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3. Laws of Conversion, Lien and Bailment

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Shipping and Logistics Law
This chapter is in the book Shipping and Logistics Law
3.1 INTRODUCTIONThis chapter covers carrier’s rights and obligations at common law or, the areas of law relating to goods in transit, ie, the laws of conversion, lien and bailment.Since carriers provide services for the transport of cargo, they are basi-cally not different from other service providers. But what makes carriers different from other kinds of service providers is that they are always in pos-session of the goods in transit. To discharge their contractual obligations, they are required to deliver the goods in accordance with the terms of the carriage of goods contract. If shippers fail to pay the freight, they may exer-cise their right of lien to retain the goods until payment is made. However, if they unlawfully interfere with the rights of the cargo owner, they commit an act of conversion. A carrier in possession of other’s goods is also liable as a bailee. Other intermediaries in the logistics industry may similarly be liable because they often deal with other parties’ goods. Besides, they may inadvertently act as carriers and be subject to various international conven-tions. These areas of law are thus particularly relevant to practitioners in the transport and logistics industry.3.2 TYPES OF CARRIERTwo types of carriers are common carrier and private carrier. The rights and obligations of a common carrier and a private carrier are different.3Laws of Conversion, Lien and Bailment
© 2015 Hong Kong University Press

3.1 INTRODUCTIONThis chapter covers carrier’s rights and obligations at common law or, the areas of law relating to goods in transit, ie, the laws of conversion, lien and bailment.Since carriers provide services for the transport of cargo, they are basi-cally not different from other service providers. But what makes carriers different from other kinds of service providers is that they are always in pos-session of the goods in transit. To discharge their contractual obligations, they are required to deliver the goods in accordance with the terms of the carriage of goods contract. If shippers fail to pay the freight, they may exer-cise their right of lien to retain the goods until payment is made. However, if they unlawfully interfere with the rights of the cargo owner, they commit an act of conversion. A carrier in possession of other’s goods is also liable as a bailee. Other intermediaries in the logistics industry may similarly be liable because they often deal with other parties’ goods. Besides, they may inadvertently act as carriers and be subject to various international conven-tions. These areas of law are thus particularly relevant to practitioners in the transport and logistics industry.3.2 TYPES OF CARRIERTwo types of carriers are common carrier and private carrier. The rights and obligations of a common carrier and a private carrier are different.3Laws of Conversion, Lien and Bailment
© 2015 Hong Kong University Press

Chapters in this book

  1. Frontmatter i
  2. Contents v
  3. Preface to the Second Edition vii
  4. Preface to the First Edition ix
  5. Acknowledgements xi
  6. Table of Cases xiii
  7. Table of Statutes xli
  8. International Conventions and Other Formulations of International Trade Law lvii
  9. PART I: Introduction
  10. 1. Introduction to the Hong Kong Shipping and Logistics Industry 1
  11. 2. Introduction to Contract Law, Agency Law and Negligence 9
  12. 3. Laws of Conversion, Lien and Bailment 57
  13. 4. Carriage and International Trade Finance 85
  14. PART II: Shipping and Logistics Law
  15. 5. Freight Forwarding Law 105
  16. 6. Sea Carriage Law 145
  17. 7. Air Carriage Law 289
  18. 8. Land Carriage Law (Road and Rail) 367
  19. 9. Multimodal Carriage Law 379
  20. 10. Marine Insurance Law 413
  21. PART III: Dispute Resolution
  22. 11. Admiralty Jurisdiction 557
  23. 12. Arbitration and Mediation 591
  24. 13. Conflict of Laws in Carriage 599
  25. References 607
  26. Index 611
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https://doi.org/10.1515/9789888876488-009

Chapters in this book

  1. Frontmatter i
  2. Contents v
  3. Preface to the Second Edition vii
  4. Preface to the First Edition ix
  5. Acknowledgements xi
  6. Table of Cases xiii
  7. Table of Statutes xli
  8. International Conventions and Other Formulations of International Trade Law lvii
  9. PART I: Introduction
  10. 1. Introduction to the Hong Kong Shipping and Logistics Industry 1
  11. 2. Introduction to Contract Law, Agency Law and Negligence 9
  12. 3. Laws of Conversion, Lien and Bailment 57
  13. 4. Carriage and International Trade Finance 85
  14. PART II: Shipping and Logistics Law
  15. 5. Freight Forwarding Law 105
  16. 6. Sea Carriage Law 145
  17. 7. Air Carriage Law 289
  18. 8. Land Carriage Law (Road and Rail) 367
  19. 9. Multimodal Carriage Law 379
  20. 10. Marine Insurance Law 413
  21. PART III: Dispute Resolution
  22. 11. Admiralty Jurisdiction 557
  23. 12. Arbitration and Mediation 591
  24. 13. Conflict of Laws in Carriage 599
  25. References 607
  26. Index 611
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