NYK Line (North America), Inc. v. Burlington Northern & Santa Fe Railway Co.

ORDER

1. INTRODUCTION

This case concerns a cargo theft occurring in transit on an interstate movement of goods by rail and motor carriers. The cargo was a load of Philip Morris cigarettes stowed within sealed container no. TRLU 5376554. As part of the intermodal movement, BNSF carried the container from its Chicago rail ramp to its Los An-geles rail ramp. The cargo was then supposed to be picked up by motor carrier K & R Transportation Co. (“K & R”) and drayed to one of the NYK terminals where it would be placed on an ocean carrier for further shipment to Tokyo, Japan. Prior to BNSF’s receipt of the container, NYK had contracted with BNSF to move the cigarettes from Chicago to Los Angeles on a ramp-to-ramp move subject to BNSF Intermodal Rules and Policies Guide and the International Transportation Agreement MA60. NYK contracted separately with K & R to haul the load to the Port of Long Beach from Los Angeles.

BNSF received electronic instructions (an “EDI”), that BNSF was to carry container TRLU 5376554 containing “freight of all kinds” for shipper NYK on a Plan 85 (or ramp-to-ramp) movement from BNSF’s rail ramp in Chicago Illinois to BNSF’s rail ramp in Los Angeles,…