35. In order to prove the carrier’s liability under COGSA in court, the plaintiff must prove that the goods were loaded in
a good condition and unloaded in a damaged condition or lost. This is usually done by:
a. Questioning the captain of the ship as to the condition of the goods.
b. Testimony from the shipper that the goods were in good condition when loaded into the container.
c. Producing a clean bill of lading as evidence.
d. There is a rebuttable presumption that the goods were damaged when they were unloaded, and the carrier
must prove that they were not.
36. Ocean carriers are exempted from liability for which of the following:
a. Insufficiency of packing.
b. Errors in the navigation or management of the ship.
c. Acts of God.
d. All of the above.
37. Ocean carriers are liable for damages resulting from which of the following:
a. Providing a seaworthy ship at the beginning of the voyage.
b. Mismanagement of the ship that causes a shipwreck.
c. Errors in navigation that cause a mid–ocean collision.
d. Two of the above.
e. All of the above.
38. In J. Gerber & Co. v. SS Sabine Howaldt, a lawsuit brought by the owner of cargo (steel products) against an
ocean carrier for damage to the cargo caused by sea water and moisture, the court ruled that:
a. The turbulent seas and high winds were not sufficiently severe to constitute a “peril of the sea” under
COGSA.
b. The carrier was liable because the vessel was not seaworthy when it left port.
c. The carrier was liable because it had not used usual good seamanship in handling the vessel.
d. The carrier was not liable because it proved that the damage was caused by a peril of the sea.
e. None of the above.
39. Himalaya Clauses in bills of lading:
a. Protect the carrier for damage to cargo being transported over mountainous and rugged terrain.
b. Protect stevedores from liability in loading and unloading ships.
c. Protect only the shipper for improper packaging of goods for shipment.
d. All of the above.
40. Ocean carriers are not liable for more than $500 per package where the shipper has had:
a. The opportunity to purchase marine insurance.
b. The opportunity to indicate the nature and value of the goods on the bill of lading.
c. The opportunity to declare the value of the goods on the export license.
d. The opportunity to repackage the goods before shipment.
41. Transporting new cars above deck on an ocean carrier would be considered:
a. A peril of the sea.
b. A material deviation from the bill of lading.
c. An act of general average.
d. Two of the above.
e. A, B, and C.
42. The proposed Rotterdam Rules differ from the Hague Rules in all of the following except:
a. The expansion of carrier liability from “door to door.”
b. The elimination of errors in navigation as an exception from liability.
c. The elimination of the requirement of written bills of lading.
d. The elimination of perils of the sea as an exception from liability.
43. The type of loss covered by a marine insurance policy when cargo is damaged, destroyed, or sacrificed in the
process of saving the vessel or the cargo of others is a:
a. General average loss.
b. Weighted average loss.
c. Partial or particular average loss.
d. Rescued loss.
44. The type of marine insurance policy that allows the exporter to issue a certificate of insurance on a form provided by
the insurance company is called:
a. Unlimited policy.
b. Shipment specific policy.
c. Discretionary policy.
d. None of the above.
45. The three types of losses generally covered by marine insurance policies include all but which of the following:
a. Total losses of all or part of a shipment.
b. Weighted average losses.
c. General average losses.
d. Partial or particular average losses.
46. The perils clause in a marine insurance contract covers which of the following:
a. Explosion.
b. Pilferage.
c. Acts of war.
d. Jettison of the cargo during a storm.
47. The ship Audie Murphy leaves the New York Port with a ship load of GMC pick-up trucks bound for the Port of
Istanbul, Turkiye. A fire breaks out aboard the ship and destroys the more than thirty GMC pick-up trucks. After
an investigation it has been unable to determine the cause. Who is financially responsible to the owner of the cargo?
a. Captain of the Audie Murphy
b. Buyer
c. The Owner of the ship – Jack Palace
d. None of the above
48. An air waybill:
a. is a contract between the consignor (shipper) and the carrier.
b. states the freight charges and other conditions of transport.
c. is a receipt stating that the carrier has received the goods in good condition and confirms the instructions for
delivery.
d. all of the above.
49. Unlike typical marine bills of lading, air waybills are:
a. not legally binding.
b. always electronic.
c. non–negotiable.
d. documents of title
50. In the history of maritime law, which of the following is one of the most influential and detailed medieval codes from
the twelfth century?
a. The Code of Normandy
b. The Rolls of Oleron
c. Rhodian Law
d. The Mansfield Code
51. Under admiralty jurisdiction, what criterion is used to determine whether a waterway is “navigable”?
a. The body of water must be wide and broad enough for today’s shipping vessels.
b. The body of water must have a port or dock.
c. The body of water must currently be in use for commercial activity.
d. The body of water is used or capable of being used for commercial activity.
52. Under admiralty jurisdiction, which of the following would not be considered a “vessel in navigation”?
a. An international cargo ship
b. A tugboat that never leaves its harbor
c. A ferry capable of carrying up to 200 passengers
d. An oil-drilling rig permanently affixed to the ocean floor
53. is the term for goods carried aboard ships, and is the term for the price charged to transport the goods.
a. Freight; cargo
b. Cargo; waybill
c. Cargo; freight
d. Freight; carriage
54. Compare and contrast the liability of air carriers and sea carriers.
55. Weigh the merits and shortcomings of the Montreal Convention.
56. Assess whether the Warsaw Convention or COGSA provide greater protection for the one seeking carriage.
57. Consider the strengths and weaknesses of the proposed Rotterdam Rules.
58. Assess the changes resulting from the Ocean Shipping Reform Act of 1998.
59. After reviewing the sample international air waybill and marine cargo insurance policy in the text, note any problems
or issues that may not be adequately addressed in these documents.
60. What are the differences and similarities between a freight forwarder and a non-vessel operating common carrier
and the relative benefits of using each?
61. Describe how a shipper and the party requesting shipment of goods would frame and address a ship-board fire that
destroyed the goods.
62. Revise an insurance policy for carriage to make it more beneficial to the insured.
63. Write an insurance policy for air or sea carriage.
64. Rewrite an insurance policy for carriage into a plain language policy.
65. Draft a sample of bill of lading, ensuring that you have addressed the concerns in Z.K. Marine.
66. Draft an air waybill or consignment note for inland carriage.
Essay
67. Would the marine carrier be liable in each of the following scenarios applying COGSA?
The failure of the ship to unload its cargo on time at the destination port due to a longshoreman’s strike.
The failure of the ship to unload its cargo on time at the destination port due to a route change necessitated by engine
failure occurring after the ship left the port of shipment.
A lawsuit by a seller and a buyer against a carrier for damage to goods filed 18 months after their delivery.
The failure of the ship to unload its cargo on time at the destination port due to its overloading at the port of
shipment.
The failure of the ship to unload its cargo on time due to the threat of a terrorist attack at the port of destination.
A notice of damaged goods given by a buyer to the carrier 10 days after the buyer’s receipt.