Company A (the shipper) signed a carriage of goods by sea contract with Company B (the carrier). The contract stated that the Hague-Visby Rules is the governing law. Under the contract, it was agreed that Company B would carry a cargo of bagged coffee beans for Company A from Port X to Port Y by 31 December 2021. The vessel of Company B, The Long Chance, left Port X on 31 August 2021. It would normally take three months to reach Port Y. On 1 October 2021, it was found that one of the crew members, Tony, suffered from a high fever. Concerned that Tony might be infected by COVID-19, The Long Chance deviated from the original route and reached Port Z, which was the closest port at that point in time. Tony was sent to a hospital at Port Z and his COVID-19 test result was negative. The Long Chance then returned to the original route and reached Port Y on 15 January 2022. Unfortunately, there was an outbreak of COVID-19 in Port Y and all vessels from other ports would need to be quarantined for 21 days. The goods were discharged and delivered to Company A on 7 February 2022. When Company A inspected the cargo, it was found that the beans were contaminated by mould and were not in merchantable quality. Is Company B liable for the loss? Formulate your answer by citing the relevant provisions of the Hague-Visby Rules.
Company A (the shipper) signed a carriage of goods by sea contract with Company B (the carrier). The contract stated that the Hague-Visby Rules is the governing law. Under the contract, it was agreed that Company B would carry a cargo of bagged coffee beans for Company A from Port X to Port Y by 31 December 2021. The vessel of Company B, The Long Chance, left Port X on 31 August 2021. It would normally take three months to reach Port Y. On 1 October 2021, it was found that one of the crew members, Tony, suffered from a high fever. Concerned that Tony might be infected by COVID-19, The Long Chance deviated from the original route and reached Port Z, which was the closest port at that point in time. Tony was sent to a hospital at Port Z and his COVID-19 test result was negative. The Long Chance then returned to the original route and reached Port Y on 15 January 2022. Unfortunately, there was an outbreak of COVID-19 in Port Y and all vessels from other ports would need to be quarantined for 21 days. The goods were discharged and delivered to Company A on 7 February 2022. When Company A inspected the cargo, it was found that the beans were contaminated by mould and were not in merchantable quality. Is Company B liable for the loss? Formulate your answer by citing the relevant provisions of the Hague-Visby Rules.
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Company A (the shipper) signed a carriage of goods by sea contract with Company B
(the carrier). The contract stated that the Hague-Visby Rules is the governing law.
Under the contract, it was agreed that Company B would carry a cargo of bagged coffee
beans for Company A from Port X to Port Y by 31 December 2021.
The vessel of Company B, The Long Chance, left Port X on 31 August 2021. It would
normally take three months to reach Port Y. On 1 October 2021, it was found that one
of the crew members, Tony, suffered from a high fever. Concerned that Tony might be
infected by COVID-19, The Long Chance deviated from the original route and reached
Port Z, which was the closest port at that point in time. Tony was sent to a hospital at
Port Z and his COVID-19 test result was negative.
The Long Chance then returned to the original route and reached Port Y on 15 January
2022. Unfortunately, there was an outbreak of COVID-19 in Port Y and all vessels from
other ports would need to be quarantined for 21 days. The goods were discharged and
delivered to Company A on 7 February 2022. When Company A inspected the cargo,
it was found that the beans were contaminated by mould and were not in merchantable
quality.
Is Company B liable for the loss? Formulate your answer by citing the relevant
provisions of the Hague-Visby Rules.
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