Anderson’s (Pacific) Trading Co. Pty. Ltd. v. Karlander New Guinea Line Ltd. - Supreme Ct. of New South Wales (David Hunt J.) - 23 December 1980

Bills of lading - Charterers signing as agents - Whether charterers personally liable for damaged goods

The defendants were time-charterers of the vessel Golden Swan . They had also issued bills of lading for a cargo of frozen goods shipped from Sydney to Rabaul and which arrived in a damaged condition. The plaintiffs were the owners of the goods. The issue before the Court was whether the defendants, or the owners of the Golden Swan were liable under the bills of lading. The defendants submitted that they were not personally liable because they had contracted as agents only, and relied on clause 18 - the “demise clause” - of the bill of lading. Clause 18 provided: