Division of Responsibility in Container Transport

1. Carrier Liability

The carrier (shipping line) is responsible for the following:

Carrier's Scope of Liability	Description
Seaworthiness of Vessel	The vessel is in a seaworthy condition before departure
Proper Stowage	Reasonable stacking and securing of containers
Care of Cargo	Exercising due diligence in caring for the cargo during transit
Scope of Exemptions	Natural disasters, war, strikes, fault of the cargo owner, etc.

Compensation Limits (Hague Rules):

666.67 SDR per package or unit (approx. $900)
Or 2 SDR per kilogram (approx. $2.70), whichever is the higher amount

2. Shipper Liability

Shipper's Scope of Liability	Description
Accurate Declaration	Cargo description, weight, and volume must be correct
Proper Packaging	Packaging must be suitable for sea transport (carrier is not liable for damage resulting from improper packaging)
Dangerous Goods Declaration	Dangerous goods must be declared truthfully
Complete Documentation	Customs documents, certificate of origin, permits, etc.

📖 Further Reading: International Shipping Operations Manual, Part 24: Common Shipping Disputes and Prevention—Dispute cases and response strategies (complements the legal definitions in this article)Data Note: Principles of liability division are cited from the Hague Rules, Hamburg Rules, and general industry clauses. Data current as of July 2026.