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The (Damage) Freight Stops Here. (But Now What Do We Do ...

Presented by: Eric L. Zalud and Martha Payne Benesch Friedlander Coplan & Aronoff LLP The (Damaged) Freight Stops here . ( but now What Do We Do With It?) The Pitfalls of Salvage and Damage Mitigation March 23 - 25, 2015 Transportation & Logistics Council, Inc. 41st Annual Conference Orlando, Florida 2 Defense often asserted in lawsuit for Freight damage is that shipper or consignee has not appropriately mitigated its damages by salvaging and reselling damaged Freight . Also, shipments may be refused by consignee on grounds of delay, or other bases. In those situations, obligations arise for carrier to take action to salvage and resell goods. INTRODUCTION: Damage Mitigation Obligations 3 Perishable goods: Extremely problematic if arriving damaged upon delivery. FDA statutes, and commensurate regulations, that prohibit sale of adulterated food. See generally, 21 342. Applicable FDA standards may make it illegal or improper to sell damaged products which are intended for human use or consumption.

2 • Defense often asserted in lawsuit for freight damage is that shipper or consignee has not appropriately “mitigated its damages” by salvaging and reselling damaged freight.

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