURRENDER OF RIGHTS AND IMMUNITIES AND INCREASE OF

RESPONSIBILITIES AND LIABILITIES

Section 5. A carrier shall be at liberty to surrender in whole or in part all or any

of his rights and immunities or to increase any of his responsibilities and
liabilities under this Act, provided such surrender or increase shall be embodied
in the bill of lading issued to the shipper.

The provisions of this Act shall not be applicable to charter parties; but if bills of
lading are issued in the case of a ship under charter party, they shall comply
with the terms of this Act. Nothing in this Act shall be held to prevent the
insertion in a bill of lading of any lawful provision regarding general average.
 SPECIAL CONDITIONS

Section 6. Notwithstanding the provisions of the preceding section, a carrier,

master or agent of the carrier, and a shipper shall, in regard to any particular
goods be at liberty to enter into any agreement in any terms as to the
responsibility and liability of the carrier for such goods, and as to the rights
and immunities of the carrier in respect of such goods, or his obligation as to
seaworthiness (so far as the stipulation regarding seaworthiness is not contrary
to public policy), or the care or diligence of his servants or agents in regard to
the loading, handling stowage, carriage, custody, care, and discharge of the
goods carried by sea: Provided, That in this case no bill of lading has been or
shall be issued and that the terms agreed shall be embodied in a receipt which
shall be a non-negotiable document and shall be marked as such.

Any agreement so entered into shall have full legal effect: Provided, That this
section shall not apply to ordinary commercial shipments made in the ordinary
course of trade but only to other shipments where the character or condition of
the property to be carried or the circumstances, terms, and conditions under
which the carriage is to be performed are such as reasonably to justify a special
agreement.

Section 7. Nothing contained in this Act shall prevent a carrier or a shipper from
entering into any agreement, stipulation, condition, reservation, or exemption as
to the responsibility and liability of the carrier or the ship for the loss or damage
to or in connection with the custody and care and handling of goods prior to the
loading on and subsequent to the discharge from the ship on which the goods
are carried by sea.

Section 8. The provisions of this Act shall not affect the rights and obligations
of the carrier under the provisions of the Shipping Act, 1916, or under the
provisions of Section 4281 to 4289, inclusive, of the Revised Statutes of the
United States, or of any amendments thereto; or under the provisions of any
other enactment for the time being in force relating to the limitation of the
liability of the owners of seagoing vessels.

TITLE II

Section 9. Nothing contained in this Act shall be construed as permitting a

common carrier by water to discriminate between competing shippers similarly
place in time and circumstances, either (a) with respect to the right to demand
and receive bills of lading subject to the provisions of this Act; or (b) when
issuing such bills of lading, either in the surrender of any of the carrier’s rights
and immunities or in the increase of any of the carrier’s responsibilities and
liabilities pursuant to section 6, title I, of this Act or (c) in any other way
prohibited by the Shipping Act, 1916, s amended.
Section 10. (Not applicable to the Philippines.).

Section 11. Where under the customs of any trade the weight of any bulk cargo
inserted in the bill of lading is a weight ascertained or accepted by a third party
other than the carrier or the shipper, and the fact that the weight is so
ascertained or accepted is stated in the bill of lading, then, notwithstanding
anything in this Act, the bill of lading shall not be deemed to be prima facie
evidence against the carrier of the receipt of goods of the weight so inserted in
the bill of lading, and the accuracy thereof at the time of shipment shall not be
deemed to have been guaranteed by the shipper.

Section 12. (Not applicable to the Philippines.).

Section 13. This Act shall apply to all contracts for carriage of goods by sea to
or from ports of the United States in foreign trade. As used in this Act the term
“United States” includes its districts, territories, and possessions: Provided,
however, That the Philippine legislature may by law exclude its application to
transportation to or from ports of the Philippine Islands. The term “foreign trade”
means the transportation of goods between the ports of the United States and
ports of foreign countries. Nothing in this Act shall be held to apply to contracts
for carriage of goods by sea between any port of the United States or its
possessions, and any other port of the United States or its possession: Provided,
however, That any bill of lading or similar document of title which is evidence of
a contract for the carriage of goods by sea between such ports, containing an
express statement that it shall be subject to the provisions of this Act, shall be
subjected hereto as fully as if subject hereto as fully as if subject hereto by the
express provisions of this Act: Provided, further, That every bill of lading or
similar document of title which is evidence of a contract for the carriage of goods
by sea from ports of the United States, in foreign trade, shall contain a statement
that it shall have effect subject to the provisions of this Act.

Section 14. Upon the certification of the Secretary of Commerce that the
foreign commerce of the United States in its competition with that of foreign
nations is prejudiced the provisions, or any of them, of Title I of this Act, or by
the laws of any foreign country or countries relating to the carriage of goods by
sea, the President of the United States, may, from time to time, by proclamation,
suspend any or all provisions of Title I of this Act for such periods of time or
indefinitely as may be designated in the proclamation. The President may at
any time rescind such suspension of Title I hereof, and any provisions thereof
which may have been suspended shall thereby be reinstated and again apply to
contracts thereafter made for the carriage of goods by sea. Any proclamation of
suspension or rescission of any such suspension shall take effect on a date
named therein, which date shall be not less than ten days from the issue of
the proclamation.
Any contract for the carriage of goods by sea, subject to the provisions of this
Act, effective during any period when title I hereof, or any part thereof, is
suspended, shall be subject to all provisions of law now or hereafter applicable
to that part of Title I which may have thus been suspended.

Section 15. This Act shall take effect ninety days after the date of its approval;
but nothing in this Act shall apply during a period not to exceed one year
following its approval to any contract for the carriage of goods by sea, made
before the date on which this Act is approved, nor to any bill of lading or similar
document of title issued, whether before or after such date of approval in
pursuance of any such contract as aforesaid.

Section 16. This Act may be cited as the “Carriage of Goods by Sea Act.”

Approved, April 16, 1936.