
1 
This Order may be cited as the 
Carriage of Goods by Sea (Bermuda) Order 1980
and shall come into operation on 1st December 1980.
2 
The Carriage
of Goods by Sea Act 1971, subject to the exceptions,
adaptations and notifications as set out in the Schedule hereto, shall extend
to Bermuda.
3 
Save as is expressly provided otherwise
therein, any reference in the Schedule to this Order to any enactment of the
United Kingdom shall be construed as a reference to that enactment as applying
or extended to Bermuda.
N.E. Leigh
Clerk of the Privy Council

SCHEDULE TO THE ORDER
Article 2



THE CARRIAGE OF GOODS BY SEA ACT 1971

1 

(1) In this Act, 
“the Rules” means the International
Convention for the unification of certain rules of law relating to bills of
lading signed at Brussels on 25th August 1924, as amended by the 
Protocol signed at Brussels on 23rd February 1968.

(2) The provisions of the Rules, as set out
in the Schedule to this Act, shall have the force of law.
(3) Without prejudice to 
subsection (2) above, the said provisions shall
have effect (and have the force of law) in relation to and in connection with
the carriage of goods by sea in ships where the port of shipment is a port
in Bermuda whether or not the carriage is between ports in two different States
within the meaning of Article X
of the Rules.
(4) Subject to 
subsection (6) below, nothing in this section
shall be taken as applying anything in the Rules to any contract for the carriage
of goods by sea, unless the contract expressly or by implication provides
for the issue of a bill of lading or any similar document of title.
(5) The Governor may from time to time by
order specify the respective amounts which for the purposes of 
paragraph 5 of Article IV of the Rules and
of Article IV bis of the Rules are to be taken as equivalent to
the sums expressed in francs which are mentioned in 
sub-paragraph (a) of that paragraph.
(6) Without prejudice to 
Article X(c) of the Rules, the Rules shall
have the force of law in relation to—
(a) any bill of lading if the contract contained
in or evidenced by it expressly provides that the Rules shall govern the contract,
and
(b) any receipt which is a non-negotiable
document marked as such if the contract contained in or evidenced by it is
a contract for the carriage of goods by sea which expressly provides that
the Rules are to govern the contract as if the receipt were a bill of lading,
but subject, where paragraph (b)
applies, to any necessary modifications and in particular with the omission
in Article III
of the Rules of the second sentence of paragraph
4 and of paragraph 7.

(7) If and so far as the contract contained
in or evidenced by a bill of lading or receipt within 
paragraph (a) or (b) of subsection
(6) above applies to deck cargo or live animals,
the Rules as given the force of law by that subsection shall have effect as
if Article I(c)
did not exclude deck cargo and live animals.In this subsection “deck cargo”
 means cargo which by the contract of
carriage is stated as being carried on deck and is so carried.
2 

(1) If Her Majesty by Order in Council made
under this section as it applies in the United Kingdom certifies to the following
effect, that is to say, that for the purposes of the Rules—
(a) a State specified in the Order is a contracting
State, or is a contracting State in respect of any place or territory so specified;
or
(b) any place or territory specified in the
Order forms part of a State so specified (whether a contracting State or not),
the Order shall, except so far as it has been superseded by a subsequent
Order, be conclusive evidence of the matters so certified.
3 
There shall not be implied
in any contract for the carriage of goods by sea to which the Rules apply
by virtue of this Act any absolute undertaking by the carrier of the goods
to provide a seaworthy ship.
6 

(1) This Act may be cited as the 
Carriage of Goods by Sea Act 1971.
(4) It is hereby declared that for the purposes
of Article VIII
of the Rules section 502
of the Merchant Shipping Act 1894
(which, as amended by the 
Merchant Shipping (Liability of Shipowners and Others) Act 1958, entirely exempts
shipowners and others in certain circumstances from liability for loss of,
or damage to, goods) is a provision relating to limitation of liability.
(5) This Act shall come into force on such
day as the Governor may by Order appoint, and, for the purposes of the transition
from the law in force immediately before the day appointed under this subsection
to the provisions of this Act, the Order appointing the day may provided that
those provisions shall have effect subject to such transitional provisions
as may be contained in the Order.
SCHEDULE TO THE ACT
ARTICLE IIn these Rules the following words are employed,
with the meanings set out below:—
(a)  “Carrier”
 includes the owner or the charterer
who enters into a contract of carriage with a shipper.
(b)  “Contract
of carriage” applies only to contracts
of carriage covered by a bill of lading or any similar document of title,
in so far 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)  “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)  “Ship”
 means any vessel used for the carriage
of goods by sea.
(e)  “Carriage
of goods” covers the period from
the time when the goods are loaded on to the time they are discharged from
the ship.

ARTICLE IISubject to the provisions of 
Article VI, 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.

ARTICLE III
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 cool
chambers, and all other parts of the ship in which goods are carried, fit
and safe for their reception, carriage and preservation.
2 
Subject to the provisions of 
Article IV, 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 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 condition 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 paragraph 3(a), 
(b) and (c).
However, proof to the contrary shall not be admissible when the bill of lading
has been transferred to a third party acting in good faith.
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 of loss or damage and the general
nature of such loss or damage be given in writing to the carrier or his agent
at the port of discharge before 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, or, if the loss or damage be not apparent, within three days,
such removal shall be prima facie evidence of the delivery
by the carrier of the goods as described in the bill of lading.
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.

Subject to paragraph 6
 bis the
carrier and the ship shall in any event be discharged from all liability whatsoever
in respect of the goods, unless suit is brought within one year of their delivery
or of the date when they should have been delivered. This period may, however,
be extended if the parties so agree after the cause of action has arisen.

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.
6 bis 
An action for indemnity against a third
person may be brought even after the expiration of the year provided for in
the preceding paragraph if brought within the time allowed by the law of the
Court seized of the case. However, the time allowed shall be not less than
three months, commencing from the day when the person bringing such action
for indemnity has settled the claim or has been served with process in the
action against himself.
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, if
it shows the particulars mentioned in paragraph
3 of Article III, shall for the purpose of
this article be deemed to constitute a “shipped” bill of lading.

8 
Any clause, covenant, or agreement in a contract
of carriage relieving the carrier or the ship from liability for loss or damage
to, or in connection with, goods arising from negligence, fault, or failure
in the duties and obligations provided in this article or lessening such liability
otherwise than as provided in these Rules, shall be null and void and of no
effect. A benefit of insurance in favour of the carrier or similar clause
shall be deemed to be a clause relieving the carrier from liability.
ARTICLE IV
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 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 Article III. Whenever loss or
damage has resulted from unseaworthiness the burden of proving the exercise
of due diligence shall be on the carrier or other person claiming exemption
under this article.
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 labour from whatever cause, whether partial or general.
(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 or inadequacy of marks.

(p) Latent defects not discoverable by due
diligence.
(q) Any other cause arising without the actual
fault or privity of the carrier, or 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 or resulting from any
cause without the act, fault or neglect of the shipper, his agents or his
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 these Rules or of the contract of carriage,
and the carrier shall not be liable for any loss or damage resulting therefrom.

5 

(a) Unless the nature and value of such goods
have been declared by the shipper before shipment and inserted in the bill
of lading, 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 goods in an amount
exceeding the equivalent of 10,000 francs per package or unit or 30 francs
per kilo of gross weight of the goods lost or damaged, whichever is the higher.

(b) The total amount recoverable shall be
calculated by reference to the value of such goods at the place and time at
which the goods are discharged from the ship in accordance with the contract
or should have been so discharged.The value of the goods shall be fixed according to the commodity
exchange price, or, if there be no such price, according to the current market
price, or, if there be no commodity exchange price or current market price,
by reference to the normal value of goods of the same kind and quality.
(c) Where a container, pallet or similar
article of transport is used to consolidate goods, the number of packages
or units enumerated in the bill of lading as packed in such article of transport
shall be deemed the number of packages or units for the purpose of this paragraph
as far as these packages or units are concerned. Except as aforesaid such
article of transport shall be considered the package or unit.
(d) A franc means a unit consisting of 65·5
milligrammes of gold of millesimal fineness 900. The date of conversion of
the sum awarded into national currencies shall be governed by the law of the
Court seized of the case.
(e) Neither the carrier nor the ship shall
be entitled to the benefit of the limitation of liability provided for in
this paragraph if it is proved that the damage resulted from an act or omission
of the carrier done with intent to cause damage, or recklessly and with knowledge
that damage would probably result.
(f) The declaration mentioned in 
sub-paragraph (a) of this paragraph, if embodied
in the bill of lading, shall be prima facie evidence, but shall
not be binding or conclusive on the carrier.
(g) By agreement between the carrier, master
or agent of the carrier and the shipper other maximum amounts than those mentioned
in sub-paragraph (a)
of this paragraph may be fixed, provided that no maximum amount to fixed shall
be less than the appropriate maximum mentioned in that sub-paragraph.
(h) Neither the carrier nor the ship shall
be responsible in any event for loss or damage to, or in connection with,
goods if the nature or value thereof has been knowingly mis-stated 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.
ARTICLE IV BIS
1 
The defences and limits of liability provided
for in these Rules shall apply in any action against the carrier in respect
of loss or damage to goods covered by a contract of carriage whether the action
be founded in contract or in tort.
2 
If such an action is brought against a servant
or agent of the carrier (such servant or agent not being an independent contractor),
such servant or agent shall be entitled to avail himself of the defences and
limits of liability which the carrier is entitled to invoke under these Rules.

3 
The aggregate of the amounts recoverable from
the carrier, and such servants and agents, shall in no case exceed the limit
provided for in these Rules.
4 
Nevertheless, a servant or agent of the carrier
shall not be entitled to avail himself of the provisions of this article,
if it is proved that the damage resulted from an act or omission of the servant
or agent done with intent to cause damage or recklessly and with knowledge
that damage would probably result.
ARTICLE VA 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 obligations under these Rules, provided such surrender
or increase shall be embodied in the bill of lading issued to the shipper.
The provisions of these Rules shall not be applicable to charter parties,
but if bills of lading are issued in the case of a ship under a charter party
they shall comply with the terms of these Rules. Nothing in these Rules shall
be held to prevent the insertion in a bill of lading of any lawful provision
regarding general average.

ARTICLE VINotwithstanding the provisions of the preceding
articles, 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 this stipulation 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 article 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.

ARTICLE VIINothing herein contained 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.

ARTICLE VIIIThe provisions of these Rules shall not affect
the rights and obligations of the carrier under any statute for the time being
in force relating to the limitation of the liability of owners of sea-going
vessels.

ARTICLE IXThese Rules shall not affect the provisions of
any international Convention or national law governing liability for nuclear
damage.

ARTICLE XThe provisions of these Rules shall apply to every
bill of lading relating to the carriage of goods between ports in two different
States if:
(a)  the bill of lading is issued in a contracting
State, or
(b)  the carriage is from a port in a contracting
State, or
(c)  the contract contained in or evidenced
by the bill of lading provides that these Rules or legislation of any State
giving effect to them are to govern the contract,
whatever may be the nationality of the ship, the carrier,
the shipper, the consignee, or any other interested person.

