Unit 7

system will level the playing field. Bolero will bring within the reach of all freight forwarder operators the capabilities for enhanced services, which previously were available for the larger companies.

Do not be left out."

Ex. 37. Read the text again and answer the questions:

1.What is Bolero based on and how will it "change our lives"?

2.Which is safer to send documents by air mail or E-mail?

3.How many companies handle their documents through Bolero? What ensures its successful operation?

Ex. 38. Get ready to make a presentation at the Annual International Conference on Transport and Logistics. Read the texts given below and decide what topic of your presentation will be. Make a plan of your presentation and prepare a report according to the plan.

PREVENTION IS BETTER THAN CURE

In recent years at least ten big container ships have been seriously damaged by major fires or explosions. Apart from the loss of life and injury to seafarers, each accident caused millions of dollars of damage. Experts attribute most of these incidents to hazardous materials that were loaded into containers but not declared to the carriers.

Acting under the provisions of the 1974 International Convention for Safety of Life at Sea (SOLAS) the International Marine Organization has made regulations requiring all signatory states to give the IMDG code the force of national law by January 1,2004, and subsequent amendments as they come into force.

Up to the beginning of this year, compliance has only been mandatory under national laws or regulations of some countries — although, of course, all responsible shippers and carriers have taken care to make sure their movements of hazardous goods are packed, loaded, marked and declared in accordance with the code. Now these goods practice guidelines have been given statutory force.

The IMO reports that cover 95% of hazardous and noxious substances (HNS) being carried by the world's ships are in accordance with the IM DG code. Unfortunately this probably does not take into account the fact that some shippers are still prepared to put seafarers' lives at risk, and endanger others in the transport chain, by failing to properly pack, secure, stow, label or declare hazardous cargoes in accordance with the regulations.

If the shipper does not tell the carrier what has been loaded, the carrier will not be able to take the appropriate precautions in stowing the box properly. The consequences are obvious: a ship at sea cannot jettison a burning container if it is located deep down in the stow.

Worse still, cargoes in other containers stowed nearby can also catch fire and, if they also happen to be undeclared hazardous material, the consequences can be very serious indeed. One such catastrophe occurred on the vessel "Hanjin Pennsylvania" in November 2002. Besides enormous damage to the ship, two people lost their lives.

Companies that offer transport insurance such as the British TT Club are aware of many consignments that have been undeclared or misdeclared, including:

—gas lighters which were not only undeclared but also badly made, so they leaked explosive gases in the container,

—fireworks being declared as "children toys" and so on.

With highly flammable cargoes like these being loaded carelessly below deck it is extremely fortunate that there have not been more major ship casualties. If undeclared HNS creates a problem the vessel operator is likely to hold its customer responsible as the latter is under a strict legal duty to warrant that cargo is fit for carriage. If an NVOC is the shipper of record, it is no defence for him to say that it was his client's fault; as far as the shipowner is concerned, the contractual liability stops with the NVOC.

It will then be down to the NVOC to try to recover the costs from the consignor who was ultimately responsible.

Unfortunately, if the shipper is the sort of company willing to save money by hiding the hazardous nature of its products, it is also unlikely to have any third-party liability cover. All of which rather leaves the NVOC exposed to a potential multi-million dollar claim. One hopes that he has arranged sufficient cover with an understanding liability insurer.

Even if undeclared HNS reach their destination port without accident, they could still cause complications. In today's increased state of alarm about the potential for terrorists to misuse ordinary commercial container traffic the arrival of an undeclared (and therefore also unidentified) consignment of hazardous material could well trigger a major alert. If the ship and its containers are consequently delayed for rigorous searches by the enforcement authorities, who will pay for the costs incurred?

All transport operators should be alert to the possibility that both FCL and LCL shipments may contain hazardous materials, and that the shipper may either deliberately, mistakenly, or even innocently mask the true nature, identity, and condition of the contents.

Some have suggested that the ocean carriers could do more to encourage compliance with the IMDG code. If hazardous cargo is declared properly, it will often be subject to a freight surcharge: there is therefore an incentive for unscrupulous shippers, anxious to achieve the lowest freight rate possible, to avoid the surcharge by not declaring the true nature of the cargo. For a forwarder, shipping a small consignment of hazardous material as part of a consolidation container, the lumpsum surcharge can often be disproportionate to the freight earned on the consignment. Removing the surcharge, it is argued, would mean that there was no longer any financial incentive to misdeclare cargo.

To minimize the likelihood of a disaster everybody in the transport chain must exercise their best endeavors to ensure proper adherence to the IMDG requirements within their own operation. They should also promote the observance of the code and national safety standards by their clients. This can never be achieved without continually remaining alert to the possibility of non-declaration, emphasis on supervision and staff training; and a good system to check and appraise clients.

MOROCCO MODERNIZES

Freight transport has been on the agenda of the Euro-Mediterranean cooperation since 1995 Barcelona Conference. Since that date, the Moroccan government and the European Commission signed a financing agreement for a program under which Morocco is to receive EUR 96 million of financial aid for the reform of its transport sector.

One of the main objectives of the Euro-Mediterranean partnership is the creation of an area of stability and prosperity around the Mediterranean, which includes establishing a Free Trade Area (FTA). The transport sector is pivotal in this sector, as the former's efficiency and costs (reflected in the price of imports and exports), have an immediate impact on a country's competitiveness and attractiveness for foreign investment.

For instance, the decision where to locate a manufacturing plant is heavily influenced by transport costs and competition from Eastern European countries. Thus the quality of the available logistics is often decisive.

The EU is Morocco's most important trading partner. In 2001, almost two thirds of Morocco's foreign trade was with the EU memberstates (72.4% of imports). Thus the importance of transport reform in Morocco is reflected in the EU-Morocco Association Agreement which came into force on March 1,2000. The Agreement calls for restructuring and modernizing Morocco's transport infrastructure; defining and applying oper-

ating standards comparable to those in the EU; bringing transport infrastructure and equipment up to EU standards, particularly where multimodal transport, containerization and transhipment are concerned; and gradually improving road, maritime and multimodal transit and the management of ports, airports, sea and air traffic and railways.

Road haulage in Morocco used to be heavily regulated. Administrative barriers limited access to the industry and a public entity, the Office Nationale des Transports (ONT), held the monopoly on the freight contracting. This situation prevented free market exchanges of road transport services. All transactions were carried out through the costly and inefficient mediacy of the ONT.

In 1999, the Moroccan parliament passed a new law providing for the abolition of the ONT's monopoly and the liberalization of the sector. However, much remains to be done to improve export regulations. The EU Program provides the Moroccan authorities with technical assistance during the preparatory phase. It also spells out the steps to be completed in order to a successful conclusion.

The road sector reforms entail the transformation of the former monopolist ONT into a state-owned limited liability company, the Societe Nationale des Transports et de la Logistique (SNTL). The latter will compete in a liberalized market on an equal footing with private operators, and could itself be privatized in the medium to long term.

Part of the program will also deal with road safety — a sensitive issue in Morocco. The Moroccan government has to finalize the draft law to modernize the national highway code. It also has to implement the international convention on the transportation of hazardous materials (ADR Convention) to which it is a signatory.

Making transport efficient also requires public and private investment in infrastructure and operations. The Commission recently stressed that to strengthen the political, economic and social links between the two shores of the Mediterranean, it is essential to develop a Euro-Mediterranean transport network, both in a south-south perspective (connections among Mediterranean countries themselves) and north-south (connections with the

trans-European transport network). While this aid program is not designed to directly finance transport-related infrastructure or private sector development projects, other instruments are available to finance such projects

in Morocco and elsewhere in the region. However, by improving the business environment, the reforms supported by this program pave the way for private and public participation in transport infrastructure financing and management.

INTERNATIONAL CARRIAGE OF GOODS

FOR REWARD/CM R CONVENTION

CMR regulations automatically apply to every contract for the international carriage of goods by road in vehicles for reward even when the vehicle containing the goods is carried over part of its journey by sea, rail or inland waterway and a CMR type consignment note must be completed. Even where a haulier is not aware that the load being moved is on an international journey or aware of the conditions and implications of CMR the provisions still apply-

Under the terms of the carriage contract the carrier taking over the goods must check the accuracy of the statements in the consignment note as to the number of packages, their marks and numbers, the apparent condition of the goods and their packing. Under these regulations the carrier is responsible for loss, damage or delay from the time of taking over the goods until the time of their delivery.

If goods are handled by a number of carriers on an overseas journey, provisions are contained in CMR to apportion the liability for loss or damage between all the carriers because of the difficulties which may arise in pinpointing the exact time and place when the damage occurred.

It is not practical for own-account operators to undertake the carnage of return loads for hire or reward — despite their freedom to do so in the UK under their operators' license — because such operators are not covered by CMR regulations and to do so can present problems which outweigh the reward obtained. This does not apply if the operator obtains return loads from associate companies on the Continent.

CMR Consignment Note

Operators carrying goods for hire and reward on overseas journeys

within the provisions of the Convention on the Contractfor the International Carriage of Goods by Road (CMR) as described above must complete special CMR consignment notes to be carried on the vehicle. The details re-

quired on consignment notes which must be made out in triplicate and signed by the sender and the carrier, are as follows:

Box 1. Sender (name, address, country). Box 2. Customs references/status.

Box 3. Sender's/agent's reference.

Box 4. Consignee (name, address, country). Box 5. Carrier (name, address/country).

Box 6. Place and date of taking over the goods. Box 7. Successive carriers.

Box 8. Place designated for delivery of goods.

Box 9. Marks and numbers; number and kind of packages; description of goods.

Box 10. Gross weight (kg). Box 11. Volume (m3). Box 12. Carriage charges.

Box 13. Sender's instructions for Customs. Box 14. Reservations.

Box 15. Documents attached. Box 16. Special arrangements. Box 17. Goods received.

Box 18. Signature of carrier.

Box 19. Company completing the note. Box 20. Place, date, signature.

Box 21. Copies to:

(i)Sender

(ii)Consignee

(iii)Carrier.

Documents to Be Carried

The vehicle regulation documents (i.e. the original not a copy) should always be carried on the vehicle when it is travelling on international journeys. The driver should also have written authority from his employer on the company's letterheaded paper showing that he is the authorized driver of the vehicle.

If a hired or borrowed vehicle is taken abroad (or any vehicle not registered in the operator's name) the driver must carry written authority from the owner permitting his use of the vehicle together with the vehicle registration document. Alternatively, a special regulation certificate can be obtained from the motoring organizations in which case there will be no need for the registration document to be carried.

On all journeys abroad British vehicles must display a valid vehicle excise disc. It should be noted that operating without an excise license disc, non-payment of duty or payment at less than the full rate of duty (e.g. heavy vehicle taxed at the private/light goods vehicle rate) is an offence which can result in heavy penalties and claims for payment of backduty.

Contracts

She was the only child in the family.

4.ensure v — обеспечивать They ensured safe delivery of the goods.

Syn. guarantee

5.empty adj — пустой, порож­ ний

We ask you to return empty containers.

Cp. vacant

Have you got a vacant room?

6.back-loading n — обратная загрузка

back-load v — обеспечить обратную загрузку, загру­ зить обратным грузом

In some cases back-loading is difficult to arrange.

They promised to back-load our trailer.

7.separate adj — отдельный They packed the goods in sep­ arate bags.

separate v — отделять

Her parents aren't divorced, they separated a year ago.

8.arise v (arose, arisen) — воз­ никать

Ср. rise v (rose, risen) — под­ ниматься

raise v — поднимать

A lot of difficulties can arise when fulfilling a contract. The prices are rising.

What problems were raised at the talks?

9.execute v — выполнять, ис­ полнять

Ср. carry out

189

execution n — выполнение executive adj — исполни­ тельный

Who'll execute this big order? The execution was perfect. The Prime Minister is the head of the executive branch ofpow­ er.

10.amicably adv - дружески amicable adj — дружеский in an amicable way — друже­ ским путем

Syn. friendly in a friendly way

They failed to settle the mat­ ter amicably.

There's always an amicable way of solving disputes.

11. court я - суд

Arbitration Court - арбит­ раж, арбитражный суд There are low courts and high courts in every country.

12. award n — решение арбит­ ражного суда; награда, воз­ награждение

award v — награждать The award was final.

He's neverbeen awarded any­ thing.

13. binding adj—зд. обязательный The award was final and binding upon both parties.

14.enter v — входить, вступать enter into effect — вступать в силу

entrance n — вход

When does the new regula­ tion enter into effect? Entrance is opposite to exit.

190

15. valid adj- действующий be valid—действовать, иметь силу

validity n - срок действия The agreement is valid 1 year. What's the validity of this doc­ ument?

16.revise v — пересматривать; повторять

revision л — пересмотр; по­ вторение

When did they revise the pric­ es?

There won't be any revision of this document in the near future.

17.cancel v — отменять, анну­ лировать

cancellation n - отмена

I'd like to cancel my credit card.

Such a violation of the contract may result in cancellation.

18.indicate v — указывать 5ул. point out

indication n — указание The route was not indicated correctly.

There was no such indication on the map.

19.terminate v — прекращать действие (о договоре и т.п.) termination л — прекраще­ ние действия

The agreement will terminate in three years.

20.legal adj — юридический; законный

legal adviser — юрискон­ сульт

Unit 7

The legal obligations of the parties are specified in Clause 7.

There's a legal adviser in any firm.

21. agent n — агент, посредник sole agent

exclusive agent

agency л — агентство, по­ средничество

This company is our sole agent in Europe.

22.draw up v — составлять

23.contract terms — условия контракта

May I have a look at the con­ tract terms?

24.miss out v — упустить

At the last talks we missed out the insurance problem.

25.length n — длина; зд. срок What is the length of the con­ tract?

26.renegotiable adj — пересмат­ риваемый

Point 8 specifies that the agree­ ment is renegotiable.

27.commission n — вознаграж­ дение, комиссионные They insisted on a 10% com­ mission.

28.bear v — нести

bear a risk — рисковать bear responsibility — нести ответствен ность

We don't want to bear the risk if there's a delay in delivery. The agent will bear full re­ sponsibility for untimely de­ livery of the goods.

Contracts

29.record v - записывать, про­ токолировать

record n — запись; pi доку­ ментация, учетно-отчет- ные материалы

The current data on spare parts have just been record­ ed.

You will need copies of all in­ voices for your records.

30.statement n — заявление; зд. бухгалтерская выпис­ ка

We shall send you our state­ ment every month.

31.base v — основываться What is this statement based on?

32.settle v — решать, урегули­ ровать

settle up — рассчитываться That will settle the price problem.

Have Brown & Co settled up for the last shipment? settlement л — урегулирова­ ние

settlement of accounts — по­ рядок расчетов

33.fairly adv — довольно Ср. rather

The weather is fairly good for this season.

The weather is rather cold to­ day.

34.expense л — расход

at smb.'s expense — за чей-

либо счет

at the expense of - за счет чего-либо

191

All defects will be removed at the manufacturer's expense. He became a very successful businessman but only at the expense of his health.

35.cure n - лечение

36.explosion и — взрыв

37.seafarer n — моряк, море­ плаватель

38.accident n — несчастный случай

39.attribute v — относить на счет кого-либо, приписы­ вать

40.incident л — случай; инци­ дент

41.declare v — декларировать, объявлять, заявлять

42.regulation л — правило

43.code п — кодекс; свод правил

44.subsequent adj — последую­ щий

45.amendment л — поправка

46.compliance л — соответст­ вие

47.mandatory adj — обязатель­ ный, принудительный

48.statutory adj — установлен­ ный законом, соответст­ вующий закону

49.noxious adj — вредный, па­ губный; ядовитый

50.endanger v — подвергать опасности

51.stow v — укладывать, скла­ дировать

52.precaution л — предосто­ рожность

53.jettison v — выбрасывать груз при угрозе аварии