Freight carrier is an entity that provide services transport available for a fee. Public carrier does not distinguish their customers. Public transport operator is closely regulated in the economic aspect. It provides shipping services, providing equal treatment of all clients and receives well-defined tariffs.
Responsibilities of freight carriers
The public freight carrier is responsible for the entrusted goods. Freight rates are set in such manner to protect the interests of shippers as well as should secure adequate earnings for the carrier. Such economic requirements shall ensure the continuity of the transport service.
Contract carrier is the carrier hired to handle one or a certain (limited) number of shippers. Operation is carried out on the basis of a special agreement. Contract carrier activities is regulated.
Unlike public carrier-contract carrier does not have a legal obligation to provide services. In the contract are defined: transport rates, the extent of the legal liability, the type of services and equipment with which the service is performed. The rates charged by the contract carriers are usually lower than public carriers. Because contract carriers does not have obligation to service all customers, he can focus on their specialized business.
Private freight carrier - company that meet their transportation needs by its own means of transportation. The carrier does not offer or provide its services to other companies. It is a company that transports the goods being owned, leased or located in the deposit.
Private carrier market is dominated by road transport. The primary argument for using own transportation services is costs and levels of support. Using own transportation allows for greater control and flexibility of reaction but also has large capital and workforce needs.
Liability of the freight carrier
The carrier's liability for nonperformance or improper performance of the contract of carriage occurs when a passenger has suffered damages as a result of premature departure of the vehicle. Responsibility of the carrier shall be exempt when the damage was not due to wilful misconduct or negligence.
Carrier is not liable for any damage to things carried by travellers under their own supervision, provided that the damage was not caused by his fault. This responsibility obliges the carrier, when he pointed the storage location for these things, in which the passenger is not able to control them.
Freight carrier's liability for non-performance or improper performance of the contract of carriage of goods
The carrier's liability is when he will lose or damage the consignment, since the takeover of the consignment until its release by the carrier. The carrier's liability also arises in the case, if there is a delay in shipping. The carrier may be exempted from this liability, when the loss or damage or delay in the carriage was not his fault, and the fault of the sender, the recipient, the properties of shipment or for reasons of force majeure.
In addition, the carrier is relieved of liability if there is at least one of the following prerequisites:
- Name given to items excluded from carriage or carried on special terms is inconsistent with reality, inaccurate or insufficient, or the sender does not keep the above-mentioned rules
- Shipment is given in improper or defective package, which expose other shipments transported to possible damage.
- Consignment is especially susceptible to damage due to defects or natural properties
- Damage was caused by improper loading, placement or discharge by the sender or recipient
- Damage occurred on the item, which according to applicable provisions or agreements should be regularly inspected and the damage could have been avoided exercising supervision
- Tyworth, J. E., & Zeng, A. Z. (1998). Estimating the effects of carrier transit-time performance on logistics cost and service. Transportation Research Part A: Policy and Practice, 32(2), 89-97.
- Yu-zhuo, S. I. (2009). New structure of the basis of liability for the carrier——an analysis on the provisions under the Rotterdam Rules in respect of basis of liability for the carrier. Annual of China Maritime Law, 3, 002.