70A-7a-302 - Through bills of lading and similar documents of title.
70A-7a-302. Through bills of lading and similar documents of title.
(1) The issuer of a through bill of lading, or other document of title embodying anundertaking to be performed in part by a person acting as its agent or by a performing carrier, isliable to any person entitled to recover on the bill or other document for any breach by the otherperson or the performing carrier of its obligation under the bill or other document. However, tothe extent that the bill or other document covers an undertaking to be performed overseas or interritory not contiguous to the continental United States or an undertaking including matters otherthan transportation, this liability for breach by the other person or the performing carrier may bevaried by agreement of the parties.
(2) If goods covered by a through bill of lading or other document of title embodying anundertaking to be performed in part by a person other than the issuer are received by that person,the person is subject, with respect to its own performance while the goods are in its possession,to the obligation of the issuer. The person's obligation is discharged by delivery of the goods toanother person pursuant to the bill or other document and does not include liability for breach byany other person or by the issuer.
(3) The issuer of a through bill of lading or other document of title described inSubsection (1) is entitled to recover from the performing carrier, or other person in possession ofthe goods when the breach of the obligation under the bill or other document occurred:
(a) the amount it may be required to pay to any person entitled to recover on the bill orother document for the breach, as may be evidenced by any receipt, judgment, or transcript ofjudgment; and
(b) the amount of any expense reasonably incurred by the issuer in defending any actioncommenced by any person entitled to recover on the bill or other document for the breach.
Enacted by Chapter 42, 2006 General Session