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arrangements shall have force unless executed as addendum hereto and signed by

both Parties.

7.4.The Parties hereto agreed notifications shall deemed duly served if made in writing and sent mail, fax or e-mail.

7.5.All exhibits hereto constitute its integral part.

7.6.The Agreement shall cease to be effective upon settlement of all accounts and discharge of all obligations by and between the Principal and the Agent.

7.7.This Agreement has been executed in two (2) original copies (each of the copies is in Russian and English): one copy for each of the Parties. In case of discrepancies between the Russian and the English texts of the Agreement the Russian version shall prevail.

8. Details and signatures of parties hereto.

2.4 Carriage of goods

A common carrier is a person, who undertakes as his particular business the carriage for hire of goods of any persons who choose to employ him. The duty of a common carrier is to deliver the goods to the consignee at the place which the consignee desires, or, if no destination is named by the consignee, at the place directed by the consignor.

The liability of a common area is very great. It lasts as long as the goods are in his custody, that is, from the time of their delivery to him, during their transact, and for a reasonable time afterwards, until the goods are delivered to the consignee.

The liability of the carrier is subject to three exceptions at common law. The first is the act of God”, by which is understoo d some unforeseen accident of natural cause which could not have been prevented by any reasonable foresight. The second exception is an “act of the king’s enemi es”, that is foreign enemies, the term which also includes rebels, and the third is that which arises from any “inherent vice” in the goods carried. The term “inh erent vice” has a wide meaning, and includes natural deterioration and bad package.

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After the lapse of a reasonable time the carrier is only liable for negligence as a bailee, unless it has been otherwise agreed between the parties. Any agreement or condition exempting the carrier from liability for any loss or damage arising from willful misconduct or gross negligence is absolutely void.

Affreightment is the special name given to the contract of carriage of goods by sea, for a price which is called the freight. It is found in two forms: Charterparties, Bills of Lading. A charter-party is an agreement in writing whereby a shipowner agrees to let an entire ship, or a part thereof to any person (who is called the charterer) for the conveyance of goods on a specified voyage, or during a specified period, for a sum of money which the charterer undertakes to pay as freight for their carriage.

A Bill of Lading is a memorandum acknowledging the receipt of goods generally signed by the master of a ship. It also contains the terms and conditions of the carriage of the goods which have been agreed upon by the parties.

“Lay days”, or, as they are sometimes called “runni ng days”, are the days allowed to the charterer for loading and unloading the ship. “Demurrage” is the agreed sum payable for delay beyond the time stipulated.

“Perils of the sea” signify damage caused by the se a, storms, etc., of a nature which could not been foreseen.

The common warranties in connection with the conveyance of goods by sea are three: seaworthiness of the ship, dispatch and non-deviation. By seaworthiness is meant the fitness of the ship to undertake the particular voyage contemplated. By dispatch is meant the undertaking of the shipowner that the ship will commence and complete the voyage within a reasonable time. Non-deviation is a warranty that the ship will not deviate from the usual course of navigation, and so be exposed to more than the usual risks.

Vocabulary notes

1.Common carrier – общественный перевозчик,

2.Consignee – грузополучатель, адресат груза,

3.Consignor – грузоотправитель,

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1.Carrier

2.Consignee

3.Consignor

4.Bailee

5.Freight

6.Bill of Lading

7.Demurrage

a.A person to whom the possession of goods is transferred under a

bailment,

b.A ship’s cargo or part of it,

c.A document containing full particulars of goods shipped or for

shipment,

d.The delaying of a ship, a railway wagon caused by the charter’s failure to load, unload before the time of scheduled departure; extra charge required as compensation for such delay,

e.A person, agent, organization to which merchandise is consigned,

f.A person, enterprise that consigns goods,

g.A person or organization employed to carry goods, passengers. Answer the following questions:

1.Can you explain what the duty of a common carrier is?

2.How long does the liability of a common area last?

3.When does the liability of the carrier become subject to exception?

4.What is affreightment?

5.What is A Bill of Lading?

6.Can the charterer load or unload the ship at any time he wants? Why?

Why not?

7.What are “perils of the sea”?

8.How many common warranties in connection with the conveyance of goods by sea are there? What are they?

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Translate the following into Russian:

1.A common carrier is bound at common law to receive and to carry all goods of any person who offers them for that purpose, and who is willing to pay the usual and proper charges made for the same.

2.A neglect on the part of the consignor to declare the value and the nature of the goods will exempt the carrier from al liability for loss or damage, even where such loss or damage arises from gross negligence. But no exemption from liability can be claimed if the loss or damage has arisen from the felonious acts of the servants of the carrier, or from his own personal neglect or misconduct.

3.Where a company contracts to carry animals, luggage or goods, and the carriage is partly by rail and partly by sea, a condition exempting the company from liability for loss arising by sea “from the ac t of God, the King’s enemies, fire, accidents from machinery, boilers and steam, and all and every other damages and accidents of the sea”, shall be valid as part of th e contract just as if the company had delivered a bill of lading containing the condition.

4.A Bill of Lading is a receipt for the goods and a contract setting forth the terms of shipment.

5.The Bill of Lading is ordinarily signed by the master who affixes his signature as the agent of the owner of the ship. If, however, the ship has been chartered, he may be the agent of the charterer and not of the shipowner.

6.The term “perils of the sea” does not cover every a ccident or casualty which may happen to the subject matter of the insurance on the sea. It must be a peril of the sea. Again, it is well settled that it is not every loss or damage of which the sea is the immediate cause that is covered by these words. They do not protect, for example, against that natural and inevitable action of the wind and waves which results in what may be described as wear and tear. There must be some casualty, something which could not be foreseen as one of the necessary incidents of the adventure. The purpose of the policy is to secure an indemnity against accidents which may happen, not against events which must happen.

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7.Deviation or delay is excused:

-Where the deviation is made for the purpose of saving human life or aiding the ship in distress where human life may be in danger. Or where reasonably necessary for the purpose of obtaining medical or surgical aid for any person on board the ship.

-Where the deviation has been caused by the barratrous conduct of the master or crew, if barratry be one of the perils insured against.

Read the following contract paying attention to the highlighted words.

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Translate the following contract into Russian

Contract №

Moscow “_____” ___________20_________, hereinafter referred to as the

Sellers, on the one side and _________hereinafter referred to as the Buyers, on the

other side have concluded the present Contract on the following:

1. Subject of the Contract

The Sellers have sold and the Buyers have bought on

FOB____________port basis the goods to the amount of _________in the