Carrington Slipways Pty Ltd. v. Patrick Operations Pty Ltd. (The Shardana) - N.S.W. Court of Appeal (Kirby P., Samuels and Handley JJ.A.) - 14 November 1991

Himalaya Clause

Two bills of lading were issued in respect of the same cargo. One was a bill issued by the freight forwarder, and the other by the time charterers, on behalf of the owners of the vessel Shardana . The cargo was damaged by stevedores during discharge and the stevedores sought the protection of the Himalaya Clause in either or both bills of lading. At first instance Rogers J. held that the stevedores were entitled to the protection of the Himalaya Clause under the freight forwarder’s bill. He did not accept that the bill of lading issued on behalf of the shipowners, which only passed through the hands of the consignee’s customs agents momentarily, could be sued for that purpose. He was particularly influenced by the fact that the freight forwarder was acting as principal in the transaction, having issued its own bill of lading as a carrier, and was not authorised to engage the services of another.