General Conditions of International Carriage for Cargo of Air China Cargo Company Limited
January 1, 2009
Chairman Statement | Article 1 - DEFINITIONS | Article 2 - BASIS AND SCOPE OF APPLICATION | Article 3 - SHIPPER¡¯S RESPONSIBILITY | Article 4 - WEIGHT AND DIMENSION | Article 5 - AIR WAYBILL | Article 6 - FREIGHT CHARGES | Article 7 - CARRIAGE OF CARGO | Article 8 - ALTERATION OF CARRIAGE | Article 9 - DELIVERY OF CARGO | Article 10 - SPECIAL CARGO | Article 11 - CHARTER CARRIAGE | Article 12 - LIABILITY AND COMPENSATION | Article 13 - SETTLEMENT OF DISPUTE | Article 14 - EFFECTIVENESS, MODIFICATION AND INTERPRETATION

ARTICLE12 ¨C LIABILITY AND COMPENSATION

12.1 Our Liability

12.1.1 We are liable for the Loss of the Cargo incurred in the Course of Carriage, except the liability waived in accordance with the Conventions, Laws and Regulations and the Conditions.

12.1.2 We are liable for any Loss in the Course of Carriage caused by delay of transportation according to the Conventions, Laws and Regulations and the Conditions, except under the circumstances that we have taken all reasonable measures or we are not able to take these measures and the circumstances as otherwise specified in the Conventions, Laws and Regulations and the Conditions.

12.1.3 We shall not be liable for the direct or consequential Loss arising from complying with the Conventions, Laws and Regulations or caused by Force Majeure. When the Consigned Cargo is prohibited by us or applicable Laws and Regulations, we will refuse to accept it and shall not be under any liability with respect thereto.

12.1.4 We shall not be liable for the destruction, loss or damage of the Cargo caused by the following reasons:

12.1.4.1 Force Majeure;

12.1.4.2 The inherent nature, quality or defect of the Cargo;

12.1.4.3 Improper packaging of the Cargo by anyone other than us or our employee or Agent;

12.1.4.4 Loss or damage of the inner pieces with intact package and unbroken seal;

12.1.4.5 Acts relevant to inbound or outbound or transit of the Cargo as implemented by national administrative authorities.

12.1.5 We shall not be liable for any Loss or damage arising from the injury or the death of an animal caused by natural reasons, by such conduct of the animal itself or any other animal such as biting, kicking, pushing or smothering, by the defect of the container, or by the inability of the animal to withstand unavoidable changes in the natural environment in the Course of Carriage.

12.1.6 We shall not be liable for the injury or death of the Cargo attendant caused by the Cargo itself in the Course of Carriage.

12.1.7 We shall not be liable for the deterioration or decay of the Cargo due to the changes of climate, temperature and height or other normal conditions or in the agreed carriage time.

12.1.8 Except as otherwise agreed, we shall not be liable for the consequential Loss caused by damage of the Cargo or carriage under the Conditions, including loss of turnover, profit, interest or revenue, loss of business opportunity, risk of currency, reduction of product or administrative punishment, etc, no matter whether or not we are aware of the possibility of the above Losses.

12.1.9 We shall not be liable for the Loss of the escorted Cargo unless it is proved to have been caused by our fault.

12.1.10? Our liability shall be correspondingly exempted or reduced according to the degree of faults resulting in the Loss, if the destruction, loss, damage or delay of the Cargo is proved to be caused by the Shipper¡¯s or the Consignee¡¯s fault.

12.1.11 When our liability is released or limited according to the Conditions, such release or limit shall likewise apply to our Agents, employees, representatives or relevant Carriers, and any other Carriers whose aircrafts or other transportation facility are used for carriage.

12.1.12 In a Successive Carriage, each Carrier shall be liable as one contracting party for the sector of carriage in accordance with the contract of carriage for the Cargo.

12.2 Claim

12.2.1 Subject to Article 9.2.3 hereof, the Shipper could make a claim against us for the Loss of the Cargo.

12.2.2 The claim for the Loss of the Cargo shall be made in writing within 14 days from the receiving date of the Cargo.

12.2.3 The claim for delay of the Cargo shall be made in writing within 21 days from the date on which the Cargo is placed at the disposal of the Consignee.

12.2.4 The claim for non-delivery of the Cargo shall be made by the Shipper in writing within 120 days from the issuing date of the AWB.

12.2.5 Claims raised beyond the deadline indicated in Article 12.2.1, 12.2.2 and 12.2.3 will not be accepted.

12.2.6 We will reply clearly to the Shipper in the required time limit for those claims which are not in compliance with the Conventions, Laws and Regulations.

12.3 Compensation

12.3.1 The scope of our liability is subject to the regulations of the applicable Conventions and laws. Unless otherwise provided in the applicable Conventions or laws for the benefit of the legal claimant, the following shall apply:

12.3.1.1 Our liability limit shall be the amount of the declared value of Cargo for carriage, if the Shipper declares the value of Cargo for carriage and pays the valuation charge. We will compensate for the actual Loss if it is proved that the actual Loss is less than the declared value of Cargo for carriage.

12.3.1.2 Our liability limit for the non-value declared Cargo is the limit of 17SDR/KG or equivalent currency stipulated in the Montreal Convention of 1999, no matter the country of departure or destination joins the Convention or not. We will compensate for the actual Loss if it is proved to be less than the limitation of liability provided in the Convention.

12.3.1.3 The claimant shall provide the proof of the actual value of the Cargo when raising a claim.

12.3.2 Our liability shall be limited to the weight of the relevant packages when part of or any package of the Cargo is destroyed, lost or damaged, etc. In case that the destruction, loss or damage of any packages affects the value of other packages under the same AWB, the weight of other packages shall be considered when determining the limit of liability. In the absence of any proof to the contrary, the proportion of the value of the Cargo destroyed, lost or damaged in the value of the entire Cargo shall be determined according to the proportion of the weight of the Cargo destroyed, lost or damaged in the weight of the entire Cargo.