New South Wales Consolidated Acts

SEA-CARRIAGE DOCUMENTS ACT 1997 - SECT 8

8 Transfer of rights

(1) All rights under the contract of carriage in relation to which a sea-carriage document is given are transferred to:

(a) in the case of a bill of lading-each successive lawful holder of the bill, or

(b) in the case of a sea waybill-the person (not being an original party to the contract) to whom delivery of the goods is to be made by the carrier in accordance with the contract, or

(c) in the case of a ship’s delivery order-the person to whom delivery of the goods is to be made in accordance with the order.

(2) Rights in a contract of carriage transferred to a person under subsection (1) vest in that person as if the person had been an original party to the contract.

(3) Rights in a contract of carriage in relation to which a ship’s delivery order is given are transferred under subsection (1):

(a) subject to the terms of the order, and

(b) only in respect of the goods to which the order relates.

(4) Where a person becomes the lawful holder of a bill of lading when possession of the bill no longer gives a right (as against the carrier) to possession of the goods, no rights are transferred to that person under subsection (1) unless the person becomes the lawful holder of the bill:

(a) by virtue of a transaction effected under any contractual or other arrangement made before the possession of the bill ceased to give such a right to possession, or

(b) as a result of the re-endorsement of the bill following rejection to that person by another person of goods or documents delivered to the other person under any contractual or other arrangement made before the possession of the bill ceased to give such a right to possession.

(5) Where, in relation to a sea-carriage document:

(a) a person with any interest or right in relation to the goods sustains loss or damage in consequence of a breach of the contract of carriage, and

(b) subsection (1) operates to transfer the rights in that contract to another person,

the person to whom the rights in the contract are transferred is entitled to exercise those rights for the benefit of the person who sustained the loss or damage to the same extent that they would be able to be exercised if they were vested in that person.

(6) In this section, a reference to a "contract of carriage", in relation to the transfer of rights under the contract, is to be taken to be a reference to the contract as varied by any variation of which the transferee has notice at the time of the transfer.