Legal Question in Business Law in California

Breach of Contract for shippment?

In June '98 an Engineering University overseas requested me to send them 25 computers. After I build them, I arrange with a local Freight Forwarder company to ship the 25 computers to that country. One of the reasons I chose that company was because I can place insurance on the cargo. While in transit sixteen computers was loss and twenty-five brand new monitors were replace with old ones. All the programs and other components also were missing. When I arrive to this country to pick up the computers for delivery to the school, I found the missing items. As soon as I got back to SF I contacted the Freight Forward Company that I contracted. They ask me to supply them with paper work staying the loss. I asked them about the insurance and the reply was that the last check I gave them was NSF. In fact the school placed a stop payment as soon as they learned of the loss. After nine months their insurance offer a settlement of $4,000.oo invoking the Warsaw Act because they stayed that the Freight Company did not buy insurance. Computers cost was $27,000.00. I had to hire an employee to keep contacting them for the last nine months, also my telephone and travel expenses. What can I do, please help me.


Asked on 4/27/99, 4:35 am

2 Answers from Attorneys

John Hayes The John Hayes Law Offices

Re: Breach of Contract for shippment?

Depending on the wording of the contract you most likely

have a Breach of Contract cause of action against

the shipping company for not providing insurance.

An experienced contract attorney would need to take

a look at your paperwork and review the wording as

well as the damages incurred due to the loss. If

I were to review the case I would need this information

as well as any information concerning the actual loss.

I have ten years experience in Contract law and a long

list of satisfied clients, if you have not yet found

an attorney to represent you. I urge you to seek counsel

in order to recover your damages as $4000 sounds like

an extremely small amount, but the company's willingness

to settle at all is a good sign. Once an attorney is hired

you will see results and usually a more reasonable

settlement amount. Good luck.

John Hayes

The John Hayes Law Offices

P.O. Box 3003


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Answered on 4/29/99, 9:11 pm
Ken Koury Kenneth P. Koury, Esq.

Re: Breach of Contract for shippment?

I would have to see the paperwork to be sure but it sounds like you may need to sue the shipper for not buying insurance as promised and you may also have a claim against the school.

Ken Koury

Kenneth P. Koury, Esq.

5807 Topanga Cyn Blvd., Suite G-201


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Answered on 4/27/99, 6:07 pm


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